Final answer:
The Export Distribution Centre Program (EDCP) is a Canadian tax incentive program aimed at boosting the country's exports by offering significant tax reductions for eligible businesses involved in the warehousing, transportation, and logistics of exporting non-transformed goods.
Step-by-step explanation:
The Export Distribution Centre Program (EDCP) is a Canadian tax incentive program designed to encourage export-related activities by significantly reducing the federal tax burden of eligible businesses. Participants can import goods or acquire them in Canada, and then export them without paying GST/HST on their importation or acquisition. The intention is to motivate companies to set up distribution centers and exportation services in Canada, thereby boosting the country's export volumes and creating jobs.
Eligible businesses must primarily export goods that are not substantially transformed in Canada, and the program is especially beneficial for logistics, transportation, and warehousing services involved in the export process. This initiative aligns with Canada's strategic plans to reinforce its position in the global market and support its economy.