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Canadian trade minister says it's up to Europe to save trade agreement

The Canadian trade deal CETA, which was meant to be signed by EU members next Thursday, is in jeopardy after Belgian region refused to agree.

European Union Parliament President Martin Schultz.
European Union Parliament President Martin Schultz.
Image: Olivier Matthys

TENSIONS BETWEEN CANADA and the EU are increasing today, after Canada said it was Europe’s “job” to save a trade pact put in doubt by a Belgian region’s refusal to sign on.

Chrystia Freeland, the Canadian trade minister, was firm after leaving last-ditch talks with European parliament head Martin Schulz to salvage the proposed accord that is seven years in the making.

“Now the ball is in Europe’s court and it’s time for Europe to finish doing its job,” she said, adding that she was returning to Toronto today.

“I very much hope that I will be able to return here in just a few days to Europe with my prime minister and that we will be able to… sign this agreement with Europe on 27 October.”

Schulz also planned an 11th-hour huddle with Paul Magnette, head of Wallonia’s socialist government which is blocking the agreement between Ottawa and the 28-nation European Union.

The Brussels meetings are aimed at “reviving CETA talks. We can’t stop at the last mile,” Schulz wrote on Twitter, referring to the agreement’s name.

CETA would link the EU market of 500 million people with the world’s 10th biggest economy.

The accord was initially scheduled to be signed next Thursday with Prime Minister Justin Trudeau in Brussels – and Schulz said that that date remained in the diary.

“The problems are on the Europeans’ table and we have to try to resolve them,” he said. “This meeting was very constructive and will perhaps be decisive.

“I remain optimistic.”

Canada blasted the European Union yesterday as incapable of signing international agreements, as talks to persuade Wallonia to sign up to the huge trade deal broke down.

Freeland’s comments fed into warnings that the EU, beset by rising anti-globalisation sentiment, may never be able to land any other deals including one with the United States.

“It seems obvious to me, to Canada, that the European Union is incapable now of having an international agreement, even with a country with such European values as Canada, and even with a country as kind and patient as Canada,” Freeland said yesterday.

‘Democracy takes time’

Belgium EU Socialists Conference Belgian Minister for Climate and Energy Paul Magnette, who is also head of Wallonia’s socialist government which is blocking the agreement between Ottawa and the 28-nation European Union. Source: AP/Press Association Images

Wallonia’s government chief Magnette told news agency AFP yesterday that his Belgian region needed more time but that there was still scope for an agreement.

“Democracy takes a little time, Magnette said. “I wasn’t asking for months, but you can’t carry out a parliamentary process in two days.”

The Walloon parliament earlier this week refused to let the federal Belgian government approve the deal between Canada and the European Union, which needs to be backed by all 28 EU member states.

Belgium has seven elected assemblies: the geographic regions of Wallonia, Flanders and Brussels; the three linguistic communities; as well as a parliament and senate at the federal level.

EU trade commissioner Cecilia Malmstroem said she was still hopeful a deal could be reached.

“We have engaged wholeheartedly with Wallonia the last days. Truly sad talks have been halted. Still hope to find solution in order to sign CETA,” the Swede said on Twitter.

The Comprehensive Economic and Trade Agreement (CETA) with Canada is opposed by anti-globalisation groups who say it is a test model to push through an even more controversial EU-US trade deal called TTIP, talks on which have also stalled.

There have been protests against both deals in several cities.

Magnette yesterday pointed in particular to a highly controversial investment protection scheme buried in the deal that has drawn the fury of activists, and which is also involved in TTIP.

Wallonia enjoyed support from activist groups like Greenpeace which charged that the deal risked satisfying “corporate greed” and trampling on people’s rights and health standards on both sides of the Atlantic.

British Prime Minister Theresa May yesterday dismissed warnings that the EU-Canada deal raised serious questions about whether London could strike a similar agreement after Brexit.

© AFP 2016.

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