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Free Trade Area of the Americas (FTAA)

About the FTAA

How the FTAA Negotiating Process Works

The FTAA negotiations, which are scheduled to conclude in January 2005, are proceeding on two simultaneous tracks. The first is a general negotiation focussing on general rules and commitments, including issues of an institutional nature. The second track deals specifically with market access for goods and services. For this latter set of negotiations, ministers have set a deadline of April 1, 2002, for negotiators to formulate recommendations on methods and modalities for negotiating areas such as tariff negotiations, rules of origin and the deepening of disciplines on subsidies. The actual market access negotiations, based on the recommended methods and modalities, are scheduled to commence no later than May 15, 2002.

The chapters developed by each of the negotiating groups are compilations of texts proposed by individual countries or groups of countries. Each country has the right to submit text on issues that pertain to the relevant group, in accordance with the mandates that guide the activities of the negotiating groups, as well as to withdraw text previously submitted. Although countries have the right to submit text, they are not obligated to do so. Once a country submits a proposal, the text may be provisionally adopted if all countries agree on the content of the proposal. This reflects the consensus principle of the negotiations. However, if one or more countries object to another country's proposal, and therefore no consensus is reached to adopt it, the text is placed between square brackets. This indicates that the text will continue to be on the table and will be discussed again in the future. The negotiating process entails eliminating brackets and arriving at consensus language. This process of proposing text and negotiating its acceptance or rejection continues until agreement is reached on all the issues and the negotiations are complete. This process is based on the fundamental principle that the FTAA Agreement will be a "single undertaking," meaning that nothing is agreed to until everything is agreed to.

Issues that cannot be resolved by negotiators in the negotiating groups, are raised with vice-ministers during the meetings of the Trade Negotiations Committee (TNC). Complex matters may need to be addressed by trade ministers.

Between meetings of the negotiating groups, negotiators return to their capitals where extensive analysis and domestic consultations take place. The results of these consultations help to shape the countries' negotiating positions. The domestic consultation mechanisms differ from country to country. The Canadian government engages in extensive discussions with representatives of business, labour, the environment, other interested groups, and the provinces and territories. The positions taken by the Canadian government in relation to the issues under negotiation in the FTAA have been made public at http://www.dfait-maeci.gc.ca/tna-nac/ftaa_neg-en.asp.

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Updated October 25, 2002


Last Updated:
2003-11-20

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