Why is Canada so expensive?

[entle]

fobtastic:

When the D60 was selling for $US2200, it was selling for $CA3500. That was $CA200 above the US price, given the older exchange rate of 1.5. That was about 6% higher.

Now the 10D is available for $US1500, and is generally selling for $CA2500. That's $CA415 above the US price, given the new exchange rate of 1.39. That's about 20% higher.

I called Canon Canada and asked why our Canadian prices are suddenly so much higher than the American prices. The guy I spoke to blamed import duties and taxes, but when I pointed out that the discrepancy in the D60 was much less, he didn't have an answer. Unless Canadian import duties and taxes suddenly jumped 14%, then his story would be true. Gosh and shucks. Blame the government.

What's interesting, though, is that he seemed to encourage me to buy American. He told me that as long as the warranty said USA and Canada, Canon Canada would honor the warranty. I've started doing business with BHphoto and the (not so) dreaded UPS. I've also been very happy. I encourage you to speak to Canon Canada and express your concerns over alleged price gouging. I also encourage you to buy American and write Henry's/Vistek/Aden and tell them how much you got it for and let them put the pressure on Canon Canada. I don't think the local dealers realize the number of people who are ordering from the states and how much business they're losing.

regards

 

[Negative287]

I wasn't referring to just Canada, the world economy runs through the US!

I like Canada and my wife is Canadian but there are several reasons
for this...

in Ontario,

7% Government Sales Tax
7% Provincial Sales Tax

A poor economy

almost 40% income tax

and a socialist type government that is trying to pay for every
program under the sun (read Healthcare).

Somebody has to cover the cost it might as well be taxable goods...

I won't even go in to the Duty.

Remember also, you don't have to pay tax when you the Internet and
these companies in the US probably deal in a much larger volume.

 

[Negative287]

I like Canada and my wife is Canadian but there are several reasons
for this...

in Ontario,

7% Government Sales Tax
7% Provincial Sales Tax

Tell me how this affects the sticker price of a camera please?
These taxes notwithstanding, the price on the counter is much
higher in Canada. In any case these are theoretically payable on
import so they are not a factor in the price difference.

Take more taxes and people have less to spend! That means they sell less and thus need to sell higher to make a decent profit. Of course, List is higher then Street on a camera and that is totally up to the shop owners discretion.

A poor economy

The Canadian economy is currently in much better shape than the US
economy. Positive growth, vs an ongoing slump.

With a population less then New England and New York combind? Yeah that's a booming economy for a country that has twice the land! Face it, they don't have the same quality of economy even if it hasn't hit a recession.

almost 40% income tax

probably closer to 45% at the top level :-(

I know, I lived there and am not just speaking ignorantly!

and a socialist type government that is trying to pay for every
program under the sun (read Healthcare).

Of course all residents HAVE healthcare .

Yeah that's not a burden on the country huh? Now tell me about the quality of that health care? How long would you wait for say a Kidney?

Somebody has to cover the cost it might as well be taxable goods...

I won't even go in to the Duty.

Duty, what duty? I don't believe that there is duty on photo
equipment. If there is it is in the single digits.

Last time I checked there was no free trade agreement between Japan and Canada so I'd bet someone is paying a fee to the government.

Remember also, you don't have to pay tax when you the Internet and
these companies in the US probably deal in a much larger volume.

This is certainly a factor insofar as how close to cost dealers
will sell. However I am certan that Canadian photo distributers
simply charge the dealers more. I think that for the most part,
Canadian dealers just don't feel the need to compete.

That may be the case because National Pride is big up there and in the US we abandoned a lot of that when the big companies decided that profit was more important then quality.

--
Bob Roy

Again though, I'm not down on the country... I lived there and would love to go back but my wife won't go! I'm not beyond the belief that it has issues that contribute to the cost of things... People were paying $5 a pack for cigarettes in 1996 in Canada (I don't smoke) most US places it's just over $3... Gas is a topic I won't even get in to but I'm certain it comes down to buying power and government Greed!

 

[Negative287]

Brent, this is my point exactly! I wasn't saying the country stinks! I was merely pointing out that somebody has to pay for the stuff that is going on up there and you had better believe it is effecting product pricing!

As far as them not being socialist, they're closer to the French model then the US model.

The government is far from socialist, but they do overtax us, then
waste the money on a lot of moronic boondoggles (gun registry,
$800,000 jail cells for terrorists, the Senate, etc.).

But to paraphrase Churchill, "Canada has the worst form of
government in the world, except for all the others."

I like Canada and my wife is Canadian but there are several reasons
for this...

in Ontario,

7% Government Sales Tax
7% Provincial Sales Tax

A poor economy

almost 40% income tax

and a socialist type government that is trying to pay for every
program under the sun (read Healthcare).

Somebody has to cover the cost it might as well be taxable goods...

I won't even go in to the Duty.

Remember also, you don't have to pay tax when you the Internet and
these companies in the US probably deal in a much larger volume.

 

[Brian Greenway]

Exelent comment Brent. If I had to pay American healthcare costs for all my wifes heart surgery, etc I would not be buying a Canon 10D (as I have), in fact I know I would be bankrupt!

The US is as 'Socialist' as most Western countires, if not more. The US government subsidizes its wood, oil, and agricultural industries to a high degree and even has something called "Social Security" . Lets stop this name-calling of 'socialist' (it is a an old 50's euphamism for communist ). If the 'socialist' economies of Norway, Germany, Sweden can provide high standards of living and a minimum of 4 weeks vacation and more, I think the US 'free enterprise captialism' system has not quite got it right.

I, for one, have been opposed to recent tax cuts in Ontario. They have not created jobs (today it reached 7.8% unemployed) and have left our schools, hosptials, and municipalities crumbling.

For the record, there's no duty on new or used camera equipment
from the US into Canada, but you do have to pay PST and GST on
shipments from retailers and on private deals.

The government is far from socialist, but they do overtax us, then
waste the money on a lot of moronic boondoggles (gun registry,
$800,000 jail cells for terrorists, the Senate, etc.).

But to paraphrase Churchill, "Canada has the worst form of
government in the world, except for all the others."

 

[Olivia T. BvG]

No idea why this is so, but it has been one of my complaints for many years. If you go by the differences of value of the Canadian dollar versus the American dollar, then this doesn't make sense. Does anyone has any experience with servicing their camera's or lenses, when they buy them from the US?

Sorry if this is off-topic, but...

I've only really checked out Canon gear, but I would assume that
this holds true for the other companies too. Anyway, yeah, so why
is camera gear so much more expensive in Canada?

In Toronto I've found the cheapest place to be Aden Camera.
However, when compared to American shops such as B&H, the prices at
Aden are just plain ridiculous! We're talking over 25% more!

While I'd like to support the local economy, I can't help but feel
ripped off if I buy Canadian. I'm seriously considering taking a
road trip down to Buffalo to pick up a 10D.

--
Olivia
http://www.pbase.com/soulsurfer
http://photos.yahoo.com/whispersfromspirit

 

[Steve Mason]

Using current Yahoo exchange rate (you will actually spend slightly
more then this).

Vendor: B&H

600/4 IS: C$10,025.93

Vendor: Vistek (typical for Canada): C$13500

That $3,500 will buy a lot of shipping. Since your importing it
anyway, you can get the B&H import version for
C$9,608.18

Yep, you're right. that's a pretty huge difference.
And apparently I was wrong about the exchange rate.
Man, that's 3 times I've been wrong this week....
TGIF!

--
'To not quite infinity!' -- Buzz Frontfocus
Equipment list in profile

 

[Steve Mason]

For the record, there's no duty on new or used camera equipment
from the US into Canada, but you do have to pay PST and GST on
shipments from retailers and on private deals.

The government is far from socialist, but they do overtax us, then
waste the money on a lot of moronic boondoggles (gun registry,
$800,000 jail cells for terrorists, the Senate, etc.).

But to paraphrase Churchill, "Canada has the worst form of
government in the world, except for all the others."

LOL, can't argue with any of that!

--
'To not quite infinity!' -- Buzz Frontfocus
Equipment list in profile

 

[Steve Mason]

1GB card is 339

--
'To not quite infinity!' -- Buzz Frontfocus
Equipment list in profile

 

[John Davis]

Exelent comment Brent. If I had to pay American healthcare costs
for all my wifes heart surgery, etc I would not be buying a Canon
10D (as I have), in fact I know I would be bankrupt!

There you go... only in a rich western socialist country who forces everyone into a paid-for (however arguably mediocre) healtcare system, gives you the luxury to keep pocket change for your toys, as you point out.

John

The US is as 'Socialist' as most Western countires, if not more.
The US government subsidizes its wood, oil, and agricultural
industries to a high degree and even has something called "Social
Security" . Lets stop this name-calling of 'socialist' (it is
a an old 50's euphamism for communist ). If the 'socialist'
economies of Norway, Germany, Sweden can provide high standards of
living and a minimum of 4 weeks vacation and more, I think the US
'free enterprise captialism' system has not quite got it right.

I, for one, have been opposed to recent tax cuts in Ontario. They
have not created jobs (today it reached 7.8% unemployed) and have
left our schools, hosptials, and municipalities crumbling.

For the record, there's no duty on new or used camera equipment
from the US into Canada, but you do have to pay PST and GST on
shipments from retailers and on private deals.

The government is far from socialist, but they do overtax us, then
waste the money on a lot of moronic boondoggles (gun registry,
$800,000 jail cells for terrorists, the Senate, etc.).

But to paraphrase Churchill, "Canada has the worst form of
government in the world, except for all the others."

 

[fobtastic]

You're lucky to have friends from the US who can brings stuff up for you. Although I was really considering taking a trip down to Buffalo for the 10D, I've decided to just buy locally because I'm worried about any possible problems that may arise. I know the warranty is valid in US and Canada, but I still like the idea of being able to exchange the camera if need be.

I managed to get a quote on the 10D for about $2400 after tax, which is still a lot more expensive than the US, but substantially less than anywhere else in Canada. Like you, I'm not going to be making any money off of this thing (at least for now). In fact, I'm a starving University student, and this purchase is about to burn a nice large hole in my pocket.

i have the same dilema... living downtown i did some leg works and
asked 5-6 sales ppl on different occasions from 3 local stores...
all of them say exact same thing... they do know how much it is
cheaper in the states... the reason why the price wont come down is
because they are selling too well! why lower the price when people
seem to buy at the current one?

i got me 28-135 USM from B&H and 50mm prime when i was in NY...
obviously no gst&pst... screw that...

my friends are coming over from the states pretty soon... they
bring over the body...

in canada C$2499 x 1.15 = C$2874
from states $1350 x 1.4 = C$1890

i'm sorry... that's almost C$1k difference... i love canada and
all, but this is too much... if the price before tax was anywhere
near US price, i wouldnt think twice... but this just stupid...
even after tax i can still save over $700 bucks.

the thing thou, if you are a PRO, this doesn't matter all that
much. I'm just a guy who wants to replace his 3 year old G1... i
will never ever make a cent back from my 10D... so i'm forced to
look for THE lowest price possible...

 

[fobtastic]

There seems to be a lot of Canadians on this forum. Perhaps an organized group effort to put pressure on Canon Canada and the retailers may be a good idea.

fobtastic:

When the D60 was selling for $US2200, it was selling for $CA3500.
That was $CA200 above the US price, given the older exchange rate
of 1.5. That was about 6% higher.

Now the 10D is available for $US1500, and is generally selling for
$CA2500. That's $CA415 above the US price, given the new exchange
rate of 1.39. That's about 20% higher.

I called Canon Canada and asked why our Canadian prices are
suddenly so much higher than the American prices. The guy I spoke
to blamed import duties and taxes, but when I pointed out that the
discrepancy in the D60 was much less, he didn't have an answer.
Unless Canadian import duties and taxes suddenly jumped 14%, then
his story would be true. Gosh and shucks. Blame the government.

What's interesting, though, is that he seemed to encourage me to
buy American. He told me that as long as the warranty said USA and
Canada, Canon Canada would honor the warranty. I've started doing
business with BHphoto and the (not so) dreaded UPS. I've also been
very happy. I encourage you to speak to Canon Canada and express
your concerns over alleged price gouging. I also encourage you to
buy American and write Henry's/Vistek/Aden and tell them how much
you got it for and let them put the pressure on Canon Canada. I
don't think the local dealers realize the number of people who are
ordering from the states and how much business they're losing.

regards

 

[Shawn LeBleu]

Antagonist: You are wrong on this one. There is no duty on anything made in the USA, Canada, or Mexico. (the NAFTA agreement of 1988). If the item you are bringing into Canada was made in China lets say, you pay Chinese duty on them which is in the neighborhood of 18%.

Also, not to mention you pay GST on EVERTHING.

There are no specific duties on specific items, it is strictly based on the country in which it was manufactured. Hope this clears thing up a bit.

Shawn

John

Sorry if this is off-topic, but...

I've only really checked out Canon gear, but I would assume that
this holds true for the other companies too. Anyway, yeah, so why
is camera gear so much more expensive in Canada?

In Toronto I've found the cheapest place to be Aden Camera.
However, when compared to American shops such as B&H, the prices at
Aden are just plain ridiculous! We're talking over 25% more!

While I'd like to support the local economy, I can't help but feel
ripped off if I buy Canadian. I'm seriously considering taking a
road trip down to Buffalo to pick up a 10D.

--
http://www.jbp-photography.net
Equipment List In Profile

 

[Brent Reid]

As long as enough Canadians are so unaware of their options that they pony up 1.5 times the US street price for lenses and other gear, Canon will keep their Canadian prices high.

In our little town of under 50,000 folks, the Canon/Nikon dealer has sold nine or ten 10D's and over a dozen Nikon D100's this year. Most of those buyers get their lenses and CF cards here, too, at 'way above the US street prices.

The local dealer gives good support, so I buy from him if he's even close, but on many items the high wholesale prices put him at a huge disadvantage.

fobtastic:

When the D60 was selling for $US2200, it was selling for $CA3500.
That was $CA200 above the US price, given the older exchange rate
of 1.5. That was about 6% higher.

Now the 10D is available for $US1500, and is generally selling for
$CA2500. That's $CA415 above the US price, given the new exchange
rate of 1.39. That's about 20% higher.

I called Canon Canada and asked why our Canadian prices are
suddenly so much higher than the American prices. The guy I spoke
to blamed import duties and taxes, but when I pointed out that the
discrepancy in the D60 was much less, he didn't have an answer.
Unless Canadian import duties and taxes suddenly jumped 14%, then
his story would be true. Gosh and shucks. Blame the government.

What's interesting, though, is that he seemed to encourage me to
buy American. He told me that as long as the warranty said USA and
Canada, Canon Canada would honor the warranty. I've started doing
business with BHphoto and the (not so) dreaded UPS. I've also been
very happy. I encourage you to speak to Canon Canada and express
your concerns over alleged price gouging. I also encourage you to
buy American and write Henry's/Vistek/Aden and tell them how much
you got it for and let them put the pressure on Canon Canada. I
don't think the local dealers realize the number of people who are
ordering from the states and how much business they're losing.

regards

 

[Anders59921]

Try Denmark...here it is about double the price in the US...or more.

BH-Photo:
Canon 70-200 f2.8 IS US$ 1650
Canon 100 Macro US$ 470

Denmark:
Canon 70-200 f2.8 IS US$ 3900
Canon 100 Macro US$ 990

Digital cameras are about 80-100% more expensive.

Some things you just have to live with. Fortunately we can buy from Germany or other European countries without extra VAT. That means the prices might only be 30-40 % more than the US.

Best regards,
Anders

Sorry if this is off-topic, but...

I've only really checked out Canon gear, but I would assume that
this holds true for the other companies too. Anyway, yeah, so why
is camera gear so much more expensive in Canada?

In Toronto I've found the cheapest place to be Aden Camera.
However, when compared to American shops such as B&H, the prices at
Aden are just plain ridiculous! We're talking over 25% more!

While I'd like to support the local economy, I can't help but feel
ripped off if I buy Canadian. I'm seriously considering taking a
road trip down to Buffalo to pick up a 10D.

--
Equipment:
1 camera
Some lenses
2 eyes

http://www.pbase.com/dna

 

[John Pinches]

If you had read the last sentence you would have then realized that I was joking around. How anyone that actually read this post could think I was being serious is beyond me!

I guess I am also guilty of perpetuating a completely believable myth that there is a giant electronics industry hidden way up north in Canada and that there are numerous camera companies headquartered there. Chill out man! Not everyone that comes here is looking for a donnybrook!

John

John

Sorry if this is off-topic, but...

I've only really checked out Canon gear, but I would assume that
this holds true for the other companies too. Anyway, yeah, so why
is camera gear so much more expensive in Canada?

In Toronto I've found the cheapest place to be Aden Camera.
However, when compared to American shops such as B&H, the prices at
Aden are just plain ridiculous! We're talking over 25% more!

While I'd like to support the local economy, I can't help but feel
ripped off if I buy Canadian. I'm seriously considering taking a
road trip down to Buffalo to pick up a 10D.

--
http://www.jbp-photography.net
Equipment List In Profile

--
http://www.jbp-photography.net
Equipment List In Profile

 

[Dave Lewis]

It's not so expensive for folks down here south of the border. I just got back from a trip to Alberta and, with the exchange, most of what we did was maybe a little cheaper than it is here in Montana.

I don't know your wages, so I honestly don't know whether things are more for you or not. My thought is that if a 10D is $2000 Canadian dollars and $1500 American dollars and the average Canadian makes 25% more Canadian dollars than the average American makes American dollars, it is all pretty much the same.

I'll tell you this, I'll swap the 7% tax in Alberta that supports your health care for my $350 a month health care insurance policy any day.
--
Dave Lewis

 

[David Martin]

Sorry if this is off-topic, but...

I've only really checked out Canon gear, but I would assume that
this holds true for the other companies too. Anyway, yeah, so why
is camera gear so much more expensive in Canada?

In Toronto I've found the cheapest place to be Aden Camera.
However, when compared to American shops such as B&H, the prices at
Aden are just plain ridiculous! We're talking over 25% more!

While I'd like to support the local economy, I can't help but feel
ripped off if I buy Canadian. I'm seriously considering taking a
road trip down to Buffalo to pick up a 10D.

.....because it's such a big country.Start off by buying a smaller one, say Japan, and work your way up.
Sorry. Couldn't resist. Silly sense of hunour!
--
Regards,
DaveMart
Please see profile for equipment

 

[iamphil]

I read everything.

I guess I am also guilty of perpetuating a completely believable
myth that there is a giant electronics industry hidden way up north
in Canada and that there are numerous camera companies
headquartered there. Chill out man! Not everyone that comes here
is looking for a donnybrook!

John

Also, the government needs to tax

the living heck out of people to pay the United States for national
defense. Okay, I'm kidding.