NEWS RELEASES

AGREEMENT WILL BOOST INTERNATIONAL MARKET ACCESS FOR CANADIAN VINTNERS

TORONTO, December 18, 2001 -- Canadian wine producers are a step closer to having their wines on the tables of even more customers throughout the world following the signing of an international agreement today in Toronto.

Agriculture and Agri-Food Minister Lyle Vanclief signed the Mutual Acceptance Agreement of Oenological Practices agreement on behalf of the Government of Canada that will help assure access for Canadian wines to a number of international markets.

"Canadian vintners have worked extremely hard over the past decade to improve their wines and build an international reputation which has put Canada on the global map as a quality wine-producing nation," said Mr. Vanclief. "They have succeeded in this goal and today's partnership announcement is another example of how the Canadian wine sector continues to expand its horizons by forging strategic alliances aimed at future growth."

"This agreement will improve access for high-quality Canadian wine in key world markets," said International Trade Minister Pierre Pettigrew. "Through this agreement, Canadian wines will gain recognition in countries like Australia, Chile, New Zealand and the United States."

These countries are collectively known as the New World Wine Producers (NWWP) group. The agreement will help to provide Canadian vintners greater access to the markets of all the signatories to the agreement by allowing the importation of Canadian wine made in accordance with Canadian laws, regulations and requirements on oenological practices.

The agreement recognizes that every country's wine-making practices have evolved according to local conditions, climatic variations and traditions, and that grape growing and wine-making practices and technology are constantly advancing. Signatories accept the principle that, for countries with mechanisms in place to regulate wine making, the mutual acceptance of each country's wine-making regulations is the best way to facilitate international trade in wine.

Several NWWP nations were involved in the negotiation of the agreement, which began over two years ago. This forum was initiated in 1998 in recognition of the growth in wine trade in new world wine producing countries.

This agreement covers all aspects of wine making and provides for a mechanism to ensure transparency in the regulatory process in all of the signatory countries which will help to avoid technical barriers to trade in wine. In addition, the agreement contains provisions for the expedient resolution of disputes among participants as they relate to wine making practices. However, it does not affect Canada's ability to take measures against imported wines related to the protection of human health and safety.

Both Ministers Vanclief and Pettigrew noted the agreement will reduce technical barriers to trade in wine for small, medium and large scale producers and expressed the hope the agreement will soon be adopted by all wine-producing and importing countries in the world. South Africa and Argentina have until March 31, 2002, to sign the agreement.

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