A free trade deal between the EU and Canada has moved a step closer after the European Commission formally proposed that an agreement between the two should be signed.
Described by Trade Commissioner Cecilia Malmström as a milestone in European trade policy, the Comprehensive Economic and Trade Agreement (CETA) is the most ambitious trade deal ever concluded by the EU.
With CETA removing the majority of customs duties, EU firms will potentially save hundreds of millions of euros each year in duty payments. Removing customs duties will also benefit European consumers, by reducing prices and increasing the range of products imported from Canada.
The agreement will also introduce mutual recognition of conformity assessment certificates for a wide range of products, from electrical goods to toys. To obtain a certificate valid for Canada, EU firms will therefore have to get products tested only once – in Europe.
CETA will also boost trade in services, with new opportunities available for EU companies working in a range of sectors including maritime services, telecommunications, engineering, environmental services and accountancy.
The deal will make it easier for service suppliers to travel between the EU and Canada and will facilitate the recognition of qualifications for regulated professions such as architects, accountants and engineers.
EU companies will also be able to bid for public contracts in Canada at all levels of government: federal, provincial and local. Canadian authorities will publish all relevant calls for tender on a single website, making it easier for European firms to identify opportunities.
Assuming the EU Member States agree, it will be possible to provisionally apply CETA this year, before it formally enters into force.
Further information about the agreement can be found at theEuropean Commission website.
