I.                   Trade and Economic Policy Environment[1]

Stable Policies, Successful Performance

1.                   Strong fundamentals and a global commodity boom have helped to support Canada’s economic expansion.  The integration of Asia, especially China, into the world economy caused shifts in relative prices in several markets starting in 2003.  Surges in energy and commodity prices helped push the exchange rate up rapidly and improved Canada’s terms of trade (the ratio of export to import prices).  The resource boom also led the stock market to new heights.  Domestic spending has been accelerating for the past several years.  Real GDP growth has averaged 2.7% annually since 2002 and prospects call for growth in the 2.5%-3% range over this year and next.

2.                   Canada’s fiscal consolidation and debt reduction targeting has underpinned its solid economic performance.  Canada is one of a few countries to post twin surpluses.  As measured by the OECD, Canada has moved from having the second-highest net debt-to-GDP ratio among G7 countries in the mid-1990s to the lowest today.  The government is resolved to continue budget discipline and has accelerated its commitment to reduce the federal debt-to-GDP ratio to 25% by one year, to 2012-13, from its present 35%.  Moreover, all other orders of government have made considerable fiscal progress in recent years.  As a result, the federal government believes that eliminating Canada’s total  government net debt by 2021 is achievable.  In the November 2006 Economic and Fiscal Update, the government announced that it will dedicate the effective interest savings resulting from debt reduction each year to personal income tax reductions.

3.                   Monetary policy is guided by an inflation-targeting framework aimed at anchoring inflation expectations.  In November 2006, the Government of Canada and the Bank of Canada agreed to renew the inflation target for another five-year period to the end of 2011.  The inflation target will continue to be in the mid-point range between 1% and 3%.

A Resilient Trading Nation

4.                   Canada is a trading country and international trade is integral to its continued prosperity. Canada is the world’s ninth largest exporter and tenth largest importer– trade is equivalent to more than 71% of its GDP.  Exports account for 38% of the Canadian economy.  Throughout much of the last decade, the expansion of trade promoted employment and growth.  More recently, increases in domestic demand have provided the basis for growth.  Household spending has been boosted by a rise in personal wealth.  Strong corporate earnings, falling prices for imported capital goods, and low interest rates have facilitated business investment.

5.                   On the external side, Canada has faced escalating global competition and a strong appreciation of the Canadian dollar.  China has made major inroads in the important US market at the same time as the Canadian dollar appreciated some 38.4% from the period in January 2002, when the currency dipped below US 62¢, to almost US 86¢ at the end of 2005.  The share of exports in GDP fell to about 38% in 2005 from over 45% just five years earlier, while imports declined from 40% to 34%.  The Canadian dollar appreciated against the major currencies in 2005 and, moreover, was the only G7 currency to appreciate against the resurgent US dollar in that year.

6.                   Notwithstanding the currency appreciation and competitive challenges in the U.S. market, that country remains Canada’s principal trading partner at 78.1% of total exports and 65.3% of all imports in 2005 (though these figures may be overstated due to transhipments).  Two-way trade in goods and services with the United States amounted to over $1.9 billion on a daily basis, more than double the value registered for 1993.

7.                   Canada’s economic performance has benefited from a flexible labour market that has permitted it to reallocate productive resources in response to shifts in the terms of trade and exchange rate appreciation.  A total of 227,600 net new jobs were created in 2005, almost all of them full time positions; an estimated one in five jobs is linked in part to our export success in global markets.  Over the first 11 months of 2006, some 283,200 further jobs have been added to the economy above the December 2005 levels.

8.                   Over the first three quarters of 2006, Canadian exports of goods and services are up over the same period a year earlier, but imports have risen by even more.  The trade balance, while down over last year’s levels, remains nonetheless quite favourable.

Advantage Canada

9.                   The Government of Canada’s Economic & Fiscal Update 2006 released on November 23, 2006 included a companion document entitled "Advantage Canada: Building a Strong Economy for Canadians"[2].  Advantage Canada is focused on creating five Canadian competitive advantages that will help Canadians improve their quality of life and succeed on the world stage.  These are: Tax advantages, Fiscal advantages, Entrepreneurial advantages, Knowledge advantages, and Infrastructure advantages.  Advantage Canada is based on four core principles: Focusing government, Creating new opportunities and choices for people, Investing for sustainable growth, and Freeing businesses to grow and succeed.

10.               In addition, Advantage Canada referred to a forthcoming global commerce strategy for Canada, to ensure that Canadian businesses can fully participate in global market opportunities.  In a business climate where many countries are now challenging the competitive position of leading economies, this new strategy will focus on making Canada a business and trading partner of choice.

Investment

11.               Two-way direct investment flows with the world remained at relatively high levels in 2005. Canada’s direct investment abroad (CDIA) exceeded the inflow of foreign direct investment (FDI) in Canada in 2005.[3]  The flow of CDIA remained at the very high level of $41.3 billion in 2005, though down from a record of $66.4 billion in 2000.  Meanwhile foreign direct investment inflows surged to $41.0 billion in 2005 from $2.0 billion in the previous year.  This impressive growth is largely due to increased FDI in Canada’s energy and metallic minerals sectors which accounted for the bulk of total FDI inflows at the end of 2005.  FDI inflows from Canada’s prime source of FDI, the United States, nearly tripled to $18.4 billion in 2005.

12.               Net external liabilities[4] to foreigners represented 12.2% of Canada’s gross domestic product (GDP) in 2005, compared with 42.3% in 1995.  Canada remained a net recipient of overall foreign investment, with liabilities exceeding assets by $168.5 billion at the end of 2005, down from $174.6 billion at the end of 2004.  This small decrease is mostly the result of valuation changes from a rising Canadian dollar.

II.                Trade Policy Developments 2003-2006

(1)               Multilateral Liberalization

13.               Canada’s strong commitment to the work of the World Trade Organization (WTO) has been acknowledged, time and again, by other Members, and continues to be reaffirmed by the Government of Canada.  The WTO remains the cornerstone of Canada’s trade policy and the foundation for its relationships with trading partners.  Canada retains a fundamental interest in the continued expansion and modernization of an open, transparent, rules-based multilateral trading system.

Commitment to the Doha Development Agenda

14.               The Doha Development Agenda (DDA) holds the promise of benefits for all countries – developed and developing.  Canada believes that active participation in the multilateral negotiations is essential given the role that an ambitious and broad-ranging outcome to these negotiations could play in reducing poverty, enhancing security and improving the quality of life for people around the world.

15.               Canada's foremost objective in the Doha negotiations is to increase economic opportunities and prosperity for all Members by reducing impediments to trade and by enhancing predictability in the multilateral trading system.  Central to this is fundamental agricultural trade reform.  In the agricultural negotiations, Canada seeks a more level international playing field through the elimination of all forms of export subsidies as quickly as possible, the substantial reduction of trade-distorting domestic support, and substantial improvements in market access for agriculture and food products.

16.               Canada’s interest in agricultural trade reform is key to its commitment to supporting the development objectives of the Doha Round.  Within the DDA, many developing countries are seeking a fairer international trading environment through real and meaningful agricultural trade reform through the negotiations on agriculture.  Canada is working with developing countries, including those in the Cairns Group and with other Members, to maintain the momentum toward our shared goals in the agriculture negotiations.

17.               As an export-oriented economy, Canada also attaches great importance to improving market access for services and non-agricultural goods.  All Members stand to gain substantially from the elimination of barriers to trade, and Canada seeks an outcome that results in commercially significant liberalization.  Canada is also seeking improved transparency in domestic regulatory regimes.

18.               Canada believes that improvement and clarification of rules governing the use of trade remedies and subsidies (including fisheries subsidies) are necessary in order to achieve greater convergence in interpretation and to curtail the abuse of trade remedy measures.  Canada also supports the negotiations on improving the rules that apply to regional trade agreements and welcomes the recent provisional decision of the General Council to increase transparency in this area.

19.               Canada supports the negotiations to secure strong and binding rules on trade facilitation. Canada views trade facilitation as positive for all countries and as a natural complement to market access negotiations on goods.  Progress on these issues would especially benefit small and medium-sized companies, for whom transaction costs can be particularly burdensome.

20.               Canada is also seeking improvements to the dispute settlement system, including greater transparency, rules for amicus participation and enhanced rights for WTO Members as third parties, in order to strengthen and clarify multilateral disciplines.

21.               Given the continued expansion of developing country trade and output, and their growing representation in the membership of the WTO, developing countries have an increasing stake in the multilateral trading system.  Consequently, the DDA must address a range of issues such as special and differential treatment and improving market access for developing country exports, in order to make the world trading system better serve the interests of development.  A point of great significance to Canada is that the DDA shall take into account the ability of developing and least developed countries to implement any new rules, which may be enhanced by the provision of technical assistance and Aid for Trade in general.

Participation in Negotiations

22.               Since the last trade policy review of Canada in 2003, Canada has remained fully engaged in the DDA.  In addition to its active participation in discussions at all levels, Canada has submitted formal papers in most negotiating areas, with a view to proposing practical and specific ideas to move forward (see Annex 1 for a full list of Canada’s submissions).

23.               In July 2004, Canada worked closely with other WTO Members to reach agreement on a framework for agriculture, which was part of a broader package setting out the way forward for the DDA.  The framework included a number of ideas that Canada had put forward over the course of the negotiations—for example, Canada’s idea for a harmonizing approach to reducing trade-distorting domestic support (i.e. that those countries that subsidize the most should make the largest reductions).

24.               In December 2005, Canada participated in the 6^th WTO Ministerial Conference in Hong Kong, where WTO Members adopted a Ministerial Declaration that reflected further progress achieved on several important issues.  While overall outcomes were not as ambitious as Canada would have liked, the Declaration did include some key commitments—including, for example, an agreement to eliminate agricultural export subsidies by the end of 2013.

25.               Following the Hong Kong Ministerial, Canada has continued to work intensively with other WTO Members toward meeting the goals set out in the Hong Kong Declaration.  Unfortunately, these efforts have not yet succeeded as gaps between the negotiating positions of key WTO players remain significant.  Canada will continue to bring forth practical and constructive ideas and proposals in all areas of the negotiations, and to press for an ambitious and broad-based outcome to the negotiations.

(2)               Supporting Development

26.               The needs of developing countries deserve special mention, as advancing the cause of development through these negotiations is a key objective in the DDA and, more generally, at the WTO.  To that end, the Government of Canada is actively seeking to address some of the administrative, commercial and economic challenges that many developing countries face in implementing trade agreements.  It is also seeking to address developing countries’ concerns about taking on new commitments.

Special and Differential Treatment (S&DT)

27.               Canada is committed to the principle of Special and Differential Treatment (S&DT) in the WTO and has been willing to examine S&DT proposals that make a constructive contribution to integrating developing countries into the multilateral trading system.  Canada has continuously sought to address underlying issues to ensure that resulting measures are geared toward the problems they seek to address.  Canada also recognizes the need for flexibility and calibration of S&DT measures, as developing country Members have different needs and capacities.

Trade Related Technical Assistance and Capacity Building (TRTA/CB)

28.               An integral part of Canada's approach to trade and development is the delivery of needs-based, coordinated, trade-related technical assistance and capacity-building (TRTA/CB) programs.  Specifically, such assistance aims to help developing countries negotiate effectively, to mainstream trade into plans for national development, and to build both institutional and supply side capacity to take advantage of emerging trade opportunities in order to achieve poverty reduction.

29.               The Government favours an effective and efficient approach, coordinated with other partners, that recognizes the importance of recipient countries assuming ownership and control over TRTA/CB efforts.  In particular, Canada supports Recommendations of the Task Force on the Enhanced Integrated Framework for Trade Related Technical Assistance for Least Developed Countries (LDCs) as a means of integrating trade into national development and using trade as a tool for poverty reduction.

30.               Total TRTA/CB commitments by the Government of Canada between 2001 and 2006 amounted to approximately $410 million.  Over that period, commitments were approximately shared equally between trade development programming and trade policy and regulations activities.  Canada focused commitments on the following areas: trade development in agriculture (20%), trade mainstreaming (16%), business support services (9%), as well as assistance with sanitary and phytosanitary measures (8%) and regional trade agreements (8%).  Other examples of assistance that have been provided include trade development in industry, public-private sector networking, trade-related banking and finance, and trade education and training.

31.               Between 2001 and 2005, Canada committed approximately $2.4 million to the Doha Development Agenda Global Trust Fund (DDAGTF) to help finance the implementation of the annual WTO Technical Assistance and Training Plans, which feature a wide range of products focused on the delivery of technical assistance and training.  In addition, Canada committed approximately $4.8 million to the International Trade Centre to help developing countries increase their effective participation in the negotiations, facilitate their implementation of WTO rules and enable them to adjust and diversify their economies.

32.               Africa, Asia, and the Americas received almost equivalent shares of bilateral technical assistance and capacity building.  In Africa, main programs include: $8 million for the Program for Building African Capacity for Trade (PACT), $7 million for the Joint Integrated Technical Assistance Program (JITAP); and $5 million to develop an African Trade Policy Centre (ATPC).  In Asia, programming includes funding to the Centre for Policy Dialogue located in Bangladesh to enhance awareness of global policy issues and their potential impact on the country's economic and social welfare.  Canada is also providing $9 million for the APEC Economic Integration Program.  In the Americas, approximately $100 million have been committed since 2001 to the Caribbean Regional Trade Policy Responsive Fund, Central America Trade Readiness Technical Assistance Project and to funding trade-related projects conducted by the Organization of Eastern Caribbean States, the Inter American Development Bank, and the Trade Unit of the Organization of American States.

33.               The Government of Canada’s International Trade and Labour Program (ITLP) provides grants and contributions for labour capacity-building activities in the Americas.  The current ITLP budget is $2.2 million yearly.  The Canada-Caricom Trade and Labour Project (CCTLP) was established in 2005.  Under this project, a $1 million, three-year activity plan was developed for English and Dutch-speaking Caribbean countries to better address the labour dimension of international trade and regional economic integration.  The International Project for Professional Labour Administration (IPPLAD) is a two-year, $8 million project which will begin in 2007.  Under IPPLAD, the Labour Program will develop and implement long-term programs for building capacity and strengthening governance in the labour area in developing countries.

Least Developed Countries (LDCs): Accessions

34.               The Doha Ministerial Declaration also reflected a commitment to work to facilitate and accelerate negotiations with acceding LDCs.  Recognizing that WTO accession will help least-developed countries in their development and transition efforts, Canada is active in the negotiations of all applicants.  Canada’s approach to least-developed countries has been to reduce requests to a minimum, and show considerable flexibility on, for example, the number of tariff lines, request rates, and transition periods.  Canada was also very active in the WTO Sub-committee on Least-Developed Countries in promoting an agreement to facilitate least-developed countries’ accessions to the WTO.

LDC Market Access Initiative

35.               Since January 1, 2003, Canada has provided duty-free and quota-free access to all imports (excluding the over-quota tariffs on dairy, poultry and egg products) from 49 LDCs, of which 34 are in Africa.  In 2004, Canada renewed its LCDT program for a ten-year period to 2014.  The current scheme covers approximately 99% of tariff lines.  Canada’s initiative is among the most far-reaching in the world in terms of eligible countries, product coverage, rules of origin and overall ease of administration.  As well, it encourages trade between these countries (South-South trade) in the inputs used to make these products.  As a result of this initiative, Canadian imports of apparel from LDCs have increased significantly.  Since 2003, merchandise imports into Canada from LDCs more than tripled, from $632 million in 2002 to $1.9 billion in 2005.

Enhanced Integrated Framework

36.               The Doha Ministerial Declaration endorsed the Integrated Framework for Trade-Related Technical Assistance to Least-Developed Countries (IF) as a viable model for LDCs’ trade development and urged development partners to significantly increase contributions to the IF and to explore the extension of the model to all LDCs.

37.               Between 2001 and 2005, Canada has committed approximately $3 million to the IF, and all LDCs are now eligible for the IF process.  At the 6th WTO Ministerial Conference in Hong Kong (December 2005), WTO members endorsed a work program to enhance the IF.  Canada is actively engaged in this work; indeed the Enhanced IF Task Force was chaired by Canada’s Ambassador to the WTO.

38.               Recommendations developed by the Enhanced IF Task Force were endorsed on July 5, 2006 by the IF Working Group and the IF Steering Committee.  Much work remains to be done to operationalize these recommendations, and three clusters have been created to further examine administrative/legal issues, financial issues and, in-country issues.  The work of these three clusters will be overseen by an IF Transition Team, co-chaired by Canada’s Ambassador to the WTO.

Aid for Trade

39.               In Hong Kong, Ministers directed the creation of an Aid for Trade (AfT) Task Force to provide recommendations on how AfT might contribute most effectively to the development dimension of the Round.  Canada was a member of this Task Force and supports the recommendations which aim at helping developing countries, especially LDCs, to build supply-side capacity and trade related infrastructure that they need to assist them in implementing and benefiting from WTO Agreements and more broadly to expand their trade.  Canada’s view is that in order to reach these goals, AfT should strictly adhere to the principles of aid effectiveness.

40.               Canada believes that AfT is important in its own right and that it should and must move forward despite the current challenges that are being faced more broadly in this Round.  Canada has been, and will continue to be, actively engaged in the work to advance the AfT agenda set forth in the Hong Kong Ministerial Declaration.

Official Development Assistance (ODA)

41.               Since 2002, Canada committed to increase official development assistance funding by 8% per year with the aim of doubling ODA volumes by the end of the decade and raising ODA as a percentage of Gross National Income to roughly 0.35%.  In this regard, Africa will be a major recipient of government programming, but Canada will also continue to apply these resources to address important needs elsewhere – be they in the Caribbean, Latin America or Asia.

42.               Complementing efforts to liberalize trade with developing countries, Canada has been increasing its aid effectiveness and opening markets to stakeholders in developing countries through aid untying and increased flexibility in procurement.  While the aid untying ratio to all developing countries was 32% in 2001, it reached 59% in 2005.  In September 2005, the Government of Canada announced it was changing its food aid policy, so that up to 50% of Canada's food aid could be purchased in developing countries.  This shift in policy will mean that Canada will buy more food from farmers in developing countries, helping to support local agricultural sectors, and making the delivery of food more efficient.

Canada’s Access to Medicine Regime (CAMR)

43.               In force since May 14, 2005, Canada’s Access to Medicine Regime (CAMR) implements the August 30, 2003, decision of the WTO General Council waiving provisions 31(h) and 31(f) of the TRIPS agreement to give members with pharmaceutical manufacturing capacity the right to issue compulsory licenses authorizing the manufacture and export of pharmaceutical products to countries with insufficient or no pharmaceutical manufacturing capacity.

44.               CAMR includes a provision requiring the Minister of Industry to review the relevant provisions of the Patent Act (section 21.01 to 21.19) within two years of its coming into force and to table a report on the results of that review in both Houses of Parliament within 15 days of the report’s completion.  A mandatory review requirement was incorporated into CAMR because of the unprecedented nature of this initiative and the conflicting views of some stakeholder groups during CAMR’s development on how the various terms and conditions of the WTO waiver should be reflected in Canada’s amending legislation.

45.               Despite being in force since May 2005, CAMR has not resulted in the export of any pharmaceutical products.  Given the pressing humanitarian and international development concerns which underlie CAMR, the Government of Canada has decided to initiate its review in advance of what is statutorily required in order to meet the May 2007 deadline for the review’s completion by releasing a consultation paper on CAMR on November 24, 2006.  The purpose of this paper is to focus dialogue on how CAMR might better meet its humanitarian objective of facilitating access to medicines in the developing world, while respecting international trade obligations and maintaining the integrity of the domestic patent system.

46.               The consultation paper is posted on the CAMR web site[5], and interested parties have been invited to submit their written comments to Industry Canada or Health Canada by January 24, 2007. All submissions will be posted on the web site within 15 days of that date.

47.               The review process does not prevent interested parties from using CAMR to export needed medicines to eligible importing countries in the interim.  Canadian officials continue to seek opportunities to inform eligible importing countries, manufacturers and non-governmental organizations about how CAMR works and how they can take advantage of it.  CAMR is one part of Canada’s broader response to fighting public health problems, such as HIV/AIDS, tuberculosis, malaria and other epidemics that are affecting people in developing countries.

(3)               The World's Largest Trading Relationship:  Canada-United States

48.               Canada and the United States share the largest bilateral flow of goods, services, people and capital between any two countries in the world.  Moving over $1.9 billion worth of goods and services across the border each day, Canada and the United States are each other's largest customers and biggest suppliers.  In 2005, Canada exported $368.6 billion in goods to the United States and imported $259.8 billion in return.  Services exports totalled $35.9 billion in 2005, with corresponding imports at $45.3 billion.

49.               Increasing business integration has also contributed to the growth of investment flows between Canada and the United States.  Foreign direct investment (FDI) stocks in Canada from the U.S. reached $266.5 billion in 2005, accounting for a compound average annual growth of 9% since 1995.  The stock of Canadian direct investment to the U.S. reached $213.7 billion.

50.               Maximizing the free flow of goods, services and capital with the United States is a key priority for Canada.  Areas of ongoing interest in the Canada-U.S. relationship include streamlining border measures and enhancing regulatory collaboration.

51.               The Canada – United States Softwood Lumber Agreement, a mutually-agreed resolution of the softwood lumber dispute, took effect on October 12, 2006.  As part of this seven to nine-year agreement, the United States revoked all anti-dumping and countervailing duty orders against Canadian softwood lumber exports and refunded over 80% of the duty deposits collected since 2002.  Under certain conditions, Canada will impose a charge on its softwood lumber exports to the United States, the level being dependent on a weighted average lumber price, and with the possibility of lower charges if the exporting region accepts volume restraints.  Softwood lumber trade with third countries is not affected.

Update on Canada-United States Smart Border Declaration

52.               As reported in Canada’s 2003 Government Report, Canada and the United States signed the Smart Border Declaration in 2001.  The Declaration provided an effective framework for addressing border issues and was supported by a 32-point Action Plan that has been the mechanism for progress on cross-border transportation initiatives.

53.               Since the signing of the Declaration, the Canadian federal government has announced more than $1.3 billion in border infrastructure improvements in cooperation with provinces and other partners.  The improvements have been funded through the Border Infrastructure Fund (BIF) and through the border component of the Strategic Highway Infrastructure Program (SHIP).  These projects address border congestion, and facilitate cross-border trader flows, by providing additional infrastructure capacity and dedicated lanes to support enhanced low-risk traveller facilitation programs, such as Free and Secure Trade (FAST).

(4)               Regional and Bilateral Initiatives

54.               As a trade-oriented and globally-integrated economy, Canada benefits from a healthy, open, transparent, rules-based international trading system.  At the same time as Canada maintains its focus on the WTO, Canada also recognizes the importance of bilateral and regional trade initiatives in further liberalizing trade in goods and services.  Bilateral and regional initiatives can complement and reinforce multilateral liberalization by generating political momentum, by developing and refining elements of the trade regime and by preparing domestic industries for the further multilateral opening of markets.  Bilateral and regional initiatives can also serve as capacity-building tools for developing countries.

55.               Canada’s multilateral and bilateral initiatives are designed to be mutually supportive.  Rather than detract from multilateral efforts, bilateral agreements allow us to explore new commitments and disciplines in areas such as investment, services, and trade facilitation, making them broader than existing multilateral rules.  In this sense, Canada believes that regional and bilateral agreements can help place new issues on the global agenda and provide innovative solutions to the challenges posed by trade integration.

56.               Regional and bilateral free trade agreements (FTAs) also serve to secure markets for Canadian business and to provide them access to lower-cost goods and services.  Furthermore, FTAs can help strengthen markets by creating opportunities for increased specialization and productivity, and providing competitive stimulus.  Closer economic relations, as well as the closer governmental relations forged by the negotiating process, also contribute to progress on the broader social, political and environmental fronts.

(a)                Regional Trade Initiatives

North American Free Trade Agreement (NAFTA)

57.               Having passed the thirteenth anniversary of the entry into force of the North American Free Trade Agreement (NAFTA) on January 1, 2007, it is clear that the Agreement has contributed to making the conduct of business in North America more predictable and transparent, thus increasing significantly the trade and investment flows between the three countries.  Canada’s annual merchandise trade with its NAFTA partners has nearly doubled since 1994, reaching $598.9 billion in 2005.  Canadian merchandise exports to the United States grew at a compounded annual rate of 8.2% between 1990 and 2005.  With bilateral trade in 2005 reaching $18 billion, Mexico is now Canada’s fifth largest export destination and ranks fourth as a source of imports worldwide.  Under the NAFTA, Canada’s trade in services with the U.S. and Mexico has also increased (from $46.4 billion in 1994 to $82.7 billion in 2004), while there has also been a positive impact on investment.  The stock of foreign direct investment in Canada reached $415.6 billion in 2005, of which more than 64% came from our NAFTA partners.

58.               On January 1, 2003, most of the remaining tariffs between the Parties were eliminated.  At the Free Trade Commission meetings of 2004 and 2006, Ministers agreed to pursue further liberalization of the NAFTA rules of origin.  A first and a second package have already been implemented, and further liberalization work is in progress.  The NAFTA Parties have also demonstrated their commitment in increasing transparency.  Further to the 2004 release of the negotiating history of NAFTA’s investment provisions (Chapter 11), at the 2006 Free Trade Commission meeting, Ministers directed officials to release the negotiating history of the institutional arrangements and dispute settlement provisions (Chapter 20) before the next NAFTA Commission Meeting to be held in Canada in 2007.

59.               At the 2006 Free Trade Commission, Ministers also agreed to:  (a) identify sectors and the specific work that could be undertaken within those sectors to remove existing trade impediments;  (b) launch a thorough review of the operation of the NAFTA working groups and committees in order to identify potential improvements to their existing work as well as how their work plans could support the new sectoral initiatives;  and (c) examine how the three countries might collaborate in trade agreements with other countries as well as how elements of trade agreements negotiated by each country might inform improvements to NAFTA practices such as transparency and trade facilitation.

Security and Prosperity Partnership

60.               In a March 2005 joint statement, the leaders of Canada, the United States and Mexico unveiled a new Security and Prosperity Partnership for North America (SPP) that speaks of increasing continental integration and the need to work trilaterally to make our societies more secure and our economies more resilient.  Border initiatives figure prominently on the SPP agenda.

61.               For example, the SPP calls for a border facilitation strategy to build capacity and improve the legitimate flow of people and cargo at our shared borders.  As part of this, throughout 2007, Canadian and U.S. partners will be convening a series of regional workshops to identify, align, and to help implement common regional border and corridor infrastructure priorities.  The workshops will be project-focused, and will be coordinated through the Canada-U.S. Transportation Border Working Group.

62.               In addition, in December 2004, the governments of Canada and the United States announced a commitment to reduce transit times across the Windsor-Detroit Gateway by 25 per cent.  Since that time, both governments have been working closely with stakeholders to realize this challenge.  As a result of the implemented measures, there have been significant reductions in border delays at the Windsor-Detroit crossings.

63.               The Government of Canada recognizes that infrastructure investments are crucial to maintaining Canada’s economic competitiveness, productivity, and quality of life.  To this end, Budget 2006 provides $16.5 billion over the next four years for infrastructure investments.  It is expected that a significant portion of this infrastructure funding will be focused on improvements to the core National Highway System, including investments in strategic corridors linking to border crossings and in international gateways to foreign markets.

Free Trade Area of the Americas (FTAA)

64.               The Free Trade Area of the Americas (FTAA) process has been suspended since 2004.  At the 2005 Summit of the Americas in Argentina, Canada, along with the majority of FTAA participants, supported the resumption of formal negotiations.

(b)                Bilateral Trade Initiatives

65.               The Canada-Chile Free Trade Agreement (CCFTA) will celebrate its 10^th anniversary in 2007.  Bilateral trade is virtually tariff-free as of January 1, 2003.  On November 15, 2006, Canada and Chile signed an agreement to amend the CCFTA to add a chapter on government procurement carried out at the federal level.  Both countries are now undertaking the steps necessary to bring the chapter into force, which is expected to take place sometime in 2007.  The chapter’s procedural obligations require Canada to treat Chilean suppliers in the same manner as domestic suppliers for procurements that are covered by the agreement.  The same will be true for Canadian suppliers seeking to participate in the government procurement market in Chile.  Canada and Chile also agreed on extended transparency commitments for certain procurements for which no market access commitments were made.  In addition, since Canada’s last trade policy review, Canada and Chile have met on several occasions to discuss the development of financial services disciplines.

66.               The Canada-Israel Free Trade Agreement (CIFTA) came into force January 1, 1997 eliminating tariffs on almost all industrial products manufactured in Canada and Israel.  In November 2003, the CIFTA was expanded to provide preferences to a wide range of agricultural and agri-food products Canada exports to Israel.  Of note, Canada eliminated tariffs on various products including fresh cut roses, various vegetables and juices.  Israel largely eliminated tariffs on various Canadian exports including animals for breeding, various vegetables, grains and oilseeds.  The CIFTA contains disciplines on government procurement, but does not cover cross border trade in services or investment.

67.               The Canada-Costa Rica Free Trade Agreement (CCRFTA) will mark its 5th anniversary in November 2007.  The CCRFTA offers a market access package providing comprehensive tariff reductions for both industrial and agricultural goods.  Canada will eliminate all tariffs on imports from Costa Rica by January 2011, except for beef and certain supply-managed dairy and poultry tariff lines, which are not subject to tariff reduction commitments under the agreement.  Canada has implemented five stages of tariff reductions pursuant to the agreement since the CCRFTA came into effect.  The agreement does not contain disciplines on services, investment, or government procurement.  Canada has a stand-alone bilateral Foreign Investment Promotion and Protection Agreement (FIPA) with Costa Rica.

68.               On October 9, 1998, the Government of Canada announced the launch of negotiations with the EFTA states (Iceland, Norway, Switzerland and Liechtenstein).  The talks reached an impasse in May 2000.  In September 2006, Canada and the EFTA countries agreed to re-start the negotiations, with a view to concluding in early 2007.  A formal round of talks was held in early November 2006. The deal is expected to be a “first-generation” agreement that focuses on tariff elimination.  It is not expected to include substantial new obligations in areas such as services, investment, and intellectual property.

69.               Canada and Singapore launched negotiations towards a free trade agreement in October 2001.  To date, there have been six rounds of negotiations, the last of which was in October 2003.  In November 2006, Canada and Singapore agreed to resume negotiations, with a view to concluding by early 2007.  Canada is seeking a comprehensive agreement that covers a wide range of topics including trade in goods, cross border trade in services, temporary entry, financial services, investment, government procurement, dispute settlement and competition policy.

70.               Canada launched FTA negotiations with the Central America Four (CA4) countries of El Salvador, Guatemala, Honduras and Nicaragua in 2001.  The negotiations are well-advanced.  Canada and the CA4 countries continue to explore ways to overcome the remaining obstacles with a view to concluding an agreement in the near future.  Canada remains committed to concluding a comprehensive agreement covering market access for goods, services, investment and more.

71.               Canada and the Republic of Korea are currently involved in negotiations towards a free trade agreement.  The negotiations, which were launched in July 2005, include tariff elimination, trade facilitation, non-tariff measures, cross border trade in services, temporary entry, investment, competition policy, government procurement, and intellectual property rights.  An eighth round of negotiations was held in Seoul in November 2006, with a ninth round scheduled for early 2007 in Canada.

72.               Canada supports the goal of free trade with the countries of the Andean Community, the Dominican Republic as well as the Caribbean Community and Common Market (Caricom).  Exploratory discussions towards potential free trade agreements have been productive, and Canada hopes to be in a position to launch formal negotiations in the near future.

(c)                Other Bilateral Initiatives

Canada-European Union (EU) Trade and Investment Enhancement Agreement

73.               The Canada-European Union (EU) Trade and Investment Enhancement Agreement (TIEA) negotiations were launched on May 17, 2005.  The TIEA seeks to address "new generation", non-tariff trade issues such as investment, trade facilitation, regulatory cooperation and services, as well as government procurement and intellectual property.  Canada and the EU expected that the TIEA, once completed, would complement improved market access achieved via the WTO negotiations.  In May 2006, Canada and the EU agreed to pause the TIEA negotiations until the results of the WTO Doha Round talks are known.  Despite the pause in the TIEA negotiations, Canada and the EU are continuing discussions on regulatory cooperation.

Canada-Japan Economic Framework

74.               In November 2005, Canada and Japan agreed to a flexible and innovative Economic Framework.  The Framework addresses new and emerging economic challenges and opportunities, as well as promoting economic cooperation through policy and business development initiatives.  It is structured to focus on forward-looking strategic priority areas of cooperation.  Since its creation, discussions under the Economic Framework have resulted in a cooperation agreement on anti-competitive activities, an enhanced customs cooperation arrangement, a memorandum of understanding on bilateral investment promotion cooperation, an agreement on social security and an informal framework document on food safety cooperation.  The framework also launched a Joint Study on the benefits and costs of further promotion and liberalization of trade and investment.

Canada - European Community Wine and Spirits Agreement

75.               On September 16, 2003, an agreement was signed between Canada and the European Community on trade in wines and spirit drinks.  The Agreement entered into force on June 1, 2004 and updated the existing bilateral agreement between the parties on wines and spirits that had been in place since 1989.  The Agreement provides for clear trade rules in the Canadian marketplace, and an updated framework for managing potential grievances.  It contains provisions related to oenological practices, the facilitation of market access and geographical indications.  Canada enacted the Spirit Drinks Trade Act on November 3, 2005 to provide the legal basis to implement the spirit drinks section of the Agreement.  The Trade-Marks Act was also amended in 2004 to provide for the phased elimination of certain names from its list of generic names for wines and spirits.

Foreign Investment Promotion and Protection Agreements (FIPAs)

76.               Canada has 22 Foreign Investment Promotion and Protection Agreements (FIPAs) in force with Russia, Poland, Czech Republic, Slovak Republic, Argentina, Hungary, Ukraine, Latvia, Philippines, Trinidad & Tobago, Barbados, Ecuador, Egypt, Romania, Venezuela, Panama, Thailand, Armenia, Uruguay, Lebanon, Costa Rica and Croatia.  On November 14, 2006 the Canada-Peru FIPA was signed, which will come into force once both countries have ratified the treaty.  The majority of these treaties are based on the investment chapter of the NAFTA and share the following features: a broad definition of investment, obligations for national treatment and most-favoured nation treatment applied at both the pre- and post-establishment  phase, minimum standard of treatment in accordance with international law, protection against expropriation without compensation, free transfers of investment related funds, and access to investor-state arbitration and state-state dispute settlement mechanisms to resolve disputes.

77.               Canada is currently negotiating FIPAs with India and China.  Following a four and half year hiatus, Canada and China resumed FIPA negotiations in September 2004.  Three rounds of negotiations have subsequently been held, with the most recent round of negotiations in September 2006.  Canada is hopeful that these negotiations can be concluded in 2007.  In September 2004, Canada and India met for the first time since the mid-1990s to resume FIPA negotiations, and there have been six subsequent rounds of negotiations.  Canada is hopeful that these negotiations can be concluded in early 2007.  Preparations are underway to launch FIPA negotiations with Kuwait and Jordan and to hold exploratory discussions with Indonesia and Vietnam in 2007.

(5)               Canada In Other Multilateral Forums

Asia-Pacific Economic Cooperation (APEC)

78.               Since Canada’s last trade policy review, Canada has used its participation in APEC to advance key Canadian trade policy interests including support for the WTO Doha Development Agenda, support for its regional trade and investment promotion and policy objectives, and making the Asia-Pacific region more accessible to Canadian businesses, including women-owned enterprises. These are addressed through APEC's work on trade facilitation, transparency and anti-corruption, and intellectual property rights.

79.               In response to calls in the Doha Declaration for increased trade-related technical assistance, Canada has been one of APEC’s strongest proponents of TRTA, co-chairing its WTO Capacity Building Group and organizing several capacity building projects.  In 2006 Canada sponsored a training course on multi-stakeholder trade policy consultations and in 2007 will be sponsoring a training course on the WTO negotiations process for APEC government officials.  These training courses will form part of CIDA’s APEC Economic Integration Project (EIP) multi-year WTO capacity building curriculum which also includes an introductory course on trade policy and the WTO and three specialized modules on trade in agriculture, trade in services and market access.

80.               Since 2004, Canada, through Canadian International Development Agency’s (CIDA's) APEC EIP, is assisting 6 developing countries in Southeast Asia (Indonesia, Lao PDR, Cambodia, Thailand, Philippines, and Vietnam) to integrate more fully with the world economy by strengthening connections to international markets.  The primary focus of this project is on building the capacity of these 6 Southeast Asian countries to function effectively in WTO fora, to comply with their obligations under WTO agreements, and to facilitate regional and global trading relations.

81.               At the 2006 APEC Economic Leaders’ Meeting in Hanoi, Vietnam, Leaders concluded that APEC had met the Shanghai target, set in 2001, for APEC’s Trade Facilitation Action Plan which called for a five-percent reduction in transaction costs by 2006.  The APEC Economic Committee estimates that reaching the 5% target would increase the GDP of the APEC region by US$154 billion. Leaders also welcomed the framework (schedule of implementation and list of types of concrete actions that APEC member economies might undertake to achieve their commitments) for the next phase of the Trade Facilitation Action Plan which calls for a further five-percent reduction in transaction costs in the APEC region by 2010.  Canada plans to continue its capacity building efforts in this area in order to help APEC member economies reach this goal.

Organisation for Economic Cooperation and Development (OECD)

82.               Canada has worked to ensure effective OECD support for the Doha Development Agenda.  In many important ways, the OECD trade policy work program parallels efforts in the DDA.

83.               The promotion of trade liberalisation has been central to the OECD mandate.  Canada participates in the Trade Committee (TC) and Working Party on Trade, whose focus is on interdisciplinary consideration of trade issues.  It provides a unique forum to set out the analytical basis required to understand the issues and plays an important role in complementing the work of the WTO to promote the multilateral trading system.  The Government continues to support the work of the OECD in examining the benefits and challenges of trade and investment liberalization in a globalizing world.

84.               Canadian support was critical to the creation of the joint OECD/WTO Doha Development Agenda Trade Capacity Building Database launched in December 2002.  Canada provided funding to support their ongoing operations in 2004-2005.

85.               Canada has actively contributed to various trade policy studies focused on development issues.  For example in 2004-2005, Canada provided comments and contributed to studies related to: the development-dimension of trade-related intellectual property rights, trade and structural adjustment; the impact of changes in tariffs on government revenue; the costs and benefits of trade facilitation for developing countries and transition countries;  the economy-wide effects of barriers to trade in services in selected developing countries; and the non-tariffs barriers of concern to developing countries.  Canada also participated in discussions to strengthen the complementarities between the TC and the Development Assistance Committee (DAC).  The cooperation of DAC and TC has been particularly important for Aid for Trade.

86.               In addition, Canada was a key player in the development of the TC’s "Outreach and Observership Strategy" endorsed in the fall of 2005.  The purpose of the strategy was to make TC policy products more relevant and globally acceptable and to share TC policy products with non-Members with a view to promote the values of the OECD.

Convention on the Settlement of Investment Disputes between States and Nationals of Other States

87.               On December 15, 2006, Canada signed the Convention on the Settlement of Investment Disputes between States and Nationals of Other States (the ICSID Convention).  Signing the Convention demonstrates the government’s commitment to the ICSID Convention and to providing leadership for its implementation by those provinces and territories who have not yet done so.  Federal officials will continue discussions with provincial and territorial colleagues to reach an agreement on their participation under the Convention, with a view to Canada’s ratification in the near future.

(6)               Resolution of Disputes

88.               Since the last review, Canada has been involved in several disputes litigated at the WTO.  As both a complainant and a third party, Canada utilized the WTO dispute settlement mechanism to address trade barriers that are inconsistent with these agreements.  We have also participated in dispute settlement to respond to complaints from Members alleging the inconsistency of Canadian measures under the agreements.

89.               In October 2006, Canada and the United States entered into a comprehensive agreement resolving all ongoing disputes related to Canada-U.S. trade in softwood lumber products.  As a result, on October 12, 2006, Canada and the United States notified the WTO of a mutually agreed solution to six WTO dispute settlement proceedings between Canada and the United States related to softwood lumber (DS236, DS247, DS257, DS264, DS277 and DS311).

90.               Canada continues to seek improvements to the Dispute Settlement Understanding (DSU) that will serve Members' shared interests in enhancing compliance with trade rules and ensuring the integrity and credibility of the rules-based system with both Members and the wider public.  To this end, Canada places great importance on achieving a successful outcome to the DSU negotiations and has been an active participant in the discussions to date.

(7)               Trade Policy and Trade Promotion

91.               Many departments of the Government of Canada and of provincial/territorial governments manage programs that encourage international business expansion.  Federal departments and agencies work together and cooperate with provinces and territories to provide business intelligence and international market access information and advice to Canadian businesses.  Training programs focussed on trade practices and the rules that govern international business activities assist in providing services to new and smaller exporters with a view to enhancing their capacity and preparedness in international market development.

92.               The Government of Canada manages approximately 140 trade offices in Canadian Embassies and Consulates around the world.  A principal responsibility of trade staff is familiarity with the regulations, policy issues and barriers that Canadian businesses may face in exporting goods and services or making a direct investment in a foreign market.  Trade offices provide a direct point of contact for Canadian firms in foreign markets, teach companies how to build partnerships in an international environment, and help resolve trade policy issues that negatively impact on commercial relationships.

93.               This international business development network is a main source of information for Canadian trade policy initiatives, together with domestic consultations.  The agencies within Canada are well placed to inform domestic enterprises of their rights under international trade and investment protection rules and to identify aspects of business policy that limit the expansion possibilities of Canadian firms, while they in turn offer the Government practical advice on problems and priorities.  The international network examines how other governments implement the disciplines that they have accepted and advises the Government of Canada on new issues.

(8)               Other Initiatives

(a)                Environmental Assessments

94.               In 1999, the Government of Canada made a commitment to assess the domestic environmental implications of a potential new round of trade negotiations at the World Trade Organization.  This commitment was then broadened in order to develop a framework that could be applied to bilateral, regional or multilateral trade negotiations.

95.               The 2001 Framework for the Environmental Assessment of Trade Negotiations (EA Framework) details the process to be used for environmental assessments of Canada’s trade and investment negotiations.[6]  The EA Framework provides a process and methodology for conducting an EA of a trade or investment negotiation that is intentionally flexible, while ensuring a systematic and consistent approach to meet two key objectives.  The first objective is to assist Canadian negotiators to integrate environmental considerations into the negotiating process by providing information on the environmental impacts of the proposed trade agreement.  The second objective is to address public concerns by documenting how the environment is considered during negotiations.

96.               Three increasingly detailed phases of assessment are undertaken: the Initial, Draft, and Final EA. The Initial EA is a preliminary examination to identify key issues and occurs early on in the negotiations.  The Draft EA builds on the findings of the Initial EA and requires detailed analysis.  The Final EA takes place at the conclusion of the negotiations.  At the conclusion of each phase, a public report is issued with a request for feedback.

97.               On November 22, 2002, the Government of Canada released its Initial Environmental Assessment of the World Trade Organization Negotiations.  The Initial EA addresses the likely and significant impacts on the Canadian environment of negotiations in the seven areas outlined in the Doha declaration.  Members of the public were invited to comment after the publication of the Initial EA. Comments received were taken into account in work pursuant to the Draft EA.

98.               Work on the WTO Draft EA began in early 2005.  The Draft EA examines the coverage of the Doha negotiations and their overall economic relevance in the Canadian context to identify the likely environmental impacts on Canada and to assess their significance.  The Draft EA also identifies mitigation and/or enhancement measures.  The analysis focuses on the following negotiating areas: agriculture, non-agricultural market access (NAMA), services, rules, trade facilitation, and certain aspects of trade and environment (i.e. environmental goods and services).  Preliminary findings of the WTO Draft EA were completed in late 2005, and thus informed Canada’s position at the Hong Kong Ministerial.  The Government of Canada also participated in a civil society event dedicated to impact assessment of trade agreements at this Ministerial.

99.               In May 2006 the Government of Canada’s external EA of Trade Advisory Group was consulted on the contents of the preliminary findings of the WTO Draft EA.  This advisory group consists of representatives from academia, industry, multilateral organizations, and non-governmental organizations.  The feedback received during this consultation is informing further work within the Government of Canada on the WTO Draft EA as well as assessments of Canada’s other ongoing trade and investment negotiations.

(b)                Sustainable Development Strategy

100.            Foreign Affairs and International Trade Canada's commitment to sustainable development was renewed with the tabling in Parliament of Agenda 2009 in December 2006.  Agenda 2009 is the Department's fourth Sustainable Development Strategy and provides a roadmap to advance sustainable development that builds on the progress made in previous strategies Agenda 2000, Agenda 2003 and Agenda 2006.

101.            Agenda 2009 includes an objective, "Enhanced Canadian prosperity through advancement of Canadian sustainable development interests and priorities in trade relations, policies and programs as well as a commitment to demonstrate, through the TPR, the Canadian position on sustainable development and how it seeks to integrate trade and environmental considerations into the domestic policy-making process.”

(c)                Asia-Pacific Gateway and Corridor Initiative

102.            By virtue of our geography and transportation infrastructure, Canada is well positioned to take advantage of the tremendous trade opportunities in growing foreign markets.  Advantage Canada, a long-term economic plan for Canada recently released by the Minister of Finance, highlights the importance of strategically located gateways to Canada’s competitiveness.

103.            On October 11, 2006, the Government of Canada announced details of its Asia-Pacific Gateway and Corridor Initiative, a package of concrete measures and long-term direction that will help strengthen Canada’s competitive position in international commerce.  The $591 million Asia-Pacific Gateway and Corridor Initiative includes integrated measures designed to establish Canada’s Asia-Pacific Gateway and Corridor as the best transportation network serving global supply chains between North America and Asia.  In particular, the Initiative seeks to: increase the Gateway’s share of North America-bound container imports from Asia; improve the efficiency and reliability of the Gateway’s service to Canadian and other North American exports as Asia’s economies grow; and expand commerce with the Asia-Pacific region.

104.            Canada’s Asia-Pacific Gateway Initiative is focused on addressing near term capacity requirements, and integrating measures to advance a range of longer term policy issues that impact directly on how well the infrastructure works and how well Canada takes advantage of it.  As part of the Initiative, the Government is committed to working with private sector stakeholders to enhance the Gateway, including the development of an overall policy approach that creates a positive climate for private investment.

105.            A limited number of regions in Canada are potential targets for an integrated gateway approach, based on international trade and commerce volumes of national significance and transportation policy considerations.  As a next step, the Government is developing a national policy framework for strategic gateways and trade corridors that will guide future actions.  It will draw on key concepts and lessons of the Asia-Pacific Gateway and Corridor Initiative.

(d)                The Next Generation of Agriculture and Agri-Food Policy

106.            In 2003, the federal, provincial, and territorial governments implemented the Agricultural Policy Framework (APF) to position Canada as the world leader in food safety and quality, innovation and environmentally responsible agriculture production.  As most elements of the agreements that allow for APF programming expire in March 2008, work is currently underway to transform the framework to make it more responsive and provide an enduring foundation for profitability throughout the value chain.

(e)                Promoting Sustainable Rural Development through Agriculture

107.            Canada works with developing countries to promote the development of their own agriculture sectors, efforts which are guided by CIDA's policy Promoting Sustainable Rural Development through Agriculture (2003).  Increasingly, development programming will seek to address new challenges facing developing countries in the sector, such as the ability of small farmers to engage in global trade opportunities by helping them respond to demands for quality, timelines and traceability requirements of emerging multinational supply chains.  Other activities range from support for research activities to improve agricultural productivity, to promoting food security, to encouraging sustainable natural resource management practices.

(f)                 Smart Regulation

108.            The Government of Canada launched the Smart Regulation strategy in March 2005.  Through a series of initiatives, Smart Regulation aims to achieve a high level of regulatory performance that is more transparent, coordinated, forward thinking and accountable to citizens.  It is aimed at building a regulatory system that takes competitiveness and innovation into account while achieving the public good.

109.            Regulation is an important tool for protecting the health and safety of Canadians, preserving the environment and securing the conditions for an innovative and prosperous economy.  Principles and processes have been identified that will help Canada to achieve higher levels of regulatory efficiency, including the adoption and recognition of international standards.  Canada will improve its regulatory framework by moving to finalize a new modern approach to smart regulation.

(g)                Science and Technology Strategy

110.            The Government of Canada has committed to maintain Canada's leadership in public sector R&D investment in the G7, while at the same time encouraging greater private sector investment in R&D through working to improve fiscal and marketplace framework policies, in order to achieve its target of making Canada a leading country for R&D and innovation in the world.  Canada now ranks 2nd in the OECD in its share of higher education R&D as a percent of GDP.  However, private sector investments in R&D in Canada have been lower than many OECD nations.

111.            The Government announced in February 2006 that it would develop a science and technology (S&T) strategy that would encompass the broad range of government support for research, including knowledge infrastructure.  The objective is to stimulate Canada's productivity and international competitiveness through S&T, and ensure that government investments in S&T yield the maximum value to support Canada's competitive advantage.  The strategy, based on research excellence, recognizes the essential role of partnerships to better coordinate efforts and leverage investments, and emphasize transparent decision-making and better reporting of results.

112.            In its recent Economic and Fiscal Update, November 2006, the Government stated it will work to ensure a business environment that encourages its private sector to translate research into economic opportunity, encourage deeper linkages between research and markets, and improve accountability to demonstrate the results achieved from the annual expenditures on R&D.  It will sustain Canada's excellence in university research, develop the highly qualified workers of tomorrow and support strong and enduring partnerships among universities, government and business to accelerate the translation of knowledge into practical applications.

(h)                Changes to Canada’s Intellectual Property Regime for Pharmaceuticals

113.            In Canada, there are two types of regulations that protect intellectual property in the pharmaceutical and biotech industry:  the Patented Medicines (Notice of Compliance) Regulations ("PM(NOC) Regulations") and the data protection provisions in the Food and Drug Regulations.  Industry Canada is responsible for the PM(NOC) Regulations and Health Canada is responsible for the data protection regulations.

114.            In October 2006, joint amendments to these two sets of regulations came into force[7].  The purpose of the amendments to the PM(NOC) Regulations is to make it easier for generic drug companies to predict when they may enter the Canadian market with a lower cost version of an innovative, patented drug.  This has been done by clarifying when and what types of patents can be protected under the PM(NOC) Regulations and by no longer requiring generic drug companies to comply with the PM(NOC) Regulations in respect of a patent that arises after the date the generic company files its drug submission with Health Canada.  The purpose of the amendments to the data protection regulations is to protect test data submitted to Health Canada by innovative companies seeking to market a drug containing a new chemical entity from unfair commercial use.  This protection operates by prohibiting subsequent entrants from seeking approval to market a competing version of that same drug on the basis of a reduced data package for a period of 6 years from the date the innovative drug was approved.  It also prohibits the actual approval of the latter drug for a minimum of 8 years after the date the innovative drug was approved.  A further six months of protection is available for drugs which have been the subject of pediatric studies.  This latter measure is intended to encourage research in the area and improve drug information available to pediatric health professionals.

115.            As a result of both sets of regulatory amendments, Canada's intellectual property environment for pharmaceuticals is now more predictable, stable and internationally competitive.

(i)                  Inter-Provincial Trade Initiatives

116.            The Agreement on Internal Trade (AIT) came into effect in 1995.  Recognizing the existence of significant differences in trade and investment policies and practices between the federal and provincial governments, and across provinces, the AIT aims to "reduce and eliminate, to the extent possible, barriers to the free movement of persons, goods, services and investment within Canada, and to establish an open, efficient and stable domestic market".[8]  All provinces and territories except Nunavut are signatories.  Under the AIT, the federal, provincial, and territorial governments agreed to focus on 11 sectors or policy instruments that offer the greatest potential for the reduction of barriers.  These are:  government procurement;  environmental protection;  consumer-related measures and standards;  labour mobility;  investment;  agricultural and food products;  alcoholic beverages;  communications;  transport;  natural resource processing;  and energy.

117.            British Columbia and Alberta signed a Trade, Investment, and Labour Mobility Agreement (TILMA) in April 2006, which will come into force on April 2007 and be fully implemented by April 2009.  This is Canada’s most comprehensive internal trade agreement, applying to all government measures that affect trade, investment and labour mobility.  The dispute resolution mechanism is effective and enforceable.  The TILMA is widely seen as a model for further liberalization of internal trade in the rest of Canada.

III.             CONSULTATIONS AND TRANSPARENCY

118.            The Government of Canada is committed to intergovernmental collaboration and public consultations.  Close work with Canada's provinces and territories, and engagement with its business community and labour, non-governmental and public interest groups as well as the public-at-large about trade policy issues provides the opportunity to have their voices heard and their views considered.  Through meaningful dialogue, the advice and opinions received engender better trade policy decisions and initiatives.

119.            As a nation that benefits greatly from global economic commerce, information exchange and outreach regarding Canada's participation within the WTO is important in the development of national trade priorities and strategies.  For this reason, the Government of Canada continues to provide information and updates on Canada’s international trade agenda through various consultation advisory groups, through its "Trade Negotiations and Agreements" website[9], via periodic video and teleconferences, and through formal public notices in the Canada Gazette and the media.

120.            Intergovernmental cooperation with Canada's provinces and territories at both the political and officials level on trade issues is active and has proven to be quite effective.  Federal-Provincial-Territorial Trade Ministers meet annually to address the full range of international commerce issues as do their respective Deputy Ministers.  Officials also meet quarterly.  These meetings provide the venue for federal-provincial-territorial dialogue in areas of shared jurisdiction, and to promote coherence in the programming of international commerce policies and activities.  The extent of intergovernmental inclusion in WTO matters can be seen through provincial and territorial participation at the WTO 6th Ministerial Conference.  Fourteen provincial cabinet ministers and approximately 50 provincial and territorial officials were in attendance.  They were kept closely informed through debriefing sessions or document sharing as the meetings progressed.

121.            On the management of WTO trade disputes, the federal government seeks the participation of appropriate provinces/territories when Canada must respond to a dispute involving provincial programs or measures.  Representatives of provinces and territories are then invited to participate in proceedings as subject matter experts on the Canadian delegation, which is headed by an official of the Government of Canada.  When Canada challenges another country’s measure or program, provinces and territories are kept closely informed.

122.            The Government of Canada has expanded its consultative framework for engaging with non-governmental public stakeholders.  At the forefront is the Minister for International Trade's Strategic Advisory Group which meets directly with the Minister to provide strategic private sector advice on key international commerce questions and issues.  These consultations are augmented by discussions with regional sectoral groups and at geographic roundtable meetings.  These meetings provide an opportunity to hear about the challenges that affect the ability of Canadian companies to do international business and as well as to provide input on market development strategies.  Ad-hoc consultations are also held to address specific issues that arise.

123.            While Foreign Affairs and International Trade Canada (DFAIT) plays a key role in managing domestic consultations on Canada’s overall trade policy agenda and objectives at the WTO, other federal departments also play an important role in leading consultations in specific areas.  In particular, Agriculture and Agri-Food Canada (AAFC) leads consultations with the provinces and with the full range of Canada’s agriculture and agri-food stakeholders with regard to Canada’s approach to the agriculture issues in the WTO negotiations and in bilateral and regional negotiations.  Coordinated closely with DFAIT’s efforts, these consultations also take place regularly at both the level of Ministers and officials, and are supported by AAFC’s two key consultations networks – the Federal-Provincial Agricultural Trade Policy Committee and the Agriculture Trade Negotiations Consultations Group.  As warranted, the regular work of these consultations networks is supplemented by special events.  Ongoing, close consultation with Canada’s agriculture sector remains key to ensuring that the Government remains well placed to advance the interests of the whole sector.

124.            Canadian Parliamentarians continue to participate in consultations and roundtable discussions, as advisors on trade delegations and in special events sponsored by the WTO.

125.            Senior Government of Canada officials are also meeting with the public on a regular basis.  Through the International Commerce Advisory Group, business leaders provide tactical input on policy and program developments and obtain information on Canada’s trade, commerce and investment strategies.  There is also active engagement with non-governmental organizations and academia on these matters.

126.            Expert advisory groups provide officials with advice on matters such as efforts to liberalize the global services markets.  In this latter area, the Government of Canada liaises closely with the Canadian Services Coalition, a private sector body representing Canadian services providers.

127.            DFAIT co-chairs a joint working group with representatives of the Federation of Canadian Municipalities to discuss and explain international trade agreements so that municipal views can be factored into Canada’s trade policy positions.  Municipal interest in trade agreements cover a wide range of issues (e.g. zoning and environmental regulation, government purchasing, financial assistance and public-private partnerships.)

128.            As the WTO negotiations move forward, information exchange and domestic consultation will remain key elements of Canada’s approach.  Canada will continue to work toward improved procedures for circulation and de-restriction of documents in the WTO and in other fora.  Both information exchange and outreach increase the global public’s understanding of and support for the WTO’s work.

IV.              PROMOTING POLICY COHERENCE

129.            Surveys demonstrate that Canadians continue to have high confidence in the benefits of trade and trade agreements and strongly favour further liberalization.  Citizens, however, seek reassurance that the Government is pursuing policies that both consider social and environmental concerns and contribute to economic growth; t hat it has foreseen and mitigated the risks of undesirable impacts on Canada’s society and environment;  and that social and economic progress alike will continue internationally and domestically.

130.            As part of an unfolding public opinion research program designed to inform the policy and communications agendas of DFAIT, the department commissioned a series of studies in 2004 that examined trade and social values.

131.            The results of this research speak to a commitment among Canadian decision makers from business, government, academic and media sectors in favour of active engagement in international trade.  The role of government is also clearly viewed as that of a facilitator in opening access to markets abroad.

132.            Results from the 2004 study show that Canadian decision makers are far more likely to suggest that promoting foreign trade and investment in developing countries is a more effective means of helping to improve labour, human rights and environmental standards than the threat of sanctions.

133.            Canada sees the trade agenda not as an end in itself, but rather as a tool for promoting broader public interests including development, the environment and employment and labour.  Canada will continue to work with other WTO Members and through other intergovernmental organizations to promote international coherence of policies and institutions.

Trade and Development

134.            While trade is not a panacea for all the challenges faced by developing countries, trade can be a valuable tool for development.  It can play an important role in generating economic activity, building healthy economies and alleviating poverty.  At the same time, trade policy initiatives may have unanticipated ramifications across a range of economic and social issues.  Consequently, in coherent trade policy pursued by Canadian Government, development must receive considerable attention in the negotiation and assessment of trade agreements.

135.            Canada’s approach to trade and development rests on the economic fundamental that open trade and liberalization contribute positively to economic growth and development.  Canada supports efforts that take into account the level of development of other countries and their ability to implement new agreements, and that respond to concerns articulated by developing countries.  Our approach is also in line with Canada’s various international commitments, such as the United Nations Millennium Development Goals and the Monterrey Consensus on Financing for Development.

Trade and the Environment

136.            Canada remains committed to sustainable development and to integrating trade and environmental considerations into the policy-making process.  The Government believes that liberalized trade and environmental protection are important components of sustainable development and that these can and should be mutually supportive.  Domestic and international coordination and cooperation are necessary in order to effectively address these issues.

137.             Canada supported the inclusion of trade-related environmental issues into the current round of trade negotiations at the WTO.  Canada believes that a balanced outcome in the WTO negotiations could have the effect of facilitating the negotiation of trade measures within multilateral environmental agreements (MEA) that are consistent with WTO rules and contribute to environmental protection.  Canada also supports the elimination of tariff and non-tariff barriers on trade in environmental goods in a manner consistent with our objectives in the agriculture, non-agricultural market access (NAMA), and services negotiations.

138.            Canada supports the improved information exchange and transparency between WTO committees and multilateral environmental agreement secretariats.  In this regard, we also support improved means of electronic communication on the trade and environment interface, and have provided financial assistance to the International Centre for Trade and Sustainable Development (ICTSD).  Canada has also provided support to the United Nations Environment Programme (UNEP) for capacity building on trade and environment and to assist developing countries’ environmental officials to attend an information exchange between UNEP, MEA secretariats and the WTO.

139.            In regional and bilateral trade negotiations, Canada has followed a two-pronged approach concerning environmental issues:  addressing certain considerations within free trade agreements themselves and others in parallel environmental cooperation agreements.  Environmental cooperation agreements focus on strengthening the capacity and integrity of national environmental management systems and contain provisions that reinforce the environmental objectives of trade agreements.  These agreements promote sustainable development, mutually supportive economic and environmental policies, and protection of a country’s legitimate right to regulate in the public interest.  Furthermore, they discourage parties from waiving or derogating from laws in order to encourage trade or investment.  In certain instances, they also provide direction regarding possible conflicts and inconsistencies between specific trade obligations in MEAs and provisions of trade agreements.

Trade, Employment and Labour

140.            Canada addresses the labour dimensions of economic integration and the promotion of respect for fundamental labour principles and rights through the negotiation and implementation of Labour Cooperation Agreements with its free trade partners.  To date, Canada is signatory to the North American Agreement on Labour Cooperation with the United States and Mexico, the Canada-Chile Agreement on Labour Cooperation and the Canada-Costa Rica Agreement on Labour Cooperation. These Agreements, negotiated in tandem with Free Trade Agreements, seek to improve working conditions and living standards in the signatory countries, and to protect and enhance basic workers’ rights.  Under these Agreements, participating countries commit to provide protection in their labour laws for certain key labour principles, including those of the ILO Declaration on Fundamental Principles and Rights at Work, to effectively enforce their own labour legislation and to cooperate on labour matters.

141.            Labour cooperation agreements are currently under negotiation in parallel to our trade agreement negotiations with the Republic of Korea, Singapore and the Central American Four countries, which include El Salvador, Guatemala, Honduras and Nicaragua.

142.            Canada’s perspective on policy coherence in the area of trade, employment and labour is also demonstrated through support for multilateral processes.  Since the 2001 Summit of the Americas, Canada has championed the promotion of core labour standards and better working conditions, as well as improvement of the institutional capacity of labour ministries in the hemisphere through the Inter-American Conference of Ministers of Labour (IACML) which operates under the Organization of American States (OAS).  Canada also supports the work of the International Labour Organization (ILO), including the promotion and realization of the Decent Work Agenda.

Conclusion

143.            Increased exposure to international competition has energized Canada’s economy, spurred innovation, attracted foreign investment and created jobs for Canadians.  Canada's current and future prosperity depends on an international framework of rules that provides access to growing world markets and keeps pace with changes in technology, business practices, social systems, and public interests.

144.            Rules-based, liberalized trade brings about economic and social benefits, including better jobs, higher incomes, increased revenues for social programs, a stronger foundation for balanced and sustainable development, increased productivity and competitiveness of Canadian firms, greater selection of products at lower prices for consumers, and greater access to technology, investment inputs, and new customers.

145.            To ensure secure and predictable access to the world for Canadian traders, services providers and investors, Canada will continue its efforts to bring down barriers to trade in key markets, strengthen the institutions and rules governing international trade and investment, forge relationships with new partners and ensure that other countries live up to their commitments.  Canada will continue to work to promote the benefits of free trade for developed and developing countries alike.

146.            To that effect, Canada will continue to pursue its goals multilaterally, regionally, and bilaterally with key partners and other initiatives.  Canada's membership in the World Trade Organization is a central element of Canadian trade policy and a major avenue to achieving Canada's market access goals.

ANNEX 1

 

CANADA’S

SUBMISSIONS TO THE WTO IN SUPPORT

OF THE DOHA DEVELOPMENT AGENDA

(WTO Document Symbol in Parentheses)

 

Committee on Agriculture, Special Session

·           Informal Meeting, 23 - 25 September 2002 - Green Box Criteria - Specific Input: Canada (JOB(02)/127)

·                     Modalities for Domestic Support - Specific Drafting Input: Canada (JOB(02)/131)

·                     Informal Meeting - 18 - 20 November 2002 - Tariff Quota Administration - Specific Input   from Canada (JOB(02)/201)

·                     Informal Meeting - Market Access Modalities - Specific Input by Canada (JOB(03)/6)

·                     Calculating Domestic Consumption for Tariff Quota Size: Avoiding the Uruguay Round       Inequities - A Technical Background Contribution from Canada (JOB (03)/36)

·                     Agriculture Negotiations - Agriculture Market Access Simulations – Simulations   (JOB(06)/63)*

·                     Agriculture Negotiations - Agriculture Domestic Support Simulations – Simulations       (JOB(06)/151)*

·                     Tariff Quota Underfill Mechanism (JOB(06)/171)*

·                     Agriculture Negotiations - Agriculture Domestic Support Simulations – Simulations       (JOB(06)/186)*

·                     Canada's Comments on the Revised Consolidated Reference Paper on Possible Modalities on    Export Competition: Export Credit Guarantees or Insurance Programmes (JOB(06)/202)*

·                     Canada's Comments on the Revised Consolidated Reference Paper on Possible Modalities on    Export Competition: International Food Aid (JOB(06)/206)*

Council on Trade in Services, Special Session

·           Joint Statement on Maritime Transport Services  (TN/S/W/11)

·           Communication from Canada - On the importance of Mode 3 Commitments (TN/S/W/24)

·           Joint Statement on Liberalization of Logistics Services (TN/S/W/34)

·           Communication from Canada, Japan and the United States - Trade In Air Transport Services   (TN/S/W/33)

·           Communication from Bulgaria, Canada, the European Communities and Romania - Mode 4 -    A Common Approach to Scheduling (TN/S/W/32)

·           Communication from Canada - Working to Ensure Benefits from the GATS for Members'       Small and Medium Sized Enterprises (SMEs) (TN/S/W/36)

·           Joint Statement on Legal Services (TN/S/W/37 & S/CSC/W/46)

·           Joint Statement on the Negotiations on Computer and Related Services (TN/S/W/38)

·           Transparency: Market and Regulatory Information of Interest to Service Providers    (TN/S/W/41)

·           Transparency Template - Canada's Revised Horizontal Mode 4 Offer (TN/S/W/42 &       S/WPDR/W/33)

·           Joint Communication on Liberalization of Financial Services (TN/S/W/43 & S/FIN/W/43)

·           Proposal on Transparency of Horizontal Mode 4 Commitments (TN/S/W/47)

·           Mode 4 Commitments and Economic Needs Tests (TN/S/W/46 & S/CSC/W/47)

·           Joint Communication on Liberalization of Telecommunication Services (TN/S/W/50)

·           Joint Communication on the importance of Mode 3 commitments (TN/S/W/53)

·           Oil & Gas Services (S/CSS/W/58)

·           Distribution Services (S/CSS/W/57)

·           Computer and Related Services (S/CSS/W/56)

·           Business Services (other than Computer and Related) (S/CSS/W/55)

·           Tourism and Travel-Related Services (S/CSS/W/54 & S/CSS/W/54Rev.1)

·           Telecommunication Services (S/CSS/W/53)

·           Professional Services (S/CSS/W/52)

·           Environmental Services (S/CSS/W/51)

·           Financial Services (S/CSS/W/50)

·           Small & Medium-Sized Enterprises (S/CSS/W/49)

·           Temporary Movement of Natural Persons Supplying Services under the GATS (Mode 4) (S/CSS/W/48)

·           Regulatory Transparency & Predictability (S/CSS/W/47)

·           Canadian Initial GATS Sectoral/Modal/Horizontal Negotiating Proposals (S/CSS/W/46 & S/CSS/W/46 Corr.1)

·           Council for Trade in Services – Special Session – Communication from Canada – Initial    Conditional Offer on Services (TN/S/O/CAN)

·           Communication from Canada – Revised Conditional Offer on Services (TN/S/O/CAN/Rev.1)

·           Working Party of Domestic Regulation – Communication from Canada – Disciplines on    Domestic Regulation for Professional Services – Results of Consultations with Professional       Sectors (S/WPDR/W/22)

·           Trade in Services – Canada – Draft Consolidated Schedule of Specific Commitments       (S/DCS/W/CAN)

·           Working Party on Domestic Regulation – Disciplines on Domestic Regulation for       Professional Services – Results of Consultations with Professional Sectors (S/WPDR/W/13)

Negotiating Group on Market Access

·           Communication from Canada (TN/MA/W/9)

·           Communication from Canada - Addendum (TN/MA/W/9 Add. 1)

·           Modalities - Joint communication from Canada, the European Communities and the    United States (TN/MA/W/44 & JOB(03)/163)

·           Unbound Tariff Rates - Establishment of Base Rates - Communication from Canada,        Hong Kong, China, New Zealand and Norway (TN/MA/W/51)

·           Unbound Tariff Rates - Establishment of Base Rates - Communication from Canada,        Hong Kong, China, New Zealand and Norway - Addendum (TN/MA/W/51 Add.1)

·           Elimination of Low Rates - Communication from Canada and Norway (TN/MA/W/52)

·           How to create a Critical Mass Sectoral Initiative - Communication from Canada and the   United States (TN/MA/W/55)

·           Tariff Liberalization in the Chemicals Sector - Communication from Canada, Japan, Norway,    Separate Customs Territory of Taiwan, Penghu, Kinmen, and Matsu, Singapore, Switzerland,   and the United States (TN/MA/W/58)

·           Tariff Liberalization in the Forest Products Sector - Communication from Canada,      Hong Kong China, New Zealand, Thailand and the United States (TN/MA/W/64)

·           Liberalisation of trade in fish and fish products - Communication from Canada, Iceland,      New Zealand, Norway, Singapore and Thailand (TN/MA/W/63)

 

·           Market Access for Environmental Goods - Communication from Canada, European Communities, New Zealand, Norway, Singapore, Switzerland, and the United States   (TN/MA/W/70 & TN/TE/W/65)

·           Tariff Liberalization in the Chemicals Sector - Communication from Canada, Norway,       Singapore, Switzerland, the Separate Customs Territory of Taiwan, Penghu, Kinmen and        Matsu and the United States (TN/MA/W/72)

·           Liberalisation of trade in fish and fish products - Communication from Canada, Iceland,     New Zealand, Norway, Singapore and Thailand - Addendum (TN/MA/W/63 Add. 1)

·           Negotiating Proposal on Tariff Liberalisation in the Forest Products Sector - Communication     from Canada; Hong Kong, China; New Zealand; Singapore; Thailand and the United States   (TN/MA/W/75 & JOB(06)/128)

Negotiating Group on Rules

·           Submission from Canada Respecting the Agreement on Implementation of Article VI of the     GATT 1994 (The Anti-Dumping Agreement) (TN/RL/W/47)

·           Negotiating Group on Rules - Responses from Canada to Certain Questions Posed by Korea    in TN/RL/W/65, Australia in TN/RL/W/62, Egypt in TN/RL/W/79 and India in TN/RL/W/80        (TN/RL/W/92)

·           Improved Disciplines under the Agreement on Subsidies and Countervailing Measures -    Communication from Canada (TN/RL/W/94)

·           Improved Disciplines under the Agreement on Subsidies and Countervailing Measures -    Communication from Canada (TN/RL/W/112)

·           Reply from Canada to Questions Posed by the United States in TN/RL/W/103    (TN/RL/W/134)

·           Negotiating Group on Rules - Responses to Questions Posed by Australia (Document       TN/RL/W/135) on Canada's Submission on Improved Disciplines under the Agreement on        Subsidies and Countervailing Measures  in TN/RL/W/112 (TN/RL/W/145)

·           Benefit Pass-Through - Communication from Canada (TN/RL/GEN/7 & JOB(04)/55)

·           Specificity - Communication from Canada (TN/RL/GEN/6 & JOB(04)/54)

·           Duty Assessment Methodologies - Communication from Canada (TN/RL/GEN/3 &   JOB(04)/42 )

·           Serious Prejudice - Communication from Canada (TN/RL/GEN/14 &  JOB(04)/120)

·           Explanations of Determinations and Decisions - Communication from Canada     (TN/RL/GEN/21 & JOB(04)/149)

·           Proposal on Like Product and Product under Consideration - Communication from Canada       (TN/RL/GEN/26 & JOB(04)/181)

·           Dispute Settlement - Communication from Canada (TN/RL/GEN/37 & JOB(05)/45)

·           Dispute Settlement - Communication from Canada (TN/RL/GEN/48 & JOB(05)/129)

·           Sunset Reviews - Communication from Canada (TN/RL/GEN/61 & JOB(05)/181)

·           Product under Consideration - Paper from Canada (TN/RL/GEN/73 & JOB(05)/245)

·           Benefit Pass-Through - Paper from Canada (TN/RL/GEN/86 & JOB(05)/289)

·           Public Interest - Paper from Canada (TN/RL/GEN/85 & JOB(O5)/287)

·           Article 2 - Profitability Test and Cost Allocations - Paper from Canada (TN/RL/GEN/95 &      JOB(06)/5)

·           Proposed Amendments to Certain Provisions of the Agreement on Subsidies and       Countervailing Measures - Communication from Canada (TN/RL/GEN/112 & JOB(06)/93)

·           Procedures for Adversely Affected Domestic Interested Parties - Paper from Canada      (TN/RL/GEN/111 & JOB(06)/92)

·           Proposed Amendments to Certain Provisions of the Agreement on Subsidies and       Countervailing Measures - Communication from Canada – Revision (TN/RL/GEN/112   Rev.1)

Committee on Antidumping Practices

·           Working Group on Implementation - Implementation-Related Issues Referred to the   Committee on Anti-Dumping Practices and its working group on implementation - Paper     Submitted by Canada (G/ADP/AHG/W/125)

·           Working Group on Implementation - Implementation-Related Issues Referred to the   Committee on Anti-Dumping Practices and its working group on implementation - Paper     Submitted by Canada (G/ADP/AHG/W/130)

·           Working Group on Implementation - Article 6.7 - Conduct of Verification - Paper by the   Canada (G/ADP/AHG/W/154)

·           Working Group on Implementation - Article 13 - Judicial Arbitral or Administrative Review -    Paper by Canada (G/ADP/AHG/W/153)

Committee on Subsidies and Countervailing Measures

·           Implementation-Related Issues Referred to the Committee by Ministers - Questions from Canada to Brazil and India (G/SCM/W/477)

·           Members' Difficulties in Making Subsidy Notifications, and the Planned Subsidy Notification     Seminar - Reply to Questions in document G/SCM/W/473 - Paper Submitted by Canada    (G/SCM/W/492)

·           Implementation-Related Issues Referred to the Committee by Ministers - Review by the SCM        Committee of the Provisions of the Agreement on Subsidies and Countervailing Measures       Regarding Countervailing Duty Investigations - Communication from Canada     (G/SCM/W/498)

·           Implementation Related Issues Referred to the Committee by Ministers - Questions for Brazil from Canada (G/SCM/W/516)

·           Approval of Qualifying Requests to extend the transition period for the elimination of export      subsidies provided by certain developing countries pursuant to G/SCM/39 – Joint submission by Australia, Canada, European Communities, Japan, Switzerland and the United States.     (G/SCM/W/521)

Dispute Settlement Body, Special Session

·           Contribution of Canada to the Improvement of the WTO Dispute Settlement Understanding -   Communication from Canada (TN/DS/W/41)

·           Joint Concept Paper - Remedying the Dispute Settlement Understanding's Articles 21.5/22       Sequencing Issues (JOB(02)/45)*

·           Drafting Conventions - Contribution by Canada (JOB(03)/1)*

·           Joint Non-Paper - Textual Contribution to the Negotiations on Improvements and       Clarifications of The Dispute Settlement Understanding (JOB(04)/52)*

·           Joint Non-Paper - Textual Contribution to the Negotiations on Improvements and       Clarifications of the Dispute Settlement Understanding (JOB(05)/19 & JOB(05)/19 Rev.1)*

·           Communication from Canada - Proposal to Enhance the Protection of Business Confidential     Information ("BCI") during Dispute Settlement (JOB(06)/56)

 

 

Trade Facilitation

·           Possible Commitments on Advance Rulings - A proposal by Canada (TN/TF/W/9 & TN/TF/W/9 Add.1)

·           Possible Commitments on Border Agency Coordination - A Proposal by Canada        (TN/TF/W/20)

·           Possible Commitments on Enhanced Clearance Procedures - Provision for Collateral or    Monetary Security - Proposal by Australia and Canada (TN/TF/W/19)

·           Joint Communication – Proposals on Transit (TN/TF/W/79 & TN/TF/W/79 Add.1)

·           Communication from Australia, Canada, and the United States - Common Elements of      Advance Rulings (TN/TF/W/80)

·           Communication from Canada, the European Communities, and New Zealand - Border       Agency Coordination (TN/TF/W/83)

·           Joint Communication – Separation of Release from Clearance and other Measures to Simplify Release and Clearance (TN/TF/W/84)

·           Communication from Australia, Canada and the United States - Draft Text on Advance    Rulings (TN/TF/W/125)

·           Draft Text on Border Agency Coordination (TN/TF/W/128)

·           Communication from Canada and Switzerland - Draft Text on Separation of Release from       Clearance (TN/TF/W/136)

·           Joint Communication – Implementation Mechanism of Trade Facilitation Commitments      Including Key Elements for Technical Assistance (TN/TF/W/17 Add.1)

·           Council for Trade in Goods - Trade Facilitation: Article X of GATT on the Publication and        Administration of Trade Regulations - Communication from Canada (G/C/W/379)

·           Council for Trade in Goods - Trade Facilitation: Article VIII of GATT 1994 on Fees and   Formalities Connected with Importation and Exportation - Communication from Canada   (G/C/W/397)

·           Council for Trade in Goods - Trade Facilitation: Article V of GATT 1994 on Freedom of   Transit - Communication from Canada (G/C/W/424)

Committee on Trade and Environment, Regular and Special Session

·           Discussion Paper on the Concept of Specific Trade Obligations (STOs) - Submission by    Canada - Paragraph 31(i) (TN/TE/W/22)

·           Canada's Initial List of Environmental Goods - Submission by Canada - Paragraph 31(iii)   (TN/TE/W/50 & TN/TE/W/50 Suppl.1 & TN/TE/W/50 Rev.1)

·           Joint Communication on Market Access for Environmental Goods (TN/MA/W/70 & TN/TE/W/65)

·           Intervention by Canada - The Use of Detailed Categories in CTESS Discussions on the    Liberalization of Environmental Goods (JOB(04)/98)*

·           Technical Discussions under Paragraph 31(III) of the Doha Declaration - Non-Paper by   Canada (JOB(06)/73)*

·           Market Access for Environmental Goods: the Environmental and Development Benefits of       Waste Water Management and Solid and Hazardous Waste Management Products – Joint      Communication (JOB(06)/140)*

Council on TRIPS, Regular & Special Session

·           Joint Communication  - Proposal for a Multilateral System for Notification and Registration     of Geographical Indications for Wines and Spirits Based on Article 23.4 of the TRIPS      Agreement (TN/IP/W/5)

·           Joint Communication  - Multilateral System of Notification and Registration of Geographical    Indications of Wines (and Spirits) (TN/IP/W/6)

·           Joint Proposal for a Multilateral System of Notification and Registration of Geographical Indications of Wines (and Spirits) (TN/IP/W/9 & TN/IP/W/9 Add.1)

·           Proposed Draft TRIPS Council Decision on the Establishment of a Multilateral System of        Notification and Registration of Geographical Indications of Wines (and Spirits)      (TN/IP/W/10 & Add.1 & Add.2 & Add.3)

·           Joint Submission - Implications of Article 23 Extension (IP/C/W/360)

·           Technical Cooperation Activities:  Information from Developed Country Members - Canada –       Addendum (IP/C/W/377 Add.5)

·           Joint Communication – Implications of Article 23 Extension (IP/C/W/386)

·           Implementation of Article 66.2 of the TRIPS Agreement: Information from Developed      Country Members – Canada (IP/C/W/388)

·           Joint Statement - Proposed Report from the Council for TRIPS to the TNC Regarding Article 23- Issues Related to The Extension of The Protection of Geographical Indications Provided        for in Article 23 to Products other than Wines and Spirits (IP/C/W/395)

·           Report on the Implementation of Article 66.2 of the TRIPS Agreement - Canada – Addendum        (IP/C/W/412 Add.7)

·           Report on the Implementation of Article 66.2 of the TRIPS Agreement - Canada – Addendum        (IP/C/W/431 Add.4)

·           Report on the Implementation of Article 66.2 of the TRIPS Agreement - Canada – Addendum        (IP/C/W/452 Add.2)

·           Technical Cooperation Activities - Information from Developed Country Members - Canada    – Addendum (IP/C/W/455 Add.3)

·           The TRIPS Agreement and Public Health - Communication from Canada (IP/C/W/464)

·           Technical Cooperation Activities: Information from Members - Canada – Addendum        (IP/C/W/476 Add.7)

·           Implementation of Article 66.2 of the TRIPS Agreement:  Information from Developed   Country Members - Canada – Addendum (IP/C/W/480 Add.7)

Committee on Trade and Development, Special Session

·          Enhancing Transparency of Special and Differential (S&D) Treatment within the SPS      Agreement - Submission by Canada (TN/CTD/W/17)

·          Moving Forward on the Proposals - Submission by Canada (TN/CTD/W/22)

·          Realizing Trade and Development Objectives Through Special and Differential Treatment -      Submission by Canada (TN/CTD/W/21)

Working Group on Transparency in Government Procurement

·           Transparency of Contract Award Decisions - Communication from Canada        (WT/WGTGP/W/36)

 

Work Program on Electronic Commerce

·           [General Council] - Work Programme on Electronic Commerce - Second Dedicated Discussion on Cross-Cutting Issues - Communication from Canada (JOB(02)/38)*

Working Group on the Relationship between Trade and Investment

·           Scope and definition (WT/WGTI/W/113)

·           Non-Discrimination and Modalities for Pre-establishment Commitments, based on a GATS-      type, Positive List Approach (WT/WGTI/W/130)

·           Development Provisions (WT/WGTI/W/131)

·           Consultation and Dispute Settlement (WT/WGTI/W/147)

·           Exceptions and Balance-of-Payments Safeguards (WT/WGTI/W/146)

·           Transparency (WT/WGTI/W/155)

·           The Interrelationship and Emerging Infrastructure of a Prospective WTO Multilateral        Framework for Investment Based on Elements Identified in Paragraph 22 of the Doha     Declaration (WT/WGTI/W/157)

·           Communication from Canada, Costa Rica and Korea - Negotiating a Multilateral Framework    on Investment in the WTO (WT/WGTI/W/162)

Working Group on the Interaction between Trade and Competition Policy

·           Two Principles for Technical Assistance with regard to Competition Policy (WT/WGTCP/W/183)

·           Towards a Flexible Framework for Cooperation (WT/WGTCP/W/202)

·           Provisions on Hard Core Cartels - A Starting Point (WT/WGTCP/W/201)

·           Possible Elements of a Multilateral Framework for Competition (WT/WGTCP/W/226)

* These documents may not be publicly available.

__________