NEWS RELEASES
CANADA AND ISRAEL MARK SECOND ANNIVERSARY OF CIFTA
February 28, 1999 (10:00 a.m. EST) No. 45
CANADA AND ISRAEL MARK SECOND ANNIVERSARY OF CIFTA
International Trade Minister Sergio Marchi today concluded a business development mission to Israel that was
highlighted by meetings to review the two-year old Canada-Israel Free Trade Agreement (CIFTA). The trip to Israel
was the final portion of a Middle East trade mission that also brought the Minister and a delegation representing 46
Canadian businesses to Saudi Arabia, the United Arab Emirates and the West Bank and Gaza.
"We are ending our trade mission to the Middle East where our free trade efforts in the region began," said Mr.
Marchi. "Our review of CIFTA with Israel has served to further enhance the already tremendously successful trade
relationship between our countries."
The CIFTA is the only free trade agreement Canada has outside of the Americas.
Two-way trade between Canada and Israel reached a record $650 million in 1998, an increase of 30 percent since
the CIFTA was implemented. Sectors of interest for Canadian businesses in Israel include agri-food,
biotechnology, building and construction, education, information technology and telecommunications.
On Thursday, Mr. Marchi met with Natan Sharansky, Israeli Minister for Trade and Industry, to review the operation
of the CIFTA. The two ministers agreed to begin negotiations to expand free trade benefits over a wider range of
products in the agri-food sector. The CIFTA Commission agreed to pursue the creation of a Canadian-Israeli
Business Advisory Group to develop and promote the commercial advantages of the CIFTA for both corporate
communities, including small- and medium-sized businesses. They also discussed a number of other areas,
including customs procedures and rules of origin.
On Sunday, the Minister witnessed the signing of an agreement between Canadian Highways International
Corporation (CHIC) and its partner Africa Israel Investment Ltd. to conclude the final financial arrangement to build
the $1.1 billion Cross-Israel Highway. This electronic toll highway will reduce the strain on Israel's existing highways,
while respecting environmental considerations. The deal establishes CHIC as a world leader in transportation
infrastructure development and creates new jobs in Canada and Israel.
In Jerusalem today, the Minister signed a Memorandum of Understanding on Cultural, Academic and Sports
relations with Yitzhak Levy, Israeli Minister of Education, Culture and Sport. He then announced a Canadian studies
grant of $60 000 to contribute to Canadian studies in Israel. Mr. Marchi also signed a Protocol of Discussion on
Communications with Limor Livnat, Israeli Minister of Communications, that will result in increased co-operation in
the telecommunications sector.
Today in Tel Aviv, Mr. Marchi met with former Israeli Prime Minister Shimon Peres, head of the Peres Centre for
Peace. They discussed the Centre's activities, including its projects in the West Bank and Gaza that encourage
joint venture activities between Israeli and Palestinian businesses. Mr. Marchi also attended a meeting with the joint
Palestinian-Israeli Environmental Management Committee, whose goal is to improve management of common
environmental resources. As well, he cut the ribbon at a new Second Cup franchise, the fourth of this Canadian-owned franchise to be opened in Israel.
"This mission promoted and enhanced Canada's already strong commercial relations with Israel," said the
Minister. "It has also reaffirmed the long standing cultural and social ties that bind our two countries."
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For further information, media representatives may contact:
Leslie Swartman
Office of the Minister for International Trade
(613) 992-7332
Media Relations Office
Department of Foreign Affairs and International Trade
(613) 995-1874
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