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Commercial Carrier and Freight Forwarder Identification and Eligibility
Air, rail carriers and freight forwarders
Non-Bonded or Bonded
To apply for a carrier or freight forwarder code, the first step is to determine if you need a non-bonded or bonded code.
Non-Bonded Air or Rail Carrier
A non-bonded carrier must have all shipments released at the first point of arrival (FPOA) in Canada. If a non-bonded carrier requires a bond for a single trip they may apply for a single trip authorization.
Bonded Air or Rail Carrier
Bonded carriers are permitted to transport in-bond goods beyond the first point of arrival in Canada and between points in Canada. They must post financial security with the CBSA to cover the following situations:
- to move goods to a CBSA office or sufferance warehouse inland (not located at the border) to have the shipment released;
- to move goods "in transit" through Canada. The bonded carrier uses Canada as a corridor, or a shortcut, by starting from a point outside Canada and then transiting through Canada to another point outside Canada (e.g. U.S. to Canada to U.S.). The goods in transit are not released in Canada; or
- to apply to the Customs Self Assessment program.
Non-Bonded Freight Forwarder
A non-bonded freight forwarder code is necessary for freight forwarders who plan to transmit Advance Commercial Information (ACI) supplementary cargo reports to the CBSA directly or through a service provider. If you are supplying cargo information through a carrier, then a code is not required.
Bonded Freight Forwarder
In addition to providing secondary cargo reports to the CBSA, a bonded freight forwarder may transport in-bond goods from point to point within Canada, including between sufferance warehouses. No international movement or transportation of goods is allowed under a bonded freight forwarder code.
Becoming a Non-Bonded Air or Rail Carrier or Freight Forwarder
To apply to become a non-bonded air or rail carrier or freight forwarder with the CBSA, you must:
- Complete the applicable application form:
- Provide a copy of the appropriate proof of ownership document for your business:
- For corporations – article of incorporation or business registration document.
- For partnerships – certificate of formation or master business licence.
- For sole proprietorships – photocopy of government issued photo ID.
For supporting documents being submitted from outside Canada:
- The supporting document must be translated into either English or French and certified as to the authenticity of translation by the certified translator.
- A copy of the original document (requiring translation) is to be notarized by a locally recognized lawyer or commissioner of oaths.
- The document in its original language and the certified translated copy must be submitted.
- An authorized officer representing the company must sign the application form. The authorized officer must have legal signing authority and can include: Chief Executive Officer, Chief Financial Officer, President, Vice-President, Owner, Partner, Secretary Treasurer, Executive Director or Director. In the case of a sole proprietorship, only the owner may sign.
- Submit scanned copies to the CBSA at carrier-cargo@cbsa.gc.ca.
- Once you receive your carrier or freight forwarder code from the CBSA, you must then apply to transmit Advance Commercial Information (ACI) to the CBSA and undergo the testing process.
Becoming a Bonded Air or Rail Carrier or Freight Forwarder
To apply to obtain a bonded air or rail carrier code or freight forwarder with the CBSA you must:
- Complete the applicable application form:
- Follow steps 2 and 3 above (Becoming a Non-bonded Air or Rail Carrier or Freight Forwarder) for proof of ownership and signature.
- Post security with the CBSA in the form of a Customs Bond or other method as listed in Customs Memorandum D1-7-1, Posting Security for Transacting Bonded Operations.
- Instructions on completing the D120 Customs Bond can be found below.
- Mail the original bond, the application, and supporting documents to the CBSA at:
- Commercial Operations Integrated Support (COIS)
Canada Border Services Agency
191 Laurier Avenue West, 12th Floor
Ottawa, ON K1A 0L8 Canada - Photocopies of the bond are not accepted.
- Commercial Operations Integrated Support (COIS)
- Once you receive your carrier or freight forwarder code from the CBSA, you must then apply to transmit ACI to the CBSA and undergo the testing process.
Customs Bond Instructions
Recent Changes to the CBSA Bond Requirements
Please note that the CBSA requires the signature of the Owner, President, Chief Executive Officer (CEO), Executive Director or a similar highest ranking official authorized to sign on behalf of the company. If an official other than those aforementioned is signing on behalf of the company, a certified copy of the by-laws authorizing that official to sign on behalf of the company shall be required and the signature of a witness shall also be necessary.
Form D120 and Memorandum D1-7-1 are being updated to reflect this change.
The original D120 Customs Bond must be mailed to the CBSA along with the application form and supporting documents. For the bond, we will not accept photocopies, white-out or handwritten corrections. Erroneous bonds will be returned to the client unless the client instructs the CBSA to send it to the client's third-party representative.
For a Customs Bond, Form D120 must be completed by the surety company securing the bond. The surety company must fall under one of the following categories:
- A company that is approved by the Treasury Board Secretariat (as found in Appendix L of the Contracting Policy).
- A member of Payments Canada.
The following step-by-step instructions should be used to review your Customs Bond prior to submission to the CBSA.
- Section 1:
- Activity to be secured:
- Air Carriers: Bonded Air Carrier Operations
- Freight Forwarders: Bonded Freight Forwarder Operations
- Rail Carriers: Bonded Rail Carrier Operations
- Relevant legislative authority: Transportation of goods regulations
- Bond amount: This depends on what type of bonded operation is being applied for as well as the assets in the applicant's possession and the type of movement performed. Amount requirements may be:
- Activity to be secured:
- Section 3:
- To perform bonded carrier operations, the Customs Bond must be a continuous bond or a bond for a specified period.
- If a bond for a specified period is submitted, the bonded carrier code will expire upon the date of termination of the Customs Bond. A continuous bond remains in effect until a Notice of Cancellation is received.
- Section 4: All CBSA Offices in Canada
- Section 7: (for principal/applicant)
- Principal name – must match the name on the company ownership documents and the application (Form E370).
- Address – must match the address on the application.
- Business number – Canadian companies must provide a Canada Revenue Agency-assigned 9-digit identifier
- Foreign companies can leave this blank.
- Signature must be from the Owner, President, Chief Executive Officer, Executive Director or a similar highest ranking official.
- If none of the above, then the Corporate Bylaws are required to demonstrate that this individual may sign on behalf of the company AND a witness' signature is required. The witness can be anyone.
- Embossed seal of the principal (applicant)
- Please note that the CBSA no longer requires corporate seals or notarization for the bond principal. Form D120 and Customs Memorandum D1-7-1 are being updated to reflect this change.
- Section 7: (surety)
- Surety company signatures – D120 must be signed by the surety company.
- Embossed seal of surety company
- Rubber stamps are NOT acceptable.
- Characters on the seal have to be in English or French. Other languages are not acceptable.
- If the surety company does not include an acceptable corporate seal, a commissioner of oath, notary public or lawyer must witness the signature(s) of the surety's authorized representative(s).
- If a witness for the surety is required, the witness must sign in an area other than in Section 8, which is reserved for the principal's witness. The witness must include his or her seal, stamp, or licence number.
- Section 8: (witness)
- This section is for witnessing the principal's signatures.
- Please note that the CBSA no longer requires corporate seals or notarization for the bond principal. Form D120 and Customs Memorandum D1-7-1 are being updated to reflect this change.
- A witness for the surety, if required, must sign elsewhere on the document (See Section 7 – surety).
Single Trip Authorization
If a non-bonded carrier requires a bond for a single trip they may apply for a single trip authorization. For example, if a non-bonded carrier cannot obtain release of the shipment at the first point of arrival and chooses to bring a shipment inland for release at another CBSA office, the carrier must post a single trip authorization bond at the first point of arrival.
A single trip authorization may be acquired in one of two ways: by posting security with the CBSA using cash or a certified cheque, or by engaging a customs broker who provides this service.
Applications for a single trip authorization must be filed, in duplicate, at the first point of arrival in Canada using form BSF329-1, BSF329-5, or BSF329-9. Security must also be posted as outlined in Customs Memorandum D1-7-1, Posting Security for Transacting Bonded Operations.
Transmitting Advance Commercial Information
- Air Carriers
- With the implementation of Phase 2 of the Commercial reporting requirements, completed in 2006, all air carriers are required to electronically transmit air cargo and conveyance data to the CBSA four hours prior to arrival in Canada or at time of departure if the flight is less than four hours in duration.
- Rail Carriers
- With the implementation of eManifest, rail carriers transporting goods into Canada are required to transmit cargo and conveyance data electronically to the CBSA prior to arrival. The cargo and conveyance data must be received and validated by the CBSA a minimum of two hours before the conveyance arrives at the border.
- Air and Rail Carriers
- Once you receive your carrier code, in order to begin transmitting data electronically to the CBSA, you must:
- Apply to transmit ACI by completing and submitting form Electronic Data Interchange (EDI) Application for Advance Commercial Information (ACI).
- Undergo a testing phase with the CBSA.
- See Commercial reporting requirements for more information.
- Once you receive your carrier code, in order to begin transmitting data electronically to the CBSA, you must:
- Freight Forwarders
- With the implementation of eManifest, freight forwarders will be required to transmit advance house bill data electronically to the CBSA. The data must be received and validated by the CBSA prior to arrival, within the prescribed mode-specific time frames.
- In addition to the EDI option, freight forwarders can choose to use the eManifest Portal. To transmit using the eManifest Portal, freight forwarders must obtain a shared secret code.
Additional Information
- Contact Information
- CBSA D Memoranda:
- Memorandum D3-1-1, Policy Respecting the Importation and Transportation of Goods
- Memorandum D3-2-1, Air Pre-arrival and Reporting Requirements
- Memorandum D3-6-6, Rail Cargo – Import Movements
- Memorandum D3-3-1, Forwarded and Consolidated Cargo – Import Movements
- Memorandum D1-7-1, Posting Security for Transacting Bonded Operations
- Date modified: