"11/16/2006
Canada seeking ‘Plan B' for Global Trade
Ottawa — Canada is accelerating a drive for international trade deals in the wake of collapsed global commerce liberalization talks, signing an agreement with Peru Tuesday and signalling it's keen on an Asia-Pacific free-trade zone if worldwide negotiations can't be revived.
“For us, Plan B could well be an Asia-Pacific free-trade area,” International Trade Minister David Emerson told reporters during a telephone call from an Asia-Pacific Economic Co-operation meeting in Hanoi.
“The centre of economic gravity is shifting inexorably toward Asia.”
He said the United States and Australia are enthusiastic backers of an APEC free-trade zone, adding that Canberra plans to lobby for the idea when it takes the helm of the 21-country body this year.
APEC membership represents close to 50 per cent of world trade and the forum could serve as an alternative to World Trade Organization's Doha round of talks that fell apart in July if those negotiations cannot be restarted, Mr. Emerson said.
“In Canada, we simply have to have a Plan B. We cannot sit back and assume that there will be a successful Doha round, although we are putting tremendous effort into making sure that there is a successful round,” Mr. Emerson said.
Tuesday, Ottawa signed a foreign investor protection agreement with Peru, a measure that safeguards the rights of business in both countries. It's Canada's first FIPA in eight years and the first significant deal clinched since Ottawa signed a free-trade agreement with Costa Rica in 2001.
Mr. Emerson said the Peruvian deal reflects the fact that Canadian investors have poured $2.3-billion into the South American country, adding that securing the legal rights of business should pave the way for more investment there.
He said Ottawa is also talking with Peru, Colombia and Ecuador about launching full-fledged free-trade negotiations and hopes to resume stalled talks on a bilateral deal with Singapore next year.
Mr. Emerson's push to secure access in markets around the globe is a change of pace for Ottawa, which previously focused on WTO talks — negotiations that collapsed after five years in July.
While Canada only signed one trade deal in the past half decade, the U.S. has been busy sewing up special two-way deals. Congress has approved at least seven of them with 12 countries since 2001.
Canada's new tack mirrors many other countries' as WTO talks lost momentum. Those negotiations show few serious signs of reviving before next summer, when U.S. President George W. Bush's fast-track authority expires.
Marc Busch, a professor at Georgetown University's School of Foreign Service, said APEC members may find negotiating among 21 countries as difficult as WTO talks.
“The bigger question is if Canada is able to negotiate something of substance with all these [APEC] countries — and all these other countries are willing to as well — why can't we all go back to the WTO talks in Geneva?” Prof. Busch said.
APEC's business advisory council has urged member countries to consider a Pacific free-trade area during next week's summit.
An APEC free-trade area, stretching from the U.S. to China and from Australia to Chile, would include 40 per cent of the world's population and 56 per cent of its gross domestic product.
Source: STEVEN CHASE - Globe and Mail Update
With files from the Associated Press"
http://www.aacb.com/news/article.asp?ArticleID=3151
What do you think Incognito?
Looks like the Conservative MP's have been pounding the pavement!
Canada seeking ‘Plan B' for Global Trade
Ottawa — Canada is accelerating a drive for international trade deals in the wake of collapsed global commerce liberalization talks, signing an agreement with Peru Tuesday and signalling it's keen on an Asia-Pacific free-trade zone if worldwide negotiations can't be revived.
“For us, Plan B could well be an Asia-Pacific free-trade area,” International Trade Minister David Emerson told reporters during a telephone call from an Asia-Pacific Economic Co-operation meeting in Hanoi.
“The centre of economic gravity is shifting inexorably toward Asia.”
He said the United States and Australia are enthusiastic backers of an APEC free-trade zone, adding that Canberra plans to lobby for the idea when it takes the helm of the 21-country body this year.
APEC membership represents close to 50 per cent of world trade and the forum could serve as an alternative to World Trade Organization's Doha round of talks that fell apart in July if those negotiations cannot be restarted, Mr. Emerson said.
“In Canada, we simply have to have a Plan B. We cannot sit back and assume that there will be a successful Doha round, although we are putting tremendous effort into making sure that there is a successful round,” Mr. Emerson said.
Tuesday, Ottawa signed a foreign investor protection agreement with Peru, a measure that safeguards the rights of business in both countries. It's Canada's first FIPA in eight years and the first significant deal clinched since Ottawa signed a free-trade agreement with Costa Rica in 2001.
Mr. Emerson said the Peruvian deal reflects the fact that Canadian investors have poured $2.3-billion into the South American country, adding that securing the legal rights of business should pave the way for more investment there.
He said Ottawa is also talking with Peru, Colombia and Ecuador about launching full-fledged free-trade negotiations and hopes to resume stalled talks on a bilateral deal with Singapore next year.
Mr. Emerson's push to secure access in markets around the globe is a change of pace for Ottawa, which previously focused on WTO talks — negotiations that collapsed after five years in July.
While Canada only signed one trade deal in the past half decade, the U.S. has been busy sewing up special two-way deals. Congress has approved at least seven of them with 12 countries since 2001.
Canada's new tack mirrors many other countries' as WTO talks lost momentum. Those negotiations show few serious signs of reviving before next summer, when U.S. President George W. Bush's fast-track authority expires.
Marc Busch, a professor at Georgetown University's School of Foreign Service, said APEC members may find negotiating among 21 countries as difficult as WTO talks.
“The bigger question is if Canada is able to negotiate something of substance with all these [APEC] countries — and all these other countries are willing to as well — why can't we all go back to the WTO talks in Geneva?” Prof. Busch said.
APEC's business advisory council has urged member countries to consider a Pacific free-trade area during next week's summit.
An APEC free-trade area, stretching from the U.S. to China and from Australia to Chile, would include 40 per cent of the world's population and 56 per cent of its gross domestic product.
Source: STEVEN CHASE - Globe and Mail Update
With files from the Associated Press"
http://www.aacb.com/news/article.asp?ArticleID=3151
What do you think Incognito?
Looks like the Conservative MP's have been pounding the pavement!
Comment