Tuesday, August 26, 2008

Canada Concludes Free Trade Negotiations with Jordan

(DFAIT)

On August 25, 2008, the Government of Canada concluded negotiations on a free trade agreement (FTA) with Jordan, as well as on parallel agreements on labour cooperation and the environment. This year, the Government of Canada has also concluded FTA negotiations with Colombia and Peru.

“We welcome this opportunity to expand Canada-Jordan trade relations,” said the Honourable Michael M Fortier, Minister of International Trade. “This bilateral free trade agreement will open up significant opportunities for Canadian companies in this growing economy, as well as elsewhere in the Middle East and North Africa. It demonstrates our government’s continuing commitment to expand opportunities for Canadian exporters.”

An FTA with Jordan will improve market access for both agricultural products and industrial goods, and help to ensure a level playing field for Canadian exporters vis-à-vis competitors that already have preferential access to Jordan’s markets. Trade between the two countries totalled $76 million last year.

Upon implementation, this FTA will eliminate tariffs on the vast majority of current Canadian exports to Jordan, directly benefiting Canadian exporters. For example, in 2007, electrical machinery was subject to roughly $293,000 in duties (up to 30 percent on some products) on exports of $3 million to Jordan.

The parallel labour and environment agreements will help to ensure progress on labour rights and environmental protection.

“This labour cooperation agreement between Canada and Jordan will ensure that economic progress goes hand in hand with the rights of workers,” said the Honourable Jean-Pierre Blackburn, Minister of Labour and Minister of the Economic Development Agency of Canada for the Regions of Quebec. “The successful conclusion of these negotiations marks the beginning of a long-term cooperative relationship between our two countries.”

“The Canada-Jordan Agreement on the Environment marks another milestone in our two countries’ joint commitment to protecting our most vital of assets, our shared environment,” said the Honourable John Baird, Minister of the Environment. “We see this partnership as an opportunity to create and strengthen environmental laws and policies as a legacy for future generations.”

This FTA also demonstrates Canada’s support for a key partner in the pursuit of regional peace, security and stability. These negotiations follow on the successful conclusion of negotiations for a new bilateral air services agreement and a foreign investment promotion and protection agreement with Jordan.

Prime Minister Stephen Harper committed Canada to exploring the possibility of an FTA with Jordan when he met King Abdullah II in July 2007.

Before signing the agreements and making them public, Canada and Jordan will undertake a detailed legal review of the FTA texts in English, French and Arabic. Following formal signature, the treaties will be tabled in the House of Commons for a period of 21 sitting days for Members of Parliament to review and debate. Following the 21-day period, the Canadian government will introduce draft legislation to implement the agreements.