Canada-EU Trade Agreement update

Why does it fall to a former Irish MP and Member of the European Parliament to raise questions about the detrimental effect to Canadians of the proposed Canada-EU trade agreement? Isn't that the job of the Canadian government and the Canadian media? *rhetorical lol*

Under the guise of harmonizing regulations between provinces, TILMA enjoyed limited success in the west in jettisoning the provinces' and municipalities' right to "Buy Local" in favour of investor rights for international corps. That was a big sticking point for the EU going ahead with a Canada-EU trade deal - if European companies weren't allowed to bid as equals on Canadian government contracts for both goods and services and if the provinces refused to end the favouring of local or national providers of public-sector services, well then the EU wasn't very interested in pursuing a deal.

Luckily - for Harper and the Canadian Council of Chief Executives and the 100 transatlantic CEOs - the big "Buy American" scare showed up. In exchange for a one day opportunity window into the 4 or 5 billion dollars left in Obama's Buy American stimulous package - jobs! jobs! jobs! - Harper convinced the provinces to give up their local procurement rights.

Between the two deals - the throw-away Buy American 'exemption' and the proposed Canada-EU deal - we're caught in a pincer move to further corporatize public services.

Good thing there's one lone Irishman at the European parliament asking a few questions on our behalf then, eh?

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From SPP to TILMA to "Buy North American"

Harper and Stockwell Day want the provinces to allow US corporations to be allowed to bid on contracts to supply local infrastructure to Canadian municipalities, schools and hospitals. It is their hope, they say, that this "gesture" will convince the US to repeal the "Buy American" provisions in U.S. stimulus legislation.

Not likely it will, of course, but it does provide Harper with yet another opportunity to make concessions to the US that they haven't even asked for.
Currently, because provinces and municipalities are not bound by international trade laws, if they want to give the work to local Canadian joes, they are free to do so. According to Steve and Doris, this is a bad thing. An example given in the G&M is : "Ontario buys only Ontario food for its prisons."

News media reports on this are all assbackwards so I've translated part of one from the G&M for you :

The Canadian government Canadian Chamber of Commerce and the Canadian Council of Chief Executives are asking the provinces to join it in creating a new trade deal with the United States conceding even more sovereignty to the US.

Because the 1993 North American free-trade agreement does not include spending by local jurisdictions, contracts across North America involving everything from sewage systems to subway repairs are being awarded outside the framework of continental free trade to local joes.

Mr. Harper said, "Obviously, at a time when we're trying to keep borders open internationally consolidate the power of corporate oligarchy via deep integration, I do think that the proliferation of domestic preferences in subnational government procurement Canadian nationalism and the "Buy Local" movement is really problematic."

Trade Minister Stockwell Day has been canvassing the provinces on the idea of opening up local spending to free trade giving up their local authority, citing the consensus on EU free-trade talks.
The Europeans would not launch the talks until Canadian provinces committed to negotiating a deal that would allow their companies to bid for provincial and municipal contracts on an equal footing. Only Newfoundland refused stood up for Canada.

Day acknowledged the pending EU free trade talks would likely compel the provinces to commit to opening up their procurement sectors further corporate globalization.
"That's really opened the door to the discussion now that we're having with the provinces "Ha, ha, bet you didn't see that one coming," Mr. Day said yesterday.

See Monday's post for how easily we progressed from the SPP and TILMA to the new "Buy North American" proposal.
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Friday Update : The G&M is cranking out two or three headlines of support a day now.
Here's one : "Premiers rally behind Harper in fight against Buy American"
Yeah, two premiers "offered encouragement". Big whoop.
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Cellucci suggests huge aqueducts to carry Canadian water to US

Embassy Mag :

"Pointing out the imminent droughts in the southwestern United States caused by climate change, [former US Ambassador to Canada] Paul Cellucci raised the idea of constructing huge aqueducts to carry Canadian water south of the border.
He added that "to some extent, fresh water is a renewable resource," and that this opinion is shared by a recent report by the Montreal Economic Institute."

Yes, we already covered that Montreal Economic Institute report back here, Paul :

The chairman of the board of the Montreal Economic Institute, the 'independent non-profit' so keen on privatizing and exporting Canadian water, is Helene Desmarais. Helene Desmarais is married to Paul Desmarais Jr., co-CEO of Power Corporation of Canada and board member of GDF Suez, a multinational corporation that is a world leader in water privatization.

So. Not entirely arm's length then.

GDF Suez recently spun off its water equities into Suez Environnement Company, now Europe's 2nd largest private water management corp, in which it maintains a 35% controlling interest.

Meanwhile, we learn Paris is the latest city to take action to put water back into public hands, in Is the Water Privatization Trend Ending?, an interesting article about Suez, "corruption, fraudulent accounting practices, and high prices", and the EU's attempt "to impose the worldwide privatisation of water and other public services through the WTO".

Oh yeah, by all means bring on that Canada-EU Free Trade Agreement with its "deep economic integration negotiations", so enthusistically touted by French President Sarkozy, currently also president of the EU, as he awarded France's highest honour to Paul Desmarais Sr. ten days ago.

In 2006, Mr. Cellucci suggested "that water should be included in the same category as other natural resources exported as Canadian commodities on the open market," an opinion also shared by the Montreal Economic Institute.

Stick it, Paul.

SPP - Canada Election 08

Paul Manley, the guy who shot this footage of police provocateurs attempting to start a riot at the Stop the SPP protests in Montebello Quebec, is working on a documentary about the SPP.
In the meantime he has produced this short vid about all the questions not being asked in this election about issues related to the Security and Prosperity Partnership and Canada-EU Free Trade Ageement. An excellent short history.

Why isn't this an election issue?

Go Nanaimo Blog!

Will the Canada-EU Free Trade Agreement out-NAFTA NAFTA?

Be careful what you wish for.

Melvin J Howard, CEO of the Arizona-based Centurion Health Corporation, is in the process of filing a NAFTA Chapter 11 complaint against Canada's public healthcare system. Although our government has repeatedly assured us that Canadian healthcare is protected under NAFTA, recent tinkering with P-3s and privatization by the Quebec, BC, and Alberta governments has led Mr. Howard to believe he has a case, as argued on his blog :

1. Canada claims to have exemptions on their public health care system.
2. Canada has registered health insurance at the World Trade Organization as a financial service.
3. The World Trade Organization allows governments to exempt any service provided "in the exercise of government authority," as long as such services are not also available commercially.
4. Canadian private companies are already in the health business in Canada.
5. NAFTA dictates that Canadian, US, and Mexican businesses must have equal opportunities in all three countries.
6. Centurion has been barred from having the same investment opportunities private Canadian companies enjoy because it is based in the US.
7. Enter Chapter 11.

Mr. Howard is claiming $4 million in expenses and an additional $150 million in lost profit after a failed attempt to invest in the BC health care system. Although he has put his claim on hold until after the Canadian election, he states his intention to proceed "after the new Government is installed" if private negotiations with the federal government do not satify him.


Yesterday Red Tory was rather amused at my post on Harper's insistence on keeping his upcoming secret squirrel Canada-EU Free Trade Agreement negotiations out of the public eye till after the election. A "yawning non-story" and a "conspiracy theory", he said, despite the fact that the EU negotiators have already pressured Canada into accepting, as a precondition of their participation, a stipulation "which would require that Canadian governments allow European companies to bid as equals on government contracts for both goods and services and end the favouring of local or national providers of public-sector services."

I'm sure you can see where I'm going with this.
After, say, a company in Liechtenstein wins the bid to run the CBC on a for-profit basis, how long do you think it will take Fox News to file a Chapter 11 complaint at the WTO? An extreme and unlikely scenario to be sure, but I submit it to all of you who take comfort in the idea that a free trade agreement with the EU would naturally provide a much-needed corrective balance to NAFTA and our trade dependence on the U.S. Under the corporate-friendly conditions Canada has unfortunately already agreed to so far in the EU talks, I see no assurance that the balance will necessarily tip in our favour.

And Harper doesn't want to talk about it.

Canada to integrate with the EU?

"Welcome to the official Web site of the Mission of Canada to the European Union", says the Government of Canada Canada-EU website.

Canada-EU trade proposal rivals scope of NAFTA
"Canadian and European officials say they plan to begin negotiating a massive agreement to integrate Canada's economy with the 27 nations of the European Union, with preliminary talks to be launched at an Oct. 17 summit in Montreal three days after the federal election."

"an effort to begin what a senior EU official involved in the talks described in an interview yesterday as “deep economic integration negotiations.”

"The two governments have completed a detailed study of the proposed agreement that will be unveiled shortly after the election, should the Conservatives win."

Deep economic integration? Should the Conservatives win?
How come we haven't heard about this before?

"European officials said Prime Minister Stephen Harper decided not to release until after the election..."

Yes, let's not risk having a summit on deep integration spoil the election.

"Because of the election, Mr. Harper appears to have decided not to unveil a full text of the proposed agreement, but instead to use the summit to inaugurate the trade talks with the launch of a “scoping exercise” that will quickly set the goals of the pact and lead to formal “comprehensive trade and investment negotiations” to begin in “early 2009”, according to communications between senior Canadian and European officials examined by The Globe and Mail."

You know, maybe this could be a good thing - diversify and increase our markets and all that.

"Proponents, including all of Canada's major business-lobby organizations, are in favour of the deal .."

I see. So the electorate is not to be included in the information loop yet, but the Canadian Council of Chief Executives has already given its stamp of approval. If it's anything like the SPP, I'll bet they wrote it, and if I go over to their website, they'll be bragging about it already.

"The proposed pact would far exceed the scope of older agreements such as NAFTA by encompassing not only unrestricted trade in goods, services and investment and the removal of tariffs, but also the free movement of skilled people and an open market in government services and procurement – which would require that Canadian governments allow European companies to bid as equals on government contracts for both goods and services and end the favouring of local or national providers of public-sector services."

"Ottawa officials say they have overcome what they see as their biggest hurdle: the resistance of provincial governments to an agreement that would force them to allow European corporations to provide their government services, if their bids are the lowest.

So it's a Canada-EU TILMA then.
But why now?

"With the breakdown of World Trade Organization talks in July, European officials have become much more interested in opening a bilateral trade and economic integration deal with North America. A pact with the United States would be politically impossible in Europe, senior European Commission officials said."

Yes, you can see why Harper might not want this to come up now, just before the election.
The theme of this Sunday's Cross Country Check Up on CBC is the economy.
Their phone number is : 1-888-416-8333.

I think more people should know about this before the election whether Steve likes it or not.