T4-2024 | BIBM432 Assignment 1
Product Identification & Importation of Goods into Canada (10%)
Product, Vendor(s) & Country of Origin | Harmonized System (HS) Codes, Preferential Tariff
and Duty Rate | Import Control & Restrictions | Landed Cost Computation & Pricing Decision
This is the “Assignment 1 Requirements” for distribution in Week 2 and due date is in week 5 at 11:30 am,
October 31st .
This is an individual assignment that you work on your own, not with the team that you form.
The product that you choose for importation into Canada in this assignment may become the product for
assignment 2 (due in week 11), subject to your team’s decision.
This is an importation project about buying product(s) from an overseas vendor in large quantity, ship from
the country of origin to the Port of Vancouver, B.C. for commercial sales in Canada. This is NOT a single
product ordered from any consumer website such as Amazon or [Link] for personal use.
You are an importer based on the West Coast in Canada. Your report must include the followings:
1. Product, Vendor / Manufacturer (name, location) & Made in Country
Identify a product for importation into Canada at the Port of Vancouver (sea), at YVR (by air) or through
the Douglas Crossing from Blaine, WA to Surrey, BC (road).
• See your instructor if you are not clear about your product decision. Food, coffee, tea, alcohol, fresh
produce, health, and cosmetics products and many other commodities are regulated by federal or
provincial government agencies such as CFIA ([Link] and Health Canada.
You must research if any permit or excise tax is required for importation of your product. See the 4th
bullet under section 2 below.
• Product name, vendor information and made in country (and/or exporting country) must be included
if exporting country is not the same as the made in country.
• Research on this product (type, potential sales opportunities, importation restrictions, etc.).
• Any other product specialties must be included.
2. Customs Requirements & Importation Controls
Research on CBSA website for importation of your product into Canada, Google or [Link]
could be your first step. Check under BIB432–Essentials on Moodle the “Assignment 1 step by step”
and related links posted under Assignment 1 Tips ([Link]).
• A full 10-digit HS Classification Code* must be included, explain how you think the HS code is
correct. You must confirm the correctness of the HS code from the CBSA Customs Tariff website.
• Determine duty rate using the “List of Countries for Applicable Tariff Treatments” ** and be sure
the Made-in-Country is in line with the preferential tariff treatment.
• You must include in your assignment the “preferential tariff treatment” that you choose to use.
• Restricted or Controlled Product, is there any restriction for importation of this product into Canada
(e.g., CFIA, Health Canada, Provincial Liquor Control Board, Competition Bureau, labelling
requirements, etc.) and/or any restrictions imposed by the exporting country.
• You must indicate in your report if there are any import restrictions or not.
3. Transportation & Freight
Check product package type and shipment information.
• Product package size (Length x Width x Height in cm), weight (KG) and volume (dimensions) in
metric cm3 then cubic meter (CBM).
• Number of packages per box/case, outer carton (if any) count, pallet size (if applicable), etc. and
total shipment weight (KG) and dimensions in CBM for overseas by air and sea. Use of pound (lb.)
and cubic feet (ft3) for using “road” mode of transportation in North America.
• Note primary packaging as well as secondary and more on tertiary packaging, if there is any.
• Transportation mode decision and freight cost(s), compute transportation cost using shipment weight
and dimensions with the freight-rates provided (see Assignment 1 Tips on Moodle).
• The city or port name in the exporting country (air or seaport, city/town name if using road mode).
4. Landed Cost, Markup & Sales Decision
Determine mark-up margin for selling price upon importation into Canada.
• Freight and any other related costs and accessorial charges that are in relation to the landed cost.
• List the costs for calculation using the worksheet Excel (.xlsx) or the Word table (*.docx) in Moodle.
• Pricing decision: include “mark-up”, research for at least 2 similar products and compare their prices
with yours, to justify your pricing decision.
• What is your plan in distribution of your product (using a warehouse/Distribution Centre) and selling
your product – distributor/retail.
• Note that this report is NOT a marketing report, it is about supply chain management and logistics.
Don’t recycle your marketing reports from previous classes.
5. References are mandatory.
NOTES:
Your report must show the final landed cost and how much this product is priced for retail sales.
HS Code 10-digit: example – 12 (chapter) 34 (heading) 56 (subheading) 78 (tariff item) 90 (classification #)
You can research the HS codes and duty rates using Google or Websites listed on [Link] and below, be
sure it is the HS (Harmonized System) but not HT (T for Tariff), HT is the US version.
Canada Tariff Finder (EDC): [Link]
Find HS Codes: [Link]
Canada Post:
[Link]
Customs Tariff Schedule 2024 (main page):
[Link]
From the main page, click into any of the five Title links to research for the information of your product,
the two important links are:
CBSA Customs Tariff by chapter T2024 (Effective date: 2024–1)
[Link]
List of Countries and Applicable Tariff Treatments (2024–01–01)
[Link]
Administrative Guidelines (2024–01–01)
[Link]
Email [Link]@[Link] (not from [Link]) if you have any questions, and to schedule a Zoom
meeting outside of class time, if need be.
BIBM432 Assignment 1 2
RULES:
1. Your name and student number must be included as part of the “Submission Title” when you “Submit
Paper” to Turnitin, and as file name for the “Excel” (or Word) & “PowerPoint” when you email to
instructor, a 20% mark will be deducted if not.
2. Submission of this assignment via Turnitin must be done in week 5, by the deadline of 11:30 am on
Oct 31st, 2024.
3. An Excel template (Assignment 1–Landed Cost Calculation Worksheet (Excel) is available under
Assignment 1 Tips on Moodle for use. Submission of the Excel file must be done via email to instructor
before the deadline (see above #2).
4. Use the Word sheet “Assignment 1 - Landed Cost Computation for Import - Word version (July 2024)”
and fill in all slots/space with information for this assignment if you choose not to use Excel as your
computation tool.
5. The PowerPoint (6-9 slides maximum) must be made ready for class presentation (8 minutes maximum).
PowerPoint must be emailed to instructor before the deadline (see above #2).
6. Late submission will NOT be accepted. If you fail to submit before the deadline, you will earn 0%.
7. Use fonts: Times New Roman (size 12 maximum) or Ariel (size 11 maximum).
8. 1.5 line spacing, paragraphs
9. Proper headings, use of bullet points, page number,
10. See marksheet on the last page.
BIBM432 Assignment 1 3
Assignment 1 Marksheet
Product & Vendor Information (24%)
Product name
Product type
Made in country (and exporting country if it’s not the same as made in country)
Vendor / manufacturer name & profile (website link, if any)
HS classification code (10-digit) not HT code
Duty rate % (amount of duty) and you must select the Applicable Preferential
Tariffs (MFN, GPT or others) of your product
Research the product and exporting country, any restriction(s), labelling
requirements, or even no restriction for importation must be included.
Other specialties (mandatory)
Transportation & Freight Information (30%)
Package info: (individual piece package type: box, package, barrel, roll, etc.).
Package weight (piece weight in metric (gram/kg)
Package (piece) size in metric L x W x H (cm) – individual piece/each
Product importation quantity (number of pieces/packages, use of outer carton
(secondary or tertiary), total number of cartons in the shipment, etc.) weight (kg)
& dimensions (CBM)
Computation – freight rate and transportation cost | you must list all calculations
Transportation mode and port for exportation (name of city/seaport/airport)
Landed Cost Calculation & Pricing Decision (30%)
Landed cost, markup, use Excel template or Word table posted under Week 7 for
computation
Description of the product decision why this product is chosen for the project
including 2 similar products and prices in competition to yours
Sales info: What is your distribution plan? How are you going to sell it?
Overall Report Format (6%)
Headings, bullet points, paragraphs, space, page number, alignment, etc.
PowerPoint (10%)
Submitted by email by 11:30 am on the presentation day (slide number)
TOTAL (-20% if no student name & number in submission title): %
COMMENTS:
BIBM432 Assignment 1 4