Canadian Music Trade - April/May 2017 - Page 30

BUSINESS MATTERS By Michael Raine What Do the New CITES Rosewood Restrictions Mean for MI Retailers? A s the cliché goes, even the most well intentioned rules and regulations have unintended consequences. And so it is that the MI industry has become collateral damage in an international effort to protect forests from the Chinese furniture industry. On Jan. 2, 2017, a new Convention of International Trade of Endangered Species of Flora and Fauna (CITES) regulation came into effect that restricts the exporting and importing of nearly all species of rosewood that are used in the making of guitars and other instruments. For MI dealers and manufacturers, this means more headaches, paperwork, and permit applications are in store in order to sell and ship instruments across international borders. What Is CITES & Why the New Rules? CITES is an international agreement in place since 1975 that is meant to protect threatened and endan- gered plant species by regulating their trade. Brazilian rosewood was already under CITES protection for several years, but under the new CITES Appendix II that was agreed on by signatory countries (which include Canada, the U.S., and most other major markets) in October 2016 and that came into effect this January, all rosewood under the genus dalber- gia and three bub- inga species are now covered by the regula- tion. This includes 30 CANADIAN MUSIC TRADE over 300 species of rosewood, in- cluding East Indian and ۙ\[] \[\ZB؛[YX[X]\H[[ۛH\Y[[Y[[Y[X\[X\[ B[[[Y[ˈ[^[X[&\\\\YX[[[[]\Y[HXZ[وZ]\[\]\X[[[Y[YYH\BYYY[X\[YYHH\Z][ܙ\ܛHܙ\HX\ۈ]HYHق]\YH[\ܙX]\ܝ][H\X]\Hو]\X[[[Y[]X]\HوB[\HY Y[\]\HX\] \[\H\ܙX]YH[X[܈]ܝ[[ۜو B\X\YYܙ\][ۂ[H[[\Y[و]\[]XY\[[Y\ZBY][Z[[ ]\\YX[܈[O•[ [ܝ Y[\\[\\۸&][ZXYو\H][\]XYH܈HZ\]و\\ܚ˜[Hو]Y[K8']وYBZ\\HX]]Y\܈HYZ[ 8'B]Y][Y\[ۙ\قYYZ]\[[]\š\X[HۙHYHB\و؝Z[[UT\Z]܂\[[ܞKH\YX]Hۙ\Z[]›Y[]H[XYX][ۜ]\˜X\[H[HZ]\܈\KB X۝Z[[X]ܛB\Hܙ\܈[Y\X[\B\ˈY[x&\HH[YX[X[\܂\X]܈[[HKˋ[XYHZ]\H\Y\[HKˋ܈^[KBK]Z]\]\HXKB[YYHHKY^ܝUT\Z]\YYH[\ۛY[[YKB\YX]KZ]\K]\X\[BH[YX[[XYHZ]\Z[H\Y\[HKˈ\[X[KHۛH^\[ۜ\HX܂\ۘ[\K܈^[\KH]\KBX[ܛ[Hܙ\]\܂\ۈZ]\\۸&]YYH\Z][\]۝Z[[ܙH[ LقY[]Y KY\[\\[\\\[Y XZ]YYH\[˜[[ܛX][ۈX]H[\[ B[Y[][ۈYܙH\X\BYHوZ\\Y\[Y[•^[܈[Y[Z]\\[\™HSSKY\^\˂'^[܈Z]\H\X[HY[