CETA – the Canada-European Union

Comprehensive Economic & Trade Agreement

An Opportunity for Companies

on Both Sides of the Atlantic

Julie Ferguson-Ceniti, Trade Commissioner Mission of Canada to the EU

Brussels, Belgium

CETA is an opportunity not to be missed

Lets talk about

The Canadian Agriculture sector and trade

Potential opportunities for Latvian exporters under CETA

Canadian products, CETA and where to find them in Europe

Exporting to Canada (in brief)

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Setting the stage for Canada – EU Trade

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Source: Global Trade Tracker

ROW, 875,564

EU28, $169,417

USA, $159,091

China, $137,235

Japan, $67,877 Canada, 43,667 Russia, $32,563

Global Agriculture & Agri-Food Imports, 2015 Millions of Canadian Dollars

The EU is the

world’s largest

importer of

agriculture and

agri-food

products.

Canada is the

5th largest,

importing

$43 billion!

What agrifood products does Canada import

from the EU?

Top 10 Products imported from the EU Grape wine

Beer

Mink fur skins

Whisky

Sparkling wine

Fortified grape wines

Olive oil

Liqueurs and cordials

Chocolates

Vodka

These 10 products

= 50%

of all EU agrifood

products exported

to Canada

(by value)

Total EU Imports into Canada: $5,5 Billion

Source: Global Analysis, AAFC

Canada and Latvia – Current Agrifood Exports

Top Exports from Latvia to Canada

2016

Total: $14,8 million

Source: AAFC Global Analysis

Vodka (Liter of pure alcohol) 10,349,963

Cucumber seeds 2,463,250

Spirits and spirituous beverages 554,184

(not packaged) strength by vol >7%

Brislings or sprats, in cans or glass jars 318,750

Chocolates, for retail sale 188,551

Herrings in cans/glass jars 137,052

Sardines in cans or glass jars 118,654

Vegetable products 107,705

Herring fillets, pickled 88,152

Fish, prepared or preserved, 72,470

Fruit juice mixtures, concentrated 58,569

Top Exports from Canada to Latvia

2016

Total: $2,7 million

Dog or cat food for retail sale 963,147

Liqueurs and cordials 322,321

Blueberries, wild 295,287

Whiskies, bottled 178,569

Protein concentrates 162,888

Food preparations 152,741

Raw mink fur skins 115,618

Mustard flour, meal and prepared 78,810

Maple syrup 68,098

Coffee, roasted, not decaffeinated 67,855

Fruits & edible nuts 61,922

Raspberries, mulberries, etc. 61,074

Canada and Latvia already have a good trade

relationship – CETA will give it a boost!

Source: DG Trade website http://ec.europa.eu/trade/policy/in-focus/ceta/ceta-explained/

CETA creates opportunities for Latvian

companies by…

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almost

94% of EU agriculture tariff lines become duty-free

# of Geographical Indications Canada has

agreed to protect

92% of Canadian agriculture tariff lines become duty-free

Making EU products more accessible to Canadian

consumers

Protecting some of the EU’s traditional specialties

Making Canadian food more accessible to

European consumers

Source: DG Trade website http://ec.europa.eu/trade/policy/in-focus/ceta/ceta-explained/

The EU sees opportunities for agricultural

products in Canada

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Source: DG Trade website http://ec.europa.eu/trade/policy/in-focus/ceta/ceta-explained/

New export opportunities for EU

farmers and producers of:

wines and spirits

fruit and vegetables

processed products

cheese

Europe's traditional

specialities

CETA does not change the import requirements and/or sanitary

requirements that exporters need to meet

Rules of Origin matter origin protocol can be found here: http://www.international.gc.ca/trade-commerce/trade-

agreements-accords-commerciaux/agr-acc/ceta-aecg/text-texte/P1.aspx?lang=eng#2)

EU companies must register for REX number to be able to fill in the

Origin Declaration

Be sure your labelling conforms to Canadian/EU legislation (e.g. font size, nutrition information, ingredients, etc.)

Know the HS code for your product

Canadians can check out www.tariffinder.ca

Visit www.inspection.gc.ca for more information

Import requirements do not change in

Canada or in the EU as a result of CETA

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Upon CETA’s entry into force, almost 94% of EU agriculture lines* will become duty-free:

Many EU lines* will be progressively phased out over …

• Pet Food (up to 948 €/tonne) • Frozen French Fries (14.4-17.6%) • Sweet Dried Cranberries (17.6%) • Maple Syrup (8%) • Processed Pulses (7.7%) • Soybean and Canola oil (3.2-9.6%) • Prepared Vegetables (20%) • Fruit Juices (ex. cranberry, blueberry) (17.6%) • Condiments/sauces (up to 10.2%) • Fresh Cherries (up to 12%, seasonal) • Fresh Apples (up to 9%, seasonal)

7 years: • Durum Wheat (up to 148 €/tonne) • Rye & Barley Grain (up to 93 €/tonne) • Common Wheat, low-medium quality

(up to 95 €/tonne) • Sweet Corn, frozen (5.10% + 9.40€/ 100kg) • Oats (89 €/tonne)

Tariff Rate Quota* (TRQ) established for… • Bison (3,000 tonnes) Immediate • Beef (50,000 tonnes) 5 year phase-in • Pork (80,549 tonnes) 5 year phase-in • Sweet Corn, processed (8,000 tonnes)

5 year phase-in • Common Wheat (100,000 tonnes)

Immediate**

**Full volume available immediately. Duty-free and quota-free after 7 years.

*Not an exhaustive list/Rules of origin will apply

CETA will eliminate tariffs on many Canadian

agriculture and agri-food products

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Upon CETA’s entry into force, almost 96% of EU fish and seafood tariff lines will be immediately eliminated, in particular:

The remaining EU fish and seafood tariffs will be phased out over …

• Live lobster (8%)* • Frozen and fresh scallops (8%)* • Frozen shrimp (12%)* • Cooked and peeled shrimp in retail packages

(20%)* • Fresh or chilled hake (15%)* • Dried and salted cod (13%)* • Frozen herring (15%)* • Frozen mackerel (20%)* • Fresh or chilled halibut (15%)* • Fresh mussels (8% or 10% depending on species)* • Salmon (2% to 15% depending on species)* • Processed salmon (5.5%)* • Fresh/live crab (7.5%)* • Frozen snow crab (7.5%)* • Dogfish (6%)* • Oysters (9%)*

3 years: • Frozen lobster, whole (6%)* • Frozen lobster, not whole (16%)* • Frozen crab other than snow crab (7.5%)*

5 years:

• Processed lobster (20%)* • Prepared/preserved mussels (20%) *

7 years:

• Cooked and peeled shrimp in wholesale packages or in airtight containers (20%)*

• Frozen fillets of cod (7.5%)* • Prepared or preserved mussels (20%)* • Prepared or preserved bonito (25%)* • Prepared or preserved crab (8%)* • Processed fillets of trout, including smoked

(9% and 12%)* • Prepared or preserved tunas or skipjack

(24%)* * Current tariff (2016)

CETA will also eliminate tariffs on many

Canadian seafood products

Canada’s food products can be found at may trade shows in the EU:

Where to find Canadian Products in Europe

Cologne, Germany - October 7-11, 2017

Brussels, Belgium - April 24-26, 2018

Paris France - October 21-25, 2018

Other more specialised events that

companies participate in include:

Biofach (Nurnberg) FIE (Food Ingredients Europe) HIE (Health Ingredients Europe) Taste of Canada events