This week’s announcement by Ecuador and Canada about the start of negotiations for March 2024 created good expectations in the production sectors, especially the export sector, and also on the side of Canadian diplomacy. With that, the Canadian ambassador to Ecuador, Stephen Potter, pointed out that Canada’s Minister of International Trade, Mary Ng, informed the Commons (Parliament) of her country about the Government’s intention to sign the Comprehensive Free Trade Agreement with Ecuador. This happened last December 13.

“Following this official notification, the Canadian Parliament has 90 calendar days to provide the Government with comments on the planned negotiations. After that period, the two governments can begin formal negotiations,” Potter explained in a statement from the Canadian Embassy in Ecuador. Prior to this announcement, on November 30, Ecuador’s Minister of Production, Foreign Trade, Investments and Fisheries, Sonsoles García, and Canada’s Ambassador to Ecuador, Stephen Potter, met to discuss the progress of negotiations on a trade agreement between Ecuador and Canada.

Trade deals: Canada announces it will be ready to start negotiations with Ecuador in 90 days

The diplomat recalled that this next step towards a free trade agreement comes after the successful completion of exploratory negotiations earlier this year. These exploratory talks were agreed in November 2022 in Mexico between Minister Mary Ng and former Minister Julio José Prado, and began on January 6, 2023 when Canada announced an internal consultation process.

The announcement of the start of negotiations next March is “good news for Ecuador and Canada, and for the prospect of further accelerated growth in trade and investment between our countries,” Potter said.

According to figures shared by the Ecuadorian Federation of Exporters (Fedexpor), in 2022 non-oil trade between Canada and Ecuador left an unfavorable balance of $118 million, as imports outweighed exports. Exports reached $297 million in 2022, an increase of 57% compared to 2021.

Meanwhile, between January and October 2023, non-oil exports rose by 8% and non-oil imports by 12%, compared to the same period last year.

More investment and Ecuadorian products in Canadian supermarkets

Potter assured that the agreement, if finalized, will mean greater investment flows, greater economic growth and more and better jobs in both countries, as well as quality Ecuadorian products on the shelves of Canadian supermarkets.

Currently, the Canadian market receives more than 220 Ecuadorian export products, among the main ones are minerals and metals, cocoa beans, flowers, shrimp and cocoa derivatives; where 80% of non-oil exports are concentrated.

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Meanwhile, among the main imported products are cereals, fertilizers, vegetables, machinery and mechanical devices, and paper, cardboard and their products, which make up 89% of non-oil imports.

Meanwhile, regarding the future negotiation process between the two countries, Ambassador Potter assured that the negotiation teams of Ecuador and Canada are willing to move forward and will plan and exchange information in the coming months to guarantee an effective negotiation process.