Trade agreement with Peru opens doors to Latin America

June 18, 2009

June 18, 2009, OTTAWA –Gerald Keddy, Member of Parliament for South Shore – St. Margaret’s, is pleased that legislation to implement Canada's free trade agreement with Peru has been adopted by Parliament and received Royal Assent. This agreement will provide benefits to Canadian companies by eliminating tariffs on goods, promoting two-way investment and expanding access for Canadian companies in this key market.
 
“Ensuring free and open trade is vital to the international effort against the global recession. Canadians can count on our government to oppose protectionism and defend free and open trade on the world stage,” said MP Keddy. “This agreement with Peru will provide opportunities for Canadian companies looking to expand their business into Latin America. It will open new doors in key sectors such as extractive industries, manufacturing, agriculture and financial services—all areas in which Nova Scotians have extensive expertise.”
 
Canadian producers will benefit from the elimination of tariffs on exports into Peru. Many agricultural exports such as wheat, barley, lentils and peas will enjoy immediate duty-free access.
 
The legislation also involves parallel agreements on labour cooperation and the environment. The labour agreement commits Canada and Peru to respecting and enforcing standards such as the elimination of child and forced labour, freedom of association and the right to bargain collectively. The environmental provisions commit both countries to pursuing high levels of environmental protection, enforcing and maintaining their domestic environmental laws, and not relaxing these laws to encourage trade and investment.
 
“Thanks to the leadership of the Minister of International Trade, and our Conservative Government, these agreements will help increase economic prosperity, help provide better working conditions, and improve environmental management,” said Gerald Keddy, MP. “We recognize the progress made so far, and we will continue to engage Peru on these issues. This is another example of the government’s commitment to strengthening our relationships in Latin America.”
 
The Honourable Stockwell Day, Minister of International Trade is working hard to implement all three agreements as early as July 1, 2009.
 
In 2008, two-way merchandise trade between Canada and Peru reached $2.8 billion. Peru is an important investment partner for Canada, with an estimated $2.35 billion worth of Canadian investment stock in the country at the end of 2008.