Opportunities and Benefits of CETA for Canada’s Agriculture and Agri-Food Exporters
Why export to the EU?
- Significant Market: The EU is the world’s largest importer of agriculture and agri-food products – $179 billion in 2018, or 16% of the world’s total agriculture and agri-food imports.
- Realizable Opportunities: The EU is Canada’s fourth-largest export market for agriculture and agri-food, with opportunities for further growth.
How does CETA benefit Canadian agriculture and agri-food exporters?
- CETA offers new opportunities to strengthen Canada’s relationship with the EU in this sector.
- Under CETA, almost 94 percent of EU tariff lines have become duty-free.
- Canada gains a preferential trade advantage with the EU that many competitors won’t have.
- For many processed foods, current EU tariffs are complex and trade-restrictive. CETA immediately eliminated all tariffs on processed foods, with the exception of sweet corn and refined sugar.
|Under CETA, almost 94% of EU agriculture lines Table Note * have become duty-free:||Many EU lines Table Note *will be |
progressively phased out over
|7 Years(January 1, 2024):|
|Tariff Rate Quota Table Note * (TRQ) established for…|
CETA rules of origin matter
- Exporters must ensure their product meets the applicable rules of origin (RoO) to benefit from the preferential tariff that CETA provides, these include:
- products that are “wholly obtained” in Canada (grown and harvested), such as grains, fruits and vegetables are originating.
- products that are produced in Canada using non-originating materials (e.g. materials imported from the US), are originating, providing they satisfy the applicable product-specific rule of origin (PSRO).
- Limited quantities of certain agri-food products processed in Canada using imported materials (from countries other than the EU) can qualify for preferential treatment in the EU, including:
- dog and cat food
- processed foods
- high-sugar containing products
- sugar confectionery and chocolate preparations
Other non-CETA related aspects to keep in mind when exporting agriculture and agri-food products to the EU
- Products for export to the EU must be produced in a federally registered establishment and for meat products an EU approved facility.
- For the export of most products, a CFIA export certificate and/or a CFIA health certificate will need to accompany the shipment.
- If a product is genetically modified (GM) or contains ingredients that are GM, the GM trait must be authorized in the EU and the product must be labelled accordingly.
- There may also be specific labelling requirements at the Member State level or for specific products being sold in the EU market.
|Top 5 Suppliers of Agriculture and Agri-food Products to the EU||% of Import Market Share|
Source: Eurostat (2018)
Under CETA, Canadian exporters of agriculture and agri-food products can now enjoy the advantages created from the agreement over competitors based in countries that do not have a preferential trade agreement in force with the EU.
For more detail on how CETA benefits your company, contact a Trade Commissioner today.
- Date Modified: