Its easy to notice that Valentine’s Day is approaching when you see red hearts all over tv commercials and storefronts. Gifts like jewellery, stuffed animals, and chocolates are among the many items that are very popular purchases this time of year. Imports of these items into Canada leading up to this occasion increase as well. The duty rates and requirements to import these products into Canada are a common request to our office so here is some general information.
Gold and silver jewellery are a common gift this time of year. According to Stats Canada, retailers sold $2.4 billion dollars worth of fine jewellery in 2016. The majority of those sales were for Christmas, anniversaries, and of course, Valentine’s Day. Gold and silver jewellery are classified in Chapter 71 of the Customs Tariff. Silver jewellery is subject to 8.5% duty and gold jewellery is subject to 6.5% duty. Canada has trade agreements with certain countries that allow for duty free imports of these items.
Toy animals made of fabric and filled with a soft material are classified in Chapter 95. These toys are duty free regardless of where they are manufactured or imported from. Stuffed animals and jewellery are subject to 5% GST if imported for commercial purposes. If imported for personal use, they would be subject to GST and PST, or HST, depending on your province of residence.
There are more requirements to import chocolates into Canada compared to jewellery and stuffed animals. The Canadian Food Inspection Agency (CFIA) regulates imports of foods meant for consumption. As such, chocolates would require an SFC license to import into Canada. Chocolates are classified under Chapter 18 of the Customs tariff. The top 4 manufacturers of chocolate in the world (United States, Switzerland, Germany, and Belgium) all have trade agreements in place with Canada currently so chocolate imports from, and made in those countries can be imported without paying duties.
Orbit Brokers helps importers bring goods into Canada for all sorts of events and holidays. If you need more help with importing these or any other goods into Canada, feel free to contact us for more info.
Happy Valentine’s Day!