Britain has decided to suspend talks on a free trade deal with Canada, marking a setback in the negotiations that commenced in March 2022.
The primary point of contention revolves around the access to agricultural markets, leaving both nations dissatisfied with the lack of progress.
Canadian Trade Minister Mary Ng’s spokesperson expressed disappointment, citing the UK’s unwillingness to address market access barriers for the Canadian agriculture industry as a hindrance to reaching a mutual agreement.
This pause in negotiations comes at a time when both countries are actively seeking new trade partnerships following Britain’s departure from the European Union.
One major concern raised by Canadian farmers is the restricted entry to the British beef market due to regulations prohibiting the use of hormones.
The British government, responding to the suspension, asserted its right to halt negotiations with any country if progress is not being made, according to a statement posted on X.
Before the UK’s exit from the EU trading sphere in 2020, Canada ensured the continuity of free trade by rolling over existing arrangements. However, a specific agreement related to cheese access has expired, leading to blame directed at Britain for the lack of an extension deal.
A Canadian government official, who chose to remain anonymous, pointed out that Britain’s delayed action in negotiations and expectations for concessions have contributed to the current impasse. Despite the setback, both sides have expressed readiness to resume talks.
Official data reveals that total bilateral trade in goods and services between the UK and Canada amounted to £25.9 billion ($32.9 billion) in the year ending June 30, 2023, with Canada being the 18th largest trading partner for Britain. Conversely, Canadian data indicates that bilateral trade with Britain accounted for only 2.7% of the total in 2022.
