Jordanian trade deal passes hurdle in House

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Published: September 28, 2010

It is at present a tiny market for Canadian foods exports but the House of Commons this week gave quick approval-in-principle to a bill authorizing a free trade deal with Jordan.Although all parties said they supported sending the bill to committee for study, some MPs objected when the bill was given second reading and was sent to the Commons committee on international trade Sept. 27.New Democrat MPs were the most skeptical in their comments.Public hearings are expected to start this autumn.Later this week, legislation to implement a free trade deal with Panama is scheduled to be debated in the Commons.Although Canadian exports to Jordan totalled just $10.8 million in 2009, mainly pulse crops, a representative of agri-food exporters says even small free trade deals are important.”It’s true that these are not huge deals compared to say India or the European Union but at the end of the day, any additional trade is good trade,” said Kathleen Sullivan, executive director of the Canadian Agri-Food Trade Alliance.”And often, these new markets are important for some of our niche producers who find new markets for their products.”When the government introduced the Jordan free trade bill for debate in March, the parliamentary secretary to the trade minister argued it is important beyond the size of the trade that now exists between the two countries.The deal will give Canada a trade window into the Middle East and North Africa, said Nova Scotia Conservative MP Gerald Keddy.”The Canada-Jordan FTA is Canada’s first ever free trade agreement with an Arab country,” he said. “The Middle East and the North Africa region are becoming more important to Canadian business.”He said farmers will benefit because the deal will eliminate tariffs on imports of pulse crops, frozen french fries, animal feed and many prepared foods that make up the bulk of Canadian agricultural exports.He noted that the deal also will make investment in Jordan easier for Canadian companies. PotashCorp already is the country’s largest foreign investor.

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Barry Wilson

Barry Wilson is a former Ottawa correspondent for The Western Producer.

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