Amazon can have its distribution warehouse
TORONTO — Amazon.com can establish a distribution centre for its operations in Canada.
The online retail giant, which has operated a discrete Canadian bookselling web site since 2002, had been prevented from operating its own facility due to federal restrictions on foreign-owned booksellers that forbid the Seattle company from opening headquarters or call centres here.
It has been fulfilling its Canadian orders through a pact with Canada Post, which handles distribution through the Crown corporation’s shipping facility.
But James Moore, Minister of Canadian Heritage and Official Languages, announced the distribution centre’s approval under the Investment Canada Act Monday.
The application had been protested by the Canadian Booksellers Association, which argued the move would be incompatible with promoting the country’s cultural industries.
Amazon has agreed to make an investment of over $20-million, including $1.5-million for cultural events and awards in Canada and to promote Canadian books around the world and to give Canadian books even greater visibility on the Amazon.ca web page.
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