March 27, 2002 (9:30 a.m. EST) No. 29

CANADA SEEKS CITIZENS' VIEWS ON TRADE

WITH LEAST-DEVELOPED COUNTRIES

The Government of Canada will consult Canadians on proposals to help the world's least-developed countries by removing tariffs and quotas on most of the products they sell to Canada.

"Reducing poverty in the world's poorest countries is a strong concern of Canadians and a key priority of leading international organizations. Opening markets to products from these countries will make a positive contribution," said International Trade Minister Pierre Pettigrew. "The Government of Canada would like to generate an informed discussion on Canada's trade approach in this important international debate."

The government will seek the views of stakeholders, such as key industry sectors, non-governmental organizations, and interested citizens, on the proposals, including any economic or social impact the proposed action might have. The Standing Committee on Foreign Affairs and International Trade (SCFAIT) will also hold hearings on the proposal in April.

Imports from least-developed countries account for only one tenth of one percent of the total imports to Canada--an average of $300 million a year over the past decade. Approximately half of the products we import from least-developed countries already enter Canada duty-free. Supply-managed products (dairy, poultry, eggs) would be excluded from consideration.

More than 600 million people live in the world's 49 least-developed countries--one tenth of humanity. These countries have average annual per capita incomes of only a few hundred dollars and an average life expectancy of only 52 years. Their share of world trade has declined in the past 20 years and now accounts for only 0.5 percent of world trade.

Prime Minister Jean Chrétien underscored the value of opening markets to least- developed countries, in a statement last week to the United Nations International Conference on Financing for Development in Monterrey, Mexico, stating that access to the world's developed markets is a prerequisite to increased trade and investment flows for developing nations.

Leading international organizations, such as the United Nations, the World Bank and the World Trade Organization, have stressed that aid is not enough--that development requires private capital flows from increased trade and investment. Strengthening global economic growth will be one of three priorities of the G8 Summit this summer in Kananaskis, Alberta.

The Department of Foreign Affairs and International Trade invites comments on these issues. A discussion paper on this subject, and information on how to participate in consultations, will be posted at: http://www.dfait-maeci.gc.ca/tna-nac/Consult1-e.asp

on March 28, 2002.

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For further information, media representatives may contact:

Sébastien Théberge

Office of the Minister for International Trade

(613) 992-7332

Media Relations Office

Department of Foreign Affairs and International Trade

(613) 995-1874

http://www.dfait-maeci.gc.ca