The Canada–Costa Rica Free Trade Agreement (CCRFTA) is a free trade agreement between Costa Rica and Canada. It was signed on April 23, 2001 in Ottawa, Ontario, and came into effect on November 1, 2002. It is the first bilateral free trade agreement to include innovative stand-alone procedures on trade. 87% of all tariffs on agricultural products were eliminated, either immediately, or over a 7-14 year period. Tariffs on many other industries like automotive goods and goods were also eliminated. Several sectors of agriculture were excluded from the treaty; eggs, dairy, poultry and beef being excluded, and Costa Rica decided to leave potatoes out of the FTA. Both nations agreed to use the World Trade Organization rules for sanitary and phytosanitary issues (known as the SPS agreement).[1]

The main goals of the FTA include:

  • The establishment of free trade
  • The creation of opportunities for economic development
  • The elimination of trade barriers
  • The promotion of fair competition

In the first 3 years of the agreement, trade increased by 36% (from $324 million to $440 million).[2]

It has been proposed that the Free Trade Area of the Americas be modeled after the CCRFTA.[3]

History of trade balances

Trade Type2010201120122013201420152016
Total Canadian Exports99,930160,756185,463114,618152,066162,704144,362
Total Canadian Imports436,057475,705513,405590,949578,028503,119508,510
Trade Balance-336,127-314,949-327,942-476,331-425,962-340,415-364,148

[4]

Amounts in thousands of Canadian dollars.

Negotiations for modernization

There are a number of ongoing negotiations for modernization of the agreement.

References

  1. ↑ "AAFC - Trade Agreements - Canada - Costa Rica Free Trade Agreement (CCRFTA)". Archived from the original on 2016-03-03. Retrieved 2008-05-27.
  2. ↑ International Trade Law - World Trade Organization (WTO)
  3. ↑ "Competition Bureau - Canada - Costa Rica Agreement Could Provide Framework for Competition Policy in FTAA". Archived from the original on 2008-09-08. Retrieved 2008-05-27.
  4. ↑ "Report - Trade Data Online - Import, Export and Investment - Innovation, Science and Economic Development Canada".
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