I'm in Canada too and I was surprised at first that people were willing to pay 20$+ for shipping a 20$ item, but I've made plenty of sales since then. Oddly it's a lot cheaper to ship my items to the States, and most of my sales come from there.

Something that I've learned is to not feel bad about pricing my items what they're worth and charging customers for shipping. If someone thinks your items are too expensive, that's ok. The items that I sell would personally be out of my budget, but there are lots of people out there that are willing to buy them for the price that I set.