EYB Passage knowledge centre

How to calculate the landed cost in Canada

A practical framework for calculating the total delivered cost instead of relying on an export price alone.

The export price is not the Canadian buyer's real cost. Freight, insurance, customs, tax, brokerage, domestic delivery and currency must be visible together.

Cost components

Keep each component separate and record its source, date and whether it is an assumption or a quote.

  • Product price and packaging
  • Incoterm and origin charges
  • Freight and insurance
  • Customs duty based on HS classification
  • Brokerage, port and domestic delivery
  • Currency, tax and target margin

Use three scenarios

Build optimistic, expected and risk cases. Show how a freight, currency or duty change affects the margin.

What remains unverified?

A freight estimate or benchmark duty may be a working assumption; it is not the product's final cost. Confirm classification and duty through current official sources or a qualified specialist.

Official sources