Canada Not Part of Trade Pact
Prime Minister Stephen Harper and U.S. President Barack Obama will hold a bilateral meeting Sunday at the Asia-Pacific economic conference in Hawaii. However Canada is not part of the trade pact.
Obama met with leaders of the eight other countries involved in negotiations toward a Pacific Rim free-trade zone known as the Trans Pacific Partnership, or TPP.
"The [Trans Pacific Partnership] will boost our economies, lowering barriers to trade and investment, increasing exports and creating more jobs for our people," Obama said in announcing the new framework ahead of the start of the formal Asia-Pacific Economic Co-operation leader summit in Hawaii on Saturday.
While Canada would like to be part of the TPP, it doesn't agree with the cost of membership, particularly the suggestion that it needs to signal a willingness to abandon supply management policies, International Trade Minister Ed Fast said Saturday.
"There has been some resistance and suggestions that we should be pre-negotiating our entry to the Trans Pacific Partnership," Fast said. "We have made it very clear that Canada will not pre-negotiate. We believe all of those issues should be discussed at the negotiating table."
Supply management policies for Canada's dairy, egg and poultry products have been in place for over 40 years to protect them from foreign competition via quotas and tariff controls. The system has fallen out of favour internationally as it's believed to keep prices artificially high and restrict innovation.
But the Conservative government has been steadfast in its commitment to the affected farmers, the vast majority of whom live in Ontario and Quebec.
Fast wouldn't say who is resisting having Canada at the TPP talks, but one observer said Canada doesn't need to look very far.
"Washington has no interests in structuring a deal which will see their benefits diluted by Canada being on the same footing as U.S. exporters," said Peter Clark, a former Canadian trade negotiator.
Japan, the world's third-largest economy, has signalled it is interested in joining the negotiations, and the Obama administration hopes all 21 APEC members will eventually be part of the pact.
Prime Minister Stephen Harper and U.S. President Barack Obama will hold a bilateral meeting Sunday at the Asia-Pacific economic conference in Hawaii. However Canada is not part of the trade pact.
Obama met with leaders of the eight other countries involved in negotiations toward a Pacific Rim free-trade zone known as the Trans Pacific Partnership, or TPP.
"The [Trans Pacific Partnership] will boost our economies, lowering barriers to trade and investment, increasing exports and creating more jobs for our people," Obama said in announcing the new framework ahead of the start of the formal Asia-Pacific Economic Co-operation leader summit in Hawaii on Saturday.
While Canada would like to be part of the TPP, it doesn't agree with the cost of membership, particularly the suggestion that it needs to signal a willingness to abandon supply management policies, International Trade Minister Ed Fast said Saturday.
"There has been some resistance and suggestions that we should be pre-negotiating our entry to the Trans Pacific Partnership," Fast said. "We have made it very clear that Canada will not pre-negotiate. We believe all of those issues should be discussed at the negotiating table."
Supply management policies for Canada's dairy, egg and poultry products have been in place for over 40 years to protect them from foreign competition via quotas and tariff controls. The system has fallen out of favour internationally as it's believed to keep prices artificially high and restrict innovation.
But the Conservative government has been steadfast in its commitment to the affected farmers, the vast majority of whom live in Ontario and Quebec.
Fast wouldn't say who is resisting having Canada at the TPP talks, but one observer said Canada doesn't need to look very far.
"Washington has no interests in structuring a deal which will see their benefits diluted by Canada being on the same footing as U.S. exporters," said Peter Clark, a former Canadian trade negotiator.
Japan, the world's third-largest economy, has signalled it is interested in joining the negotiations, and the Obama administration hopes all 21 APEC members will eventually be part of the pact.
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