The ‘Designer Remission Order, 2001’ provides eligible fashion designers and design houses with temporary duty-free access to a wide range of fabrics for use in the manufacture of limited quantities of innovative apparel marketed under their own trademark or label. The program is scheduled to expire on December 31, 2014.

  • The importer is a recognized Canadian apparel designer or design house engaged ‘solely’ in the creation, manufacture, and sale of designer apparel (85% or more of total net annual sales).
  • The fabric is imported for a specific fashion season collection that is a result of an on-going creative process that primarily entails the establishment of new relationships among the fabric, colour, assembly, shape and function.
  • Clients that have been issued a unique special authority number must file a renewal letter annually.
  • Semi-annual usage reports must be sent to the Canada Border Services Agency each January and July.
  • Purchase, production and import records are kept in a manner that will withstand an audit.
  • Carefully track the use of all fabrics, including duty-free materials, and re-pay duty on any balances that are disposed of or diverted to other uses.

Exclusions from this remission include fabrics for manufacturing certain winter outerwear and underwear.

Duty paid on eligible fabrics can be recovered by way of drawback.

Designers believing that they meet the eligibility requirements for this program are urged to contact our senior consultants to take advantage of these possible duty savings.