EU-Canada FTA negotiations in final stage

The ongoing negotiations between the European Union and Canada for a Comprehensive Economic and Trade Agreement (CETA) to take their trade and investment relationship to a new level are now in their final phase, according to a press release issued on Monday.

The EU-Canada FTA negotiations were launched in May 2009. When finalized, the CETA will cover key issues relevant to a modern trade and investment environment, from ambitious new market access opportunities to clear rules for European and Canadian businesses and investors.

Among others, the CETA negotiations cover access to each other's markets, for goods, services, investment and for public procurement contracts; technical standards and regulations, rules on health and hygiene standards; investment protection; rules that frame trade, such as intellectual property rights and competition; as well as sustainable development, making sure that growth in trade does not come at the expense of the environment or social and labor rights.

An EU-Canada joint study of October 2008 predicts an annual income gains of about EUR11.6 billion for the EU and EUR8.2 billion for Canada if the CETA is put in place.

Half of the total expected GDP gains for the EU are related to trade in services, a quarter to the removal of tariffs and the remaining quarter from dismantling non-tariff barriers. Benefits from the agreement in this area of non-tariff barriers are estimated to result in a EUR2.9 billion gain for the EU and EUR1.7 billion for Canada.

June 19, 2013

Source: African Resource Network