Government of Canada Highlights Benefits of Canada-Ukraine Free Trade Agreement

A strong trade partnership between Canada and Ukraine will create jobs and prosperity across Canada.

On July 14, 2015, Prime Minister Stephen Harper announced the conclusion of negotiations in Meech Lake, Quebec.

CUFTA will provide Canadian exports with improved market access to the Ukrainian market, help address non-tariff barriers and facilitate closer economic relations. In addition, CUFTA will provide Ukrainian exports with improved access to the Canadian market, which is consistent with the Government of Canada’s unwavering commitment to support Ukraine’s democratic transition and economic reforms.
CUFTA will result in the elimination of all Ukrainian tariffs on fish and seafood products, industrial goods, and forestry and wood products. It will also eliminate the vast majority of Ukraine’s agricultural tariffs.

Agriculture and Agri-food

CUFTA will significantly improve market access for Province’s agricultural and agri-food products by eliminating or reducing tariffs on 99.9 percent of Canada’s current agricultural exports to Ukraine.
For example, Canadian agriculture exporters will benefit from duty-free access for beef, pulses, grains, canola oil, processed foods and animal feed. Canadian pork producers will benefit from improved access to Ukraine’s market via a large tariff rate quota.

Fish and Seafood

Canada is among the top suppliers of fish and seafood to Ukraine, with exports from 2011 to 2013 averaging $34.5 million annually. CUFTA will improve market access for Province’s fish and seafood products by eliminating all tariffs on Canada’s fish and seafood exports to Ukraine.

Industrial Goods

Canada’s industrial exports averaged $148.3 million annually from 2011 to 2013. CUFTA will significantly improve market access for Province’s industrial products sector by eliminating all tariffs on Canadian industrial exports to Ukraine.

Quick Facts:

• Prime Minister Stephen Harper visited Ukraine in early June, his third trip to the country since March 2014. Minister Fast visited Ukraine for a second time on January 25 and 26, 2015.
• Once CUFTA is fully implemented, Canada and Ukraine will respectively eliminate duties on 99.9 percent and 86 percent of current bilateral trade, benefiting both Canadian and Ukrainian exporters and consumers.
• Agriculture and agri-food : Canadian producers provide some of the world’s best food and beverages to dinner tables around the globe. The agriculture and agri-food sector employed over 533,000 people in 2014 and accounted for close to 3 percent of Canada’s GDP.
• Fish and seafood : Canada has one of the world’s most valuable commercial fisheries and aquaculture industries. It contributed more than $2.3 billion to Canada’s GDP in 2014 and sustained some 36,500 jobs.
• Industrial goods : Canada is a leading global producer and exporter of a wide variety of industrial products. In 2014, roughly 1.7 million Canadians were employed by Canada’s industrial sector, which contributed 19.1 percent of Canada’s GDP.
• Since January 2014, the Government of Canada has pledged nearly $700 million in assistance to Ukraine, including support for economic stabilization, democracy and human rights, humanitarian assistance and security.
• In 2014, bilateral merchandise trade between Canada and Ukraine reached $243.8 million.

Quotes:

“Our government is committed to creating the best conditions for Canadian companies to help them succeed abroad. The Canada-Ukraine Free Trade Agreement is an ambitious and high-quality agreement that will create new market opportunities and predictable stable conditions for businesses and strengthen the Canada-Ukraine partnership in peace and prosperity.”
– Ed Fast, Minister of International Trade

Related Products:
• PM Announces Conclusion of Free Trade Agreement with Ukraine
• Canada-Ukraine Free Trade Agreement – United in Building a Prosperous and Secure Future
• Market Access Plan – Ukraine

Associated Links:

• Canada-Ukraine Free Trade Agreement Negotiations
• Global Markets Action Plan