Nunavut could benefit from provincial-territorial trade deal: Taptuna

Nunavut didn’t exist when the last Canadian trade agreement was signed: Now Nunavut is a full partner in the Canadian Free Trade Agreement. (PHOTO BY JANE GEORGE)

Canada’s new national internal trade agreement among provinces and territories will allow Nunavut to participate in Canada’s economic union equally with other territories and provinces, the Government of Nunavut says.

The internal Canadian Free Trade Agreement was released April 7 in Toronto.

The purpose of the agreement is to eliminate protectionist measures that make it difficult to sell goods and services across provincial and territorial boundaries, and to improve labour mobility.

The new deal will allow Nunavut firms access to the Canadian market and protection from barriers to trade, and it commits to looking at ways to enhance economic development in the food sector in the territories, a GN release said April 7.

“It is my hope that our participation in the CFTA could ultimately reduce the cost of goods in Nunavut,” Taptuna said in the release.

Taptuna said Nunavut’s participation in the CFTA is consistent with the Nunavut Land Claims Agreement.

The agreement allows Nunavut and Nunavut Inuit-owned firms to retain the protection of Nunavut Nunavummi Nangminiqaqtunik Ikajuuti procurement policy and future programs with similar objectives, as well as contracts made within the terms of Article 24 of the NLCA.

Article 24 states that governments should help Inuit compete for government contracts by providing “reasonable support and assistance.”

The CFTA contains many such exceptions, although it covers nearly all trade and most goods and services, as well as investment and labour mobility.

Under the CFTA, licensed professionals and trades people accredited in one province or territory, such as engineers or carpenters, will now be allowed to work in another jurisdiction without having to re-qualify with the local regulator.

Among other things, the CFTA also commits the territorial, provincial and federal government to the establishment of a working group that will assess options for “further liberalizing trade in alcohol.”

That means it could eventually be less difficult to sell beer or wine across provincial boundaries in Canada.

The federal economic development minister, Navdeep Bains, has said the CFTA also sets a clear process to help provinces and territories regulate the trade of recreational marijuana—for which legislation could be tabled this week in Parliament.

The CFTA comes into force on July 1.