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Canadian Brokerage Fees

Posted on 19 January 2008 by admin

If you are a small business in canada no doubt you paid fair share of brokerage fee’s to courier’s like UPS, FEDEX, DHL in the past year. UPS being one of the all out worst. Doing Cross Border deals with american wholesaler’s is mostly just a way of life for most canadian small businesses, but it can hurt the pocketbook very fast depending on who you use. Drop shipping is another big problem. When you drop ship from a american wholesaler to your customer in canada they end up with a nice little UPS brokerage bill.

Here is a list of the fee’s charged by UPS to you or your customers. Why do they charge 7 dollars on a 20 dollar item and then 63.75 on a item over $1000? If it was just one item at that value it would be the same amount of paperwork right? Something is not right… Well lots of people would agree with the unfair fee’s of UPS that currently have a on going class action lawsuit.

Entry Preparation Charges

 

Value for Duty
         CAD
UPS Standard Service and All Other Couriers/Transportation Companies* UPS Worldwide Express Plus, UPS Worldwide Express, UPS Worldwide Express Saver, and UPS Worldwide Expedited Services
$0.00  to  $20.00 $ - Free+
$ 20.01 to $40.00 $7.00 Free+
$40.01 to $100.00 $19.45 Free+
$100.01 to $200.00 $29.00 Free+1
$200.01 to $350.00 $40.30 Free+
$350.01 to $500.00 $45.25 Free+
$500.01 to $750.00 $51.45 Free+
$750.01 to $1,000.00 $57.55 Free+
$1,000.01 to $1,250.00 $63.75 Free+
$1,250.01 to $1,600.00 $67.75 Free+
$1,600.01 to $5,000.00 $71.45 Free+
Each additional $1,000 $5.55 Free+

 

 

 

Bond Fees

 

Customers are responsible for payment of duties and taxes.  When funds are not provided in advance by the customer, and UPS must post a bond to allow UPS shipments to be released in advance of payment to the Canada Border Services Agency (CBSA), a fee of 2.7 percent (minimum $5.85) of the amount advanced by UPS will be charged.  To avoid bond fees call 1-800-PICK-UPS and ask about our EFT plans.
 

Additional Services

 

Service Charge
Duty and Tax Amendment $50.00
Import Permits (each) $23.00 each
Other Government Departments (O.G.D.) Processing Fee** $16.00 each