First-Time Importer in Canada? Here's What You Need to Know

Importing goods into Canada for the first time can feel overwhelming. There are suppliers to vet, shipping terms to understand, customs regulations to navigate, and costs that aren't always obvious upfront. But the process becomes straightforward once you understand the key steps.

Step 1: Confirm Your Product Is Admissible into Canada

Before you commit to a supplier, verify that your product can legally enter Canada. Some goods are prohibited outright, others require permits or licences, and many are subject to specific labelling or safety standards. Categories that commonly require additional attention include food and agricultural products (CFIA), textiles (Textile Labelling Act), electronics (ISED radio frequency standards), chemicals (WHMIS), and vehicles (Transport Canada safety standards).

Step 2: Understand Incoterms

Incoterms define who is responsible for freight costs, insurance, and risk at each stage of the shipment. EXW means you take responsibility from the supplier's factory. FOB means the supplier is responsible until goods are loaded at the origin port — you take over from there. CIF means the supplier arranges ocean freight and insurance to the destination port. DDP means the supplier handles everything including import duties. For most first-time importers, FOB is a good starting point.

Step 3: Get Your Business Number and Import Account

To import commercially into Canada, you need a Business Number (BN) from the CRA and an import/export account (RM account). This is free to set up through the CRA's Business Registration Online portal. Your RM account number will be required on all customs declarations.

Step 4: Find a Freight Forwarder

A freight forwarder books vessel space, coordinates documentation, and works with customs brokers to handle clearance. Look for experience with your specific trade lane, familiarity with your product category, transparent all-in pricing, and clear communication. Ask for a detailed quote that includes origin charges, ocean freight, destination charges, customs clearance, and delivery.

Step 5: Understand Duties and Taxes

Every imported product has a tariff classification (HS code) that determines the applicable duty rate. Canada has trade agreements with many countries that reduce or eliminate duties for qualifying goods. On top of duties, GST (5%) applies to most imported goods. Your freight forwarder or customs broker can help you estimate your total landed cost before you commit to an order.

Step 6: Prepare Your Import Documents

Have these ready before your goods arrive: a detailed commercial invoice, a packing list, the Bill of Lading from your carrier, a certificate of origin (if claiming preferential duty rates), and any permits or licences required for your product category. Inaccurate or incomplete documents are the leading cause of customs delays.

Common Mistakes First-Time Importers Make

Underestimating total landed cost is the most common error — the freight quote is just one piece. Also avoid using vague product descriptions on your commercial invoice, failing to confirm admissibility before ordering, and choosing a forwarder based on price alone. The cheapest quote often comes with hidden surcharges or poor service.

If you're planning your first import and want guidance from a team that works with Canadian importers every day, contact Freighter Logistics. We'll walk you through the process and make sure your shipment moves smoothly from origin to your door.