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TPD > Canada-Chile > Joint Statement 1999

Canada-Chile FTA-Related Documents

Canada-Chile Free Trade Agreement Commission

 Second Meeting
Toronto, Canada
November 4, 1999

Joint Statement of the Ministers


November 4, 1999

Following the 2nd meeting of the Canada-Chile Free Trade Agreement Commission, Canada's Minister for International Trade, Pierre S. Pettigrew, and Chile's Minister of Foreign Affairs Juan Gabriel Vald�s are pleased to release this joint statement which summarizes the overall results.


1. We are pleased to hold the 2nd meeting of the Canada-Chile Free Trade Agreement (CCFTA) Free Trade Commission here in Toronto. We believe that the success of the dynamic and integrated partnership between our two countries, as developed and facilitated under the CCFTA, not only strengthens our bilateral relations but helps to build momentum for further trade liberalization, particularly in this hemisphere.

2. The Commission meeting was an opportunity to reaffirm our commitment to implementing fully the provisions of the CCFTA. We discussed our views and cooperative efforts on other regional and multilateral trade liberalization issues.

3. We reaffirmed our endorsement of the CCFTA as the cornerstone of the Canada-Chile trade and economic relationship. The establishment of a rules-based regime under the CCFTA has increased predictability and transparency for business and investors, and facilitated the bilateral flow of goods and services and investment.

4. Upon the entry into force of this Agreement on July 5, 1997, tariffs were immediately eliminated on products which make up the majority of our two-way trade. For goods where the tariff is being phased out over time, we note that the fourth scheduled round of tariff cuts will take place on January 1, 2000.

5. It is our pleasure to announce that we have agreed today to amend the CCFTA with the intention of accelerating the elimination of tariffs for a range of products. Under this agreement, approximately an additional $25 million in annual two way trade is expected to become duty-free on January 1, 2000 once both Canada and Chile complete their respective implementing procedures. Details on the products concerned are summarized in the Annex to this statement.

6. We welcomed the ratification of the Canada-Chile Convention on the Avoidance of Double Taxation and the Prevention of Fiscal Evasion (DTA) by our two countries and look forward to its implementation beginning January 1, 2000. This Convention is the first of Chile's new generation of tax treaties and its implementation will fulfill a central commitment in the CCFTA (Annex O-03.1). We are confident that this Convention will lead to a more stable and fair taxation regime, which will facilitate the smooth flow of commerce for individuals and business and contribute to the growth in trade and investment between our two countries.

7. We reviewed the progress realized in implementing the specific provisions of the CCFTA. We agreed on a number of actions in relation to the supervision of the implementation of this Agreement and in oversight of its further elaboration, which are summarized in the Annex to this statement.

8. We welcomed the progress that has been achieved under the labour and environmental side agreements concluded in parallel with the CCFTA. We noted the constructive partnership between Canada and Chile on labour issues that has been facilitated and promoted under the Canada-Chile Agreement on Labour Cooperation. We agreed that the significant linkages developed and collaborative activities undertaken between our countries - in areas such as industrial relations law and practice and women and work - demonstrates our commitment to cooperating on labour-related matters. We reviewed the achievements realized under the Canada-Chile Agreement on Environmental Cooperation (CCAEC) as the institutional framework for discussion and cooperation on environment-related issues between our two countries. We noted the meeting held on November 1 between both trade and environment officials that explored informally the interface between the two issues and the decision to propose to the CCAEC Council the creation of a roundtable for discussing specific trade and environment issues.

9. We were pleased to note the continuing progress of further trade liberalization efforts in regional and multilateral fora. We reaffirmed our commitment to work together towards a Free Trade Area of the Americas and the creation of the world's largest free trade area, with 800 million people and a combined GDP of nearly $US 11 trillion and we look forward to the successful conclusion of the Ministerial meeting being concurrently held here today. The FTAA offers an historic opportunity to build on established free trade ties within the hemisphere and we note the positive model that the CCFTA provides in expanding trade and investment links between hemispheric trade partners. We welcomed the meeting of the Americas Business Forum held here November 1-3 and agreed that the Forum reflects the heightened level of interest and participation in inter-American commerce from businesses within the hemisphere.

10. We agreed on the importance of sustaining momentum for further multilateral trade liberalization and look forward to launching a new round of comprehensive negotiations at the World Trade Organization (WTO) Ministerial meeting in Seattle November 30 - December 3. We discussed our general objectives for the new round and expressed our support for broad-based negotiations that will further open global markets, expand the scope of trade rules, strengthen the institutional workings of the WTO, and address public concerns about the social dimensions of trade. In particular, we state our commitment to support the elimination of export subsidies in agriculture in the new round of trade negotiations. We also reaffirmed our commitments to transparency and openness in the negotiations.



In accordance with its mandate to supervise the implementation and further elaboration of the Canada-Chile Free Trade Agreement pursuant to Article N-01 of the Agreement, the 2nd meeting of the Free Trade Commission :

1. took note of the progress achieved under the 8 Committees and Working Groups established under the Agreement and in accordance to the mandates provided in the CCFTA and welcomed the continued cooperation between officials in working together to meet the shared goal of further trade liberalization between our two countries;

2. agreed to accelerate the elimination of tariffs on the following products: turkey poults, turkey hatching eggs, feed peas, fresh or chilled tomatoes, peaches, plums, sloes, certain colour pigments, certain articles of plastic and a number of textile products; and confirmed our intention to take the necessary steps to complete our respective domestic implementing procedures with the objective that these goods shall become free of customs duties effective January 1, 2000;

3. took note of the progress attained in the Committee on Telecommunications Standards in establishing mutually compatible procedures for recognition of test reports in both countries as called for in Article I-04 of the Agreement;

4. welcomed the completion and dissemination of the Chilean public explanatory document on temporary entry procedures of the Agreement, as called for in Article K-04.1(b) and noted Chilean cooperation in lowering visa processing fees from $US 650 to $US 100;

5. encouraged Canadian and Chilean professional service providers, particularly engineers, to continue work on developing mutually acceptable standards and criteria for licensing and certification of professionals pursuant to Annex H-10.5;

6. welcomed the completion of the rules of procedure for dispute settlement called for under Article N-12;

7. instructed officials to complete the roster of panellists for dispute settlement purposes pursuant to Article N-09 of the Agreement;

8. agreed that Chile would host the next regular meeting of the Commission in 2000.

Source: International Trade Canada