Fate of Canada-UK trade rests on an agreement between the two countries

Parliament recesses until late January without discussing legislation to implement the agreement.Ottawa—Uncertainty about the Canada-UK trade continuity agreement looms in the wake of the government putting a bill to approve it before Parliament on Dec. 9, and then not pushing for its passage before the legislators went on a six-week Christmas break.MPs are to return on Jan. 25 and exporters to the UK, Canada's fifth largest overseas market, have to hope nothing goes wrong as Britain exits the European Union Dec. 31. Trade Minister Mary Ng said Canada is working with the UK to make sure “there are no disruptions, minimal disruptions to Canadian businesses. Today, what Canadian businesses don't have to do is prepare for a what-if plan, a contingency plan.”The Canadian Agri-Food Trade Alliance, the Canadian Chamber of Commerce, the Business Council and the Canadian Federation of Independent Business urged the government to pass the legislation before Jan. 1. “We call on Parliamentarians across party lines to avoid trade disruptions between Canada and the U.K. and swiftly review the interim Canada-U.K. Trade Continuity Agreement. In what remains a challenging time for the global economic recovery, Canadian businesses need to maintain existing market access to the U.K. as our largest trading partner in Europe.“As a trading nation, our road to economic recovery depends on trade. That is why we must implement this interim agreement without delay and swiftly act to ensure that mechanisms are in place January 1, 2020 to avoid trade disruptions.”Ng said, “I want to assure Canadian businesses that we are going to work very hard to make sure that there is a smooth transition for them and that they don't experience disruptions as they export into the United Kingdom.”Canada and the UK “are looking at options to be sure that businesses will not experience that disruption,” she said. Businesses “can expect to experience a smooth transition as the United Kingdom leaves the European Union.”The agreement contains most of the provisions of the existing European free trade deal while both countries “consider the arrangements they want to have in place permanently.” It includes a side letter of cheese to give British cheesemakers some tariff-free access to Canada's market to the end of 2023 that they were set to lose after Brexit. No other market access to Canada's supply-managed agricultural products was granted in the agreement.Ng said officials are looking at some options that they will be sharing with businesses as soon as possible. Both countries have committed to negotiating a more permanent, comprehensive trade deal in the new year.There is no sunset date for the agreement, but the text of the deal suggests the two parties intend to conclude their bilateral negotiation by 2024.Alex Binkley is a freelance journalist and writes for domestic and international publications about agriculture, food and transportation issues. He's also the author of two science fiction novels with more in the works.