To : Our Valuable Customers Who May Concern Date : 27 MAR, 2009

From : “K” Line (Hong Kong) Ltd

Re : Shipments from People’s Republic of China which contain Wood Packaging Materials (WPM)

CBSA (Canada Border Services Agency) and CFIA (Canadian Food Inspection Agency) announced a change to the WPM Policy specifically in regard to shipments imported from People's Republic of China as follows:

• The IPPC mark (International Plant Protection Convention) will be the only acceptable treatment certification.
• Phytosanitary Certificates from PRC will no longer be accepted. 
• June 1, 2009 starts the 3 month phase-in  transition dates – Full enforcement September 1, 2009

Ø Reminder:

WPM definition: Hardwood and softwood packaging other than that comprised wholly of wood-based products such as plywood, particle board, oriented strand board, veneer, wood wool, etc., which has been created using glue, heat, and pressure or a combination thereof used in supporting, protecting or carrying a commodity (includes dunnage)."

Examples of WPM: Includes but not limited to pallets, skids, pallet collars, containers, cratings/crates, boxes, cases, bins, reels, drums, load boards, dunnage. Wood packaging made of exempt materials but combined with solid wood components must still be treated and marked.

CBSA posting:

Quote "New Canadian requirements for wood packaging material from China

1. The purpose of this customs notice is to inform importers about a change to the Canadian Food Inspection Agency's (CFIA) wood packaging policy. Starting September 1, 2009, phytosanitary certificates from China for wood packaging material will no longer be accepted in Canada due to high rates of non-compliance from China. A valid International Plant Protection Convention (IPPC) mark will be the only accepted treatment certification method.

2. Beginning June 1, 2009, importers will be granted a three-month grace period whereby wood packaging material accompanied by a Chinese phytosanitary certificate in lieu of an IPPC mark will be allowed to enter Canada, subject to a verification of the certificate's authenticity by the CFIA and China's General Administration of Quality Supervision, Inspection and Quarantine.

3. The CFIA has advised China's General Administration of Quality Supervision, Inspection and Quarantine of the phased-in approach that will be used to implement this policy change:

a. Phase I: The CFIA is now notifying Canadian importers that as of September 1, 2009, a valid IPPC mark is the only accepted treatment certification method for wood packaging material from China.

b. Phase II: Starting June 1 and until September 1, 2009, phytosanitary certificates that are presented in lieu of valid IPPC marks will be verified.

c. Phase III: Starting September 1, 2009, the new policy change will be fully enforced. The Canada Border Services Agency will refuse the entry of any wood packaging material certified with a Chinese phytosanitary certificate in lieu of a valid IPPC mark." End Quote

 Non-compliance

Shipments found by CBSA/ CFIA to be non-compliant will either be directed as return to origin, or will be destroyed.  Any charges incurred will be for the customer's account.

Special Note:

As noted on CFIA's website shipments from Hong Kong & Macau will not be affected.  http://www.inspection.gc.ca/english/plaveg/for/cwpc/revchine.shtml

Should you have any enquiries, please contact our Customer Service Team at Hotline 2861 5432 and Email Address hkglcustps@hk.kline.com

Thanks for your kind attention.

Best Regards.

Yours faithfully,

Sales Administration Team

For and on behalf of “K” Line (Hong Kong) Ltd