Updated A & A Racing Page

A & A spends a lot of time at various car shows, automotive events, drag strips, etc.

Many people ask about our connection to all things vehicle related. So, we decided to update our Racing web page a bit and add some more information about the history all the way to the most current events that we are involved with.

Check it out here - http://www.aacb.com/racing/

October 2008 Economic Digest - Importing and Exporting

October 2008 Edition

SHRINKAGE

 
Major ice cream makers, hit by higher dairy costs, have shrunk their standard containers to 1.5 quarts from 1.75 quarts, about one cup less than the normal 2 quarts of five years ago. Only the package shrunk, not the price. Other well-known products that are shrinking: Hellman's mayonnaise was 32 oz, now it is 30oz. Some Frito-Lay chips 12oz, now 10oz. Dial soap bar 4.5 oz, now 4oz and Bounty towel roll 60 towels, now 52 towels.

ANNIVERSARY

A quintessentially British item reaches its century this year, 100 years after New York merchant Thomas Sullivan accidentally invented it: the tea bag. In 1908, Mr. Sullivan was sending tea samples to potential customers when, to cut costs, he put a few pinches of loose leaves in several small silk pouches. The confused clients received the samples and, unsure of the instructions, reputedly dunked then into hot water, and the tea bag was born. The unintentional invention became so popular that an estimated 130-million cups of tea are drunk across the U.S. each day.

SIZE

The President of France has tasked a group of top architects to dream up a Grand Paris to rival Greater London that could stretch as far as the Channel. He has given ten architects, backed by teams of planners, engineers, sociologists and even philosophers, six months to come up with novel ideas of expanding the city, which at present is roughly 15 times smaller than Greater London. Paris has two million inhabitants compared to Greater London's 7.5-million.

HOME

Australia's booming economy and lowest unemployment rate in more than a generation is luring home thousands of expatriate Australians from Britain and the United States. About 34,000 Australians have returned from Britain in the past 12 months, the highest number ever recorded. In the first quarter of 2008, there was a 14 per cent decline in the number of Australians heading to London for work. Australia is awash with cash with the government enjoying a huge surplus and the national mandatory retirement savings scheme, now exceeding A$1-trillion.

RENT

London's West End has easily retained its position as the world's most expensive office market, though Vietnam's Ho Chi Minh City has seen the sharpest hike in rental costs, rocketing upwards to US$85.84 per square foot. Moscow is the world's second most expensive office market at $232.37 a square foot. Rents in London are $299.54 a square foot.

FAME

According to Fame Us, there are now at least 70,000 Elvis impersonators around the world. When Elvis died in 1977 there were about 50. At this rate of growth it is estimated that by 2020, roughly one tenth of the world's population will be impersonating Elvis.

WINE

Buoyed by a fashion for pink, Rose wine, long dismissed as uncultured plonk, has overtaken white wine in volume of sales in France. It is estimated that more than one in five bottles of wines sold in France is a Rose, with gains coming from falling red sales. France's main Rose-producing region is Provence where Rose was first produced over 2,600 years ago. The Burgundy area is now producing more than two million bottles of Rose each year.

BOOKS

Statistics Canada reports that operating revenues for the book publishing industry in Canada edged down 1.2 per cent to C$2.1-billion in 2006 after increasing 3.2 per cent in 2005. Revenues fell 17 per cent in British Columbia and rose 12 per cent in Alberta. Spending on salaries, wages and benefits account for roughly 20 per cent of every dollar spent by the industry. The Canadian book publishing industry is dominated by firms in Ontario and Quebec which accounted for 91 per cent of operating revenues in 2006.

LATIN AMERICA

Many countries in the region are doing well as Latin America is enjoying one of its best periods of economic growth in 40 years. But Brazil is outpacing its neighbours and is emerging as an investment magnet. Direct foreign investment to Brazil doubled last year and Brazilians are spending money. High food and commodity prices, Brazil is one of the world's leading producers and exporters of minerals, soy, beef, chicken and grains, have brought in cash and created jobs. Sales of domestic appliances rose 17 per cent last year and cellphone use rose 21 per cent. Sales of notebook computers and plasma and LCD televisions almost tripled.

AIRSHIPS

The return of airships has long been predicted but efforts have so far proved uneconomical. Now, Boeing is getting into the business along with SkyHook International, a Canadian firm. They are to develop a heavy lift "rotocraft", a helium filled airship with helicopter engines, 91 metres (300 feet) long and capable of carrying 40 tonnes. SkyHook will test the market by operating two such craft before any more are built. Their ability to carry heavy loads up to 200 miles without refuelling will appeal to mining, logging and petrochemical firms by offering an alternative to building roads through wilderness areas.

THEFT

The crime of stealing catalytic converters has been rising rapidly. The pollution-reducing converters contain small amounts of the precious metals platinum and palladium, and have joined copper wire and sewer grates on the long list of metal items targeted by thieves eager to cash in on rising metal commodity prices. Five years ago platinum traded for about $608 an ounce, and palladium went for $208. Platinum now goes for $2,083 an ounce and palladium for about $468.

SUGAR

Changes are coming for this industry. Growing concerns about obesity, alarming scientific reports about artificial sweeteners and soaring agricultural prices are all having an impact. Sales of sugar and sweeteners in the U.S. are worth about US$4-billion a year. But, between 2002 and 2006, sales of white sugar in the U.S. dropped by 16 per cent. Sales of sugar substitutes in the same period shot up by 22 per cent but sales of these products are now flat due to troubling scientific reports. US Sugar, America's largest sugar cane producer, may go out of business altogether and sell its land for $1.7-billion to the state of Florida.

FARMS

Thousands of Americans have taken the hunt for organic fresh food to new lengths by "adopting" farmers and buying a share of their farm. A "share" in an organic farm's harvest, costs on average between $500 and $800 a season and guarantees weekly delivery of a box of fresh, seasonal vegetables. The number of community-supported farms has risen from fewer than 100 in the 1990s to almost 1,500 today. In New York City alone, there are 62 such schemes, including 23 vegetable farmers and up to 30 other meat, dairy and egg suppliers.

DRIVING

Due to the rise in gas prices, thousands of students across the U.S., including many who were previously reluctant to study online, have suddenly decided to take one or more college courses over the internet. The vast majority of the nation's 15-million college students, at least 79 per cent, live off campus and many are seeking to cut commuting costs. Some colleges have seen an increase as high as 24 per cent of students wishing to study online. Once an incidental expense, fuel for commuting to campus now costs some students half of what they pay for tuition.

BARRIERS

The NAFTA mandates that Mexican trucks be allowed to enter the U.S. Each year, more than four billion pounds of fruit and vegetable are placed in the trucks in the Mexican state of Sonora. When the trucks reach the border, the produce is unloaded in a warehouse. Then it is retrieved by another truck that takes it several miles into Arizona where it is unloaded again into another warehouse and then retrieved by an American carrier. The cost of the inefficiency and the cost of transferring fresh produce three times at one border is considerable.

INVESTMENT

The 30 members of the mostly rich OECD made foreign direct investment (FDI) worth US$1.82-trillion last year well above the record set in 2000. Direct investment flows into OECD countries also set a new record, rising by 31 per cent, to $1.37-trillion. America remained both the biggest financier and the biggest recipient of direct investments. The U.S. was followed by Britain and France.

HEALTHCARE

The European Commission has unveiled a healthcare package designed to make it easier for patients to get medical treatment elsewhere in the EU. Under the proposals, patients would not have to get their doctor's approval for non-hospital care abroad. The package is seen as an effort to give patients greater freedom in choosing where they get treatment. Currently, only one per cent of healthcare budgets in the EU are spent on cross-border healthcare.

FISHING

African politicians have been discussing in Namibia how to stop illegal and unregulated fishing. It is estimated that illegal and unregulated fishing costs Africa US$1-billion a year in lost revenue. Many African countries do not have patrol boats and in some states there is a problem with corruption with fishing licences sold illegally. As well as devastating some African fishing communities, the unregulated trade in many cases costs lives as local fishermen in flimsy canoes have had to go farther out to sea to find a decent catch.

RESERVES

Over 60 per cent of the world's proven oil reserves, those that can be recovered from known fields using existing technology, are in the Middle East. Add in Russia and Venezuela and the share rises to 74 per cent. Saudi Arabia alone accounts for over a fifth of the total. At today's rates of production, the world has enough oil to last for almost 42 years.

ARCHITECTURAL SERVICES

Canadian firms in the architectural services and landscape architectural services businesses, generated combined operating revenues of C$2.6-billion in 2006, an increase of 15 per cent from the previous year. Operating revenues for firms in Ontario accounted for more than two-fifths of the total national figure with British Columbia a distant second.

FOOD

Recent research show that the Top 100 fast-casual restaurant chains continue to bring the lion's share of growth for the limited-service restaurant industry in 2007, outperforming the restaurant industry as a whole. Fast-casual restaurants provide fast service and fresh, high-quality food in upscale settings. The Top 100 chains totalled US$14.8-billion in sales, accounting for most of the $17-billion that the entire fast-casual industry grossed in 2007.

WASTE

Between 2004 and 2006, the amount of waste received by public and private waste disposal facilities in Canada rose 8 per cent. In 2006, the waste management industry handled an estimated 35-million metric tonnes of waste. About one-third of waste sent for disposal came from residential sources and the other two-thirds from non-residential sources. The amount of waste sent for disposal rose in all provinces between 2004 and 2006 except in Prince Edward Island where the amount declined by almost 13 per cent. Waste in Alberta increased 24 per cent in the same period.

Thank you for reading the A & A Economic News Digest. For more information visit our website www.aacb.com or contact A & A Contract Customs Brokers Ltd. at strehler@aacb.com.

Past issues of the A&A Economic News Digest can be found at http://www.aacb.com/publications/ed/index.asp

BlackBerry Tip - Phone Directory / Voice Mail Dialing -

Phone directory / Voice Mail dialing – You’ll notice that the BlackBerry doesn’t have any letters over the numbers on the phone keypad. So, if you want to dial 1-800-GOT-JUNK, or search for “Graham” in a company voicemail directory, you have to either be staring at a regular phone – or try to guess which Letters correspond with the Numbers. This can be quite difficult.

There IS a solution for this.

Just use the regular keypad for the numbers, but you have to use the Alt key for the letters. So, in the example of dialing 1-800-GOT-JUNK. You would simply dial the regular 1 800 but then press Alt G Alt O Alt T Alt J Alt U Alt N Alt K – and the phone will translate that for you. In the voicemail directory scenario, you can be asked “Please type the first 3 letters of the person’s first name to search the company directory..”, and if it is “Graham” that you are looking for, you would dial Alt G Alt R Alt A and it will translate that for you.

September 2008 Economic Digest - Importing and Exportin

September 2008 Edition

INVESTMENT

 
China is about to begin work on rebuilding 2,050 miles of roads in the Republic of the Congo which were left to rot in the rainforest after the Belgian colonists pulled out 48 years ago and further shattered by seven years of war. The vast project, which will triple Congo's current paved road network, is part of China's largest investment in Africa, a US$9-billion infrastructure-for-minerals deal signed earlier this year. Besides roads, Beijing has promised to repair 2,000 miles of railroads, build 32 hospitals and 145 health centres, install two electricity distribution networks, construct two hydropower dams and two new airports.

MAGAZINES

An explosion of Western magazines has hit newsstands in India in the past 12 months, pitching a familiar mix of consumption and gossip, relationship advice and expensive luxuries. Indian versions of Vogue, Rolling Stone, OK!, Maxim, Golf Digest, People and Marie Clair have all sprung up this year, and GQ and Fortune are soon to follow. They join familiar names like Cosmopolitan, Good Housekeeping and Reader's Digest. Magazine advertising in India is expected to grow by 20 per cent to US$302-million in 2008.

LAND

Demand for land to grow food, biofuel crops and wood is set to outstrip supply leading to a the probable destruction of forests according to a new report. The Rights and Resources Initiative (RRI) claims that only half the extra land needed by 2030 is available without eating into tropical forested areas. Rising demand for food, biofuels and wood for paper, building and industry needs, means that 515 million hectares of extra land will be needed for growing crops and trees by 2030 but only 200 million hectares will be available without dipping into tropical forests.

WINE

Experts forecast that China is set to become the worlds largest exporter of bulk wine in 50 years time as well as a major force in the industry. Chinese wine currently has a low profile outside of Asia even though, in terms of number of vineyards, it is already the world's fourth largest player. Increased investment and technical expertise, allied to favourable soil conditions will transform its reputation for excellence. Certain countries, most notably Australia, may no longer be able to grow wine in bulk quantities by 2058 because of lack of water.

CARS

Surging car sales in oil-rich Russia have pushed the country past Germany as Europe's largest auto market for the first time. This comes as auto sales in the world's biggest market, the U.S., are falling under pressure from higher gasoline prices and rising unemployment. Automakers sold 1.645-million vehicles in Russia in the first half of 2008, surpassing the 1.63-million sold in Germany. Sales in Russia rose 41 per cent during the same period the previous year fuelled by sales of imported brands.

FREEDOM

The Fraser Institute reports that Alberta has more economic freedom than any other province in Canada, and ranks second in all of North America, after Delaware. The rest of the provinces are at the bottom of the list when it comes to freedom from taxes and other forms of government regulation and interference. Newfoundland and Labrador posted the greatest increase in economic freedom of any province through the first half of this decade. The next highest ranked province is Ontario which is in 51st spot among the 60 provinces and states, followed by British Columbia.

EMISSIONS

The European parliament has approved a proposal to include airlines in the bloc's strategy to cut carbon dioxide emissions, a move that may provoke a dispute with thew U.S. Under the plan, all flights starting or landing in the EU will be included in the EU's emissions trading system from 2012. U.S. officials say the EU will likely break international aviation rules if it insists on including non-European airlines in the program.

HEALTH

Retail sales within the U.S. consumer packaged goods Health and Wellness industry reached US$102.75-billion in 2007, representing growth of 15 per cent over 2006. This includes sales across all retail and direct-to-consumer channels in six categories: functional\fortified foods and beverages; vitamins, minerals, herbal and dietary supplements; organic foods\beverages; natural foods\beverages;natural\organic personal care and natural\organic general merchandise. There were 842 new product introductions in this sector in 2007.

GLOOMY

A study of 25,000 people across the 27 nations of the European Union shows that the Germans are the most gloomy. Estonian citizens are the most optimistic. The study, which focused on quality of life issues, found that new members of the EU, mostly from central and eastern Europe, were of the view that life would get better and better, while established members of the EU were almost all miserable. 49 per cent of Britons believe that life will be worse in 20 years.

SNAILS

The price of snails, one of France's more exotic foodstuffs, is about to soar because of economic development in Eastern Europe. France consumes more than 14,000 tonnes of snails each year but few are from France and the industry relies on central and eastern European imports. Now, economic progress in countries like Poland and Bulgaria means less appetite for the hard work of snail-gathering. In the past, rural families could earn a decent wage from collecting snails in the fields and woods.

TRENDS

Increasingly, airlines are going cashless in flight. Alaska Airlines has become the latest carrier to go cashless for in-flight purchases such as headphones, cocktails and snacks. Switching to credit-card only boosts sales slightly as people tend to spend more with credit cards. The benefit to the airlines is that attendants don't have to worry about counting cash and having change on hand and accounting for cash transactions.

TRAVEL

Despite the weak U.S. dollar, a boom in international travel to the U.S. has not materialized. Explanations range from post 9\11 security headaches and lower airfares elsewhere to poor marketing by the U.S. According to the World Tourism Organization, the U.S. had 51-million international visitors in 2000, more than 7 per cent of the 682-million tourists. In 2006, major destinations such as Los Angeles, Orlando, San Francisco, Miami, Honolulu, Las Vegas and Chicago saw 20- to 34 per cent less visitors compared with 2000. Only New York saw more visitors in 2006.

QUALITY

The world's most famous teddy bear maker has decided to repatriate production after finding the cut-price Chinese factories could not replicate the quality of craftsmanship. Iconic Steiff bears, which have a button sewn into their ears, moved production to China four years ago joining the global cost-cutting trend of moving production to China. German analysts suggest that Steiff's return could mark the beginning of an exodus from China of foreign companies initially tempted by savings but ultimately disappointed by quality.

FARMS

The share of farmland used for organic production has grown quickly in many rich countries. Swiss farmers are among the keenest on organic food production, more than 10 per cent of their land is devoted to organic farming, up from less than two per cent in the mid-1990s. Austria comes a close second. Outside Europe, organic farming is less-popular. In the U.S. it accounts for just 0.25 per cent of land under cultivation. Japan's organic farms account for less than one per cent of agricultural land bringing down the OECD average to less than two per cent.

SALES

Christie's and Sotheby's, the worlds two top auctioneers have just completed a series of summer sales in London that raised more than US$1-billion, underlining how resilient the top end of the market is despite growing economic gloom. Records tumbled and bidding was aggressive when a Monet water-lily painting fetched $80.5-million, double the previous high for the French master. Christie's raised $552-million in the summer season of impressionist, modern, postwar and contemporary art while Sotheby's raised $449-million.

GRAIN

China's cabinet has approved a plan to ensure grain production keeps pace with strong domestic demand and overcomes challenges such as climate change. China aims to reach and maintain annual grain output of 500-million tonnes by 2010, and to increase output to more than 540-million tonnes a year by 2020. Presently, harsh weather and the development of arable land are hurting grain output. In order to achieve its goals, it has identified 120-million hectares (296-million acres) of land as a necessary minimum to ensure a 95 per cent self-sufficiency in grain supply.

WAITING

Wait times are a simmering shopper frustration. At grocery stores more than four minutes can jeopardise a customer's loyalty a new survey shows. Satisfaction remains high when the wait is four minutes or less in all store categories, after that, satisfaction levels drop considerably across the seven categories: grocery, consumer electronics, department, drug, home improvement, mass merchandisers, and office supply stores. 43 per cent of those surveyed said long lines would affect their decision to shop at a particular store in the future.

CLIMATE

Scientists are suggesting that climate change has caused plants to seek cooler conditions at higher levels. A study of 171 forest species in mountain ranges of western Europe found that many plants had climbed an average of 29 metres each decade. The plants are shifting upwards to recover temperature conditions that are optimal for their development and reproduction. The work was possible because of two large-scale, long-term databases that have recorded the presence of forest species since 1905.

RESTAURANTS

The largest restaurant in the world is the Damascus gate in Syria. The 6,014 seat restaurant has taken the record away from the eatery in Bangkok which serves 5,000 diners.

WATER

Statistics Canada reports that higher-income households and households with children were the most likely to drink bottled water in the home, though the large amounts of plastic waste generated by the consumption of bottled water has raised concerns. Households living in apartments and households with seniors were least likely to drink bottled water. Overall, almost 3 in 10 Canadian households used bottled water as their main source of drinking water in 2006.

GIVING

The Web has radically changed the way we shop, conduct our finances, get the news and participate in politics. Now it is changing the way we give. In 2007, giving to charities in the U.S. exceeded US$300-billion for the first time. Traditional means of fundraising, direct mail and telemarketing, are growing less effective and more expensive each year. Online fundraising in the U.S. has grown from $250-million in 2000 to an estimated $6.9-billion in 2006 and $13.2-billion globally.

SPACE

The UK Department of Transport has ruled that train commuters should be allocated 0.45 square metres of space, whether they are seated or standing. The EU regulations say this is less than is allowed for goats, chickens, calves and sheep.

Thank you for reading the A & A Economic News Digest. For more information visit our website www.aacb.com or contact A & A Contract Customs Brokers Ltd. at strehler@aacb.com.

Past issues of the A&A Economic News Digest can be found at http://www.aacb.com/publications/ed/index.asp

Canada Concludes Free Trade Negotiations with Jordan and Colombia, Peru

On August 25, 2008, the Government of Canada concluded negotiations on a free trade agreement (FTA) with Jordan, as well as on parallel agreements on labour cooperation and the environment. This year, the Government of Canada has also concluded FTA negotiations with Colombia and Peru.

“We welcome this opportunity to expand Canada-Jordan trade relations,” said the Honourable Michael M Fortier, Minister of International Trade. “This bilateral free trade agreement will open up significant opportunities for Canadian companies in this growing economy, as well as elsewhere in the Middle East and North Africa. It demonstrates our government’s continuing commitment to expand opportunities for Canadian exporters.”

An FTA with Jordan will improve market access for both agricultural products and industrial goods, and help to ensure a level playing field for Canadian exporters vis-à-vis competitors that already have preferential access to Jordan’s markets. Trade between the two countries totalled $76 million last year.

Upon implementation, this FTA will eliminate tariffs on the vast majority of current Canadian exports to Jordan, directly benefiting Canadian exporters. For example, in 2007, electrical machinery was subject to roughly $293,000 in duties (up to 30 percent on some products) on exports of $3 million to Jordan.

The parallel labour and environment agreements will help to ensure progress on labour rights and environmental protection.

“This labour cooperation agreement between Canada and Jordan will ensure that economic progress goes hand in hand with the rights of workers,” said the Honourable Jean-Pierre Blackburn, Minister of Labour and Minister of the Economic Development Agency of Canada for the Regions of Quebec. “The successful conclusion of these negotiations marks the beginning of a long-term cooperative relationship between our two countries.”

“The Canada-Jordan Agreement on the Environment marks another milestone in our two countries’ joint commitment to protecting our most vital of assets, our shared environment,” said the Honourable John Baird, Minister of the Environment. “We see this partnership as an opportunity to create and strengthen environmental laws and policies as a legacy for future generations.”

This FTA also demonstrates Canada’s support for a key partner in the pursuit of regional peace, security and stability. These negotiations follow on the successful conclusion of negotiations for a new bilateral air services agreement and a foreign investment promotion and protection agreement with Jordan.

Prime Minister Stephen Harper committed Canada to exploring the possibility of an FTA with Jordan when he met King Abdullah II in July 2007.

Before signing the agreements and making them public, Canada and Jordan will undertake a detailed legal review of the FTA texts in English, French and Arabic. Following formal signature, the treaties will be tabled in the House of Commons for a period of 21 sitting days for Members of Parliament to review and debate. Following the 21-day period, the Canadian government will introduce draft legislation to implement the agreements.

More information can be found here -

August 2008 Economic Digest - Importing and Exportin

August 2008 Edition

FUEL

 
Although ships use less fuel than planes or trucks, the industry is so big that it accounts for up to 4.5 per cent of global emissions of carbon dioxide, the most prominent greenhouse gas. If vessels slowed down they would have greater fuel efficiency. The world's biggest car shipper has already asked customers to accept slower deliveries. Dropping average speeds of 18 to 19 knots by just two knots could save five per cent of fuel use and emissions alone.

NIGERIA

The Nigerian government is going on a spending spree with US$10-billion from its windfall from the rising price of oil. It will spend $5-billion fixing the country's woeful power supply which has become the administration's priority. The rest will be shared among the 36 state governments. It is believed that the total reserve is $18-billion, up from $5.1-billion in 2004.

KIOSKS

Transactions at self-serve kiosks in North America will surpass US$607-billion this year, and this amount will more than triple by 2012 to over $1.7-trillion. Consumers are showing a preference for self-service kiosk activity of all kinds. The devices are also a hedge against increasing expenses during tough economic times. The survey examines increasing use of six types of self-service kiosks where payment is accepted; self-checkout systems, ticketing kiosks, check-in kiosks, food ordering, postal systems and other retail kiosks.

PHONES

Traditional land-line phones, once the bedrock of U.S. communications, are quickly going the way of eight-track tapes as consumers go wireless or choose Internet-based phone calling. During the latter part of last year, nearly one out of every six homes in the U.S., 15.8 per cent, had only wireless telephones, up from 6.1 per cent during the same period in 2004. In New York, land lines have plummeted 55 per cent since 2000 and New Jersey is close behind. The trend is strongest among young adults.

COMMERCE

According to an index of 75 cities compiled by MasterCard, London and New York remain the top two centres for global commerce. The cities were rated according to how they perform in seven main areas, such as ease of doing business, livability, and the legal and political framework. Tokyo and Singapore were 3rd and 4th. Toronto was 13th.

PATENTS

Delays in Europe of up to 10 years have left somewhere between five and ten million inventions globally queuing for approval. These delays are bad for business and have created uncertainty for innovators. There are increasing calls for a single European patent and even a unified global system where a patent granted in one part of the world would be valid everywhere. Currently, inventors have to file for patents in different countries which is costly and time-consuming.

MOWERS

This summer has seen a surge in the sales of push mowers in the U.S., in some areas they are up by as much as 70 per cent. This has been attributed to increased environmental concerns, the faltering economy and the US$4 a gallon gasoline. It is estimated that around 300,000 push mowers are usually purchased in the U.S. each year, about the same as the number of electric mowers. These figures are dwarfed by the roughly 6-million gas-powered mowers purchased each year.

PAKISTAN

The costs of food imports to this country are about US$3.3-billion annually. Fertilizer imports cost over $820-million annually and fuel imports are over $8.6-billion each year. However, Pakistan attracted over $5-billion in foreign direct investment in 2007, ten times the figure in 2001. Government debt has fallen from 68 per cent of GDP in 2004 to less than 55 per cent in 2007 and foreign exchange reserves have reached $16.4-billion.

BREAKFAST

Honey has replaced marmalade as the most popular spread on British breakfast tables in the UK after health gurus labelled honey as a superfood. Sales of honey in Britain have risen 11 per cent in the past year to over US$155-million. Jam is still the nation's favourite with sales of $195-million annually. Diet conscious Britons are viewing honey as a healthier, organic option. It is also selling well as an alternative to sugar on cereals.

PENS

Arguably the most important invention for the written word since the printing press, the humble biro pen is 70 years old this year, named after Hungarian Laszlo Biro. The first bulk order for the ballpoint pens was during the Second World War when the RAF asked for 30,000 biros so that navigators could write at high altitude where fountain pens tended to leak. Patented in 1938, the biro uses a pressurised tube rather than gravity which was used in earlier ballpoint pens. An estimated 15-million ballpoint pens are sold daily worldwide.

MUSIC

Experts forecast that the compact disc has less than three years left in its reign atop the music industry in Canada with new data on music sales indicating the download will officially be king by 2011. A new report suggests that physical music sales in Canada will fall to US$275-million in 2011, from about $572-million last year. By that time, downloaded digital sales are expected to reach $366-million.

ARTS

Total operating revenues for the performing arts industry in Canada reached C$1.2-billion in 2006. These revenues were split almost equally between the for-profit and the not-for-profit sectors. The operating profit margin overall rose to 5.7 per cent in 2006, up from 4.3 per cent a year earlier. The top 20 performing arts companies accounted for nearly two-thirds of all revenues. For every $100 in revenue the industry earned, ticket sales and merchandise generated $42 and royalties and rentals another $9. Grants, subsidies and donations yielded $26 and the private sector provided the remaining $23.

SCIENCE

Worries that America is losing its edge in science and technology are ill-founded. It is still the world's powerhouse accounting for 40 per cent of total world spending on research and development, and produces 63 per cent of the most frequently cited publications. It is home to 30 of the world's 40 leading universities and employs 70 per cent of the world's living Nobel laureates.

NOISE

Being woken in the dead of night by noisy neighbour's blasting out music could be a thing of the past. Scientists have shown a blueprint for an "acoustic cloak" which could make objects impervious to sound waves. The technology could be use to build sound-proof homes. The key is "sonic crystals" that can be engineered to produce specific acoustical effects. They would be used to channel sounds around a specific object like water flowing around a rock, effectively shielding an object from sound.

EMPLOYMENT

According to the most recent U.S. census, more Americans identify their primary occupation as artists than as lawyers, doctor, police officer or farm worker. In 2005, two million Americans said their primary employment was in jobs defined by the census as artists' occupations, including architects, interior designers and window dressers. Their combined income was about US$70-billion, a median of $34,800 each. Another 300,000 said artist was their second job.

PAPER

For the first time in North America, a glossy magazine has been published on paper made from the pulp of wheat straw, a development that could herald the birth of a new industry that would alleviate some of the pressure on Canadian forests. The paper, known as the wheat sheet, is the product of 10 years of research by scientists in Alberta. However, the difficulty is that pulp processors don't have the equipment to deal with wheat straw and it would take an investment of up to $200-million to upgrade existing Canadian facilities.

DRINKS

Following an influx of Poles into Britain, vodka has now overtaken blended Scotch to become Britain's favourite spirit. Last year, US$1.5-billion was spent on vodka, a rise of 11 per cent in one year. Sales of blended Scotch increased by only one per cent to $1.48-billion. Vodka has a trendy image in the UK, also, the country's Polish population is raising sales. About 230,000 Poles registered for work in Britain between 2004 and 2006. The first mention of whisky in UK tax records was in 1494 and vodka was first mentioned in 1751.

AIRPORTS

Canada's airports handled 107-million passengers in 2007. Canada's largest airport is Toronto Pearson which handled 31-million passengers last year. Airports provide 200,000 direct jobs with an annual payroll of C$8-billion. Airports contribute about $45-billion a year to the Canadian economy. A single Airbus A340 arrival a day contributes 660 jobs and labour income of $28-million. Most of Canada's airports are operated by not-for-profit local authorities.

WEDDINGS

It is estimated that same-sex weddings could create hundreds of new jobs and pump hundreds of millions of dollars into California's economy. Gay couples are projected to spend $684-million on flowers, cakes, hotels, photographers and other wedding services over the next three years. Researchers project that half of the state's more than 100,0000 same- sex couple will get married and another 68,000 out-of-state couples will travel to California.

FEES

A 240-metre long U.S.-owned cruise ship recently paid a record US$331,200 to cross the Panama Canal as vessels fight for space in the increasingly congested waterway. Three containers ships have also recently paid more than $313,000. Non-reserved slots for crossing the canal are sold at auction to the highest bidder, with yachts, cruise lines and container vessels all competing for limited space on the 80-kilometre waterway. Last year, the U.S.-built canal started a $5.25-billion expansion to be completed in 2014.

DEVELOPMENT

Saudi Arabia has a vision which could soon transform the Kingdom's economy and society. Six major developments will be built across the Kingdom over the next 15 years. The centrepiece will be King Abdullah Economic City, 100K north of Jeddah. When complete it will stretch over 388 sq km. The developers say that by 2020 more than one million jobs will have been created in a city that will be home to two million. The Economic City will include one of the largest ports in the world, an education zone, a resort zone and will be the size of Washington DC.

SNACKS

Americans are becoming more health conscious when it comes to their kids' snacks according to a recent survey. New data shows that cookies, which held top spot the last time snack data was collected in 1987, are now ranked number two behind fruit. Carbonated soft drinks held the number six spot in 1987 but didn't make the top 10 this year. Cake has also dropped off the list. Meanwhile popcorn, which did not appear on the list last time is now ranked number six. Popcorn is considered a whole-grain snack.

SUCCESS

A British airline has been voted by 70,000 passengers as the third best airline in the world, ahead of Virgin and British Airways. However, Palmair has only one plane, a 36 year old Boeing 737 which flies twice a day. Palmair has a member of staff who greets every single passenger and draws up seating plans from her kitchen table the night before departures.

Thank you for reading the A & A Economic News Digest. For more information visit our website www.aacb.com or contact A & A Contract Customs Brokers Ltd. at strehler@aacb.com.

Past issues of the A&A Economic News Digest can be found at http://www.aacb.com/publications/ed/index.asp

New border-crossing cards to improve, speed-up security process

I would estimate that the NEXUS system has saved me personally from over 100 hours of border line ups in my car, waiting in line to pay Customs Duties & Taxes and bypassing long security line ups at the airport.

I tell everyone I know to Get NEXUS! It saves so much time. So, I was happy to hear that they are improving the cards and the processing at the borders. I have found that because so many people are signing up for the program - there are many more cars in the NEXUS lane, and that means longer lines. However, they are still much shorter than the regular lanes and from what I understand - the newer facilities being built will have multiple NEXUS lanes rather than just one.

Here is the full article -

New border-crossing cards to improve, speed-up security process
Craig Pearson, Canwest News Service
Published: Wednesday, July 23, 2008
WINDSOR, Ont. - NEXUS border-crossing cards are changing to improve security, though a U.S. government official says the changes also should help speed the process.

Sometime in the fall, current NEXUS cards - in use for five years to help regular commuters move quickly across the border - will be swapped for second-generation NEXUS cards.

Chief Ron Smith of U.S. Customs and Border Protection said the new cards will be issued in conjunction with the introduction of new card readers that improve the radio-frequency-identification-device technology, which can read nearby cards without having to swipe them.

The chip in the old NEXUS cards sent information 15 feet (4.5 metres). The new card will send it only 10 feet (three metres), which lessens the chance someone can intercept the information. As well, the new cards are harder to counterfeit or to alter.

The new U.S. card readers can also handle more information, making them faster.

With the previous system, the card readers could only identify one or two people at the same time. With the updated system, the readers will be able to identify four NEXUS commuters in one car, at once.

"It's an all-around better system," Smith said. "It should also help us increase our NEXUS usage."

About 355,000 people currently hold NEXUS cards. Both Canadian and American officials hope that number will climb significantly, since NEXUS cardholders typically cross land borders with less delay than those using other government-issued ID.

Smith also noted that the Western Hemisphere Travel Initiative will require all Canadians and Americans to use passports to enter the United States, including through land borders, starting June 1, 2009. "NEXUS cards can be used as a passport at the border," Smith said. "It's simple."

NEXUS is a partnership program between the Canada Border Services Agency and U.S. Customs and Border Protection.




© Windsor Star 2008

The Eagle has landed

In March, I let you know that A & A was sponsoring an eagle for "Eagles in the City" in Vancouver.

Well, the Eagle has landed!

Our artist, Barbara Roden, received her blank canvas eagle today.

Barbara will start work on the eagle shortly.
Here is a picture of it outside of her studio -



Stay tuned for more updates.

July 2008 Economic Digest - Importing and Exportin

July 2008 Edition

OIL

As oil prices have soared, thieves are among those seeking new sources of crude oil. A sharp rise in thefts at oil fields is driving oil companies and law enforcement to beef up security at wells that are being targeted more frequently as a source of easy money. Thieves are tapping into pipelines, paying off drivers and sometimes simply driving up to wells in tanker trucks and pumping the oil out of storage containers. Investigators who specialize in oil field crimes have seen their caseloads increase fivefold in the past two years.

LUNCH

According to a recent poll of 5,000 workers, eight out of 10 British workers take less than 30 minutes for lunch each day, and 44 per cent eat at their desks, even though 71 per cent say their company has an area set aside for a meal break. 41 per cent say they feel guilty if they take a full hour.

SATISFACTION

Airline passengers are among some of the most dissatisfied customers in the U.S. The annual report of the University of Michigan shows that the industry scored 63 out of a possible 100 in 2007. The study represents the views of 80,000 consumers who were asked about goods and services they have purchased. Only the cable and satellite TV industry scored lower with 62. Even the Internal Revenue Service scored higher. Disenchanted employees, increasing fuel costs, bankruptcy and record levels of lost, delayed and damaged luggage are the most common complaints.

NUMBERS

China's one-child policy created a generation of only children that number 90 million. 119 baby boys are born for every 100 girls and the number of unmarried young men-called bare branches-is predicted to be 30 million by 2020. Three in ten Chinese families have grandparents living in the same household. Urban Chinese earn more than three times as much as those in rural areas. One in four residents in Beijing is a migrant from the country and public protests rose by 50 per cent in 2006. Cell phones in China have grown from 87 million in 2000 to 432 million today.

PUMPS

Small service stations in the US ran into problems as the price of gasoline marched towards $4 a gallon. Thousands of old-fashioned pumps can't register more than $3.99 on their spinning mechanical dials. The pumps, throwbacks to bygone era, are difficult and expensive to upgrade and replacing them is often out of the question for station owners. Many of the same pumps can only count up to $99.99 for the total sale, preventing owners of some trucks, SUVs and vans filling their tanks all the way. As many as 8,500 of the nations 170,000 service stations have the old pumps.

THE OFFICE

An Agricultural University of Norway study suggests that potted plants in the office can improve the health of workers and reduce the number of sick days. This adds to the body of evidence that suggests that plants in the work place have a beneficial effect. Plants appear to reduce office workers' fatigue, dry throats, headaches, coughs and dry skin. Plants and microbes in the soil are good at removing volatile, organic compounds that can effect health.

INVESTING

Despite the weakness of the dollar, U.S. firms are going on a spending spree in Europe. By May of this year, American corporations (excluding private equity firms) had bought 112 British businesses worth US$12.4-billion. In seven of the last 10 years, the UK has been the top destination for US multinational corporations looking to expand. The American thirst for deals reached its peak during the dotcom boom in 1998 when US companies spent a total of $41-billion on 481 UK-based businesses.

RESEARCH

According to a Pew Internet and American Life Project survey, online real estate websites have reduced the number of homes that buyers and renters visited in person 57 per cent of the time and 29 per cent claim that online research saved them money. 57 per cent say the internet reduced the number of places they looked at and 54 per cent took a video tour of a house or apartment, or neighbourhood in which they were interested.

FUNERALS

American pet owners are turning to animal funeral parlours to send off their four-legged loved ones with the same dignity and ceremony usually afforded only to humans. Riding a boom in US spending on pets, the total this year is expected to reach US$43-billion, traditional undertakers are branching out into the sensitive area of pet funerals. One company offers a 24-hour service with caskets starting at around $185 and can reach as much as $5000. The first pet funeral home started in Indianapolis and expects to open 250 to 300 more locations over the next seven years.

LUXURY

One of the world's most prized culinary delicacies, the famous Perigord black truffle, could soon be off the menu. Scientists fear it will be wiped out by an invading Chinese truffle they have discovered growing in European soils which has almost no taste at all. The Perigold black truffle sells for about US$1400 a kilogram. Only the Piedmont white truffles fetches higher prices. Harvests of the Perigord truffle have declined greatly over the past century falling from over 1,500 tonnes in 1870 to less than 100 tonnes today.

GROCERIES

Members of the fast-growing South Asian and Chinese Canadian communities account for one-third of grocery spending in Toronto and Vancouver. South Asian Canadians households spend up to 23 per cent more on groceries than others in Canada. Chinese Canadian shoppers spend nine per cent more on groceries than an average household. Both groups tend to shop at discount supermarkets.

SCOOTERS

With the high price of gasoline, there is an increased interest in the U.S. in the small scooters that get 100 miles per gallon (2.35 litres per 100 kilometres). More than 130,000 Vespas, Hondas, Yamahas and other scooters were sold in the U.S. during the first quarter of 2008, a 24 per cent increase over the previous year. The figures do not include sales by small manufacturers in China and elsewhere.

FOWL

Chickens are the most common birds in the world. About 30-billion chickens are eaten each year, more than 1,000 a second. The Romans considered chickens to be sacred to Mars, the god of war. A lifetime's waste from one chicken can power a 100-watt bulb for five hours.

PUNCTURES

Changing a tire by the side of the road could soon become easier thanks to a clever British invention. Instead of the tiring process of lifting the car up by winding a jack handle, the Titan air jack raises it for you. A bag attached to the exhaust pipe is placed under the car and when the engine is run at idle it inflates and lifts it to wheel-changing height in less than a minute. It can be used on any surfaces and lifts vehicles up to four tons.

PAPERS

The number of daily newspapers rose to 287 in 2006 from 185 in 2005, according to the World Association of Newspapers. Global newspaper advertising will increase to US$130-billion in 2010, from $125-billion in 2007, thanks in part to growth in India and other emerging markets. This trend is reversed in the North America where newspaper advertising revenue in the U.S. fell by 7.9 per cent in 2007.

COINS

To lessen the cost of minting pennies and nickels, which cost more to make than they are worth, the US Congress is looking at the possibility of going to steel coins such as those used during World War II.

SHIPS

The biggest shipbuilding boom in history has collided with the largest credit market loss ever. As much as US$14-billion in ship orders is threatened by cancellations and delays as lenders are demanding bigger deposits and shorter terms for financing. The loss or delay in delivery of about 250 cargo ships, or 10 per cent of orders, will tighten the supply of ships. Freight rates have increased over 50 per cent this past year. The value of cargo ships under construction at the end of 2007 was US$141-billion and the approximate cost of a new vessel, is about 155-million.

ACCOUNTING

The world's chief accountant has praised Canada for its decision to adopt global accounting standards by 2011. The International Accounting Standards Board is leading the push to persuade countries to abandon their national accounting standards and embrace a single, global standard, known as the International Financial Reporting Standards (IFRS). So far, 110 countries have agreed to the change.

CANOLA

Farmers are expected to plant a record 14.8-million acres of canola this year. Last year it was worth C$6 per bushel, this year it should sell for $14. Canada produces just over 6-million tonnes of canola seed per year, 20 per cent of the worlds supply. 3.4 million tonnes of this is exported as seed, 706,000 tonnes as oil and another 1.15 million tonnes as meal. The U.S is the largest importer.

RUNNING

GTX Corporation of Los Angeles has developed a way to turn running shoes into real-time tracking devices capable of transmitting location data that can be viewed as Google Maps on any Internet-connected device. The company hopes its technology will be used in insoles by the end of the year. The footwear will cost up to $200 with a $20-monthly subscription fee and the gadget requires cell towers.

PRESCRIPTIONS

More than half of insured American now take prescription medicines, mostly on a daily basis, for what are described as chronic problems. Experts say the data reflects worsening public health, better medicines and aggressive pharmaceutical advertising.

ACCIDENTS

Every year, according to the WHO, 1.2 million people die in road accidents making it the seventh biggest killer in the world, ahead of diabetes and malaria. Wearing a seat belt would save half of all car occupants who die in crashes.

ASIA

The value of Japanese exports to China in 2007, the year in which China overtook the U.S. as Japan's biggest export market destination was US$165.2-billion. The value of Japanese exports to the U.S was about $161-billion. China's exports to Japan in 2007 were worth $102-billion. Japan's foreign direct investment to China last year was $6.2-billion.Japan remains the biggest economic power in Asia with a US$4.3-trillion economy in 2006, against China's $2.7-trillion.

BUGS

At a recent U.N. meeting in Thailand, experts considered the dietary value of bugs. More than 1,400 insect species are eaten by humans worldwide offering promising possibilities both commercially and nutritionally. Among the most popular are beetles, ants, bees, crickets and moths, some of which offer as much protein as meat and fish. At least 527 different insects are eaten across 36 countries in Africa, while they are also eaten in 29 countries in Asia and 23 in the Americas.

HEARTACHE

A Japanese company has introduced "heartache leave," a new benefit. One day off is granted to employees in their early 20s suffering a breakup. Two days for those in their late 20s and three days for those over 30. The same company has "bargain leave" to take advantage of retail sales.

Thank you for reading the A & A Economic News Digest. For more information visit our website www.aacb.com or contact A & A Contract Customs Brokers Ltd. at strehler@aacb.com.

Past issues of the A&A Economic News Digest can be found at http://www.aacb.com/publications/ed/index.asp

Electronic Data Interchange (EDI) - It's our future

We have over 200 employees and many of them spend a lot of their time keying in information that has been keyed once, twice, even three times before we have keyed it.

This adds costs to the supply chain in a number of ways - time to key the information. Human error. Mistakes. Fines and penalties.

Many, many orders are keyed electronically these days and I am still amazed that at the end of the line - somehow that data 'gives birth' to a piece of paper - or many, many pieces of paper.

We encourage our customers to transmit data to us as much as possible to avoid extra time and expense. (If we do not have to key in the data, our fees go down because there is less work involved for us.)

For more information on how to speed up your shipments using EDI, please contact us.

June 2008 Economic Digest - Importing and Exportin

June 2008 Edition

GREENHOUSES


After a long period of continuous growth, greenhouse expansion in Canada stalled in 2007 because of the rising value of the Canadian dollar and higher labour and energy costs. Total greenhouse area under plastic and glass was down last year about one per cent to approximately 20.9 million square metres. Greenhouse operators reported sales of C$2.3-billion. Producers of flowers and plants accounted for two-thirds of total greenhouse sales but, for the first time since 1993, the vegetable area, which was 10.7 million square metres, exceeds plant and flower area which stood at 10.3 million square metres.

TRENDS

A new regulation in New York City requires restaurants that are parts of chains with at least 15 outlets across the country, to post calories on menus and menu boards. This will include fast-food places like McDonald's and Wendy's. The New York State Restaurant Association had vigorously opposed the rule in court claiming that it violated the First Amendment.

VACATIONS

The average working Frenchman spends 37 days each year on vacation, with Italy in second place with 33 days. Britain trails with 26 days of holiday per year, a rise of two days in two years. America comes last with just two weeks off.

JUNGLE

The Madre de Dios region of Peru has been undergoing an ecotourism boom. More than 70 "eco-lodges" cater to tourists from around the world eager to experience a few days in the Amazon. Last year more than 60,000 foreigners visited the area, a 20-fold increase over 15 years. Its success stems from two factors. First, the region comprises vast areas of pristine rainforest, and it is also easily accessible.

MINING

The number of mining deals around the world rose 69 per cent in 2007 with much of the activity happening in Canada. The total value of those transactions was US$158.9-billion, up 18 per cent over 2006. Of the 2007 deals, Canadian companies were targets 32 per cent of the time, up from 23 per cent the year before. Canada was followed by Australia and China. Canadian companies were also the majority of acquirers. They purchased 41 per cent of the time, up from 34 per cent the year previously.

KOSOVO

Some of the statistics from this country's US$3.5-billion economy are surprising. The U.N estimates that 1.2 billion euros worth of goods came into the country while just 100-million euros worth went out. Cash sent from abroad was worth a sixth of the total value of the economy. Kosovo's largest export over the past few years has been scrap metal which is estimated to represent half of Kosovo's export value.

GAS

Recent research shows that in 2007, the gasoline share of consumers' weekly spending in the U.S. ranged from 12 to 16 per cent and is expected to reach 19 per cent this year. Consumers report that they are combining errands and trips, eating out less and doing more things at home to counterbalance rising gas prices. With more than 146,000 U.S. locations, convenience stores are the preferred stop for fuel consumers, attracting nine times more gas buyers than warehouse clubs or grocery stores.

POTATOES

After wheat and rice, potatoes are the world's third most important food crop. In 1991, the world potato production was around 257-million tonnes. In 2007, this figure was 321-million tonnes. There are 110 calories in a medium sized potato and five kilograms are required to produce a litre of vodka. In 2007, China led the world producing 72-million tonnes of potatoes, followed by the Russian Federation, 36-million, India, 26-million, Ukraine, 19-million and the U.S., 18-million tonnes. Each year, farmers around the world produce about 600-million tonnes of wheat.

STIRRING

The teaspoon could become a thing of the past after the invention of a mug that can stir liquid by itself. All the drinker has to do to work the clever cup is gently swirl it. This sets in motion a ceramic ball positioned in the bottom of the mug that stirs the contents.

HOGS

The Canadian government is planning to pay hog farmers up to C$50-million in total to slaughter as many as 150,000 breeding swine. Farmers will receive $225 for every hog they kill and must stay out of the hog business for three years. The $225 price is about four times what a farmer would get for a culled hog on the market today. This cull will reduce Canada's breeding herd by 10 per cent and is the only way to save thousands of hog farmers across the country. Rising food prices and the Canadian dollar having been putting many hog farmers out of business.

MEETINGS

More than 70-million people attended meetings and conferences across Canada in 2006, generating more than C$23-billion in spending. 670,000 meetings were held in Canada in 2006 and 43 per cent of the participants were visitors, including 2.3-million who came from the U.S. or other countries.

ECO-FRIENDLY

With Americans increasingly expressing environmental concerns, manufacturers are taking steps to convey the eco-friendliness of their products. The number of new products with an environmentally friendly claim has grown substantially in the past five years. In 2002, only five such products were launched but in 2007 there were a staggering 328 which was an increase of 200 per cent from the year before. People especially look for eco-friendliness when shopping for household paper products (66%), food (57%) and energy efficient appliances (48%). It is estimated that 200 million American now buy green products.

ART

China's art market overtook France's for the first time last year in world rankings which are still dominated by New York and London auction houses. The global art market, which comprises sales of fine art works--paintings, drawings and photographs--saw an overall rise for the seventh year running, with revenue up 44 per cent on the previous year. China accounted for 7.3 per cent of world sales, after a massive 78 per cent rise.

LIGHTS

An American inventor based in Britain has won a prize for his Rectiv cycle jacket which changes colour as the cyclist brakes. This was the result of him wanting to feel safer cycling around London. The jacket uses an accelerometer to sense movements, changing the colour of LEDs in the back from green when accelerating to red when braking. A tilt switch in the jacket also makes the LEDs in the arm flash amber when the wearer lifts their arm to indicate a turn.

MONEY

A new report suggests that the Canadian Mint should scrap the 1-cent coin, eliminate the nickel, replace the $5-bill with a coin, adding 20-cent and smaller 50-cent coins, and eventually consider creating a $200 bill. Ottawa should immediately scrap the 1-cent coin which is increasingly obsolete, has so little purchasing power that people routinely refuse to accept it, throw it out or stockpile it. The hoarding phenomenon is part of the reason that coin production rose sharply in 2006, particularly of pennies which jumped 51 per cent to 1,160 million pieces and cost $150-million to produce.

RIGHT TURNS

A major global courier company redesigned its routes so drivers would make a minimum of left-hand turns, thus reducing vehicles idling in traffic burning fuel and releasing emissions. As a result, the company shaved more than 48-million kilometres off its deliveries in 2007, saving the cost of more than 11-million litres of gas. It also reduced the truck emissions by 32,000 tonnes (equivalent to 5,300 passenger cars).

EXPORTS

The U.S. now accounts for less than 80 per cent of the market for Canadian exports, the lowest level since 1992, before the NAFTA took effect. China has now risen to third place among Canada's export partners displacing Japan. Britain is in second place. The U.S. is still by far the No 1 buyer of Canada's products absorbing C$354-billion worth. Canada's exports to China rose 21 per cent in 2007 and by 26 per cent to Europe in the same period.

RETAIL

Despite economic uncertainty, online retail sales in the U.S. are forecast to increase 17 per cent this year to a record US$204-billion as consumers continue seeking the convenience of shopping via technology. Internet retail sales, excluding travel, are expected to comprise 7 per cent of total retail sales this year, up from 6 per cent or $175-billion in 2007.

NEW ZEALAND

Wine overtook wool exports in value for the first time and is now New Zealand's 12th most valuable export worth US$610-million, up from $94-million in 1997. Last year, the wine industry sold 1-billion glasses of wine in nearly 100 countries. Exports to Australia are buoyant and New Zealand accounts for over 10 per cent of wines sold in Britain and interest in the U.S. is picking up too.

HOARDING

Rice prices have hit new highs and farmers across Asia are hoarding their crops, raising the prospect of a shortage in Asia and Africa that could lead to widespread unrest. Prices in Asia have doubled since the beginning of the year, driven higher by rising demand, a steady depletion of government stockpiles and a pest outbreak in Vietnam, the world's second-largest exporter after Thailand. Governments around the region are curbing exports to safeguard domestic supplies putting further pressure on prices.

AUCTIONS

An oversized six sheet poster for the 1933 film classic King Kong fetched US$345,000 to top all items in a two-day auction of Hollywood memorabilia. The auction raised $4.1-million from the sale of 1,100 pieces. A velociraptor from Jurassic Park went for $115,000 and a complete Batman costume for $103,500.

NEWSPAPERS

The U.S. newspaper industry has experienced the worst drop in advertising revenue in more than 50 years. Total print revenue in 2007 plunged 9.4 per cent to $42-billion compared to 2006.

DANCING

Salsa has become the biggest international dance craze since the advent of rock'n'roll in the 1950s, and dwarfs even the popularity of the tango during the 1920s. It has spawned a new niche for the tourist industry and is now a major cultural export with almost every city in Europe opening clubs offering classes at all levels. Salsa is also a passion in Japan and is taking hold in India and China.

WOMEN

According to a new UN report, women are still discriminated against in almost every country around the world, despite that fact that 185 member UN countries pledged in 2005 to outlaw laws favouring men. 70 per cent of the world's poor are women and they own just one per cent of the world's titled land.

MOVIES

An Australia-based chain is to introduce the first $35 movie experience this October in Redmond, WA. Luxury touches will include: digital projection, Dolby sound, reclining seats with footrests, seat-side food and beverage service, valet parking. A lounge area will have a full bar and serve entrées. Each of the seven auditoriums will have no more than 40 seats.

Thank you for reading the A & A Economic News Digest. For more information visit our website www.aacb.com or contact A & A Contract Customs Brokers Ltd. at strehler@aacb.com.

Past issues of the A&A Economic News Digest can be found at http://www.aacb.com/publications/ed/index.asp

Canadian Customs Broker in the news..

You may have read an article about a Canadian Customs Broker being sentenced to jail after being convicted of evading more than $4.7 million in duties and taxes.

According to the CBSA - "What he did was submit accounting documents claiming a GST exemption code - so no GST was charged even though the goods did not qualify for the exemption," Giolti said. "In addition, rather than account for the goods in the correct currency such as. U. S. dollars, he would claim other currencies so the values would be less.
”However, when he billed the client, he would then bill the right amounts owing: GST and the right currency rate."

This may be unsettling for our customers and I thought I would address our process and systems should you have any questions. There are 2 main things we to do make sure we are compliant -

1) We have a very extensive compliance checking process where we have both the supervisors and managers of our various departments and branches check their people's work for compliance issues. We also have a compliance department that checks the supervisors and managers work for errors or omissions. We are very confident in our people's abilities to catch errors or omissions and a number of our customers have been audited with good outcomes such as this one.

2) We have what we call a "Duty Exception Report" which cross references our customs entries to confirm that what was paid out was billed out. If there is an exception - it goes on this report for our people to check into and fix. It also works in both directions. So, if we paid customs $100.00 in Duty, but we billed our customer $150.00 in Duty - it immediately goes on a report to fix. And, likewise, if we paid customs $150.00 in Duty, and billed our customer $100.00 in Duty - it goes on a report to fix.

I like to keep an open line of communication on this type of issue both for our customers and for our employees.

If you have any questions, please do not hesitate to contact me.

May 2008 Economic Digest - Importing and Exportin

May 2008 Edition

CONTROL

 
Next year in California, state regulators are likely to have the emergency power to control individual thermostats, sending temperatures up or down through a radio-controlled device that will be required in new or substantially modified houses and buildings to manage electricity shortages. The changes would allow utilities to adjust customers' preset temperatures when the price of electricity is soaring. Customers could override the utilities' suggested temperatures but in emergencies, the utilities could override customers' wishes.

GEOLOGY

Major Canadian mining companies are paying geology grads 44 per cent more than three years ago giving them higher salaries than the average MBA graduate in the U.S. Demand from developing nations including China has helped prices of gold, silver and copper more than double in that time. Canada is home to three of the world's largest gold producers and will graduate 1,200 new geologists this year to fill 9,000 positions in the country's mining industry. The average salary will be C$90,700. The average salary for a U.S. MBA is US$85,700.

WEALTH

Russia now has 101 billionaires, the most in the world after the U.S., which has 415. Germany is third with 60. Bountiful reserves of oil, gas and coal and soaring commodity prices have brought money pouring into the country.

ACCESS

Mobile phone coverage is now available along the entire climbing route of Mount Everest. Yaks and porters were used to transport the equipment for a transmission station 6,500 metres up the side of the mountain.

SIZE

Some of the new megayachts are so big that they have to dock in commercial ports. The growth in the number and size of yachts is also making it hard to find qualified crew members. It takes four years to build a yacht and prices are rising so quickly that some owners are selling their boats before they're even finished, for a tidy profit. There are 2,000 superyachts in the world today over 120 feet long. The longest, presently being built in Germany, will be over 530 feet when completed.

IMMIGRANTS

A record 429,649 foreigners came to live in Canada last year, many of them needed to address Canada's labour shortages. More than 251,000 permanent residency permits were issued and some 178,000 came on a temporary basis. More than 900,000 are still waiting for the immigration ministry to process their applications, some of whom have been waiting for up to six years.

ASTROTURFING

This is an umbrella term for any sort of fraudulent message masquerading as grass-roots word of mouth. It comes alongside a continued explosion in the world of viral marketing--self replicating techniques that use text messages, video clips, images and other means to encourage people to pass on a marketing message voluntarily and spontaneously. Viral marketing has grown 39 per cent in the last year alone, generating nearly $1-billion. Some 65-million American consumers shared their personal views on products with others online according to a recent study.

MAMMALS

Of all the mammal species that have become extinct in the past 200 years, nearly half are Australian. Since the country was colonized, 27 mammals, about 10 per cent of the total, have disappeared. Most Australian species are unique to the continent so when one vanishes, the loss is felt globally.

OIL

Britain was once the sixth-biggest producer of oil and gas but her share of the North Sea is now in decline. Production peaked in 1999 at 4.4-million barrels a day and has since fallen to 3-million and a target to maintain this level until 2010 looks certain to be missed. Presently, the industry supports 400,000 jobs and the oil and gas industry is now the biggest corporate contributors to the treasury, paying three-quarters of the US$26-billion paid in corporate taxes last year.

TECHNOLOGY

When the United Nations imposed a ban on trade in Liberia's logs in 2003, Liberia was synonymous with uncontrolled and environmentally devastating logging. Now a system has been set up to track all of Liberia's timber. Future lumber concessionaires will be required to attach a barcode to each tree they fell and to the stumps they come from. A corresponding entry in a database will record the origin, species, size and destination of each log. In theory this should make it much harder to forge paperwork and easy to catch those who misrepresent the amount of wood they have harvested.

EXPENSIVE

A recent survey by economists lists Oslo, London and Copenhagen as the three most costly cities in Europe and Dublin is now in fourth place. In Asia, Tokyo is the most expensive, followed by Seoul, Singapore and Hong Kong. By contrast, cities in the U.S. have become cheaper because of the weaker dollar.

VALUE

The share price of two shipping companies in Hong Kong have increased fivefold in the last two years. Meanwhile staggering sums have been made in private transactions. Ships generally fall in value as they age yet an iron-ore carrier built for $31-million in 2001 was sold for $150-million in 2007. It was immediately leased out on a long-term contract, making a vast profit for the buyer, even after that made by the seller. An oil tanker built for $142-million and still under construction was recently sold for $168-million.

INVENTIONS

Japanese scientists recently unveiled an invention, code named Smart Goggle, which not only records what the wearer of a pair of glasses is seeing, but recognizes it. The glasses can playback footage of when the wearer last saw an object, a remote or car keys for example. Initially, the user has to tell the glasses the name of everything that he or she looks at and the glasses will remember. They can then locate the last time the object was seen if it is misplaced.

COUPONS

Valpac, a company formed in 1967, invented the concept of its trademark blue coupon-stuffed envelopes sent to 45-million homes each month. Today it is an advertising giant that earned about $250-million in revenue last year. It has about 200 franchises across North America which expect to ship 20-billion coupons this year in 520-million envelopes from its massive $220-million facility in Florida.

BUTCHERS

A meat industry spokesperson in Britain recently claimed that high street butchers shops are closing at a rate of 23 a month. In 2000, there were 9,081 butchers in Britain but last year there were only 7,186 according to the tax authorities. The decline is largely caused by the dominance of the giant supermarkets.

CONCRETE

One of the most common building materials in the world today is concrete. However, it is one of the major sources of carbon dioxide (CO2) emissions which contribute to global warming. Between 5 and 10 per cent of global CO2 emissions are related to the manufacture and transportation of cement, a major ingredient in concrete. Manufacturers are experimenting with using organic waste materials as a substitute for some of the cement in concrete. These materials, such as fly-ash, produced when coal is burned, could replace up to 25 per cent of the cement in a mix.

SHOPPING

The Nielsen Co. reports that U.S. consumers are making fewer shopping trips across most retail outlets as they look for ways to combine errands and save money in an effort to battle rising gas prices and other economic pressures. While shopping frequency across most retail channels is flat or declining, supercentres continue to show growth.

TRAINS

Travellers are increasingly using trains to get around Europe. High-speed rail operators are ambitiously adding routes and cutting travel times to compete with the short-haul airline market. Spain, at the forefront of the boom, recently got high speed service between Madrid and Barcelona cutting the journey to two hours, 35 minutes, down from four hours. Switzerland has opened a 35-kilometre tunnel passing through the Alps cutting the travel time to Italy by over an hour. The travel time from London to Paris is now down to two hours, 15 minutes.

TRAVEL

The Commerce Department recently announced that America ran a US$17.8-billion travel surplus in 2007, more than double the 2006 figure. Arrivals from Canada were up 11 per cent; from Mexico, up 13 per cent. Visits from many west European countries, China and India also increased by double digits. The weak dollar and high oil prices also encouraged Americans to take their holidays near to home, providing a further boost for domestic tourism.

FAKES

Only three 1967 P4 Ferraris were ever built and now each is worth in the millions. Recently one turned up that proved to be a fake made in a garage in Thailand that was about to be shipped to Europe. It replicated the original in every visible detail and is an example of the genius of counterfeiting that is flourishing and is estimated to be worth $600- billion worldwide costing billions in lost revenues. Today, reverse engineering can take place at a keystroke as counterfeiters using 3D laser scanners and software develop a perfect copy in record time.

PETS

Among the affluent in China, keeping pets has become the rage, even though some Chinese still consume dog and cat meat. Spending on pet food and pet care In China will be worth US$870-million in 2008, up about 15 per cent from the $757-million spent in 2007. There were nearly 11-billion pets in China in 2007, the majority being birds, fish and reptiles. It is estimated that there are 150-million pet dogs and 11-million pet cats. Beijing has 120 restaurants that serve dog meat.

BRIDGES

China has revived a plan to build an 18-mile bridge linking Hong Kong, Macau and the mainland. Officials will seek private partners to help fund half of the US$6-billion costs. Private companies involved would see their investment returned in part through tolls. The bridge is the latest in a series of grand projects undertaken by Beijing as the economy booms.

DOOMSDAY

Plans are being made to erect a "doomsday arc" on the moon containing DNA, embryos and all the essentials of life and civilization, to be activated should Earth be devastated by a giant asteroid, a climate flip or nuclear holocaust. The information bank would provide survivors on earth with a remote-access toolkit to rebuild the human race. A basic version of the arc would contain hard discs holding DNA sequences and instructions for metal smelting and planting crops to be buried in a vault under the lunar surface. Transmitters would send the data to heavily protected receivers on Earth.

ROMANCE

It seemed romantic when the man in England had the florist put the $12,000 engagement ring in the helium balloon for him to give to his girlfriend. The plan backfired however when the wind caught the balloon and it sailed away never to be seen again.

Thank you for reading the A & A Economic News Digest. For more information visit our website www.aacb.com or contact A & A Contract Customs Brokers Ltd. at strehler@aacb.com.

Past issues of the A&A Economic News Digest can be found at http://www.aacb.com/publications/ed/index.asp

What to do when you get audited.

If you are either being audited or are notified that you are going to be audited - it is very important that you contact your customs broker as soon as you are made aware.

Your customs broker can save you countless hours of time and energy by providing information to Customs on your behalf. A customs broker keeps excellent books and records of your imports and should be able to quickly gather the information that Customs is looking for.

A Customs audit should not be a scary process. Many of our importer clients have been audited and both the importer and ourselves have been satisfied with the outcomes of the audits we have seen.

We are by no means perfect - but we do take compliance very, very seriously.
Here are some ways that we strive for compliance -

• We have an in house Consulting and Compliance Team that has many years of experience in Compliance, Tariff, Valuation and Origin issues.
• We send out a "Self Compliance" document with every invoice as a double check for our clients to review their shipments for accuracy.
• We offer online tutorials to educate importers and exporters on the importance of compliance.
• We have an intensive entry checking process to review for errors and ommissions.
• We have highly trained, knowledgeable, qualified people handling our clients work.

Customs audits can be a scary process - but it doesn't have to be if you're taking a big picture approach to compliance.

Contact your customs broker for more information.

Happy Earth Day

Earth day is April 22 - http://en.wikipedia.org/wiki/Earth_Day

Here at A & A, we have been doing some things to lessen our impact on the Earth.

Below is a list of items that we have started - 

• Installed motion activated lighting in washrooms
• Installed motion activated lighting in infrequently used rooms
• Purchasing energy efficient PC's, Notebook and servers
• Recycling old, outdated PC's
• Shutting down PC's overnight for Earth Day
• We black-out monitors after 5 minutes of idle time
• Using half the lights in the IT office
• Turning off server room lighting
• Encouraging no printing on Earth Day and as little printing as possible always
• Defaulting printers to two sided on Earth Day
• Lower wattage bulbs in our office lighting
• Recycling programs in our offices
• I drive a Hybrid vehicle

We consider the environmental impact before making a purchase of a product or service.

An Earth Day logo will be on our website today and tomorrow to 'inspire awareness of and appreciate for the Earth's environment.' 

I believe this quote sums things up very well "WE DO NOT INHERIT THE EARTH FROM OUR ANCESTORS: WE BORROW IT FROM OUR CHILDREN."

Congratulations on a record breaking Sun Run!

Our first (and definitely not our last!) Vancouver Sun Run team had a fantastic day on Sunday. Despite it being one of the coldest days in Sun Run history, our people braved the elements and walked, jogged and ran their hearts out!


The rolling wave start meant that some people had finished the race before others even crossed the starting line. The Sun Run organizers do a fantastic job of keeping the event flowing.

When the finish line came into sight - everyone turned on their jets and it was a sprint to the end.

We're a little sore today and that memory will soon fade as we start setting our goals for next year's run!
Congratulations to everyone who participated in this wonderful event - and an extra special congratulations to all of the "Team A & A" runners!

Say hello to our Vancouver Sun Run Team

This Sunday, April 20th, the "Team A & A" corporate Sun Run Team will participate in the 24th annual Sun Run in Vancouver, B.C. (We are ignoring the forecast for rain / snow!)

The Sun Run has broken registration records with over 55,000 people this year! To put that into perspective - this event is almost double the size of some of the largest marathons in the world, and double the size of the Honolulu Marathon.

For Vancouver-ites - the total attendance will be the equivalent of 3 Vancouver Canucks hockey games spilling onto the streets! Not for the claustrophobic!

Back to our A & A Sun Run Team - I am very proud of our first corporate team. They've been training hard. Walking, jogging, running - eating well, drinking a lot of water in anticipation for the big 10K event. For many of them, it is their first time going this distance. For others, they are dusting off their running shoes and getting back at it.

I look forward to doing a re-cap after the big day on Sunday. Good luck everyone - it's a great accomplishment!

April is Wellness Month at A & A

Each week we will have a different theme to focus our awareness:

· Week 1: Mind/Body/Spirit: this week will jumpstart our wellness month by focusing on the holistic approach—our physical, mental, spiritual and emotional dimensions.

· Week 2: Nutritional Fitness: this week we’ll focus our attention to how we fuel our bodies and how that relates to our health and happiness.

· Week 3: Emotional/Mental Health: we will look at ways to challenge our minds, relax our bodies, and focus on positive thinking.

· Week 4: Physical Fitness: we will take this week to focus on how to achieve our goals & on how taking care of our bodies takes care of our minds and emotions.

We will also be taught how to properly set up our desk chair, keyboard and monitor to ensure we are practicing the best ergonomics.

So, when I saw this video recently, I had a good chuckle -

Our Customer Service options

Over the years, we have found that there isn't a one-size-fits-all approach to serving you when you have questions or requests for information.

We believe we've done a great job at providing a number of options for you, and I'd like to outline some of those here -

1) Telephone - We take pride in the fact that we have multiple receptionists to take your phone calls. Our goal is to answer the calls within 2 rings and either provide you with the answer right there or transfer you only once to a live voice for further help.

We don't have an automated answering service - because we have been told that you like to call and talk to a a human. Frankly - don't we all? We also dislike 'voice mail jail' - when you can never seem to get a hold of a human and can't get out of voice mail. If you ever get transferred to a voice mail on our system and decide you would like to talk to someone rather than leave a message - you can simply press "0" and get back to a live voice. We are open 24 hours a day, 7 days a week with our own people and they can get your answer for you.

2) Fax - We have all of our phone and fax numbers listed here on our Contact Us page - http://www.aacb.com/contact/index.asp

3) email / Internet - We are very proud of the system that we have implemented for our email and online requests. Our Online Customer Care Centre - http://aacb.custhelp.com/

We have hundreds of Frequently Asked Questions posted here. If you have a question that is not posted, you can Ask a Question and we will respond. The system automatically generates a response to you to let you know that we have received it and are processing it.

Any questions that you ask are stored in your own personal database that you can refer back to anytime.

There are also other options such as asking to be notified if the answer ever changes (Customs regulations constantly change.), and another feature lets you email the question and answer to yourself or a colleague. All at the push of a button.

So, whether it's phone, fax or email - we treat each of your requests with the same high priority to make sure they are treated with a sense of urgency.

Please try them out and let me know what you think.