Operating in Canada offers major opportunities for global businesses, but navigating Canadian import rules can be a challenge. One of the most effective ways to optimize cross-border trade is by becoming a Non-Resident Importer (NRI).
Earning the NRI designation allows foreign companies to take full control of the import process, handle customs obligations, and sell to Canadian customers as if they were domestic suppliers. .
A Non-Resident Importer is a company located outside Canada that officially acts as an Importer of Record (IOR) for goods shipped into the country. As a NRI, the non-Canadian business, not the purchaser in Canada, will be responsible for accounting for taxes, getting good cleared with customs, and paying applicable duties.
Since the NRI is accountable for the administrative and financial responsibilities of importing goods into Canada, the buyer in Canada doesn’t have to worry about these details when purchasing items from NRIs. Essentially, the Canadian buyer makes the purchase in a similar way to purchasing from domestic businesses.
As an NRI, you handle customs clearance and taxes upfront. Your Canadian customers receive shipments already cleared through customs, without unexpected fees or delays. This creates a seamless buying experience and builds trust with new clients.
Canadian businesses often prefer to work with suppliers who take care of import processes. Taking responsibility for you own customs processes can give you a competitive edge.
Becoming an NRI allows you to sell into Canada without maintaining a local warehouse or office, significantly reducing overhead.
NRIs also benefit from free trade agreements, such as CUSMA, to lower or eliminate duties on qualifying goods. Additionally, by calculating and including all import costs upfront, you can offer transparent pricing that simplifies purchasing decisions for Canadian buyers.
Operating as an NRI requires full compliance with Canadian customs and tax regulations.
NRIs are responsible for correctly classifying your goods under the Customs Tariff, applying accurate duty rates, and ensuring that the valuation of goods follows Canada Border Services Agency (CBSA) rules. Failure to comply can result in penalties or shipment delays.
Certain products—such as food, chemicals, or vehicles—fall under the jurisdiction of other federal agencies like the Canadian Food Inspection Agency (CFIA), Transport Canada, or Natural Resources Canada (NRCan). As an NRI, you must ensure your products meet all applicable regulatory standards before importation.
NRIs are responsible for paying duties and the applicable taxes at the time of import. If you conduct ongoing business in Canada, you may need to register for GST/HST with the Canada Revenue Agency (CRA). Registration also allows you to claim input tax credits (ITCs) to avoid double taxation.
Proper documentation is essential for NRI compliance. Required documents typically include:
NRIs must maintain accurate records for each import transaction and provide these records to the CBSA if they decide to audit your import operations.
The NRI model is best suited for:
For these businesses, NRI status offers a streamlined path to growth while maintaining control over pricing, logistics, and compliance.
Becoming a Non-Resident Importer gives foreign businesses a path that supports growth in the Canadian market. NRIs can take better control of import duties, streamline logistics, and provide a better buying experience for customers by taking care of import responsibilities up front.
With the support of a customs broker you can confidently expand into Canada, simplify trade, and strengthen your global reach. In a world of ever-changing regulations and requirements, you need an experienced partner by your side. Connect with Cole today.