Canadian Senate Approves CETA Bill for Trade Pact with EU

The Canadian Senate approved legislation last week for implementing the Comprehensive Economic and Trade Agreement (CETA) between Canada and the European Union.

CETA overview

Covering a wide range of issues from eliminating duties to protecting geographical indications, along with provisions relating to sustainable development, proponents say that CETA is by far the most comprehensive and advanced trade deal ever reached by either party.

Upon entry into force, CETA will immediately eliminate 98 percent of tariffs between the two trading partners, increasing later to 99 percent. Other notable features include opening up Canadian public procurement markets to EU bidders at all levels of government – a first for Ottawa – and the inclusion of a new investment court system.

Coming up

Under the terms of CETA, the EU and Canada can begin provisional application from the start of the following month after both sides have completed the necessary internal steps. Full application is expected to take far longer, as the relevant EU national and regional legislatures work on their own approval processes.