January 11, 2008 ~ Ottawa, Ontario… Minister of National Revenue Gordon O'Connor today announced that the Canada Revenue Agency (CRA) has distributed to six Canadian provinces close to $470 million in revenue from export charges on exports of softwood lumber products destined for the U.S.

The six provinces whose products may be subject to the export charge under the September 2006 Canada-U.S. Softwood Lumber Agreement (SLA) are: British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Quebec. Exports of softwood lumber products from the Atlantic provinces are not subject to the export charge.

“The productive working relationship that Canadian companies, the provinces and the CRA have established to administer this agreement has been critical to its overall success,” said Minister of National Revenue Gordon O'Connor. “The government and the CRA remain committed to working closely with companies and the provinces to ensure the ongoing success of the agreement.”

“This is a demonstration that the SLA is working and delivering tangible benefits,” said Minister for International Trade David Emerson. “The agreement ended the costly cycle of litigation. After returning over $5 billion in duties directly to Canadian companies, the revenues from the export charge are now being paid to provinces rather than staying in the U.S. as duties.”

Under the Softwood Lumber Products Export Charge Act, 2006, the Minister of National Revenue is mandated to distribute among the provinces subject to the export charge the amounts collected, minus administrative and other costs incurred by the Government of Canada. The first payment covers revenues collected minus costs for the period between the entry into force of the SLA on October 12, 2006, and September 30, 2007. Future payments will be calculated on a quarterly basis.

Payments have been made as follows:

Québec $24,106,276
Ontario $19,774,575
Manitoba $1,455,063
Saskatchewan $337,081
Alberta $49,995,187
British Columbia $371,861,840
Total  $467,530,022