Canada calls for acceleration of tariff cuts
Canada calls for acceleration of tariff cuts
JAKARTA (JP): Canada yesterday urged fellow APEC members to
accelerate the implementation of tariff cuts based on the Uruguay
Round agreement.
Minister for International Trade Roy MacLaren said that
harmonization initiatives on a range of products might be a
possibility for a start.
"At the same time, we must work actively and cooperatively
together to build on the General Agreement on Trade in Services
to further liberalize financial services," he said at a breakfast
gathering with Canadian businessmen at the Meridien Hotel.
He was elaborating on Canada's position on "when and in what
ways" the trade liberalization process of the Asia Pacific
Economic Cooperation forum should begin.
Trade liberalization was one of the issues discussed at the
APEC ministerial conference which concluded on Saturday.
MacLaren said APEC could consider pursuing the elimination of
export subsidies on agricultural trade in the short term.
"We should consider how we in APEC could remain at the
forefront of investment liberalization, moving progressively from
a set of non-binding principles to possibly an agreed set of
rules with appropriate dispute settlement provisions," he said at
the gathering attended by Indonesia's Minister of Transportation
Haryanto Dhanutirto and Minister of Tourism, Post and
Telecommunications Joop Ave and Canada's Ambassador to Indonesia
Lawrence T. Dickenson.
On Friday, the APEC meeting endorsed a 12-point non-binding
investment code which members have hailed as a major initial step
towards greater liberalization.
MacLaren stressed that more effort is needed to facilitate
international private investment and to reduce uncertainties and
transaction costs of investment and investment-related trade.
The gathering was jointly hosted by the Indonesia-Canada
Business Council (ICBC), the Canadian Business Association (CBA)
and the Canada-Indonesia Business Council (C-IBC).
Lastly, he said, APEC could advance on standards and
conformance.
"We might want to select one or two sectors, such as
telecommunications and building standards, with the objective of
reducing the negative trade and investment effects of differing
standards within the region," he said.
MacLaren cited Indonesia's recent reduction of tariffs on 739
items and its lifting of surcharges on a further 108 products as
a shining example of liberalization efforts.
He also praised Indonesia's leadership role in pushing the
open trade agenda forward.
"It has been nothing less than the catalyst for freer trade in
the region and, possibly, the world," he said.
Momentum
Minister Joop Ave said in his remarks at the gathering that
Canada needs to increase and diversify its investment in
Indonesia.
Asked by reporters to comment about this after the gathering,
Minister MacLaren said that Canada's trade with Indonesia has
grown rapidly to almost $1 billion this year.
On the trade liberalization process in APEC, MacLaren said
that setting a deadline for regional free trade in the region is
not that important compared to the momentum of cooperation.
"What is important is that the countries of APEC have
agreed ... When we get started on some negotiations then we will
see a momentum build up," he said.
He said it was a typical feature of free trade associations,
whether in Europe or North America, that momentum sets in and
continues on its own accord. (hbk)