Ecuador and Canada Sign Free Trade Agreement Covering 99.6% of Ecuadorian Exports
Ecuador and Canada signed a free trade agreement in Ottawa on Friday that will let 99.6% of Ecuador's exportable goods enter the Canadian market tariff-free once it takes effect. More than 600 products, including bananas, cacao and shrimp, gain duty-free access, while 227 sensitive agricultural lines keep protection.
Ecuador and Canada signed a Free Trade Agreement in Ottawa on Friday that will allow almost all of the South American country's exportable supply to enter the Canadian market free of tariffs once it comes into force, according to a statement from Ecuador's government reported by Reuters.
Duty-free access for more than 600 products
The Ministry of Production and Foreign Trade said the deal will let 99.6% of Ecuadorian exportable supply enter Canada at a 0% tariff once it takes effect. More than 600 Ecuadorian products, including bananas, cacao, shrimp, broccoli, tropical fruits and frozen vegetables, will obtain tariff-free access.
The ministry described the agreement as a milestone in trade policy that will strengthen the country's competitiveness. The deal also opens opportunities for sectors that currently face tariffs, such as flowers, chocolates, tires, footwear and cosmetics.
Matching conditions with Colombia and Peru
According to Reuters, the new terms put Ecuadorian goods on equal footing with regional neighbors Colombia and Peru, matching the preferential conditions those countries already hold for access to the Canadian market. For exporters of core commodities such as bananas, cacao and shrimp, closing that gap removes a competitive disadvantage they faced against Andean rivals.
Protection for 227 sensitive agricultural lines
The ministry said the agreement protects domestic production through special treatment for the country's most sensitive sectors. It excludes or establishes protection mechanisms for 227 strategic agricultural products, safeguarding activities tied to rice, corn, milk, meats, sugar and other lines.
The agreement was signed in Ottawa. It will enter into force at a later date, and the tariff eliminations described by the ministry apply once that step is completed. The government statement did not specify a timeline for ratification or the date on which the agreement will take effect.
