Created on 10/26/2018 9:57:22 AM
Food & Consumer Products of Canada (FCPC) welcomes the recent announcement by Jim Carr, Canada’s Minister of International Trade Diversification, that legislation to implement the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) has been ratified by the Parliament of Canada. FCPC would like to congratulate the government on the early ratification of the CPTPP as one of the first six nations to ratify the agreement which gives our industry a competitive “first mover” advantage in the dynamic Asia-Pacific markets.
This agreement opens up new markets not only for agricultural commodities but also new markets for Canada’s food and beverage manufacturing industry, as well as cosmetic and hygiene products. Once it enters into force, the CPTPP will reduce and eliminate almost all tariffs between CPTPP member countries, while establishing high-standard rules that will make our business environment more predictable. CPTPP represents a trading bloc of 495 million people and 13.5% of the global GDP. Gains from tariff elimination and improved market access for Canadian agri-food and consumer products in the CPTPP are especially significant in the markets of Japan, Malaysia and Vietnam.
While FCPC commends the government’s efforts on diversifying international trade, we remain concerned by the impact of retaliatory tariffs on U.S. food and consumer products, which continues to cause harm to our industry, as well as the ripple effect of the trade dispute between the United States and China. We urge the government to make it a priority to get the U.S. steel and aluminum tariffs lifted so that we can normalize trade relations with our southern neighbour, which remains our most important trading partner.
FCPC is Canada’s largest industry association representing companies that manufacture and distribute the vast majority of food, beverage and consumer goods found on grocery and drugstore shelves across the country. This industry is the largest manufacturing sector in Canada – more than the automotive and aerospace sectors combined – directly employing nearly 300,000 Canadians from coast to coast, contributing nearly $29 billion annually to the country’s economy and providing safe, high-quality products that are found in virtually every single home in Canada. Our membership is truly national, providing value-added jobs to urban and rural Canadians in most federal ridings in every region of the country.