Sending a package via Canada Post this holiday season? Get ready to pay more – National

Canada Post is raising surcharges on domestic packages to nearly 40 percent as the price of living remains high across the country.

On November 28, the postal service will increase the surcharge to 39.5 percent for domestic services, which Canada Post says should offset higher fuel prices. The fuel surcharge of 14 Nov. until 20 Nov. was 38 percent. It currently stands at 39 percent.

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“We are directly affected by changes in fuel prices and are doing everything we can to ensure that the surcharge reflects current fuel prices and market dynamics,” Canada Post spokesman Phil Rogers told Global News.

“We charge a fuel surcharge on all parcel services, on top of the base rate for parcel shipments,” he says.

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When Kevin Bates arrived at a Canada Post Office in Halifax, lugging a box of toys for his grandchildren in Asia, he was willing to pay more than in previous years.

“I’m going to say shipping that box to where it’s going is probably going to be in the $125 range,” Bates said, adding, “I mean, he’s going overseas on planes. Uh, they, they keep of their fuel, so like everything else, costs go up, you know?

For Melissa Thompson, who works for a brokerage firm, sending a box of market updates to clients is an increasing expense.

“It’s gone up. I’ve noticed. I did it for the first time in a few months now and it was about $12, $15 more than usual.

Others find ways to avoid the increases.

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Nelson Larson was sending two packages, one to the Northwest Territories, the other to Newfoundland and Labrador.

He and his wife purchased prepaid boxes, which will be shipped to their destination by express mail.

“The box has already been prepaid. As long as you stay under 5 kilos, it’s good for anywhere in Canada.”

Consequences for entrepreneurs

For Urban Nails, a salon on Danforth Avenue in Toronto, supplies such as nail art and gel polish come to the store via Canada Post, and owner Kevin Nguyen has felt the effects.

“It certainly affects us because we can’t raise the price for the customer very often,” he told Global News.

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“It’s hard being a small business owner,” says Alicia Gray, owner of Bombshack, a specialty store and gift shop in Rossland, BC, that ships to customers via Canada Post.

With costs rising across the board, Gray finds it hard to explain why she’s had to raise prices at the store to her young customers who come regularly.


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“Many of my guests are children who are very unhappy,” she told Global News.

“Last time they were in, candy was $0.50, and now it’s $0.75. That’s a lot for them. It makes me sad.”

Canada Post bases their surcharges each week on the average price of diesel across Canada as measured by an independent company called Kalibrate Technologies Ltd.

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“Due to the fluctuation of fuel prices and their changing impact on operating costs, fuel surcharges are standard practice for parcel carriers,” explained Rogers on behalf of Canada Post.

“As Canada Post operates the largest transportation network in Canada, with thousands of vehicles in our fleet, this has been part of our standard practices for nearly 20 years and is the standard in the delivery industry given its dependence on fuel consumption.”

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At the beginning of July, the fuel surcharge for domestic services was 37 percent.

In addition to domestic services, packages shipped to the United States and internationally are also subject to a surcharge of 22.75 percent. Next week that will rise to 23 percent.

US and international parcel delivery services that currently see a 20.75 percent surcharge will receive a 21 percent surcharge starting Nov. 28.

However, priority worldwide shipping which is up 23.25 percent on Nov. 21 is the only method that will see a drop in price next week. From November 28, the surcharge will be reduced to 21.25 percent.

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