Norfolk Chamber of Commerce & Industry : What’s in the EU-Canada trade agreement?

The European Commission has published a note summarising the key elements of the Comprehensive Economic and Trade Agreement agreed between the EU and Canada (CETA).

This can be found at http://bit.ly/1AdnFzG and sets out the main details of the Agreement which is just waiting for formal approval before it enters into force.

"Canada is a sizeable market with high purchasing power and is the most developed economy with which the EU has negotiated an FTA (Free Trade Agreement) thus far," the Commission notes. "The overall deal represents an excellent outcome of significant economic value to European companies, consumers and households."

It highlights the services market access contained in CETA, and in particular the requirements regarding government procurement where the opening to European bidders is described as unprecedented.

The EU and Canada have also agreed to eliminate customs duties for imports of goods originating in the EU and Canada either when CETA comes into force or gradually within three, five or seven years for almost all goods.

Overall, the tariffs for 98.6% of all Canadian tariff lines and 98.7% of all EU tariff lines will ultimately be fully eliminated. This will happen at entry into force of the agreement for 98.2% of the Canadian tariff lines and for 97.7% of the EU tariff lines.

A separate protocol will improve the recognition of conformity assessment between the Parties. It provides for a mechanism by which EU certification bodies will be allowed according to the rules applicable in Canada to certify for the Canadian market according to Canadian technical regulations and vice-versa.

"This will considerably reduce the costs for testing (in particular by avoiding double-testing on both sides of the Atlantic) and obtaining product certification for exporters and will in particular benefit small and medium-sized enterprises," the Commission notes.