Canada-Panama Free Trade Agreement
Negotiations Toward a Canada-Panama Free Trade Agreement
Economic Analysis: Prospective Free Trade Agreement between Canada and Panama - December 2008
- Panama - Market Profile
- Overview: Canada-Panama Bilateral Trade and Investment Relationship
Market Access Through a Bilateral Free Trade Agreement
- Other Opportunities
- Annex A – Canada-Panama Bilateral Trade Flows
- Annex B – Illustrative List of Panama Tariffs
- Annex C – Canada-Panama Trade in Commercial Services
- Annex D – Canada-Panama Investment Relationship
In response today’s rapidly evolving global trading environment, the Government of Canada is pursuing an ambitious bilateral trade negotiations agenda as outlined in the Global Commerce Strategy (GCS)1, the strategic international commerce framework in support of Advantage Canada. In line with this strategy, and the Government’s deepened engagement in the Americas2, Canada is pursuing a free trade agreement with Panama. Panama is a stable and growing economy that has demonstrated its readiness to negotiate a comprehensive and high-quality FTA with Canada.
Economic analysis, government-to-government exploratory discussions and public consultations with domestic stakeholders reveal that an FTA with Panama would generate a number of potential benefits:
- Reinforce well-established historical links and support Canada’s broader foreign policy objectives and interests in the region, particularly the promotion of regional economic integration, development, and democracy;
- Maintain and enhance the competitive position of Canadian exporters and investors;
- Improve market access for Canadian exporters of goods through the elimination of tariffs and reduction of non-tariff barriers;
- Yield benefits for Canadian service providers by enhancing market access and creating a more transparent, stable, and predictable business environment;
- Promote two-way investment flows through stronger reciprocal commitments and enhance the stability and predictability of the investment climate for Canadian investors;
- Support Canada’s broader foreign policy objectives in the Hemisphere by strengthening ties with a country that is committed to improving economic stability; and
Support development and economic integration within the region and in the Hemisphere, including through mutually supportive trade, labour and environmental practices.
Canada has an enduring connection with Latin America and the Caribbean, with historical links initially based on commercial exchanges, and strengthened through people-to-people links and closer political ties. These connections have fostered a sense of community within the region. Our economies, societies, and the health and security of our citizens are inextricably intertwined.
Canada is deepening its engagement in the Americas, including the Latin America and Caribbean region. Key objectives of this strategy include strengthening democratic governance, meeting new security challenges, including pandemics and increasing trade and investment links. A concluded free trade agreement between Canada and Panama would expand opportunities for trade and investment between both countries. It would also build upon the success of Canada’s other free trade agreements in the region, including the North American Free Trade Agreement (NAFTA), the Canada-Chile Free Trade Agreement, and the Canada-Cost Rica Free Trade Agreement. In 2008, the Government also signed FTAs with Peru and – with Colombia.
Throughout 2007, Panama expressed an interest in pursuing a bilateral FTA with Canada. In March 2008, Canada agreed to explore the possibility of FTA negotiations with Panama. Two exploratory meetings between Canada and Panama to discuss the scope of a potential FTA took place: in Canada on May 6-7, 2008 and in Panama on July 7-8, 2008. On May 31, 2008, the Government also launched month-long public consultations with Canadian provinces and territories, business, industry associations and the general public.
Canada established diplomatic relations with Panama in 1961. Up until 1995, the Canadian Embassy in Costa Rica was responsible for managing Canada’s general relations, trade and consular programs in Panama. In recognition of the growing political and economic ties and to promote political, trade and investment relations between Canada and Panama, Canada opened its Embassy in Panama in 19953.
Canada and Panama share many common interests on global issues and work cooperatively on a wide range of in international activities, including governance, human rights, the responsibility to protect and the Ottawa Treaty banning the use of antipersonnel landmines. In addition to hosting the Organisation of American States (OAS) General Assembly in June 2007, Panama was elected to a non-permanent seat on the United Nations Security Council for 2007-08.
The bilateral commercial relationship is strong and continues to grow. In 2007, bilateral merchandise trade between Canada and Panama totalled $115.0 million (with Canadian exports of $86.4 million and imports from Panama of $28.7 million). In 1998, Canada and Panama signed a Foreign Investment Promotion and Protection Agreement (FIPA), which is a bilateral agreement aimed at protecting and promoting foreign investment through legally-binding rights and obligations. The stock of Canadian direct investment in Panama reached $111 million in 2006*. Canadian companies have demonstrated an elevated interest in Panama as an investment destination. Key Canadian sectors with an investment presence in Panama include finance, construction, education, engineering and mining. In 2006 (Latest year for which data is available), Canadian commercial services exports to Panama were $5.9 million, while imports amounted to $7.5 million.
Most recently, Canada and Panama announced a new air transport agreement, which puts in place a new, modern framework for scheduled air services between Canada and Panama. The new agreement would complement a prospective FTA by facilitating growth in trade, investment and tourism and would thus benefit passengers, businesses, air carriers and airports through a greater range of travel options. A Memorandum of Understanding (MOU) on Cooperation Relating to Transportation Accident and Incident Investigations was also signed between the Transportation Safety Board of Canada and the Panama Maritime Authority, Marine Casualty Investigation Branch in April 2008. The purpose of this MOU is to advance transportation safety and to coordinate investigation activities between both countries.
Export development has been an important pillar of the relationship between Canada and Panama. Export Development Canada (EDC) has identified Panama as a strategic market in Central America for Canadian business and notes that there are already many Canadian firms active in Panama. Key Canadian interests, besides infrastructure, include engineering, training, project management and waste and wastewater management services. Canadian companies are also active in the construction sector, particularly in construction materials and design work.
In September 2006, EDC signed an MOU with the Panamanian Ministry of Finance and Economy with the objective of facilitating and increasing opportunities for Canadian exports and investors in the Panamanian market. Beyond the estimated US$ 5.3 billion Panama Canal expansion, EDC projects that billions of infrastructure projects will be undertaken over the next 10 years in sectors such as energy, telecommunications and mass transit systems. Currently, EDC has a number of projects under consideration for financing under the terms of the MOU.
In 2007, Foreign Affairs and International Trade Canada, Export Development Canada and the Canada Commercial Corporation signed an MOU to facilitate dialogue and cooperation between the three organizations with regards to the exchange of intelligence and development of new business opportunities for Canadian exporters and investors. As part of the MOU's action plan, the three organizations started an initiative to help Canadian firms take advantage of public infrastructure opportunities in transitional markets. Based on their great potential in infrastructure development, Colombia, Peru and Panama were selected as "target markets" for a pilot project. The goal is to identify, promote and create infrastructure opportunities for Canadian firms through collaborative efforts.
Pursuing a comprehensive FTA represents the next logical step to further solidify Canada’s long-standing relationship with Panama. Moving forward with this initiative reflects Canada’s ongoing commitment to support the economic development of Panama and Canadian business in the region. Moreover, FTA negotiations would provide a platform for dialogue and cooperation on issues such as labour and the environment, as well as establish mechanisms that can facilitate future dialogue on a broad spectrum of issues.
As a trading nation, Canada negotiates trade agreements to sustain and enhance Canada’s productivity and growth. With an estimated one in five Canadian jobs linked to international trade, there is little doubt that trade represents one of the main engines of the Canadian economy.
Uncertainties associated with the successful conclusion of the World Trade Organization Doha Round negotiations have contributed to a greater number of countries pursuing bilateral or regional FTA initiatives to capture the benefits of free trade. As an export-oriented and globally-integrated economy, Canada benefits from a healthy, open, transparent, rules-based international trading system. Canada’s multilateral and bilateral initiatives are designed to be mutually supportive. Rather than detract from multilateral efforts, bilateral agreements allow us to explore new commitments and disciplines in areas such as investment, services, and trade facilitation, making them broader than existing multilateral rules. In this context, Canada believes that regional and bilateral agreements can help place new issues on the global agenda and provide innovative solutions to the challenges posed by trade integration.
The intensified bilateral focus of key global traders has raised concern about the potential impact on Canadian exporters, whose competitiveness in established markets may be threatened by such preferential deals. Such concerns include the possible erosion of Canada’s market share in countries where our competitors have gained preferential access and the potential for Canada to lose influence to shape international trading rules of the future. As such, industry stakeholders have urged the Government to pursue a more proactive FTA agenda.
In response to this rapidly evolving global trading environment, the Government is pursuing an ambitious bilateral and regional FTA negotiation agenda as outlined in the Global Commerce Strategy. Since January 2008, Canada has signed FTAs with the European Free Trade Association (EFTA) (January 2008), Peru (May 2008), Colombia (November 2008), and concluded negotiations with Jordan (August 2008). These agreements will enter into force following the completion of the ratification process in accordance with each country’s domestic procedures. Canada is also involved in ongoing FTA negotiations with the Dominican Republic, the Caribbean Community (CARICOM), and Central America Four countries (El Salvador, Guatemala, Honduras, and Nicaragua), as well as with Korea, and Singapore.
Canada and the European Union have agreed to hold discussions to determine the scope and parameters of an economic agreement, with a view to launching negotiations in 2009. Canada has also recently instituted a Trade and Investment Dialogue with Japan.
Panama acceded to the World Trade Organization (WTO) in 1997 and its first Trade Policy Review was completed in 2007. While not a party to the WTO Government Procurement Agreement, Panama is an observer and is negotiating accession. The country did, however, introduce new government procurement legislation in 2006, which guarantees national treatment to foreign bidders. Panama is party to the WTO Information Technology Agreement, and has participated actively in the Doha Development Agenda, advocating greater flexibilities to non-original developing country members. As a WTO member, Panama also grants most favoured nation (MFN) treatment to all of its trading partners, and has bilateral investment treaties with sixteen countries.
As a liberal trading economy, Panama is looking to establish free trade agreements with partners around the world. Currently, Panama has FTAs in force with El Salvador (2002),Taiwan (2004), Singapore (2006) and Chile (2008). Panama has also negotiated an FTA (called Trade Promotion Agreement) with the United States, which is pending U.S. Congressional approval. Currently, Panama’s main trading partner is the United States, which accounts for almost one third of Panamanian merchandise trade.
Panama has established itself as a liberal trade and investment regime, with trade in goods and services playing a vital role in the country’s economy. Increases in investment and service exports have contributed significantly to Panama’s robust economic growth in recent years. Panama’s fiscal balance has been improved in large measure due to the current Government’s fiscal reforms and revenues gained from the Panama Canal.
In 2007, global exports from Panama totalled nearly $1.2 billion, and included products such as fish and seafood, edible fruits and nuts, vegetables, paper, paperboard, iron and steel. Total world imports to Panama reached more than $7.2 billion, and included mineral fuels and oils, machinery, electronic and electric equipment, vehicles, iron and steel, and pharmaceutical products. In addition, the total Foreign Direct Investment (FDI) in Panama was estimated to be $1.9 billion in 2007.
Panama is a growing economy – with 11.2% growth in GDP in 2007. In this same year, Panama’s GDP reached $21.22 billion, with GDP per capita registering at $6,346. Panama is a service-oriented economy, with services representing approximately 78.4% of its GDP and 62.7% of employment in 2007. Also, the balance of trade in services in 2007 was $3.0 billion in Panama’s favour. Top service exports from Panama in that year included transport and storage, tourism, financial, communication, and other business services.
Panama maintains special trade regimes within its borders. The Colon Free Zone (CFZ) is an area dedicated to re-exportation, and functions as a global logistical and distribution centre. The CFZ is the second largest free zone in the world, and accounts for just over three quarters of Panama’s total merchandise exports.
Panama is a hub for international shipping and logistics thanks to its strategic geographical location and the Panama Canal. The Canal plays a pivotal role in the flow of goods around the world. On October 22, 2006, a referendum was held seeking approval of the canal’s expansion. In response, almost 80% of Panamanian voters back the expansion plan of the Autoridad del Canal de Panama (ACP, the Panama Canal Authority). The Panama Canal expansion project is one the largest and most ambitious projects in the region, and will help the country further expand its current role as a global logistics platform. In the last four years, demand for Post-Panamax vessels, (ships that are too large to pass through the existing locks) has increased significantly due to efficiencies gained with containerized cargo (50% of ships currently being ordered by the largest shipping lines are Post-Panamax). The project is expected to more than double the capacity of the Panama Canal, and allow the passage of the heavily demanded post-Panamax container ships.
The project will create a new lane of traffic along the Canal by constructing a new set of locks. The cost of the project is estimated at US$5.3 billion, which is equivalent in value to nearly 30% of Panama’s GDP. Construction is slated for completion for August 2014—the 100th anniversary of the Canal’s official opening. In 2007, Canada was the 10th most important user of the Canal.
Market Access Through a Bilateral Free Trade Agreement
While Panama has achieved significant market liberalization, impediments to trade and investment remain in some areas. An FTA would address high tariff levels on key Canadian exports, import procedures, non-tariff barriers, as well as restrictions on cross-border trade in services and investment. An FTA would also offer the means to create mechanisms that allow for the early identification of issues and timely consultations to address specific issues, so as to minimize the risk of future trade barriers and promote joint cooperation.
Free trade agreements provide additional areas of potential benefit to Canadian exporters and consumers, which include, for example: rules of origin that help ensure that preferential tariff treatment is accorded only to goods qualifying as originating in the territory of the FTA Parties; establishment of effective customs procedures to administer and enforce the FTA’s rules of origin; and the reduction of administrative and transaction costs for businesses through trade facilitation measures.
Current Two-Way Merchandise Trade Between Canada and Panama
Panama is already an important export destination for Canadian merchandise exports which were valued at $86.3 million in 2007. Canada’s non-agricultural exports to Panama for this period are valued at $62.9 million and included pharmaceuticals, machinery, motor vehicles, iron and steel products, paper products, aircraft and parts, plastics and wood (including plywood). Canadian agricultural and agri-food product exports to Panama amounted to $23.4 million and included milling, malt and starch (mostly malt), vegetables (mainly dry shelled pulses) meat, and preserved food (mostly frozen french fries).
In 2007, Canada’s imports from Panama valued $28.7 million with mineral fuels and oils (mostly aviation fuel) forming the majority of these imports. Other imports from Panama included fruits and nuts (mainly bananas, melons and papayas), fish and seafood products, spices, coffee and tea, and fats and oils.
Panama benefits from relatively low Canadian tariffs as Canada’s overall applied Most Favoured Nation (MFN) rate is 5.5%. In addition, Panama also benefits from Canada’s General Preferential Tariff (GPT), which allows for reduced or duty-free tariffs on certain imports from developing countries. In 2007, 97% of imports from Panama entered Canada MFN duty-free, and the majority of the remaining imports were eligible for preferential GPT treatment. Given that the vast majority of goods imported from Panama already enter Canada duty-free, there is unlikely to be any significant change in import competition for Canadian industries as a result of a Canada-Panama FTA. Please see Annex A for more a detailed list of exports from Canada and Panama.
Improved Access for Canadian Merchandise Export Interests
Canada will be seeking the elimination of tariffs on substantially all trade with Panama. Panama has relatively high tariffs in a number of areas of export interest to Canada. Panama has an overall applied Most Favoured Nation (MFN) tariff of rate of 7.3%, an average applied non-agricultural tariff of 6.4% and an average applied agricultural tariff of 13.6%. While Canada’s goods market access objectives will take into consideration the fact that Panama is a developing country, Canada will also seek improved market access commensurate with that achieved by the United States its FTA with Panama to allow Canadian exporters to compete in Panama.
Benefits to Canada from tariff elimination in Panama will be especially strong in areas where Canadian exports face particularly high tariffs, including (average applied tariff in brackets): frozen french fries (20% ), beef (18%), pork (47%), pulses (5.2%), fish and seafood products (12.5%), electrical machinery (5%), iron and steel products (5.3%), motor vehicles (15%), construction equipment (10%), paper products (7.1%) and wood products (6.2%). Panama also maintains tariff-rate quotas on agriculture export interests including pork, potatoes, tomatoes, and certain pulses (e.g., beans). Please see Annex B for a comparative list of Canadian and Panamanian tariffs.
While difficult to quantify, Canadian industry cites non-tariff barriers, such as technical barriers to trade, as a significant challenge to achieving market access internationally. Indeed, as tariffs decline, non-tariff barriers have tended to become increasingly important challenges to trade. As a result, Canada will seek to ensure that technical barriers to trade are addressed effectively under an FTA with Panama by: promoting non-discrimination; promoting good regulatory practices including transparency, the use of international standards or their relevant parts; and by seeking the creation of a mechanism to address specific technical barriers to trade. The effective management of non-tariff barriers will help to facilitate market access for Canadian industry and exporters.
In recent years, market access by Canadian agricultural exporters has been affected by several sanitary and phytosanitary (SPS) restrictions imposed by Panama. Panama maintains a BSE-related ban on Canadian beef and cattle and anavian-influenza-related ban on Canadian poultry. Canada’s trade with Panama in grains, Christmas trees, potatoes and pork has been affected by issues such asdelays in exporter approvals or uncertainty in import requirements. While resolution of thesespecific issues fall outside the scope of FTA negotiations, Canada will be seeking to establish a more effective means of communicating on SPS issues and of managing such issues on a timely basis to avoid trade problems.
Canada will seek to negotiate a comprehensive Government Procurement Chapter that would provide transparency, predictability and secure market access for Canadian goods andservices and suppliersof such goods and services.A Government Procurement Chapter of an FTA generally includes provisions which require Parties to conduct their government procurement in a fair, open, transparent, competitive and non-discriminatorymanner. The Chapter also includes a bid challenge mechanism that Canadian suppliers can use if they believe a procurement was not conducted in accordance with the obligations in the Chapter.
The Panamanian Ministry of Economy and Finance has forecast US$28.989 billion on infrastructure projects in the coming years, the centrepiece of which is the expansion of the Panama Canal. While the US$5.3 billion expansion of the Canal is by far the most important project for Canadian suppliers, there are a number of other infrastructure development projects on the horizon relating to ports, roads, bridges and airports.
As previously noted, EDC has identified Panama as an important government market for Canadian businesses and notes that there are already Canadian firms active in Panama. Key Canadian interests, besides infrastructure, include engineering, training, project management and waste management services. A Government ProcurementChapter in an FTA with Panama would provide a level playing field for Canadian companies competing in the Panamanian market against other foreign competitors that may already benefit from similar agreements with Panama.
Canada would seek a comprehensive chapter within an FTA for cross-border trade in services that would provide for transparency, predictability and secure market access for Canadian service providers. The geographic position and the dynamism of its economy, where the Panama Canal is a key economic driving force, make the Panamanian market a potential place for Canadian exporters to expand their services in this competitive global market.
Canada is seeking to establish a comprehensive set of rights and obligations applicable to the broadest range of services sectors through the negotiations of preferential market access rules and service sector commitments. Canada will seek to include provisions to improve market access disciplines, increase transparency of domestic regulatory regimes as well as to address the importance of mutual recognition of professional qualifications for service providers.
With respect to market access, Canada is seeking to secure the broadest sectoral commitments and to provide for transparency and predictability for Canadian service providers through the use of a negative-list approach for the listing non-conforming measures, as well as the application of a ratchet mechanism to bind any future autonomous liberalization of non-conforming regulatory measures. As in past agreements, Canada will maintain the ability of Canadian governments to adopt or maintain full policy flexibility related to social services (health, public education) and culture. Canada will also maintain its policy flexibility to adopt or maintain non-conforming measures in certain sectors, including certain transportation services and natural resources.
In 2006, Canadian commercial services exports to Panama were $5.9 million, while imports amounted to $7.5 million (latest year data is available). The Government of Panama also regards tourism as one of the major growth sectors of its economy. Given the country’s diverse ecosystems and rare flora and fauna, the Government of Panama is promoting Panama as an ecotourism destination. The Government of Panama estimates that the number of Canadian visitors has gone from 5,872 in 2000 to 39,097 in 2007, a 565.8% increase. There are also a growing number of Canadians buying retirement second homes in Panama, creating opportunities for Canadian companies in the construction and building products sector.
The Panama Canal expansion project will potentially create significant opportunities for Canadian companies in environmental, heavy engineering, consulting services, capital projects, human capital development, and construction materials and services. Panama has also been selected as the location for a multi-billion dollar refinery with a 350,000 barrel/day capacity, under a project led by Occidental Petroleum and the Government of Qatar, scheduled for completion by 2012. Plans have also been announced to create a regional oil and gas distribution centre in the country.
Canada, at the multilateral negotiations at the World Trade Organization (WTO) General Agreement on Trade in Services, has requested Panama to negotiate further services provisions within a prospective multilateral agreement, particularly in the following sectors:
- Movement of natural persons (Mode 4); and
- Research and development.
Panama’s request to Canada relates to:
- Maritime services;
- Financial services; and
- Tourism and Travel related services.
Under the WTO, Canadian exporters also benefit from: rules designed to increase transparency of regulations, broader market access for a range of service providers and investors, as well as frameworks for the negotiation of mutual recognition agreements and provisions respecting professional licensing and qualification requirements and procedures.
Panama is open to foreign participation in its financial sector. Generally, foreign financial service suppliers operate on equal terms with domestic firms with respect to their operations, establishment, and supervision. To date, no substantial concerns have been raised regarding market access and national treatment or the financial sector regulatory regime in Panama. However, some general concerns relating to transparency and efficiency of the legal system have been identified as areas for improvement.
Canadian financial service suppliers are supportive of efforts to negotiate an FTA with Panama that includes comprehensive financial services disciplines. A high-quality Financial Services Chapter similar to the one adopted in the NAFTA would provide Canadian financial institutions increased certainty and predictability; increased market access; increased transparency; national treatment; and Most Favoured Nation provisions.
In 2006, the stock of Canadian direct investment in Panama reached $111 million (Latest data available). Currently, major sectors of Canadian investment in Panama include financial services and the extractive sectors. Canadian companies have demonstrated an elevated interest in Panama as an investment destination. Activities relating to the Panama Canal expansion project are expected to further increase opportunities for Canadian investors, particularly in the areas of infrastructure and construction.
Investors from Panama have also recognized prospects that the Canadian market offers with the stock of Panamanian investment in Canada increasing 74% from $46 million in 2003 to $80 million in 2007.
Canada currently maintains a Foreign Investment Promotion and Protection Agreement (FIPA) with Panama which entered into force in 1998. An investment chapter in an FTA would build upon this agreement, and would be based on Canada’s current FIPA model. Typically, a FIPA or an investment chapter of an FTA includes provisions on non-discrimination (National Treatment and Most Favoured Nation treatment), minimum standard of treatment in accordance with principles of customary international law (e.g. fair and equitable treatment and full protection and security), protection from expropriation without fair, adequate and prompt compensation, the freedom to transfer capital related to an investment and improved investor-state dispute settlement provisions.
Recognizing the importance of mutually supportive trade and environment linkages, Canada is seeking to negotiate a principle based Environment chapter within an FTA, as well as a comprehensive parallel Agreement on the Environment.
The Environment Chapter would highlight the importance of environmental conservation and protection and the promotion of sustainable development. It would further list some of the key binding obligations set out in the parallel Agreement on the Environment.
Canada is seeking a parallel Agreement on the environment that would include key obligations that commit both countries to pursue high levels of environmental protection and to strive to develop and improve their environmental laws. It would also include obligations that commit the Parties to effectively enforce domestic environmental laws and to not derogate from those laws in order to encourage trade and investment. As a best practice to ensure that the likely significant environmental impacts of trade agreements on the Canadian environment are taken into consideration, Canada is conducting a strategic environmental assessment of the Canada-Panama FTA.
Recognizing that social progressshould go hand-in-hand with economic development, Canada is seeking to negotiate a comprehensive labour agreement. An FTA would also contain a chapter outlining labour objectives of this comprehensive parallel agreement. Canada’s approach is to negotiate labour provisions that include mutual commitments to respect internationally-recognized labour rights and principles, including those found in the International Labour Organization's 1998 Declaration on the Fundamental Principles and Rights at Work. It would also seek to commit the Parties to effectively enforce domestic labour laws. It would be accompanied by a technical cooperation program to help Panama meet the obligations found in the labour agreement.
An FTA would also seek to ensure that both Canada and Panama maintain measures to proscribe anti-competitive business conduct and take appropriate action, so that the benefits of trade and investment liberalization are not undermined. FTAs also contain procedures for the avoidance and settlement of disputes.
In addition, an FTA provides scope to discuss other areas such as telecommunications, electronic commerce and temporary entry of business people, which in turn can promote investment and innovation and support market access gains in many sectors of the economy.
Annex A - Canada-Panama Bilateral Merchandise Trade Flows
Trade in Merchandise – Key Canadian Non-Agricultural Exports to Panama ($CND)4
Paper for Writing (HS4802)
Motor vehicles for the transport of persons (HS8703)
Construction Machinery (HS8430)
Electrical Apparatus for Telephones (HS8517)
Track for Railways (HS7302)
Transmission Apparatus (HS8525)
Parts for Machinery (HS8531)
Total Non-Ag Exports
Trade in Merchandise – Key Canadian Agricultural Exports to Panama ($CND)
Leguminous Vegetables, dried and shelled (HS0713)
Frozen french fries (HS2004.10)
Meat and offal; salted, dried (HS0210)
Total AG exports
Source: Statistics Canada
Trade in Merchandise – Key Canadian Non-Agricultural Imports from Panama ($CND)
Oil from Petrol & Bitum Mineral
Fish, fresh or chilled (HS0302)
Fish fats and oils (HS1504)
Wood, Continuously Shaped (HS4409)
Glass Containers for packing (HS7010)
Molluscs & Aqua Invert Nesoi
Total Non-AG Imports
Source: Statistics Canada
Trade in merchandise – Key Canadian Agricultural Imports from Panama ($CND)
Bananas, fresh or dried (HS0803)
Melons and Papayas, fresh
Dates, figs and pineapples
Breads and pastries
Source: Statistics Canada
Panama’s Average applied Tariff
Canada’s Average Applied Tariff
Panama’s Average Tariff on Canada’s Key Dutiable Exports
Canada- Key Exports to Panama
Panama’s Average Applied Tariff
Motor Vehicles (HS8703)
Beef (HS 02, 16)
Pork (HS 02, 16)
Frozen french fries (HS 200410)
Pulses (HS 0713)
Malt (HS 110710)
Source: Panama’s 2008 Customs Tariff
Canada’s Average Most Favoured Nation (MFN) Tariff on Panama’s Key Dutiable Exports
Panama – Key Exports to Canada
Canada’s Average Applied Tariff
Electrical Machinery (HS8536)
Brooms and Brushes (HS9603)
Female Under garments (HS6212)
Source: Canada’s 2008 Customs Tariff
Exports and Imports (CAD thousands)
Source: Statistics Canada
Bilateral investment stocks (CAD millions)
Canadian direct investment in Panama
Data not available
Panama’s foreign direct investment in Canada
Source: Statistics Canada
 These tables reflect total Canadian exports to Panama, including both dutiable and non-dutiable exports as well as exports to Panama’s Colon Free Zone.
- Date Modified: