Canada-EU Trade negotiators draw up “break-out package” on outstanding issues
Wall Street Journal | August 2, 2013
Canada-EU Trade negotiators draw up “break-out package” on outstanding issues
By Nirmala Menon
Trade negotiators for Canada and the European Union have drawn up a proposal they hope will bridge the differences that are blocking a free trade deal after more than four years of talks, according to people familiar with the matter.
It’s the first time they have jointly come up with a “break-out package,” on the small number of outstanding issues–including agriculture, government procurement, pharmaceutical patents, and financial services–according to one of these people.
Though specific details of the proposal were hard to come by, another person broadly familiar with the plan said it includes some changes to agricultural-product quotas. Canada is seeking greater market access for beef and pork in Europe, while the EU aims to ship more cheese to Canada.
It’s now up to politicians in Ottawa and Brussels to okay or nix the plan. But with Europe largely shut down for holidays this month, negotiators aren’t expected to receive feedback until September, people familiar with the matter said.
This may well be the final attempt by Canadian negotiators to conclude a deal before Prime Minister Stephen Harper is forced to step in in an attempt to get past the stumbling blocks.
“The negotiators can only go so far. They’ve tried every single combination. I don’t know what else they can do. There comes a point when it’s not in their hands anymore,” one of the people familiar with the matter said. “I think if this doesn’t work, it’s up to (Mr.) Harper to decide.”
The same holds true in the EU where Trade Commissioner Karel De Gucht will have to convince fellow commissioners and European Commission President Jose Manuel Barroso of the broader merits of the deal.
A spokesman for Canadian Trade Minister Ed Fast would only say that Canada has made “robust offers in good faith that address the EU’s key interests.”
“We expect to be provided the same by the EU,” Rudy Husny said in an email. “As in all negotiations, nothing is agreed to until everything is and we will continue to pursue an agreement that creates new opportunities” for Canadian exporters.
A spokeswoman for Mr. De Gucht said she had no comment.
Officials haven’t set a timeline for concluding the deal since missing an end-of-2012 deadline, and industry groups are worried it may stall if not concluded before Brussels and the U.S. begin the real work of negotiating their own pact in the autumn.
