Allocation Method Order (2009) – Softwood Lumber Products (SOR/2009-10)

Marginal note:Definitions

• 1 (1) The following definitions apply in this Order.

  Act

  Act means the Export and Import Permits Act. (Loi)

  current softwood lumber products

  current softwood lumber products means the products referred to in item 5104, Group 5, of the schedule to the Export Control List. (produits de bois d’oeuvre courants)

  exported

  exported has the meaning set out in section 6.4 of the Act. (exporté)

  former softwood lumber products

  former softwood lumber products means, in the case of Quebec, the products referred to in item 5105, Group 5, of the schedule to the Export Control List as it existed during the period beginning on November 1, 2005 and ending on October 11, 2006. (anciens produits de bois d’oeuvre)

  Manitoba quantity

  Manitoba quantity means the quantity of current softwood lumber products that may be exported from Manitoba to the United States during a month under subsection 6.3(2) of the Act. (quantité pour le Manitoba)

  Ontario quantity

  Ontario quantity means the quantity of current softwood lumber products that may be exported from Ontario to the United States during a month under subsection 6.3(2) of the Act. (quantité pour l’Ontario)

  primary producer

  primary producer means a person who produces current softwood lumber products from softwood sawlogs and, in the case of Quebec, includes a person who produced former or Quebec softwood lumber products from softwood sawlogs. (entreprise de première transformation)

  primary producer’s products

  primary producer’s products means the current softwood lumber products that the primary producer produced at any time, that were not remanufactured in Canada and, in the case of Quebec, includes former softwood lumber products. (produits d’une entreprise de première transformation)

  Quebec quantity

  Quebec quantity means the quantity of current softwood lumber products that may be exported from Quebec to the United States during a month under subsection 6.3(2) of the Act. (quantité pour le Québec)

  Quebec softwood lumber products

  Quebec softwood lumber products means the softwood lumber products produced in Quebec that were reported to the Minister of Natural Resources and Wildlife under the Forest Act, R.S.Q., c. F-4.1. (produits de bois d’oeuvre du Québec)

  reference period

  reference period means

  • (a) in the case of Ontario, the period beginning on November 1, 2007 and ending on October 31, 2008,

  • (b) in the case of Quebec, the period beginning on November 1, 2005 and ending on October 31, 2008,

  • (c) in the case of Manitoba, the period beginning on November 1, 2007 and ending on October 31, 2008, and

  • (d) in the case of Saskatchewan, the period beginning on November 1, 2007 and ending on October 31, 2008. (période de référence)

  remanufacturer

  remanufacturer means a person who remanufactures — within the meaning of subsection 13(1) of the Softwood Lumber Products Export Charge Act, 2006 — current softwood lumber products and, in the case of Quebec, includes a person who remanufactured former softwood lumber products. (entreprise de seconde transformation)

  remanufacturer’s products

  remanufacturer’s products means the current softwood lumber products that the remanufacturer remanufactured at any time, that were not further remanufactured in Canada and, in the case of Quebec, includes former softwood lumber products. (produits d’une entreprise de seconde transformation)

  Saskatchewan quantity

  Saskatchewan quantity means the quantity of current softwood lumber products that may be exported from Saskatchewan to the United States during a month under subsection 6.3(2) of the Act. (quantité pour la Saskatchewan)

• Marginal note:Transfer of export allocation

  (2) If a primary producer or remanufacturer transfers, with the consent of the Minister under subsection 6.3(4) of the Act, a portion of its export allocation for a month, together with the corresponding volume of its products, that volume is deemed to be included in the volume of the primary producer’s or remanufacturer’s products that were exported in that month to the United States under export permits and not in the volume of the transferee.

Marginal note:Application

2 This Order establishes the method for allocating the monthly quantity of current softwood lumber products that may be exported from Ontario, Quebec, Manitoba and Saskatchewan in 2009 for the purposes of paragraph 6.3(3)(a) of the Act.

PART 1Ontario

Marginal note:Percentage Share

3 For the purposes of this Part, an Ontario primary producer’s or remanufacturer’s percentage share is the greater of

• (a) the percentage calculated in accordance with the formula

  (EO/TEO) × 100

  where

  EO

  is the volume of the primary producer’s or remanufacturer’s products that were exported from Ontario to the United States under export permits during the reference period; and

  TEO

  is the total volume of the primary producers’ and remanufacturers’ products that were exported from Ontario to the United States under export permits during the reference period; and

• (b) the percentage calculated in accordance with the formula

  AO × 0.9

  where

  AO

  is the primary producer’s or remanufacturer’s percentage share for 2008.

Marginal note:Export allocation — percentage share determined under paragraph 3(a)

4 If the percentage share of a primary producer or remanufacturer who applies for an export allocation is greater when calculated under paragraph 3(a) than under paragraph 3(b), the allocation of the Ontario quantity to the primary producer or remanufacturer is calculated in accordance with the formula

Marginal note:export allocation — percentage share determined under paragraph 3(b)

5 If the percentage share of a primary producer or remanufacturer who applies for an export allocation is greater when calculated under paragraph 3(b) than under paragraph 3(a), the allocation of the Ontario quantity to the primary producer or remanufacturer is calculated in accordance with the formula

PART 2Quebec

Marginal note:Primary producers with an export history

• 6 (1) If some or all of a primary producer’s products were exported from Quebec to the United States under export permits during the reference period and the primary producer applies for an export allocation, the primary producer must choose to receive an allocation of the Quebec quantity calculated using the formula set out in section 7 (which is based on their historic export volume) or the formula set out in subsection 8(1) (which is based on their historic production volume).

• Marginal note:Primary producers without an export history

  (2) If none of a primary producer’s products were exported from Quebec to the United States under export permits during the reference period and if the primary producer produced Quebec softwood lumber products during the period beginning on January 1, 2005 and ending on December 31, 2007 and it applies for an export allocation, the primary producer may only receive the allocation calculated in accordance with the formula set out in subsection 8(1) (which is based on its historic production volume).

• Marginal note:Remanufacturers

  (3) If some or all of a remanufacturer’s products were exported from Quebec to the United States under export permits during the reference period and the remanufacturer applies for an export allocation, the remanufacturer may only receive the allocation calculated using the formula set out in section 11 (which is based on its historic export volume).

Marginal note:Allocation to primary producers — historic export volume

7 The allocation of the Quebec quantity to a primary producer that is based on its historic export volume is calculated in accordance with the formula

Marginal note:Allocation to primary producers — historic production volume

• 8 (1) The allocation of the Quebec quantity to a primary producer that is based on its historic production volume is calculated in accordance with the formula

  RP × (PPPV/TPV)

  where

  RP

  is the reserve pool calculated under section 9;

  PPPV

  is the volume of Quebec softwood lumber products that the primary producer produced during the period beginning on January 1, 2005 and ending on December 31, 2007; and

  TPV

  is the total volume of Quebec softwood lumber products produced during the same period by primary producers whose allocations are based on their historic production volume.

• Marginal note:Maximum allocation

  (2) The allocation may not exceed 40% of the primary producer’s average monthly volume of Quebec softwood lumber products produced during the period beginning on January 1, 2005 and ending on December 31, 2007.

• Marginal note:Records of production volumes

  (3) The volume of Quebec softwood lumber products produced by a primary producer is based on records provided, with the consent of the primary producer, by the Government of Quebec to the Government of Canada.

Marginal note:Reserve pool

9 The reserve pool is calculated in accordance with the formula

Marginal note:Residual non-allocated quantity

10 The residual non-allocated quantity of the reserve pool is calculated in accordance with the formula

Marginal note:Allocation to remanufacturers

11 The allocation of the Quebec quantity to a remanufacturer that is based on its historic export volume is calculated in accordance with the formula

PART 3Manitoba

Marginal note:Percentage Share

12 For the purposes of this Part, a Manitoba primary producer’s or remanufacturer’s percentage share is the greater of

• (a) the percentage calculated in accordance with the formula

  (EM/TEM) × 100

  where

  EM

  is the volume of the primary producer’s or remanufacturer’s products that were exported from Manitoba to the United States under export permits during the reference period; and

  TEM

  is the total volume of the primary producers’ and remanufacturers’ products that were exported from Manitoba to the United States under export permits during the reference period; and

• (b) the percentage calculated in accordance with the formula

  AM × 0.9

  where

  AM

  is the allocation share of the primary producer or remanufacturer for the 2008 allocation year.

Marginal note:export-allocation percentage share determined under paragraph 12(a)

13 If the percentage share of a primary producer or remanufacturer who applies for an export allocation is greater when calculated under paragraph 12(a) than under paragraph 12 (b), the allocation of the Manitoba quantity to the primary producer or remanufacturer is calculated in accordance with the formula

Marginal note:export allocation — percentage share determined under paragraph 12(b)

14 If the percentage share of a primary producer or remanufacturer who applies for an export allocation is greater when calculated under paragraph 12(b) than under paragraph 12(a), the allocation of the Manitoba quantity to the primary producer or remanufacturer is calculated in accordance with the formula

PART 4Saskatchewan

Marginal note:Allocation

15 The allocation of the Saskatchewan quantity to a primary producer or remanufacturer who applies for an export allocation is calculated in accordance with the formula

Marginal note:Allocation of Residual Quantity

16 The allocation of the residual quantity is based on the order of receipt of applications for the export allocation, with each applicant receiving the volume applied for until the Saskatchewan quantity is fully allocated.

PART 5Coming into Force

Marginal note:Registration

17 This Order comes into force on the day on which it is registered.