Quick Facts:
- Nearly 90% of small businesses believe it is crucial for Canadian governments to prioritize the removal of barriers that impede the flow of goods, services, and labour across provinces and territories.
- A report, commissioned by Alberta’s government, explored the benefits of mutual recognition as a solution to breaking internal trade barriers. The report finds mutual recognition could increase Canada’s economy between 4.4% and 7.9% over the long-term ─ between $110 and $200 billion per year.
- Total interprovincial exports were valued at $378 billion in 2014.
- Inconsistencies between jurisdictions create unnecessary differences that act as barriers to trade, raising the operating costs and the cost to consumers.
Working Toward Solutions:
CFA has identified the two largest obstacles to interprovincial or domestic trade as differing provincial transportation regulations and inconsistencies between provincial and federal inspections require at meat processing facilities. CFA stresses that Canada should make the most of local and regional business prospects while it seeks to finalize and diversify international trade agreements.
CFA has also passed several resolutions regarding domestic trade in its policy manual and will continue to make sure that farmers’ viewpoints are represented in any forum on internal trade in Canada.
CFA Recommendations:
- Federal and provincial governments should continue their work towards developing complementary transportation regulations, and providing resources the Agreement on Internal Trade Secretariat would help to move this process forward.
- CFA encourages the government to harmonize inspection standards between provincial and federally regulated meat inspection facilities so that meat processed in either type of facility can travel and be sold at all outlets across Canada.
- A renewed agreement on internal trade must respect established supply management systems and not affect current marketing structures.