Archive for October, 2010

Minister Ritz at First Agriculture APEC Meeting
Monday, October 25th, 2010

The following is excerpted from the 15 October 2010 news release by Agriculture and Agri-Food Canada.

Agriculture Minister Gerry Ritz is in Japan at the first-ever Asia-Pacific Economic Cooperation (APEC) Agricultural Meeting working to strengthen trade relationships, expand market opportunities for farmers and create a more prosperous Canada.

“Recognizing the need for a safe and dependable food supply as the world population grows, we’re at APEC to drive a science-based approach to trade,” said Minister Ritz. “By promoting innovation, like biotechnology, Canada is looking forward to a future with stronger trade partnerships, a more sustainable environment and more profitable farmers, making sure that families around the world continue to have access to top quality food.”

Minister Ritz is taking full advantage of APEC by holding bilateral meetings with agriculture leaders from China, Mexico, and South Korea. Minister Ritz, together with provincial representatives from Canada’s New West Partnership, met with his Japanese counterpart Michihiko Kano and raised Canada’s long-standing request for greater access for Canadian beef. They also sat down with Japanese industry to discuss how to better help get Canadian products in the hands of Japanese consumers.

“We’re working at every level — provincial, federal and industry — to make sure countries like Japan and South Korea trade based on sound science and that our hard working beef producers achieve the full market access they deserve,” said Minister Ritz…

In advance of APEC, Minister Ritz led a trade mission to Indonesia and received assurance from Agriculture Minister Suswono that Canada’s world-class system — which ensures that various plants such as wheat and potatoes destined for food are safe — will be fully recognized. This achievement is good news for farmers as it removes additional, costly and unnecessary testing at Indonesian ports. The Canadian Wheat Board anticipates that Canada’s wheat exports to Indonesia will be valued at more than $300 million this year.

Canada and Indonesia also signed an agreement to improve agriculture cooperation and focus on removing trade barriers to various Canadian products including seed potatoes, goat and sheep livestock and genetics, and cherries. Indonesia will enlist Canada’s animal health expertise to help build testing capacity in order to maintain a healthy cattle sector…

Minister Ritz also made a stopover in Hong Kong to follow up Canada’s recovery of full market access for Canadian beef last December. Minister Ritz met with industry and was pleased to report that Canada’s beef exports to Hong Kong have significantly exceeded expectations. The Canadian Beef Export Federation originally expected the market to grow to $65 million but it is now expected to be worth more than $105 million for Canadian producers in 2010, a growth of 67 per cent since full market access was achieved.

This agriculture trade mission is part of Minister Ritz’s overall strategy to work with industry to strengthen Canada’s market share around the world, making sure that Canadian farmers can make their money from the marketplace and continue to drive Canada’s economy.

New trade can mean more jobs
Tuesday, October 19th, 2010

The following is from the 19 October 2010 edition of “montrealgazette.com”.

The small business sector’s reluctance to pursue international trade is hurting the economy, and could have cost 300,000 jobs in missed opportunities and positions in the past decade, says CIBC World Markets.

The number of small-and medium-sized businesses involved in export activity has fallen to nine per cent from 10.7 per cent since 2000, despite the growth in globalization, the report says.

“This low level of internationalization carries a significant … economic cost given the importance of emerging markets to the global economic recovery,” said CIBC deputy chief economist Benjamin Tal.

As Bank of Canada governor Mark Carney warned in a recent speech, Canadian companies now face an American economy expected to show slow growth over the next decade, along with the increased risk of U.S. protectionism.

Tal concurs, saying “the traditional engines of growth during recoveries (housing and consumer) will not be able to fulfil their usual role.”

But opportunity exists for Canadian firms in the reorganization of production at the international level, through outsourcing and the development of global value chains, he said.

“Increased U.S. exports to emerging markets means increased options for Canadian SMEs (small-and medium-sized businesses) to participate in the supply chain momentum that this trend generates,” adds Tal.

“Currently close to 30 per cent of Canada’s trade is being sold as inputs into global supply chains. The changing engine of growth south of the border can provide SMEs with a golden opportunity to become a larger player in this expanding space.”

SMEs currently generate one third of the total value of Canadian exports with an average value of $4.6 million per firm, Tal said.

Canada and the EU on Track to Trade Deal
Tuesday, October 19th, 2010

The following is excerpted from the 18 October 2010 news release by DFAIT.

The Honourable Peter Van Loan, Minister of International Trade, today launched the fifth round of negotiations toward a trade agreement between Canada and the European Union. The negotiations are taking place in Ottawa this week.

“A Canada-EU agreement will give Canada preferential access to one of the largest markets in the world,” said Minister Van Loan. “It will grow Canada’s economy by at least $12 billion. It will create new opportunities, jobs and prosperity for Canadian businesses, workers and their families.”

Canada and the European Union have held four successful rounds of negotiations since October 2009. For the first time, the provinces and territories are actively engaged in the negotiations. This will ensure a broad and deep trade agreement that will benefit all Canadians.

“At this time of fragile economic recovery, our government is committed to opening new markets for Canadian businesses and creating jobs in Canada,” said Minister Van Loan. “In just four years, we have negotiated free trade agreements with eight countries. We are holding free trade talks with nearly 50 others, and expanding and improving the three agreements signed by the previous government.

“Once this trade agreement is in place, Canada will be the only developed country with free trade deals with the EU and the United States, the two largest markets in the world. This will give Canadian businesses a key competitive advantage and help them to succeed in the global marketplace.”

In this year’s Economic Freedom of the World index, Canada maintained its position as a leader in promoting free trade to open new markets for businesses and workers…

Since 2006, the Harper government has concluded free trade agreements with Peru, Colombia, Jordan, Panama and with the European Free Trade Association states of Iceland, Liechtenstein, Norway and Switzerland…