April 16, 2002 (9:30 a.m. EDT) No. 32

MARKET ACCESS REPORT OUTLINES CANADA'S

TRADE PRIORITIES

International Trade Minister Pierre Pettigrew today released the government's annual report on Canada's market access priorities for 2002. The report sets out the initiatives the government will pursue and details specific obstacles to be tackled in various markets. The report also highlights the government's trade accomplishments for 2001.

"Canada is a major trading nation. Our companies are among the world's most competitive," said Minister Pettigrew. "Open trade means a healthier economy, which leads to better jobs and lower prices, while improving the standard of living of all Canadians and of the populations around the world."

The report, Opening Doors to the World: Canada's International Market Access Priorities--2002, outlines the market access priorities the government will pursue in 2002 at the multilateral, regional and bilateral levels. This year's edition also highlights the importance of international trade to the provincial economies of Ontario and Quebec. Previous reports have focused on the Prairies and Atlantic Canada.

The report also outlines major achievements of the past year. Canada fostered transparency by convincing our Free Trade Area of the Americas partners to release the draft consolidated text. We concluded a free trade agreement with Costa Rica, and launched trade negotiations with the Central America Four, and with Singapore.

"We made strong progress in 2001 toward improved trade," said Minister Pettigrew. "For example, Canada and our fellow WTO members launched a new round of WTO negotiations in Doha, Qatar. This will benefit both Canada and the developing world."

This report will be followed in May by Trade Update 2002: Third Annual Report, which will outline Canada's trade and investment performance for 2001.

Today's report and a backgrounder are available at the following Web site: http://www.dfait-maeci.gc.ca/tna-nac/cimap-e.asp

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Highlights of the report are attached.

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

HIGHLIGHTS

Trade policy achievements in 2001

• Canada and fellow World Trade Organization (WTO) members launched a new round of multilateral trade negotiations in Doha, Qatar. The "Doha Development Agenda" offers the promise of further trade liberalization and strengthened trade rules to benefit all WTO members.

• China joined the WTO. Its entry opens the door to an exciting market that contains one fifth of the world's population. China is now bound by WTO rules, which include reducing barriers and increasing transparency.

• Canada successfully hosted the Summit of the Americas in Quebec City and made progress toward building the largest free trade area in the world, the Free Trade Area of the Americas (FTAA), by 2005.

• Canada secured the agreement of FTAA partners to release the draft consolidated text, which was made available in July. This was a major step toward greater transparency in trade negotiations.

• Canada continued day-to-day progress on NAFTA. For example, Canada, the United States and Mexico agreed to accelerate the elimination of NAFTA tariffs on a number of products, effective January 1, 2002.

• At Canada's initiative, the NAFTA trade ministers also clarified NAFTA's Chapter 11 investment provisions, and directed trade experts to continue their work examining the implementation and operation of Chapter 11.

• Canada concluded a bilateral free trade agreement with Costa Rica and launched trade negotiations with the four Central American countries of El Salvador, Guatemala, Honduras and Nicaragua, and with Singapore.

• Canada resolved the issue of U.S. restrictions on potatoes from Prince Edward Island and negotiated an agreement with the European Union, opening its market to Canadian ice wine.

• To further enhance our management of the Canada-U.S. border, Canada and the United States signed a declaration on the creation of a Smart Border for the 21st Century on December 12, 2001.

Trade Policy Objectives for 2002

• To successfully resolve the softwood lumber dispute with the United States

• To ensure the smooth flow of goods and services to our top market, the United States

• To resolve the dispute with Brazil over its export financing program for aircraft

• To achieve progress in the WTO negotiations, particularly on agriculture, and in the FTAA negotiations

• To conclude free trade negotiations with the Central American countries of El Salvador, Guatemala, Honduras and Nicaragua, and with Singapore and advance trade discussions with the Caribbean Community and Common Market (CARICOM)