Through the pandemic, the Canada Border Services Agency made efforts to reduce inspection delays, and these measures were very welcome, but our members are still facing a nightmarish situation.
Not long ago, we got a message from one of our members illustrating the situation. A specific container was identified for CBSA inspection. That was on October 23. The container did not get to the inspection location until November 24. CBSA did the inspection on December 2, which took less than one day to complete. The next day it was picked up, and returned to the port. Customs released it for delivery on January 4, so the process took 73 days to complete a one day CBSA inspection.
This example illustrates that even if the CBSA moves as quickly as it can, the system is still terribly blocked. This type of delay results in significant demurrage and detention costs to the importer and, ultimately, to the Canadian consumer. In this particular situation, the ocean carrier charged the importer $8,730 U.S. for demurrage.
One of the most important developments in the pandemic were measures that the regulatory authorities implemented to reduce delays. These were very welcome and demonstrated exactly the flexibility and scalability in our supply chain that so many of your witnesses have called for.
I urge the committee to call witnesses from the Canada Border Services Agency to first outline what it did, and what the implications were of the shortcuts in executing its mandates; and, second, to indicate whether we can keep these accelerated processes, or whether it plans to reverse the steps it took. Third, what other measures, such as better interdepartmental data sharing, is it implementing? The power of IT systems to facilitate trade is considerable, and we need aggressive action in this area. Finally, what measures exist and are warranted for more co-operation with American border authorities, especially in times of crisis?
Ultimately, the ability of the system to respond to increased volumes and maintain competitiveness relies on more modern infrastructure. The recent announcements by the government are encouraging if they are implemented efficiently.
Unfortunately, we have seen examples of promises not kept, or of seemingly endless reviews. The studies about the Roberts Bank terminal 2 project in Vancouver began in 2011. We still have no assurance that this project will proceed.
There is one particularly egregious example. In 2015, the federal budget promised the purchase of a large-scale imaging system for rapid inspections at the new Tsawwassen container examination facility in B.C. Not only has the system not been installed, we have spent years trying to get an answer from the department about its status. I hope the committee will use its authority to get some kind of explanation for the delay.
You have had witnesses urging a change to our competitive law to prevent ocean shipping firms from organizing cartels. We would endorse that action. The Shipping Conferences Exemption Act is long overdue for amendment. Across the world, many countries have announced that they will no longer permit these monopolistic practices, and it's time Canada made the same decision.
Let me just wrap-up our opening statement by saying this: Effective supply chains are a benefit to everyone, in every region, and every walk of life. I hope this committee is able to make a big contribution to the effort to improve ours.
We look forward to your questions. Thank you very much.