Agriculture benefits | Deal eliminates tariffs on french fries, pulses, malt barley and beef products
More than two years after the agreement was signed, the House of Commons has approved a trade deal with Panama, sending the bill to the Senate for final approval.
With the New Democratic Party, Bloc Québecois and Green Party leader Elizabeth May voting against it, the bill was approved Nov. 7 by a vote of 171 to 90.
Although Panama is not a large market for Canadian agricultural products, export-oriented agricultural groups have supported the deal, first signed in August 2009 and introduced to Parliament in 2010.
It has been opposed by the NDP because of Panama’s record on labour rights, environmental protection and its status as an off shore haven for tax evasion.
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On Nov. 7 in the final Commons debate before the vote, Alberta Conservative MP Rob Merrifield and international trade committee chair said agriculture will be a major beneficiary of the trade deal.
He said ratification of the deal will eliminate a 20 percent tariff on frozen french fries from Canada, a 15 percent tariff on pulse imports, a 10 percent tariff on malt barley and a tariff as high as 30 percent on beef products.
During debate, Conservative MPs argued that with a recent free trade deal between Panama and the United States and a pending deal with the European Union, Canada risks losing out on a growing market if the legislation is not passed and the deal is not sealed.
Merrifield said the NDP, by opposing the bill, has led to a delay in capitalizing on a growing market.
After many hours of debate, the Conservative government got the bill through the House of Commons by imposing a time limit on the debate.
“There has been two and a half years of wasted time and opportunity for us to be able to capitalize on the great infrastructure of the Panama Canal as well as the opportunities for our agriculture sector and many others,” said Merrifield, who farms 3,000 acres of grain and oilseeds in central Alberta.
New Democrat MP Annick Papillon said her party sees “problems” with the Canada-Panama trade deal.
She denied Conservative accusation that the NDP is anti-trade.
“”We like to choose our partners,” she said. “It just does not make sense to me that the Conservative government is signing free trade agreements with just about anyone, as if Canada was up for grabs.”
She said trading with Panama raises “serious concerns” because of its record on human and labour rights as well as the environment.