Special Safeguard Measures for Agricultural Goods

Surtax order

60.01 (1) Notwithstanding this Act or any other Act of Parliament but subject to subsections (2) to (7), the Governor in Council may, on the recommendation of the Minister of Finance, by order, make any prescribed agricultural goods, as specified in the order, subject to

    (a) a surtax at a rate specified in the order, in addition to any other duty imposed under this Act, or any other law relating to customs; and

    (b) any conditions specified in the order relating to the imposition of the surtax.

Conditions for making order

(2) Before recommending that the order be made under subsection (1), the Minister of Finance must be satisfied, on the basis of a report of the Minister of Agriculture, that the conditions set out in Article 5 of the Agreement on Agriculture in Annex 1A of the World Trade Organization Agreement for the imposition of an additional duty on the prescribed agricultural goods have been met.

Non-applicati on to goods in transit

(3) Goods are not subject to a surtax imposed by an order under subsection (1) where the Deputy Minister is of the opinion that, before the coming into force of the order, a person purchased the goods for importation in the expectation in good faith that only the Most-Favoured-Nation Tariff rate of customs duty applicable to the goods would apply to them and, at the time of the coming into force of the order, the goods were in transit to the purchaser in Canada.

Period and revocation of order

(4) An order under subsection (1)

    (a) shall, subject to this section, remain in effect for such period as is specified in the order; and

    (b) may, notwithstanding any other provision of this section, be revoked at any time by the Governor in Council on the recommendation of the Minister of Finance, unless, prior to that time, a resolution praying that the order be revoked has been adopted by both Houses of Parliament pursuant to subsection (5).

Resolution of Parliament revoking order

(5) Notwithstanding anything in this section, where a resolution praying that an order under subsection (1) be revoked is adopted by both Houses of Parliament, the order shall cease to have effect on the day that the resolution is adopted or, if the adopted resolution specifies a day on which the order shall cease to have effect, on that specified day.

Notice in Canada Gazette

(6) Where an order under subsection (1) ceases to have effect by reason of a resolution of both Houses of Parliament, the Minister of Finance shall cause a notice to that effect to be published in the Canada Gazette.

Regulations

(7) The Governor in Council may, on the recommendation of the Minister of Finance, make regulations

    (a) prescribing agricultural goods for the purposes of this section in respect of any country;

    (b) prescribing terms and conditions governing the making of orders under subsection (1); and

    (c) generally for carrying out the purposes and provisions of this section.

Exemption from Statutory Instruments Act

(8) An order under subsection (1) is exempt from the application of sections 3, 5 and 11 of the Statutory Instruments Act.

Publication

(9) Every order made pursuant to subsection (1) shall be published in the Canada Gazette.

1993, c. 44, s. 129(1)

84. Subsection 60.2(4) of the Act is replaced by the following:

Where emergency actions taken

(4) No order shall be made in respect of a fresh fruit or vegetable pursuant to subsection (1) during any period in which an order made pursuant to subsection 59.1(1), (8) or (11), 60(1) or (6.1) or 60.1(1) of this Act or subsection 5(3), (3.2), (4.01) or (4.2) of the Export and Import Permits Act in respect of the same fresh fruit or vegetable that is entitled to the benefit of the United States Tariff is in force and any such order made pursuant to subsection (1) shall not have any force or effect during any such period.

1993, c. 44, s. 130

85. Subsection 60.3(4) of the Act is replaced by the following:

Application of special measures

(4) Any order made pursuant to subsection 59.1(1), (8) or (11) of this Act or subsection 5(3), (3.2) (4.01) or (4.2) of the Export and Import Permits Act shall have effect in respect of goods referred to in subsection (2) only during any period in which the limits specified under subsection (3) for those goods have not been exceeded.

1993, c. 44, s. 132

86. Paragraph 62(1)(c) of the Act is replaced by the following:

    (c) reduce or remove customs duties on goods imported, whether before or after the order comes into force, from any country by way of compensation for any action taken under subsection 59.1(1), (8) or (11), 60(1) or (6.1), 60.1(1), 60.11(2) or 60.4(1) of this Act or under subsection 5(3), (3.2), (4.01) or (4.2) of the Export and Import Permits Act.

1988, c. 65, s. 99

87. The definition ``customs duties'' in section 66 of the Act is replaced by the following:

``customs duties''
« droits de douane »

``customs duties'' means the customs duties imposed under Part I, other than surtaxes imposed under section 59, 59.1, 60 or 60.01, temporary duties imposed under section 60.1 or 60.2 or surcharges imposed under section 61;

1993, c. 44, s. 135

88. Section 83.01 of the Act is replaced by the following:

Definition of ``customs duties''

83.01 In section 83.02, ``customs duties'' means customs duties imposed under Part I, other than additional customs duties imposed under section 20, surtaxes imposed under section 59, 59.1, 60 or 60.01, temporary duties imposed under section 60.1, 60.11, 60.2 or 60.4 or surcharges imposed under section 61.

89. The French version of the Act is amended by replacing the expression ``marchandises semblables ou directement concurrentielles'' with the expression ``marchandises similaires ou directement concurrentes'' in the following provisions:

    (a) subsection 59.1(3);

    (b) subsection 59.1(7);

    (c) subsection 60.1(1);

    (d) subsection 60.11(2);

    (e) subsection 60.4(1); and

    (f) subsection 60.4(5).

90. The French version of the Act is amended by replacing the word ``préjudice'' with the word ``dommage'' in the following provisions:

    (a) subsection 59.1(3);

    (b) subsection 60.1(1);

    (c) subsection 60.1(3);

    (d) subsection 60.11(2); and

    (e) subsection 60.11(6).

91. The French version of the Act is amended by replacing the word ``dommage'' with the word ``préjudice'' in the following provisions:

    (a) subsection 60.4(1); and

    (b) subsection 60.4(5).

92. Schedules I and II to the Act are amended in the manner and to the extent indicated in Schedule I to this Act.

93. (1) Code 9954 (oleomargarine) of Schedule VII to the Act is repealed.

(2) Code 9962 (metallic trading checks) of Schedule VII to the Act is repealed.

Transitional Provisions

Surtaxes and Import Control List orders

94. Subsections 59.1(3.1), (3.2), (4.2), (5), (6) and (8) to (8.4) and section 59.2 of the Customs Tariff, as enacted by sections 81 and 82 of this Act, apply in respect of surtaxes imposed and goods included on the Import Control List by orders made after those provisions come into force.

Amendment to Schedules

95. (1) The Governor in Council may, on the recommendation of the Minister of Finance, by order, amend any of Schedules I to VII to the Customs Tariff where the Governor in Council deems it necessary to do so as a consequence of the implementation in Canada of the World Trade Organization Agreement.

Ceases to have effect

(2) Subsection (1) ceases to have effect three years after it comes into force.

Definitions

96. In sections 97 and 98,

``former version'' means the Customs Tariff as it read immediately before this section came into force;

``present version'' means the Customs Tariff as amended by this Act.

Amendments to other Acts

97. (1) The Governor in Council may, on the recommendation of the Minister of Finance, by order, amend any Act of Parliament, other than the Customs Tariff, by

    (a) substituting for any reference made in the other Act to a tariff item, code or portion of a tariff item or code, of the Customs Tariff amended or repealed by this Act another reference to a tariff item or items, or code or codes, or portion or portions of them;

    (b) substituting for any reference made in the other Act to all or a portion of a schedule to the Customs Tariff amended or repealed by this Act a reference to all or a portion of a schedule to the present version; and

    (c) making such other modifications as the Governor in Council may deem necessary as a consequence of any substitution made pursuant to paragraph (a) or (b) or as a consequence of the enactment of this Act.

Ceases to have effect

(2) Subsection (1) ceases to have effect three years after it comes into force.

Former tariff items

98. Where a tariff item or code of the former version, or any portion of the tariff item or code, is referred to in any Act of Parliament or regulation or order made under it, the reference to that tariff item, code or portion shall, unless the context otherwise requires, be construed as a reference to the tariff item or items, code or codes, or portion or portions of the present version enumerating or referring to goods that correspond most closely to goods enumerated or referred to in the tariff item, code or portion of the former version.

Conditional Amendment

Bill C-49

99. If Bill C-49, introduced in the first session of the thirty-fifth Parliament and entitled An Act to amend the Department of Agriculture Act and to amend or repeal certain other Acts, is assented to, then subsection 60.01(2) of the Customs Tariff, as enacted by section 83 of this Act, is replaced by the following:

Conditions for making order

(2) Before recommending that an order be made under subsection (1), the Minister of Finance must be satisfied, on the basis of a report of the Minister of Agriculture and Agri-Food, that the conditions set out in Article 5 of the Agreement on Agriculture in Annex 1A of the World Trade Organization Agreement for the imposition of an additional duty on any prescribed agricultural goods have been met.

R.S., c. E-19

Export and Import Permits Act

100. Section 2 of the Export and Import Permits Act is amended by adding the following in alphabetical order:

``import allocation''
« autorisation d'importation »l

``import allocation'' means an allocation issued pursuant to subsection 6.2(2);

``World Trade Organization Agreement''
« Accord sur l'Organisatio n mondiale du commerce »

``World Trade Organization Agreement'' has the same meaning as the word ``Agreement'' in subsection 2(1) of the World Trade Organization Agreement Implementation Act.

101. The Act is amended by adding the following after section 3:

Export Control List

3.1 The Governor in Council may establish a list of goods, to be called an Export Control List, including therein any article the export of which the Governor in Council deems it necessary to control in order to ensure the orderly export marketing of any goods that are subject to a limitation imposed by any country or customs territory on the quantity of the goods that, on importation into that country or customs territory in any given period, is eligible for the benefit provided for goods imported within that limitation.

102. The Act is amended by adding the following after section 4.1:

Definitions

4.2 (1) In section 5,

``contribute importantly''
« contribuer de manière importante »

``contribute importantly'' has the meaning given that expression by Article 805 of NAFTA;

``serious injury''
« dommage grave »

``serious injury'' means, in relation to domestic producers of like or directly competitive goods, a significant overall impairment in the position of the domestic producers;

``surge''
« augmentatio n subite »

``surge'' has the meaning given that word by Article 805 of NAFTA;

``threat of serious injury''
« menace de dommage grave »

``threat of serious injury'' means serious injury that, on the basis of facts, and not merely of allegation, conjecture or remote possibility, is clearly imminent.

Application of definition in regulations

(2) Any regulations made under paragraph 40(b) of the Canadian International Trade Tribunal Act defining ``like or directly competitive goods'' apply for the purposes of section 5.

103. (1) Paragraph 5(1)(a) of the Act is replaced by the following:

    (a) to ensure, in accordance with the needs of Canada, the best possible supply and distribution of an article that is scarce in world markets or in Canada or is subject to governmental controls in the countries of origin or to allocation by intergovernmental arrangement;

(2) Paragraph 5(1)(d) of the Act is replaced by the following:

    (d) to implement any action taken under the Farm Income Protection Act, the Fisheries Prices Support Act, the Agricultural Products Cooperative Marketing Act, the Agricultural Products Board Act or the Canadian Dairy Commission Act, with the object or effect of supporting the price of the article;

(3) Subsection 5(1) of the Act is amended by striking out the word ``or'' at the end of paragraph (d), by adding the word ``or'' at the end of paragraph (e) and by adding the following after paragraph (e):

    (f) to prevent the frustration or circumvention of the Agreement on Textiles and Clothing in Annex 1A of the World Trade Organization Agreement by the importation of goods that are like or directly competitive with goods to which the Agreement on Textiles and Clothing applies.

R.S., c. 47 (4th Supp.), s. 52 (Sch., item 6); 1993, c. 44, s. 147(1)

(4) Subsections 5(3) to (4.04) of the Act are replaced by the following:

Addition to Import Control List

(3) Where at any time it appears to the satisfaction of the Governor in Council, on a report of the Minister made pursuant to an inquiry made by the Canadian International Trade Tribunal under section 20 or 26 of the Canadian International Trade Tribunal Act, that goods of any kind are being imported or are likely to be imported into Canada at such prices, in such quantities and under such conditions as to cause or threaten serious injury to domestic producers of like or directly competitive goods, any goods of the same kind may, by order of the Governor in Council, be included on the Import Control List, for the purpose of limiting the importation of such goods to the extent and, subject to subsection (7), for the period that in the opinion of the Governor in Council is necessary to prevent or remedy the injury.

Prohibition against further orders

(3.1) No order may be made pursuant to subsection (3) with respect to goods that have already been the subject of an order made pursuant to that subsection or subsection 59.1(1) of the Customs Tariff unless, following the expiration of the order and any related orders made pursuant to subsection (3.2) or (4.01) of this Act or subsection 59.1(8) or (11) of the Customs Tariff, there has elapsed a period equal to the greater of two years and the total period during which the order or orders were in effect.

Extension order

(3.2) Where at any time before the expiration of an order made with respect to any goods pursuant to this subsection or subsection (3) or (4.01) of this Act or subsection 59.1(1), (8) or (11) of the Customs Tariff it appears to the satisfaction of the Governor in Council, as a result of an inquiry made by the Canadian International Trade Tribunal under section 30.07 of the Canadian International Trade Tribunal Act, that