As a Canadian manufacturer of handbuilt mahogany and brass fishing reels, PEETZ is able to ship orders into the United States duty free. Based on the NAFTA agreement (North American Free Trade Agreement) which was signed in the early 90's, goods which are manufactured in Canada may be imported into the US without additional tariffs. And then add on the favourable currency exchange rate enjoyed by American purchasers today, you can save approximately 30% on Canadian goods.
What is NAFTA?
NAFTA came into effect on 1994. It is a trading bloc partnership between the United States, Mexico and Canada. Upon its creation it became the largest free trade zone in the world, and has fostered economic growth for all three countries. Negotiations started in 1990, and were done mostly by U.S. President George H. W. Bush, Canadian Prime Minister Brian Mulroney, and Mexican President Carlos Salinas, the signing authorities at the time of the treaty. There have been minor provisions since its inception, but its major purpose has stayed constant.
What is its Purpose?
NAFTA was set out to dictate and monitor commercial activity between its member nations. Since NAFTA came into effect, trade and investment levels have grown for all three countries. It has helped foster economic growth, job creation, and has provided better prices and selection for consumers.
Goods imported between NAFTA countries are exempt from import duties and tariffs while goods imported from non-NAFTA countries are not exempt from these tariffs. Simply stated, non-NAFTA imported products cost more for consumers. Because all of PEETZ fishing reels and tackle are handmade in North America, they can be imported into the United States or Mexico without tariffs and import taxes as outlined by NAFTA.
How does Currency Exchange add to further savings for American Buyers?
The NAFTA related savings noted above are meaningful (up to 15%) but when we consider USD to CDN dollar exchange rates, the savings are even more exciting. The US/Canadian dollar exchange rate is always fluctuating but this past year has seen the Canadian dollar drop significantly against the US dollar (predominantly due to lower oil prices and other natural resources). At the time this article was written, the rate was hovering around 1 USD = 1.30 CAD. This gives the consumer or traveler an extra thirty cents on the dollar for all purchases listed in Canadian dollars. These sizable discounts have caught the attention of many American buyers wanting North American made products or perhaps closer to home vacations up in Canada. The most important point in all of this is that NAFTA is accomplishing what it set out to accomplish...increased trade between the three participating North American countries.
If you are an American interested in our fishing reels, we try to make it easy for you. The shopping cart system used on the PEETZ Outdoors website allows our American and European customers to quickly convert between currencies to provide an estimate of the price they will pay. All transactions are then processed in Canadian currency, and your selected payment method will be charged in Canadian dollars at the current exchange rate.
The savings and value you receive are truly opportunities that shouldn’t be missed. Our standard Mooching Reel, the PEETZ 5” Evolution Reel (CDN$279) calculates to roughly USD$215, providing a savings of almost $65 dollars. Similarly, our PEETZ 3.5” Fly Reel (CDN$239) works out to USD$185.
Domestic US shipping is free for all orders over $200 CAD, and under the NAFTA trade agreement between Canada and United States there are no import duties.
We offer a selection of gear and tackle as well, all with similar savings! View our online store at www.peetzoutdoors.com or call toll free 800-883-0221 for more information.