CBC News / Fri Dec 15, 2000
GENEVA - The World Trade Organization said Friday that a series of trade measures block imports from developing countries and make goods more expensive for Canadians.
In its report, the WTO applauded Canada's trade and investment policy as "among the world's most transparent and liberal." But the world trade body says the country should extend the preferential treatment the U.S. receives to other countries.
According to the report, "Extending such preferences ... would both enhance welfare in Canada itself and improve market access to developing and other partners."
The report pointed out that Canada applies particularly high tariffs to several key imports from developing countries including sugar, textiles, clothing, footwear and vegetables. Tariffs on dairy and poultry imports are as high as 300 per cent.
The study also said that tariff quotas are "perpetuating inefficiencies at the cost of Canadian consumers and deny trade opportunities to more efficient foreign producers." And "buy local" restrictions also deny taxpayers the best value.
About 86 per cent of Canadian exports go to the U.S. Because of its close ties to the U.S., Canada has benefited from America's economic boom. But Canada will feel the pinch of a slowdown in the U.S. next year.
While at a meeting to discuss the report, U.S. Ambassador Rita Hayes said the U.S. values its strong ties with Canada. The U.S.-Canada trading relationship is worth $1 billion US per day.
For its part, Canada said it would continue to support increased free trade because it "creates better jobs, increases access to goods, services and technology at competitive prices, and generates revenues to support social programs.":
