Brussels, 18/07/2013 (Agence Europe) - Although a large part of the road leading to an agreement has already been covered on this, agriculture remains a major obstacle to concluding talks launched in 2009.
Although close to agreement in February, the EU was not able to conclude its talks with Canada on a comprehensive economic and trade agreement (CETA) before beginning talks with the United States on a transatlantic trade and investment partnership (TTIP). Talks are dragging on mainly because problems remain on the agricultural chapter and because of the question of market access for European dairy produce (cheese) to Canada and Canadian beef and pork to Europe.
At this stage, Canada agrees to liberalise some 92% of its tariff lines, the remainder (diary produce, poultry, eggs) being either excluded or subject to import tariff rate quotas (TRQ). The EU, for its part, agrees to liberalise nearly 96% of its tariff lines, with the other products (beef, pork, sweet corn) being either excluded or subject to TRQ. Discussions on sensitive products (TRQ volumes and related commitments) remain difficult. For processed products, Canada's offer of liberalisation covers 99.4% of its tariff lines. Beer, wines and spirits, vinegar and ethanol together account for 45% of EU agri-food exports to Canada.
Regarding wines and spirits, the current bilateral agreement between the EU and Canada will be incorporated into the CETA, which will make it possible to submit this sector to dispute settlement procedure. A final agreement on this chapter is linked to an overall compromise on the agricultural chapter.
On sanitary and phyto-sanitary (SPS) matters, the current bilateral agreement between the two partners will also be incorporated into the overall agreement. There is agreement on procedural steps that would facilitate the approval process of plant products by Canada, on the basis of criteria recognised at international level. On the other hand, cooperation issues in the field of animal welfare have been suspended.
Finally, the protection of geographical indications for all categories of food products will be ensured, in addition to wines and spirits, by leaving to one side the non-food agricultural products, such as cork or wool. The EU has gained Canada's recognition of a large part of the 149 geographical indications for which it hopes to ensure protection, but some important EU geographical indications are still outstanding, a solution being explored as part of the final agricultural package. (EH/transl.jl)