Highlights

  • The Canada Small Business Financing Regulations have been updated to clarify loan terms and align definitions with current industry classifications.
  • Chicken Farmers of Canada has set new production quotas for chicken across various categories for a specified period in 2024.
  • The Canadian Egg Marketing Agency has adjusted levy rates for egg producers in several provinces.
  • Cosmetic ingredient disclosure regulations in Canada have been enhanced, requiring the listing of certain fragrance allergens and allowing digital ingredient disclosure for small packages.
  • Amendments to the Domestic Substances List include the deletion and re-addition of substances with new designations and the addition of seven new substances deemed safe.
  • The Minister of Families, Children and Social Development is now responsible for the Canada Early Learning and Child Care Act.
  • The Protection of Passenger Information Regulations have been refined to specify CBSA access to passenger information and conditions for sharing with foreign authorities.
  • Canada has expanded sanctions against individuals from Belarus due to human rights violations, with minimal impact expected on Canadian businesses.
  • The Minister of Foreign Affairs is authorized to issue permits under the Special Economic Measures Act for activities related to the Special Economic Measures (Sudan) Regulations.
  • The Special Economic Measures (Sudan) Regulations prohibit financial dealings with listed persons associated with human rights violations or the Sudanese conflict, with minimal impact on Canadian businesses.

Updates to Canada Small Business Financing Regulations for Clarity and Alignment

The Canada Small Business Financing Regulations have been updated to include several technical and clarificatory amendments. These changes involve updating definitions to align with current classifications by Statistics Canada, such as for the “health care industry,” “hospitality industry,” and “mini-storage industry.” The amendments also clarify that loans for purchasing or improving real property can include decontamination costs, and remove the requirement for such loans to be secured by a first mortgage.

For loans referred to in paragraph 5(1)(e), a new document must be signed by the lender and borrower outlining the terms of the line of credit. Additionally, before the end of a five-year term, a line of credit can be converted to a 10-year term loan or repaid with a conventional loan.

The amendments also correct a discrepancy between the English and French versions regarding the demand for repayment and clarify the start date for the 60-month claim submission period when no payment has been made by the borrower. The interest rate for certain periods following default is set at 0%.

These changes do not introduce new administrative costs or burdens and are not expected to impact small businesses in Canada. The amendments aim to repeal outdated provisions, correct language inconsistencies, and improve clarity in the regulations. [Source]

New Canadian Chicken Production Quota Regulations Set for May-June 2024

Chicken Farmers of Canada (CFC) has amended the Canadian Chicken Marketing Quota Regulations to set new limits for the production and marketing of chicken for the period beginning on May 5, 2024, and ending on June 29, 2024. The amendments detail the specific production quotas for each province in three categories: production subject to federal and provincial quotas, production subject to federal and provincial market development quotas, and production subject to federal and provincial specialty chicken quotas. The total production across all provinces for this period is set at 287,810,338 kg for federal and provincial quotas, 7,367,395 kg for market development quotas, and 2,163,274 kg for specialty chicken quotas. These changes are made under the authority of the Farm Products Agencies Act and are approved by the National Farm Products Council. The new regulations will come into force on May 5, 2024. [Source]

Adjustment of Egg Levy Rates Across Canadian Provinces

The Canadian Egg Marketing Agency has amended the Canadian Egg Marketing Levies Order to adjust the levy rates for egg producers in several provinces. The new rates are as follows: $0.5445 in Ontario, $0.5375 in New Brunswick, $0.5677 in British Columbia, and $0.5607 in Alberta. These changes are approved by the National Farm Products Council and are necessary for the implementation of the marketing plan that the Agency is authorized to implement. The amendments come into effect on the day they are registered. [Source]

Canada Enhances Cosmetic Labeling Regulations for Fragrance Allergens and Ingredient Disclosure

The Canadian government has amended regulations to enhance the disclosure of ingredients in cosmetics, specifically targeting the labeling of certain fragrance allergens. These changes, recommended by the Minister of Health, require manufacturers and importers to list fragrance allergens on product labels when their concentration exceeds set limits: 0.01% for rinse-off products and 0.001% for leave-on products. This aligns with the European Union’s approach, as Canada will now reference the EU’s list of fragrance allergens and adopt similar transition periods for compliance.

Additionally, the amendments introduce greater flexibility for labeling cosmetics sold in small packages. Manufacturers can now use a website to disclose ingredients, provided the packaging includes a statement directing consumers to the site. This digital option complements existing methods like tags or cards attached to the product.

The regulations also clarify the definitions of ‘manufacturer’ and ‘importer’ to improve regulatory oversight. Manufacturers must now be identified as either a Canadian seller or a Canadian representative of a foreign seller. The term ‘importer’ is defined as a person who brings cosmetics into Canada for sale.

Cosmetic notifications have been strengthened, requiring more detailed information, including whether a product is rinse-off or leave-on, and the use of International Nomenclature Cosmetic Ingredient (INCI) names for ingredients. Concentration ranges for ingredients in notifications have been narrowed to improve risk assessments.

The government can now request evidence of a cosmetic’s safety from manufacturers or importers and issue a stop-sale order if the evidence is insufficient or if notification requirements are not met.

Administrative changes include updating references to the International Cosmetic Ingredient Dictionary and Handbook and revising the schedule of ingredient names to reflect current terminology.

The amendments are expected to benefit consumers by providing more information on allergens, thus aiding in informed decision-making and potentially reducing adverse health effects. Costs associated with these changes will primarily be borne by the cosmetic industry, with the government incurring minimal costs for implementation and enforcement. The amendments are designed to be consistent with international standards, facilitating trade and regulatory alignment, particularly with the EU. Compliance with the new requirements will be enforced through a risk-based approach, with provisions coming into force in two stages: most changes will be effective 180 days after registration, while the fragrance allergen disclosure requirements will take effect two years post-registration. [Source]

Amendment to the Domestic Substances List: Changes in Substance Designations and Regulatory Status Updates

The Minister of the Environment has issued an amendment to the Domestic Substances List under the Canadian Environmental Protection Act, 1999. The amendment involves the deletion of numerous substances previously listed and the addition of the same substances with a new designation, indicated by a “T-P” or “N-P” suffix, suggesting a change in their regulatory status. Additionally, specific references in Part 3 of the List have been updated to reflect these new designations. The Order will take effect on the day it is registered. [Source]

Canada Expands Domestic Substances List with New Chemicals and Organisms, Updates Polymer Identifiers

The Canadian Minister of the Environment has approved the addition of seven new substances to the Domestic Substances List (DSL) under the Canadian Environmental Protection Act, 1999 (CEPA). These substances include three chemicals and polymers and four living organisms that have been assessed and deemed not to pose a risk to the environment or human health. Consequently, they are no longer subject to the New Substances Notification Regulations.

Additionally, the identifiers of 134 polymers previously added to the DSL have been updated with the addition of the letter “P” to indicate that they meet the Reduced Regulatory Requirement (RRR) polymer criteria. This change clarifies that any form of these polymers not meeting the RRR criteria will require notification before import or manufacture.

The amendments to the DSL are administrative and do not impose any new regulatory burdens on businesses. They are intended to facilitate access to these substances in the Canadian market. The orders do not affect modern treaty rights or obligations and do not require a strategic environmental assessment. Compliance with the orders is monitored under the existing CEPA compliance and enforcement policy. Concerns or suspected violations can be reported to the Department of the Environment. [Source]

Canada Approves New Genetically Modified Organisms for Domestic Substances List

The Minister of the Environment has approved the addition of certain living organisms to the Domestic Substances List under the Canadian Environmental Protection Act, 1999. These organisms include a recombinant adeno-associated viral vector expressing a human gene, recombinant human T-cells with a lentiviral vector targeting a B-cell antigen, and a genetically modified yeast strain. Additionally, recombinant human T lymphocytes targeting CD19 have been added. This amendment is effective upon registration and follows the expiration of the assessment period, with no conditions imposed on these organisms. The Regulatory Impact Analysis Statement is available in a separate order. [Source]

Appointment of Minister for Canada Early Learning and Child Care Act Oversight

The Governor General of Canada, upon the Prime Minister’s recommendation, has officially designated the Minister of Families, Children and Social Development as the responsible Minister for the Canada Early Learning and Child Care Act. This appointment grants the Minister the authority to oversee the implementation and administration of the Act. [Source]

Canada Tightens Passenger Information Protection Regulations

The Canadian government has made amendments to the Protection of Passenger Information Regulations to address concerns about clarity and consistency raised by the Standing Joint Committee for the Scrutiny of Regulations. These changes specify that only officials of the Canada Border Services Agency (CBSA) whose functions require it may access passenger name record information. Additionally, the conditions under which the CBSA can share this information with foreign government authorities have been clarified. Now, these authorities must commit to protecting the information with standards that are at least equivalent to those of the CBSA or those negotiated between the authority and the European Union. These amendments are designed to enhance the clarity of the regulations without imposing additional administrative costs or burdens on businesses. [Source]

Canada Expands Sanctions on Belarusian Officials for Human Rights Violations

The Canadian government has amended the Special Economic Measures (Belarus) Regulations to include additional sanctions against individuals from Belarus in response to ongoing human rights violations in the country. These violations have persisted since the disputed 2020 presidential elections, which were followed by state-led violence and suppression of protests. The amendments target 21 individuals, including senior government officials, security force members, public prosecutors, members of the judiciary, and administrators of penal and “education” colonies, who have been involved in suppressing protests, arbitrary detentions, and the mistreatment of Belarusians.

The sanctions involve asset freezes and prohibitions on transactions with the listed individuals. These measures are intended to pressure the Belarusian government to change its behavior, communicate Canada’s stance against human rights violations, and align with international partners’ actions. The cost of implementing these sanctions is minimal for the Canadian government, and the impact on Canadian businesses is expected to be limited due to the already existing sanctions and limited trade with Belarus.

The sanctions are enforced by the Royal Canadian Mounted Police and Canada Border Services Agency, with penalties for non-compliance including fines and imprisonment. The names of the sanctioned individuals will be added to the Consolidated Canadian Autonomous Sanctions List to facilitate compliance. The Trade Commissioner Service will assist Canadian entities in understanding the sanctions and their implications. [Source]

Canada Issues Permits for Exceptions to Sudan Sanctions

The Governor General of Canada, upon the recommendation of the Minister of Foreign Affairs, has authorized the issuance of permits under the Special Economic Measures Act. These permits allow individuals or entities in Canada, or Canadians abroad, to engage in activities or transactions that would otherwise be restricted or prohibited by the Special Economic Measures (Sudan) Regulations. This authorization enables the Minister of Foreign Affairs to grant exceptions to the imposed economic sanctions on Sudan as deemed necessary. [Source]

Canada Imposes Economic Sanctions on Sudanese Individuals for Human Rights Violations

The Canadian government has enacted the Special Economic Measures (Sudan) Regulations in response to the grave breach of international peace and security in Sudan, characterized by systematic human rights violations. These regulations prohibit individuals and entities in Canada, as well as Canadians abroad, from engaging in a range of financial activities with listed persons believed to be undermining Sudan’s peace and stability, participating in human rights violations, or being associated with the Sudanese government, military, or Rapid Support Forces.

The regulations specifically ban dealings with property owned or controlled by listed persons, prohibit transactions related to such property, and forbid the provision of financial services or goods to listed individuals or entities. Exceptions are made for pre-existing contractual obligations, legal services, certain humanitarian activities, and transactions necessary for diplomatic functions.

Entities such as banks and financial institutions are required to continuously determine if they control property owned by listed persons and to disclose any such findings to Canadian authorities. Listed persons may apply to the Minister of Foreign Affairs to be removed from the list, and those who believe they have been mistakenly identified may also seek clarification.

The regulations are accompanied by a Permit Authorization Order, allowing the Minister of Foreign Affairs to issue permits for activities otherwise restricted by the regulations. The measures aim to pressure those supporting the conflict in Sudan and align with international efforts to restore peace and uphold human rights. The regulations are expected to have minimal impact on Canadian businesses and individuals due to the limited connections between the listed persons and Canada. [Source]

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