Contents
Part 2 · Class B Precursors
Exemption
55#
With respect to a Class B precursor that is a preparation or mixture, a person who conducts an activity mentioned in section 57 is exempt from the requirements of these Regulations, except requirements applying to production for the purpose of sale or provision, if the preparation or mixture contains a precursor set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act and the contained precursor, either alone or with any other precursor of the same type, does not constitute more than 30% of the preparation or mixture by weight or volume, in the case of a solid or liquid, respectively.note
56#
A person who uses a Class B precursor that is described in section 55 or is the subject of an authorization certificate under section 77, to produce another Class B precursor that is a preparation or mixture, is exempt from the requirements of these Regulations in respect of that production.note
Limitation on Activities
57#
(1)No person other than a registered dealer may produce a Class B precursor for the purpose of sale or provision.
(2)A registered dealer may import a Class B precursor.
(3)Subject to subsection (4), a registered dealer may export a Class B precursor and may possess the precursor for the purpose of the export.
(4)In the case of a country named in a table referred to in paragraph (a) or (b) and a Class B precursor identified in the table as one requiring notice of pre-exportation to that country, a registered dealer may only export the Class B precursor to the country if the registered dealer holds a Class B export permit in respect of the precursor and complies with the conditions of the permit:
(a)the table entitled “Governments that have requested pre-export notifications pursuant to article 12, paragraph 10(a), of the 1988 Convention”, contained in the most recent INCB annual report concerning the implementation of article 12 of the United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances of 1988; or
(b)the table entitled Supplementary Table of Countries Requiring Pre-Export Notification With Regard to Class B Precursors, published by the Department of Health, as amended from time to time, listing the countries that, according to notification from the INCB to the Minister since publication of the most recent annual report referred to in paragraph (a), have made a formal request to the United Nations to receive notice of pre-exportation in respect of the shipment to the country of Class B precursors.
Authorization Concerning Preparations and Mixtures
57.1#
Despite section 57, with respect to a Class B precursor that is a preparation or mixture, a person may import, export or possess for those purposes if
(a)the preparation or mixture is the subject of an authorization certificate under section 77; and
(b)no notice indicating that the certificate has been revoked or is under suspension appears on a Government of Canada website.
note
Registration
Eligibility
58#
To be eligible to apply for registration, a person must be
(a)an individual who ordinarily resides in Canada; or
(b)a corporation that has its head office or a branch office in Canada.
59#
(1)A registered dealer must designate a senior person in charge, who may, if appropriate, be the registered dealer, to have overall responsibility for management of the registered dealer’s Class B precursor activities.
(2)A registered dealer must designate a contact person, for each site where the registered dealer conducts Class B precursor activities, to work at the site, who may, if appropriate, be the senior person in charge, and who has good knowledge of the Class B precursor activities carried out at the site and the use and handling of the relevant precursors including the risk of those precursors being diverted to an illicit market or use.
(3)The senior person in charge
(a)must be familiar with the provisions of the Act and these Regulations that apply to the registered dealer’s Class B precursor activities and have sufficient knowledge concerning the use and handling of the Class B precursors dealt with by the registered dealer to which the registration applies, including the risk of those precursors being diverted to an illicit market or use, to enable them to properly perform their responsibilities; and
(b)must not have been convicted, as an adult, within the previous 10 years, of
(i)a designated drug offence,
(ii)a designated criminal offence, or
(iii)an offence committed outside of Canada that, if committed in Canada, would have constituted an offence referred to in subparagraph (i) or (ii).
note
Application
60#
(1)An application for registration or to renew a registration shall be made to the Minister and contain the following information and statement:
(a)the applicant’s name or, if the applicant is a corporation, their corporate name and any other name registered with a province, under which the applicant will carry out the activities set out in the application or will identify itself;
(b)the applicant’s address or, if the applicant is a corporation, their head office address in Canada, if applicable;
(c)the applicant’s precursor activity profile concerning Class B precursors, being
(i)the name, if any, of each Class B precursor that the applicant intends to produce for sale or provision, import, export or have in possession for export, otherwise a description of its chemical composition,
(ii)if a Class B precursor referred to in subparagraph (i) is a preparation or mixture, its product classification having regard to its intended use and the names of all precursors set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act that it contains;
(iii)the Class B precursor activity mentioned in section 57 that the applicant intends to carry out in respect of each precursor identified under subparagraphs (i),
(iv)the address of each site where the applicant intends to conduct Class B precursor activities, and
(v)the postal address of each site to which subparagraph (iv) applies, if different,
(d)the name, date of birth and gender of the senior person in charge and their telephone number, facsimile transmission number and e-mail address;
(f)in the case of an application to renew a registration, the number of the registration to be renewed; and
(g)a statement that the internal controls pertaining to Class B precursors are sufficient to support a reliable system of record-keeping in respect of the precursor activities and precursor inventory applicable to the registered dealer’s precursor activity profile and to permit the Minister to verify those activities.
(2)The application must
(a)be signed by the senior person in charge for the applicant; and
(b)include a statement by the signatory that
(i)the information and documents provided in the application are correct and complete to the best of the knowledge of the signatory, and
(ii)the senior person in charge has the authority to bind the applicant.
(3)The application must be accompanied by
(a)a statement signed by the senior person in charge stating that they have not, as an adult, been convicted within the previous 10 years of
(i)a designated drug offence,
(ii)a designated criminal offence, or
(iii)an offence committed outside of Canada that, if committed in Canada, would have constituted an offence referred to in subparagraph (i) or (ii);
(b)a document issued by a Canadian police force or by a business that is accredited by the Royal Canadian Mounted Police, indicating whether, during the 10 years before the day on which the application is submitted, the senior person in charge was convicted, as an adult, of an offence mentioned in subparagraph (a)(i) or (ii);
(b.1)if the senior person in charge has ordinarily resided in a country other than Canada during the 10 years before the day on which the application is submitted, a document issued by a police force of that country indicating whether in that period that person was convicted, as an adult, of an offence mentioned in subparagraph (a)(iii); and
(c)if applicable, a copy of
(i)the certificate of incorporation or other constituting instrument for the applicant, and
(ii)any document filed with a province in which there is a site referred to in subparagraph (1)(c)(iv) that states the applicant’s corporate name and any other name registered with the province under which the applicant will carry out activities in respect of precursors or will identify itself.
Additional Information
Registration and Certificate
62#
Subject to section 63, if the requirements of section 60 are met, the Minister shall register the applicant or renew the applicant’s registration, and issue a registration certificate indicating
(a)the registration number;
(b)the name of the registered dealer or, if the registered dealer is a corporation, its corporate name;
(c)the applicant’s address or, if the applicant is a corporation, its head office address in Canada, if applicable;
(d)the effective date of the certificate;
(e)the date of expiry of the certificate; and
(f)any conditions that are necessary to
(i)ensure that the international obligations of Canada are respected, or
(ii)ensure compliance with the Act and these Regulations, including by reducing the risk of a Class B precursor being diverted to an illicit market or use.
note
Grounds for Refusal
63#
(1)Subject to subsection (2), the Minister shall refuse to register an applicant or renew an applicant’s registration if
(a)the applicant is not eligible under section 58;
(b)the Minister has reasonable grounds to believe that any information or document included in the application is false or misleading;
(c)additional information required under section 61 has not been provided or is insufficient to process the application;
(d)the registration would permit an activity that would not be in compliance with an international obligation of Canada;
(e)information received from a competent authority, the United Nations or a peace officer raises a reasonable belief that the applicant has been or will be involved in the diversion of a controlled substance or precursor to an illicit market or use;
(f)the applicant is not, or within the previous 10 years has not been, in compliance with
(ii)a condition of a licence, registration certificate or permit issued to it under any regulation made or continued under the Act;
(g)the senior person in charge mentioned in the application has been convicted, as an adult, within the previous 10 years of
(i)a designated drug offence,
(ii)a designated criminal offence, or
(iii)an offence committed outside of Canada that, if committed in Canada, would have constituted an offence referred to in subparagraph (i) or (ii); or
(h)the registration would likely create a risk to public health, safety or security, including the risk of a Class B precursor being diverted to an illicit market or use.
(2)The Minister is not required to refuse to register an applicant or renew an applicant’s registration under paragraph (1)(b) or (f) if the applicant
(b)has carried out, or signed an undertaking to carry out, specified corrective measures to ensure compliance with the Act and these Regulations.
Length of Validity
64#
A registration is valid for a maximum of five years from the effective date of the registration.
Notice of Change of Information
65#
(1)A registered dealer shall give notice to the Minister in writing of any change of information provided in the application for registration or any subsequent notice of change given under this subsection.
(2)Subject to subsection (5), the notice shall be given not later than 10 days after the change takes effect.
(3)If the change deals with information shown on the registration certificate, the registered dealer shall include the original certificate with the notice given under subsection (1).
(4)Subject to section 67, if the requirements of subsections (1) to (3) are met, the Minister shall amend the registration certificate accordingly and may add any condition necessary to
(a)ensure that the international obligations of Canada are respected; or
(b)ensure compliance with the Act and these Regulations, including by reducing the risk of a Class B precursor being diverted to an illicit market or use.
(5)If the change deals with the designation of a replacement for the senior person in charge, the registered dealer shall
(a)apply for the approval of the Minister before making the change; and
(b)include with the application the information mentioned in paragraph 60(1)(d) and the statements mentioned in paragraphs 60(3)(a) and (b).
(6)If the senior person in charge ceases to act in that capacity due to death or an unforseen circumstance, the registered dealer may authorize another person who satisfies the requirements of subsection 59(3) to act as the interim senior person in charge until approval is granted by the Minister concerning the designation of a replacement for the senior person in charge.
(7)A registered dealer shall advise the Minister within 10 days if the senior person in charge for the site ceases to act in that capacity.
note
Changes to Conditions of Registration
65.1#
(1)The Minister may, at any time other than at registration, renewal of a registration or amendment of a registration certificate, add a condition to, or modify a condition of, the registration certificate if the Minister gives prior written notice to the registered dealer and has reasonable grounds to believe that the addition or modification is necessary to
(a)ensure that the international obligations of Canada are respected; or
(b)ensure compliance with the Act and these Regulations, including by reducing the risk of a Class B precursor being diverted to an illicit market or use.
(2)However, the Minister may add a condition to, or modify a condition of, the registration certificate without prior notice if the Minister has reasonable grounds
(a)to believe that it is necessary to do so to protect public health, safety or security; or
(b)to suspect that it is necessary to do so to prevent a Class B precursor from being diverted to an illicit market or use.
note
65.2#
The Minister may delete from the registration certificate a condition that the Minister determines is no longer necessary. Any such deletion takes effect as soon as the Minister notifies the registered dealer in writing of the deletion.note
Revocation or Suspension
66#
The Minister shall revoke a registration at the request of the registered dealer or if the registered dealer informs the Minister that the certificate has been lost or stolen.note
67#
(1)Subject to subsection (2), the Minister shall revoke a registration if
(a)the registered dealer is no longer an eligible person under section 58;
(b)the registration was made on the basis of false or misleading information or false or falsified documents;
(c)the registered dealer has failed to comply with a provision of the Act or any regulation made under the Act or with a condition of a registration certificate, licence or import or export permit issued under any regulation made or continued under the Act;
(d)it is discovered that the senior person in charge has been convicted, as an adult, within the previous 10 years of
(i)a designated drug offence,
(ii)a designated criminal offence, or
(iii)an offence committed outside of Canada that, if committed in Canada, would have constituted an offence referred to in subparagraph (i) or (ii);
(e)information received from a competent authority, the United Nations or a peace officer raises a reasonable belief that the registered dealer has been or will be involved in the diversion of a controlled substance or precursor to an illicit market or use;
(e.1)the continuation of the registration would likely create a risk to public health, safety or security, including the risk of a Class B precursor being diverted to an illicit market or use; or
(f)the registration would permit, having regard to an activity mentioned in a notice of change of information, an activity that would not be in compliance with an international obligation of Canada.
(2)The Minister is not required to revoke a registration under paragraph (1)(b) or (c) if the registered dealer
(b)has carried out, or signed an undertaking to carry out, corrective measures to ensure compliance with the Act and these Regulations.
(3)The Minister may revoke a registration if the registered dealer fails to comply with a decision of the Minister to suspend the registration under subsection 68(1) or if the situation giving rise to the suspension is not rectified.
note
68#
(1)The Minister shall, without prior notice, suspend a registration in respect of any authorized activities in relation to any Class B precursor if the Minister has reasonable grounds
(a)to believe that the suspension is necessary to protect public health, safety or security; or
(b)to suspect that the continuation of the activities presents a risk of a Class B precursor being diverted to an illicit market or use.
(2)The Minister shall reinstate the registration in respect of any activities affected by the suspension if the reasons for the suspension no longer exist or the holder demonstrates that the suspension is unfounded.
note
Export
Application for Export Permit
69#
(1)An application for a Class B export permit shall be made by a registered dealer to the Minister in writing and contain the following information and statements:
(a)the registered dealer’s name and address and the number of their registration certificate;
(b)the business number assigned to the registered dealer by the Minister of National Revenue;
(c)for the Class B precursor sought to be exported
(i)its name or a description of its chemical composition, and its Harmonization System Code,
(ii)if it is a preparation or mixture, its brand name, if any, and the names of all precursors set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act that it contains,
(iii)the quantity sought to be exported, and in the case of a preparation or mixture, the quantity of all precursors set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act that it contains, and
(iv)in the case of a raw material, its purity;
(d)the name of the importer and their address in the country of final destination;
(e)the proposed means of transportation;
(e.1)the name of any proposed country of transit or transhipment;
(f)the name of the carrier that is proposed to transport the precursor through the port of exit;
(g)the proposed port of exit from Canada;
(h)the proposed date of export;
(i)the name and address of the proposed customs broker for the registered dealer, if any; and
(j)a statement by the registered dealer that to the best of their knowledge the shipment would not contravene the laws of the country of final destination or any country of transit or transhipment.
(k)[Repealed, SOR/2025-246, s. 21] (repealed)
(2)The application must
(a)be signed by the senior person in charge; and
(b)include a statement that the information and statements provided in the application are correct and complete to the best of the knowledge of the signatory.
(3)The application may deal with more than one Class B precursor for the same shipment.
Issuance of Export Permit
70#
(1)Subject to section 71, if the requirements of section 69 are met, the Minister shall issue to the applicant a Class B export permit that indicates
(a)the permit number;
(b)the information referred to in paragraphs 69(1)(a) to (i);
(c)the effective date;
(d)the date of expiry, being the earliest of
(i)a date determined by the Minister that is not more than 180 days after the effective date,
(ii)the date of expiry of the registration certificate of the applicant, and
(iii)the date of expiry for any import authorization issued by the competent authority in the country of final destination in respect of the importation of the Class B precursor; and
(e)any conditions that are necessary to
(i)ensure that the international obligations of Canada are respected,
(ii)ensure compliance with a requirement of the country of final destination or any country of transit or transhipment, or
(iii)ensure compliance with the Act and these Regulations, including by reducing the risk of a Class B precursor being diverted to an illicit market or use.
(2)A Class B export permit is valid until the earliest of
(a)the expiry date set out in the permit;
(b)the day on which the registration is revoked or suspended under section 66 or 67 or subsection 68(1); and
(c)the day on which the export permit is revoked or suspended under section 73 or 74 or subsection 75(1).
Grounds for Refusal
71#
The Minister shall refuse to issue a Class B export permit if
(a)the applicant is not a registered dealer or is a registered dealer whose registration certificate will expire prior to the proposed date of export;
(b)a circumstance described in any of paragraphs 63(1)(b) to (f) and (h), with any modifications that the circumstances require, exists with respect to the permit application;
(c)the Minister has reasonable grounds to believe that the export shipment to which the permit would apply would contravene the laws of the country of final destination or any country of transit or transhipment;
(d)within seven days after the Minister sends pre-export notification of the proposed export to the competent authority in the country of final destination, the Minister has received written notice from the authority that it has refused to authorize the proposed import or that it objects to the import; or
(e)the proposed shipment would not be in conformity with an import authorization or letter of non-objection issued by the competent authority in the country of final destination.
note
Surrender of Export Permit
72#
The holder of a Class B export permit shall ensure that
(a)an official copy of the permit is attached to the Class B precursor shipment; and
(b)an official copy of the permit is surrendered to a customs officer at the customs office at the port of exit set out in the permit.
Declaration
72.1#
(1)Within 15 days after a shipment containing a Class B precursor is exported, the holder of a Class B export permit for the shipment shall provide the Minister with a declaration containing the following information:
(a)the name of the holder and permit number for the shipment;
(b)the port of exit from Canada for the shipment;
(c)the date of export;
(d)the name of the precursor being shipped or a description of its chemical composition, as stated in the permit; and
(e)the quantity of the precursor being shipped and, if it is a preparation or mixture, the quantity of all precursors set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act that it contains.
(2)The declaration must
(a)be signed by the senior person in charge designated by the registered dealer; and
(b)include a statement that all information set out in the declaration is correct and complete to the best of the knowledge of the signatory.
note
Revocation or Suspension of Permit
73#
The Minister shall revoke a Class B export permit at the request of the holder or if the holder informs the Minister that the permit has been lost or stolen.
74#
(1)Subject to subsection (2), the Minister shall revoke a Class B export permit if
(a)a circumstance described in any of paragraphs 67(1)(a) to (f) exists with respect to the registration of the holder of the permit; or
(b)the export permit was issued on the basis of false or misleading information or false or falsified documents.
(2)The Minister is not required to revoke a Class B export permit under subsection (1) if the holder of the permit meets the conditions referred to in subsection 63(2).
(3)The Minister may revoke a Class B export permit if the holder fails to comply with the decision of the Minister to suspend a permit under subsection 75(1) or if the situation giving rise to the suspension is not rectified.
75#
(1)The Minister shall suspend a Class B export permit without prior notice if
(a)the registration certificate of the holder of the permit has expired or their registration has been suspended or revoked;
(b)the Minister has reasonable grounds to believe that the suspension is necessary to protect public health, safety or security;
(b.1)the Minister has reasonable grounds to suspect that the continuation of the permit presents a risk of a Class B precursor being diverted to an illicit market or use;
(c)the shipment would not be in conformity with an import authorization or letter of non-objection issued by the competent authority in the country of final destination; or
(d)it is discovered that the export would contravene the laws of the country of final destination or a country of transit or transhipment.
(2)The Minister shall reinstate the Class B export permit if the reasons for the suspension no longer exist or the holder demonstrates that the suspension is unfounded.
Preparations and Mixtures
Application for Authorization Certificate
76#
(1)With respect to a Class B precursor that is a preparation or mixture, a person who produces for the purpose of sale or provision, or imports, or desires to do either, may apply for an authorization certificate for the preparation or mixture, by submitting an application to the Minister containing the following information and statements:
(a)the applicant’s name or, if the applicant is a corporation, their corporate name;
(b)if the applicant is a registered dealer, the number of their registration certificate;
(b.1)if the person is not the producer of the preparation or mixture, the name of the producer or, if the producer is a corporation, its corporate name;
(b.2)the address and the telephone number and facsimile transmission number, if any, of the producer of the preparation or mixture;
(c)in respect of the preparation or mixture for which the application is made
(i)its name, if any, otherwise a description of its chemical composition, and its brand name, if any,
(ii)its qualitative and quantitative composition including all chemical ingredients,
(iii)its physical and chemical properties and any difference between those properties and the physical and chemical properties of the chemical ingredients that are precursors set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act,
(iv)the type of analyses used to evaluate its purity and stability, and
(v)its intended use;
(d)a statement, by the producer of the preparation or mixture, that the preparation or mixture is made in such a way that no precursor set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act contained in it can be readily extracted, having regard to the complexity and cost of extraction, and that the preparation or mixture cannot be used in the production of a controlled substance; and
(e)a statement, by the producer of the preparation or mixture, justifying the application for the certificate, and identifying the scientific principles and any other information in support of the statement under paragraph (d).
(2)The application must
(a)be signed by
(i)a person working for the applicant having supervisory responsibilities pertaining to the preparation or mixture and sufficient knowledge to confirm the information set out in the application, or
(ii)the senior person in charge for the site, if the applicant is a registered dealer; and
(b)include a statement that all information set out in the application is correct and complete to the best of the knowledge of the signatory.
Issuance of Authorization Certificate
77#
(1)Subject to section 78, if an application complies with the requirements of section 76, the Minister shall issue to the applicant an authorization certificate that indicates
(a)the certificate number;
(b)the name, if any, of the preparation or mixture that is the subject of the certificate, otherwise a description of its chemical composition, and its brand name, if any;
(c)the name of the applicant or, if the applicant is a corporation, their corporate name;
(d)the effective date; and
(e)any conditions that are necessary to
(i)ensure that international obligations of Canada are respected, and
(ii)ensure compliance with the Act and these Regulations, including by reducing the risk of a Class B precursor being diverted to an illicit market or use.
(2)The holder of an authorization certificate shall, on request, provide a copy of the certificate to any person conducting an activity in relation to the preparation or mixture to which the certificate applies.
Grounds for Refusal
78#
The Minister shall refuse to issue an authorization certificate if, according to the information provided and scientific data or other information or evidence available, a precursor set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act can be readily extracted from the preparation or mixture that is the subject of the application, having regard to the complexity and cost of extraction, or the preparation or mixture can be used in the production of a controlled substance.note
Document Accompanying Shipment
79#
A person who exports a preparation or mixture mentioned in an authorization certificate shall ensure that the shipment is accompanied by a document containing:
(a)a statement that the preparation or mixture is subject to an authorization certificate under section 77; and
(b)the certificate number for the preparation or mixture.
note
Revocation and Suspension
81#
(1)The Minister shall revoke an authorization certificate if it was issued on the basis of false or misleading information or false or falsified documents.
(2)The Minister may revoke an authorization certificate if the holder fails to comply with a decision of the Minister to suspend the certificate under section 82 or if the situation giving rise to the suspension is not rectified.
note
82#
The Minister shall, without prior notice, suspend an authorization certificate if
(a)new scientific evidence or other new information demonstrates that a precursor set out in Table 2 of Part 2 of Schedule V or in Part 2 of Schedule VI to the Act can be readily extracted from the preparation or mixture mentioned in the certificate, having regard to the complexity and cost of extraction, or demonstrates that the preparation or mixture may be or has been used in the production of a controlled substance;
(b)the Minister has reasonable grounds to believe that the suspension is necessary to protect public health, safety or security; or
(c)the Minister has reasonable grounds to suspect that the continuation of the authorization certificate presents a risk of a Class B precursor being diverted to an illicit market or use.
note
Federal laws of Canada reproduced under the Reproduction of Federal Law Order (SI/97-5); not the official version. Source: Justice Laws Website.