SECTION 2: ANALYSIS OF PROGRAM ACTIVITIES BY STRATEGIC OUTCOME
2.1 Strategic Outcome
The NAFTA Secretariat, Canadian Section has a single strategic outcome: a highly efficient, impartial and rules-based
international trade dispute resolution process that benefits Canadian exporters to NAFTA countries, as well as NAFTA country
exporters doing business in Canada.
2.2 Program Activity
A crucial aspect of the NAFTA is the Chapter 19 dispute settlement mechanism providing for the replacement of judicial review
by domestic courts of final determinations in antidumping duty and countervailing duty investigations with binding binational
panel reviews. In light of this, the key program activity of the Secretariat is the administration of international trade dispute
resolution mechanisms (see subsection 2.2.1 below).
Information about corporate services activities has been segregated under Section 4 of this report.
2.2.1 Administration of International Trade Dispute Settlement Mechanisms
The two boxes below show information on planned spending on financial and human resources over the coming three-year period
with respect to the administration of international trade disputes.
Financial Resources
2006-2007 |
2007-2008 |
2008-2009 |
$2,991,000 |
$2,991,000 |
$2,991,000 |
Human Resources
2006-2007 |
2007-2008 |
2008-2009 |
12 FTEs |
12 FTEs |
12 FTEs |
To achieve its strategic outcome through proper administration of its key program activity, the NAFTA Secretariat, Canadian
Section has established the following priorities:
2.2.1.1 Improved Support to Panels and Committees
The NAFTA Secretariat, Canadian Section is committed to administer the dispute settlement processes in a timely, fairly and
effective manner. The major tasks include case management, administrative, technical and logistical support to panels and
committees, including the administration of a court-like registry at a level comparable to other registries of superior courts of
record in Canada.
In addition, the Canadian Section will continue to increase the assets of its library and reference centre for the benefit of
panelists and theirs assistants in the three NAFTA countries, as well as academics and trade experts interested by international
trade dispute resolution processes (visit http://www.nafta-sec-alena.org/canada/index_e.aspx?CategoryId=79).
Through local municipal libraries' inter-library loan protocol, the Secretariat's collection is also available to the general
public.
2.2.1.2 Unbiased and Equitable Administrative Process
Fundamental to the effectiveness of the NAFTA Secretariat is its independence from the three national governments that are
Parties to the Agreement. This independence allows it to offer impartial guidance, accurate information, and timely administrative
support to the panels of experts who hear and decide on cases brought before them. To this end the NAFTA Secretariat, Canadian
Section is committed to applying fair and equitable procedural and administrative policies that are governed by the rules and
regulations as well as legal principles applicable to the proceedings.
ISO 9001: 2000 certification, which was previously committed, will be fully implemented this year, following in this regard the
initiative of the Mexican national section.
2.2.1.3 Openness and Accountability
The NAFTA Secretariat, Canadian Section is committed to the promotion of a corporate culture that ensures transparent
management processes and accountability to the NAFTA Free Trade Commission, the Government and the public.
To this end, consultations with the NAFTA Chapter 19 Working Group will continue and a feasibility study will be carried out,
respecting the possible implementation of electronic filing at the three national sections of the NAFTA Secretariat.
2.2.1.4 Increased National and International Collaboration
Collaboration with the other national sections in joint administration of panels as well as in joint development of policies
and programs aimed at facilitating the operations of the dispute resolution processes is of paramount importance in fulfilling the
mandate of the NAFTA Secretariat. To this end, the Canadian Section will continue its coordination and collaborative endeavour
with the other national sections in joint policy and systems development as well as in the joint administration of dispute
settlement panels.
Additionally, we will continue with our multi-year project of digitization of all completed panel review documents for
preservation, speedy retrieval process and research purposes.
2.3 What the priorities mean for Canadians
As one of the world's most active trading nations, Canada benefits immensely from the existence of agreements to govern trade
and especially, the resolution of trade disputes. Since the establishment of the Canada-United States Free Trade Agreement and its
successor the North American Free Trade Agreement, Canada has experienced dramatic economic growth that has created hundreds of
thousands of jobs for Canadians and contributed to strengthening our national economy. The federal government recognizes that
trade policy and trade relations are crucially important to the achievement of Canada's economic and social goals. Rules-based
international trade dispute settlement systems are therefore a crucial part of the prosperity pillar of Canada's foreign policy.
One of the fundamental features of the NAFTA is its efficient dispute settlement processes. These processes provide critical
stability and transparency for Canadian business and investors as they continue to seek new opportunities and secure market access
abroad. Canadian businesses can export their products with the knowledge that rules exist to ensure traded products are treated
fairly and that procedures are in place to settle disputes impartially on the rare occasions when they occur. Hence, the program
activity of the NAFTA Secretariat, Canadian Section, is directly aligned with one of the Government of Canada's outcomes, which
is A Strong and Mutually Beneficial North American Partnership.
2.4 Performance Measurement Strategy
In 1994, in conjunction with the Treasury Board Secretariat, the Canadian Section completed a comprehensive benchmark survey of
its services and stakeholders satisfaction. At the completion of each panel review, the Canadian Section has been monitoring the
satisfaction with its services by requesting that stakeholders complete a monitoring questionnaire. The most important service
qualities clients are asked to rate include:
- satisfaction with accuracy, relevance and quality of information;
- the impartiality of the information provided;
- provision of guidance by senior staff on the dispute settlement processes, rules of procedures and code of conduct;
- accessibility to documents and staff;
- independence of the Secretariat, Canadian Section as a separate government agency; and
- scheduling of panel hearings/conference calls/panel meetings.
This ongoing feedback enables the Section to evaluate its services on an ongoing basis and to maintain its high service
standards as well as abide by its guiding principles (see Annex A).
Additionally, the Canadian Section obtains feedbacks on its program and activities from its employees at regular management
meetings and other key strategic planning meetings.
2.5 Key Program
As indicated in Sections 1 and 2 above, the NAFTA Secretariat, Canadian Section, has a single strategic outcome to achieve and
one program activity to administer. The Secretariat principally provides independent professional support to the expert panels
that adjudicate countervailing and antidumping duty disputes involving the NAFTA parties. Since its establishment, the Secretariat
has become a centre of expertise on the management of the dispute settlement process. It has developed effective and efficient
procedures, attracted rosters of highly qualified trade law experts from which panelists are chosen to hear cases, and ensured the
smooth administration of the NAFTA's dispute settlement machinery.
During the 2006-2007 fiscal year, the three national sections of the NAFTA Secretariat will continue to administer all panel
proceedings that were filed in prior years and that were still active at the time of writing this report. As well, additional
panel reviews could be filed during the planning period. The Registry will process and preserve panel review documents, organize
panel hearings, issue panel decisions and orders, while ensuring confidentiality of business proprietary information. Research
activities, speedy service and timely communication throughout the life of panel proceedings will also be carried out.
More specifically, the Canadian Section will be involved in the joint administration of the following panel reviews:
- Magnesium from Canada (Five-Year Reviews of the Countervailing Duty and Antidumping Duty Orders);
- Softwood Lumber from Canada (Dumping - 2002);
- Softwood Lumber from Canada (Countervailing Duty - 2002);
- Durum Wheat and Hard Red Spring Wheat from Canada (Countervailing Duty);
- Pure and Alloy Magnesium from Canada (Countervailing Duty);
- Softwood Lumber from Canada (Final Results of Countervailing Duty Administrative Review and Rescission of Certain
Company-Specific Reviews - 2005);
- Softwood Lumber from Canada (Determination under Section 129(a)(4) of the Uruguay Round Agreements Act - 2005);
- Softwood Lumber from Canada (antidumping duty determination under Section 129 of the Uruguay Round Agreements Act - 2005);
- Softwood Lumber from Canada (Final Results of Antidumping Administrative Review - 2006);
- Softwood Lumber from Canada (Final Results of Countervailing Duty Administrative Review - 2006); and
- Carbon and Certain Alloy Steel Wire Rod from Canada (Final Results of Antidumping Duty Administrative Review).
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