Comprehensive Economic and Trade Agreement (CETA) Negotiations - - PowerPoint PPT Presentation

Canada-European Union Comprehensive Economic and Trade Agreement (CETA) Negotiations

Presentation to the European Seafood Exhibition April 23-25, 2013

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Canada – Fish/Seafood Sector

• Canada – global supplier of high quality fish/seafood products

– sector employs 80,000 Canadians (commercial fishing, aquaculture and processing) – fish/seafood is one of the largest food commodities exported by Canada – 85% of all fish harvested by Canadians is exported to foreign markets

• Globally, our fish/seafood exports averaged $4.0 billion/year (2008-2012)

– $4.14 billion total in 2012 (U.S. $2.6 billion; China $434 million; EU $344 million) – top global exports by species (2012):

• lobster ($1.03 billion),
• crab ($739 million),
• salmon ($615 million), and
• shrimp and prawns ($394 million)

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Canada – Fish/Seafood Sector & Trade

• Main Trade Objectives for Canada:

– long term growth and prosperity – more jobs and higher standard of living for Canadians – improve and lock in market access – diversification of export markets (62% of exports go to the U.S.) – reduce regulatory trade impediments – develop mechanisms to resolve trade irritants (i.e. avoid formal trade disputes) – avoid erosion of market share to competitors

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EU Marketplace

• EU – largest global market (significant opportunities for Canada)

– market of 500 million people – $17 trillion annual economic activity – largest global importer of goods (EU's annual imports worth more than Canada's total GDP)

• EU – Canada’s most important trading partner after the U.S.

– Canadian goods and services exports to the EU - $55 billion – Canadian goods and services imports from the EU - $61 billion – two-way investment - $333 billion

• The EU is also the largest global fish and seafood market

– in 2012, EU purchased a total of $26 billion in fish/seafood products.

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Canada & EU Marketplace

• Canada and EU fish/seafood market

– Canada has averaged $410 million/year fish/seafood exports to EU (2008-2012)

• third largest fish/seafood export market (after U.S. and China)
• market represents 11% of total Canadian global fish and seafood exports

– In contrast to Canada’s overall steady global export growth, fish/seafood exports to the EU were lower in 2012 ($344 Million) compared to 2011 ($397 million)

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CETA Benefits for Canada’s Fish and Seafood Industry

• Canadian fish and seafood currently faces very high tariffs in the EU
• CETA would eliminate EU tariffs on Canadian fish and seafood

products

• Canada’s top exports to the EU in 2012 were:

– prepared or preserved shrimps and prawns ($139 million) – tariffs up 20% – live and frozen lobster, ($82.8 million) – tariffs of 6 to16% – frozen, dried and salted scallops ($34.million) – tariffs of 8% – prepared or preserved salmon ($26.5 million) – tariffs of 5.5%

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CETA’s Lasting Impact

• Projected net benefits of an Agreement (enhanced market access)

– up to a $12 billion increase in Canada’s total income/GDP (up to a 20% increase in bilateral trade across all sectors) – equivalent of creating almost 80,000 new jobs – encourage development of stronger business relations between Canada and EU fish and seafood industries. – promote better access to high-quality Canadian fish and seafood products for the European Union