Effective January 15, 2019
Canadians who buy and sell
fresh fruit and vegetables must
be members of the
Dispute Resolution Corporation (DRC)
Important Considerations for Suppliers to Canada
The following points are key considerations for persons selling produce to Canada:
- The consignee is subject to the Safe Food for Canadians Regulations (SFCR) and must be a DRC member. In other words, all buyers in Canada must be a DRC member. The DRC member list available online is updated weekly
- If your buyer is not a DRC member, the buyer is not operating in conformance with the SFCR and your load will be refused entry at the border.
- The loss of DRC membership impacts a Canadian buyer in the same manner the loss of a PACA licence impacts a US buyer.
- Canada, like the US, has a government inspection services. Use of that service is the default requirement under DRC Good Inspection Guidelines to determine product quality and condition upon arrival. A number of private inspection firms are operating in Canada. Should you agree to use one of these private companies, you should be aware of the potential challenges and implications of that choice.
- All DRC members agree to meet their obligations as they come due; all suppliers may come to DRC for assistance to resolve slow pay or no pay shipments.
- If the buyer is able to show evidence of a valid dispute (inspection, credit memo, etc.) the DRC only has jurisdiction to help resolve the dispute if both parties were members of the DRC at the time the dispute arises.
- A Canadian Food Inspection Agency (CFIA) food safety licence is not proof of a DRC membership (always check the list of members on our website).
- CFIA SFCR food safety/traceability requirements (i.e.: Food Safety licence) and trade/commerce requirements (i.e.: DRC membership) are separate and distinct requirements within the SFCR. Persons must determine if they are subject to either one of, or both of the regulatory requirements.
