CSMS Message: 93-000224

TO : ALL ABI BROKERS.

FROM : ROBERT WOODS

SUBJECT : CANADIAN PROVINCE OF ORIGIN

DATE : 03/03/93

3060011
MARCH 1, 1993

ENT-1-CO:TO:E:CS RMW
CATEGORY: STA

TO: REGIONAL DIRECTORS (COMMERCIAL OPERATIONS), DISTRICT,
AREA, AND PORT DIRECTORS OF CUSTOMS

FROM: DIRECTOR, OFFICE OF TRADE OPERATIONS

RE: CANADIAN PROVINCE OF ORIGIN CODE REQUIREMENT

PASS TO: ALL IMPORT SPECIALISTS, ENTRY OFFICERS, INSPECTORS, AND
OTHER INTERESTED PARTIES SUCH AS BROKERS AND IMPORTERS

EFFECTIVE WITH THE RELEASE OF THE JANUARY 1990 MERCHANDISE TRADE
DATA, THE UNITED STATES AND CANADA REPLACED THEIR BILATERAL
EXPORT STATISTICS WITH COUNTERPART IMPORT STATISTICS. THIS
EXCHANGE OF TRADE STATISTICS IS A DIRECT RESULT OF A MEMORANDUM
OF UNDERSTANDING (MOU) SIGNED JULY 29, 1987, BETWEEN THE UNITED
STATES (U.S.) AND CANADA.

IN ORDER TO MEET THE TERMS OF THE MOU, BOTH THE U.S. AND CANADA
AGREED TO CAPTURE SEVERAL NEW DATA ELEMENTS ON THEIR RESPECTIVE
IMPORT DOCUMENTS. ONE OF THE DATA ELEMENTS THAT U.S. CUSTOMS
AGREED TO CAPTURE WAS THE PROVINCE OF ORIGIN. THE BUREAU OF THE
CENSUS (CENSUS) IS CURRENTLY DERIVING THE PROVINCE OF ORIGIN FROM
THE PROVINCE CODE REPORTED AS PART OF THE MANUFACTURER I.D. IN
BLOCK #21 OF THE CF 7501. THE QUALITY OF THE PROVINCIAL TRADE
DATA COMPILED BY CENSUS HAS BEEN CLOSELY SCRUTINIZED AND
INCREASINGLY CHALLENGED BY USERS OF THE DATA. IN MANY CASES THE
PROVINCE CODE BEING REPORTED ON THE CF 7501 DOES NOT IDENTIFY THE
LOCATION WHERE THE GOODS WERE ACTUALLY MANUFACTURED, GROWN, OR
PRODUCED. INSTEAD, IT REPRESENTS THE LOCATION OF THE CANADIAN
VENDOR. ACCURATE PROVINCE OF ORIGIN INFORMATION IS NECESSARY AND
OF PARTICULAR IMPORTANCE TO THE INDIVIDUAL CANADIAN PROVINCES IN
ASSESSING THE STATE OF THEIR TRADE BALANCES, AND FOR THE COUNTRY
AS A WHOLE, IN DETERMINING ITS NATIONAL ACCOUNTS.

IN AN EFFORT TO PROVIDE MORE ACCURATE INFORMATION, CUSTOMS HAS
AGREED TO CREATE A NEW FIELD ON THE CF 7501 TO CAPTURE THE TWO
LETTER DESIGNATION OF THE CANADIAN PROVINCE OF ORIGIN (I.E. THE
PROVINCE WHERE THE GOODS WERE ORIGINALLY MANUFACTURED, GROWN OR
PRODUCED). THEREFORE, EFFECTIVE FOR ALL MERCHANDISE ENTERED OR
WITHDRAWN FROM WAREHOUSE FOR CONSUMPTION, ON OR AFTER MAY 3,
1993, THE PROVINCE OF ORIGIN, AS DEFINED ABOVE, WILL BE REPORTED
ON THE CF 7501 AT THE LINE ITEM LEVEL. THE REPORTING OF THE
PROVINCE OF ORIGIN WILL APPLY TO NON-ABI AS WELL AS ABI ENTRY
SUMMARIES AND ENTRY/ENTRY SUMMARIES.

THE PROVINCE OF ORIGIN IS TO BE REPORTED IN COLUMN 28 OF THE CF
7501, DIRECTLY BELOW THE LINE NUMBER, AND ON THE SAME LINE AS THE

TARIFF NUMBER TO WHICH IT APPLIES. IN THOSE INSTANCES WHERE A
SINGLE ENTRY SUMMARY COVERS MERCHANDISE FROM MORE THAN ONE
COUNTRY OF ORIGIN AND/OR COUNTRY OF EXPORT, THE REPORTING OF
THESE DATA ELEMENTS TAKES PRECEDENCE OVER THE PROVINCE OF ORIGIN.
AS SUCH, THE ORDER OF REPORTING WILL BE AS FOLLOWS:

COUNTRY OF ORIGIN
COUNTRY OF EXPORT
PROVINCE OF ORIGIN

INSTRUCTIONS FOR THE REPORTING OF MULTIPLE COUNTRIES OF ORIGIN
AND MULTIPLE COUNTRIES OF EXPORT ON THE CF 7501 CAN BE FOUND IN
CUSTOMS DIRECTIVE #099 3550-061, "INSTRUCTIONS FOR PREPARATION OF
CF 7501", DATED SEPTEMBER 18, 1992. A COMPLETE LIST OF THE
PROVINCE CODES TO BE USED IS PROVIDED IN THIS SAME DIRECTIVE
UNDER THE INSTRUCTION FOR BLOCK #21-"MANUFACTURER I.D.".

IN THOSE INSTANCES WHERE A SINGLE ENTRY SUMMARY COVERS
MERCHANDISE FROM MORE THAN ONE PROVINCE OF ORIGIN, EACH ITEM IS
TO BE REPORTED ON A SEPARATE LINE OF THE CF 7501 ALONG WITH THE
APPROPRIATE PROVINCE CODE.

IN THOSE INSTANCES WHERE THE PROVINCE IN WHICH THE MERCHANDISE
WAS ORIGINALLY MANUFACTURED, GROWN, OR PRODUCED IS UNKNOWN,
REPORT THE SAME PROVINCE THAT IS SHOWN AS PART OF THE
MANUFACTURER I.D. IN BLOCK #21 OF THE CF 7501. HOWEVER, EVERY
EFFORT SHOULD BE MADE BY THE ENTRY FILER TO ASCERTAIN THE
PROVINCE(S) WHERE THE MERCHANDISE WAS MANUFACTURED, PRODUCED, OR
GROWN BEFORE RESORTING TO THE PROVINCE SHOWN AS PART OF THE
MANUFACTURER I.D. IN BLOCK #21.

NOTE: THE MANUFACTURER I.D. REQUIRED BY INSTRUCTION #21 OF
CUSTOMS DIRECTIVE #099 355-061 IS STILL TO BE REPORTED ON THE CF
7501.

QUESTIONS REGARDING THESE INSTRUCTIONS SHOULD BE REFERRED TO THE
COLLECTIONS/STATISTICS BRANCH AT (202) 927-0801, 927-0418, OR
927-0051.

PHILLIP METZGER