1 / 109

Canada-Ukraine Free Trade Agreement Forum.

Canada-Ukraine Free Trade Agreement Forum. Hosted by Ukrainian Canadian Professional and Business Association of Ottawa. Introduction. This is a one day forum to discuss various aspects of the Canada Ukraine Trade Agreement. Today’s presenters:. Michael Kostiuk Bio.

kidd
Download Presentation

Canada-Ukraine Free Trade Agreement Forum.

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. UCPBA Ottawa. June 10, 2017.

  2. UCPBA Ottawa. June 10, 2017.

  3. Canada-Ukraine Free Trade Agreement Forum. Hosted by Ukrainian Canadian Professional and Business Association of Ottawa UCPBA Ottawa. June 10, 2017.

  4. Introduction • This is a one day forum to discuss various aspects of the Canada Ukraine Trade Agreement. • Today’s presenters: UCPBA Ottawa. June 10, 2017.

  5. Michael Kostiuk Bio • Graduate of Ukrainian Language and Cultural Course. International School of Ukrainian Studies. Kyiv, Ukraine. July-August, 1991 • Bachelor of Arts Slavic Studies. University of Ottawa. 1994. • Bachelor of Arts, Honours Geography. University of Ottawa. 1996. • Master of Arts Geography. Carleton University. 2001. • Diploma in International Trade. FITT 2002. • Bachelor of Education. University of Ottawa, 2006 UCPBA Ottawa. June 10, 2017.

  6. Michael Kostiuk Bio • CITP. Certified International Trade Consultant. • Internet Project in Ukraine in co-operation with the Canadian Society for International Health and the United Nations Internet Project for Ukraine. Designed and managed a project to purchase computer equipment and modems for 7 Health and Medical organizations in Kyiv, Lviv and Odessa. Also wrote a training manual that was translated into Ukrainian. The Health Staff was also trained to use the Internet for research and communication purposes. January to March 1995. • Presentation and Workshop on Recent Developments on the Use of the Internet in Post Soviet Ukraine. (1996). Washington Group Leadership Conference. Key Bridge Marriott, Arlington, Virginia. • Election Observation mission sin Ukraine in 2004, 2010, 2012, 2014. Dnipropetrovsk, Mykolayiv, & Berehova, Transcarpattya region of Ukraine . UCPBA Ottawa. June 10, 2017.

  7. Ron Sorobey Bio. Born in 1951 in Winnipeg.  Studied at the University of Manitoba in the Faculty of Political Science and received a BA Honours and MA.  Came to Ottawa in 1975.  Worked for the Department of Customs and Excise (later named the Canada Border Services Agency) from May 1975 to September 2010.  Ron specified in tariff classification, international customs cooperation, special import measures, and customs related litigation. UCPBA Ottawa. June 10, 2017.

  8. Ron Sorobey Bio. In December 2014 and February 2010 was an election observer to the Ukrainian Presidential Elections.  He is an active member of the Ukrainian-Canadian Community in Ottawa.  He has been to the UCPBA of Ottawa Executive since 1986 and has held the positions of President, Vice-President, Secretary and Board Member. Ron is currently the Treasurer.  Ron is currently the Community Producer of the Ukrainian Profile Television Program. UCPBA Ottawa. June 10, 2017.

  9. Dr. Michael Mackay Bio Former lecturer in politics at the National University of Kyiv-Mohyla Academy, and the director of an Internet access project for the university. The UCPBA Ottawa gave a grant to support my project in 1994. Returned to Ukraine as an election observer: a short-term one in 2004 and 2010, and a long-term one in 2014. Attended Carleton University, the University of Toronto, and the London School of Economics and Political Science, and holds a Doctorate in political philosophy. UCPBA Ottawa. June 10, 2017.

  10. Dr. Michael Mackay Bio • Currently works as a consultant and instructor for an Ottawa-based IT company that was recently purchased by Avnet, a US-based Fortune 500 company. For work, he travels extensively in Canada and the US. UCPBA Ottawa. June 10, 2017.

  11. Topics of Discussion Morning: Session 1. Overview of Canada Ukraine Free Trade Agreement. Chair: Michael Kostiuk Session 2. Financing International Trade. Chair Ron UCPBA Ottawa. June 10, 2017.

  12. Afternoon Afternoon session 1. Industry Cooperation and Partnering in International Trade . This Roundtable will highlight key areas where Canadian and Ukrainian Business can cooperate to increase trade and engage in joint Ventures. Chair: Michael Kostiuk Afternoon Session 2. Tourism, The forgotten element of Trade. This last session will involve a round table discussion on the importance of tourism in regard to International Trade. Chair: Michael Kostiuk UCPBA Ottawa. June 10, 2017.

  13. Afternoon • Afternoon Session 3. Is Ukraine ready for Trade with Canada? Dr Michael Mackay, formerly a professor at the Kyiv Mohyla Academy, will lead and round table discussion on the different political and Business climate in Ukraine today as compared with the 1990s. UCPBA Ottawa. June 10, 2017.

  14. Morning Session 1. Canada-Ukraine Free Trade Agreement • The Canada-Ukraine Free Trade Agreement (CUFTA) signed on July 11, 2016, represents an important milestone in the Canada–Ukraine bilateral relationship. UCPBA Ottawa. June 10, 2017.

  15. In addition to generating commercial benefits for Canadian businesses, CUFTA will support the economic reform and development efforts of the Government of Ukraine, strengthen the Canada- Ukraine partnership for peace and prosperity, and help pave the way for long-term security, stability, and broad-based economic development in Ukraine. UCPBA Ottawa. June 10, 2017.

  16. Although there was an upsurge in trade and investment in the early 1990s following Ukraine’s independence, there remains potential for further growth in bilateral trade and investment between Canada and Ukraine. From 2011 to 2015, bilateral merchandise trade between Canada and Ukraine averaged $288.9 million annually, with Canada’s merchandise exports to Ukraine comprising $172.9 million, and Canada’s merchandise imports from Ukraine representing $116 million. UCPBA Ottawa. June 10, 2017.

  17. CUFTA will create new opportunities for Canadian and Ukrainian companies, thereby strengthening the bilateral commercial relationship.e. UCPBA Ottawa. June 10, 2017.

  18. Since the election of Ukraine’s new government under the presidency of Petro Poroshenko on May 25, 2014, the Government of Ukraine has begun the necessary reforms to stimulate economic growth, including taking steps to address corruption and introducing measures to create a more positive business environment. UCPBA Ottawa. June 10, 2017.

  19. While this campaign is gaining momentum, it is only the beginning of a long and challenging process. In the meantime, Canada continues to reaffirm its strong support for Ukraine’s new government as it implements the reforms needed to restore stability and prosperity. UCPBA Ottawa. June 10, 2017.

  20. Canada and Ukraine launched free trade agreement (FTA) negotiations in 2010. Six rounds of negotiations were held between 2010 and 2015. Negotiations concluded in Kyiv in July, 2015. UCPBA Ottawa. June 10, 2017.

  21. Ukraine is a promising emerging market for Canadian exporters, with opportunities in agriculture and processed food (including fish and seafood products), and industrial goods, such as articles of iron and steel, industrial machinery, plastics and cosmetics. UCPBA Ottawa. June 10, 2017.

  22. CUFTA will enable Canadian companies to take greater advantage of these opportunities by ensuring new market access and more predictable conditions. UCPBA Ottawa. June 10, 2017.

  23. Two-way merchandise trade between Canada and Ukraine (value in millions of Canadian dollars) UCPBA Ottawa. June 10, 2017.

  24. CUFTA includes chapters in the areas of market access for goods; rules of origin and origin procedures; trade facilitation; emergency action and trade remedies; sanitary and phytosanitary measures; technical barriers to trade; government procurement; competition policy, monopolies and state enterprises; intellectual property; electronic commerce; labour; environment; trade-related cooperation; institutional provisions; and dispute settlement. UCPBA Ottawa. June 10, 2017.

  25. Anticipated Effects of the CUFTA in the area of Trade in Goods The CUFTA is expected to establish commercially significant improvements in market access for goods, principally through tariff elimination. The largest trade gains are expected in sectors where Canadian merchandise exports currently face significant tariff barriers. The CUFTA is expected to bolster Canada’s current exports to Ukraine, particularly with respect to agricultural products, fish and seafood, and industrial products such as machinery and vehicles. Nevertheless, Canada’s current exports to Ukraine are modest relative to its global exports, and this would continue to be the case even if considerable export growth resulted from the CUFTA. UCPBA Ottawa. June 10, 2017.

  26. Beyond tariff elimination, the CUFTA includes provisions to facilitate increased cooperation with Ukraine to make trade more efficient, including through trade facilitating measures and customs procedures designed to provide certainty, transparency and effective origin verification procedures. It also includes rules of origin that are transparent, predictable and consistent in application, which will ensure that the benefits negotiated under the Agreement accrue to the Parties. Taken together, these measures contribute to further increasing bilateral trade between Canada and Ukraine. UCPBA Ottawa. June 10, 2017.

  27. Economic analysis undertaken by the Department projects that once fully implemented, the CUFTA will result in an increase of 19 percent ($64.9 million) in bilateral merchandise trade between the two countries, with Canadian exports to Ukraine increasing by $41.2 million. Expressed in in GDP terms, the CUFTA is projected to result in a very modest GDP gain of 0.0015 percent ($29.2 million) for Canada, and 0.0127 percent ($18.6 million) for Ukraine UCPBA Ottawa. June 10, 2017.

  28. Canadian Merchandise Exports to Ukraine Canada’s annual merchandise exports to Ukraine averaged $214.1 million from 2011 to 2013, before declining by over 3.8 percent in 2014 to $205.1 million, making Ukraine Canada’s 22nd-largest export destination that year. As such, Canadian exports to Ukraine represented less than one percent of total Canadian global exports in 2014. Even if Canadian exports to Ukraine were to undergo considerable growth in the years following the implementation of the CUFTA, this would have only a very modest effect on Canada’s overall trade and production levels. UCPBA Ottawa. June 10, 2017.

  29. Canada’s non-agricultural exports to Ukraine totalled $186.6 million in 2014, and included mineral fuels and oils (mainly coal), fish and seafood, pharmaceuticals and machinery. Canadian agricultural and agri-food exports to Ukraine totalled $19.2 million in 2014, and included meat, other animal products, animal fodder and oilseeds. UCPBA Ottawa. June 10, 2017.

  30. in 2014, Ukraine had an average overall applied most favoured nation (MFN) tariff rate of 4.5 percent, an average applied MFN non-agricultural tariff of 3.8 percent, and an average applied MFN agricultural tariff of 9.2 percent. Upon entry into force of the Agreement, Ukraine will immediately eliminate tariffs on 86 percent of Canada’s current exports, with the balance to be phased out or subject to tariff reductions over periods of up to seven years. UCPBA Ottawa. June 10, 2017.

  31. This includes elimination by Ukraine of tariffs on all Canadian exports of industrial products, fish and seafood, and the elimination of the vast majority of its agricultural tariffs. Key Canadian exports benefiting from either immediate or eventual duty-free access include beef, canola oil, processed foods, animal feed, frozen fish, caviar, certain iron and steel products, articles of plastics, and cosmetics. Tariffs will also be eliminated by Ukraine on fresh and chilled pork, and frozen pork will benefit from a duty-free tariff rate quota. UCPBA Ottawa. June 10, 2017.

  32. Canadian Merchandise Imports from Ukraine • Ukraine is a relatively small supplier of Canadian imports from the world, representing the 99th-largest source of merchandise imports for Canada in 2014, and accounting for less than one percent of Canada’s global imports. • Canada’s current imports from Ukraine totalled $99 million in 2014, down from an annual average of $133.2 million from 2011 to 2013. UCPBA Ottawa. June 10, 2017.

  33. Upon entry into force of the Agreement, Canada will immediately eliminate tariffs on 99.9 percent of current imports from Ukraine. This includes elimination by Canada of tariffs on all industrial products, fish and seafood, and 99.9 percent of agricultural imports from Ukraine. Key products from Ukraine that will benefit from this duty-free access include sunflower oil, sugar and chocolate confectionery, baked goods, vodka, apparel, ceramics, iron and steel, and minerals. UCPBA Ottawa. June 10, 2017.

  34. Given that goods entering into the Canadian market from Ukraine already benefit from relatively low Canadian tariffs, the resulting increase in imports is expected to be relatively modest result. For the full text of the agreement go to http://www.international.gc.ca/trade-commerce/trade-agreements-accords-commerciaux/agr-acc/ukraine/text-texte/toc-tdm.aspx?lang=eng UCPBA Ottawa. June 10, 2017.

  35. Discussion UCPBA Ottawa. June 10, 2017.

  36. Morning Session 2. Export Development Canada • It is Canada’s export credit agency and was founded in 1944.   • It supports and develops Canada’s export trade by helping Canadian companies respond to international business opportunities. • It is a self-financing, Crown corporation that operates at arm's length from the Government. UCPBA Ottawa. June 10, 2017.

  37. Since its creation the EDC has facilitated more than $1.3 trillion in exports and foreign investment by Canadian companies.  In 2014 it helped more than 7,400 Canadian companies do business in 187 countries. The majority of these companies were small business, and more than 30 per cent of this business was conducted in fast-growing emerging markets.  The EDC provides insurance and financial services, bonding products and small business solutions to Canadian exporters and investors and their international buyers. UCPBA Ottawa. June 10, 2017.

  38. It also supports Canadian direct investment abroad and investment into Canada. Much of EDC business is done in partnership with other financial institutions and through collaboration with the Government of Canada The EDC is financially self-sufficient and operates like a commercial institution. UCPBA Ottawa. June 10, 2017.

  39. Collects interest on our loans and premiums on our insurance products. Its treasury department that sells bonds and raises money in global capital markets UCPBA Ottawa. June 10, 2017.

  40. Solutions and Products Get a client started in exporting by building an export strategy: Provides practical advice and support Finds international customers Gets financing Make sure the client gets paid Post bonds and guarantees Avoid losses from political risks UCPBA Ottawa. June 10, 2017.

  41. Information on multinational and bilateral trade agreements Trading and commercial laws and practices in specific countries (tariffs, duties, taxes, import requirements). UCPBA Ottawa. June 10, 2017.

  42. It finds solutions for:  Credit Insurance Accounts Receivable Insurance Trade Protect Working Capital Financing Buyer Financing Account Performance Security Guarantee Surety Bond Insurance Political Risk Insurance Companies with EDC Financing UCPBA Ottawa. June 10, 2017.

  43. Its knowledge centre provides access to vast practical information for exporting including country profiles.  Ukraine: Through EDC representation in London, United Kingdom, it provides regional support to Canadian companies planning on or currently doing business in Ukraine. EDC market experts have developed strategic relationships with major buyers in several sectors as well as a network of local contacts in the market. Targeted Key Industries: Agriculture, Power and Construction & Infrastructure UCPBA Ottawa. June 10, 2017.

  44. Contact Information:  http://www.edc.ca/  Head Office: Export Development Canada150 Slater StreetOttawa, ON  K1A 1K3 1-800-229-0575 UCPBA Ottawa. June 10, 2017.

  45. Harmonized System of Tariff Classification • The Harmonized System of Tariff Classification or simply the HS is a system of classifying goods for the process of assessing tariffs and duties, and determining international trade patterns. Vertically all countries utilize the HS.   • It was created by the World Customs Organization in Brussels and came into operation in the late 1980’s. • It consists of 21 Sections (97 Chapters) as follows UCPBA Ottawa. June 10, 2017.

  46. Live Animals; Animal Products  Vegetable Products Animal or Vegetable Fats and Oils and their Cleavage Products; Prepared Edible Fats; Animal or Vegetable Waxes Prepared Foodstuffs; Beverages, Spirits and Vinegar; Tobacco and Manufactured Tobacco Substitutes  Mineral Products UCPBA Ottawa. June 10, 2017.

  47. Products of the Chemical or Allied Industries Plastics and Articles Thereof; Rubber and Articles Thereof Raw Hides and Skins, Leather, Furskins and Articles Thereof; Saddlery and Harness; Travel Goods, Handbags and Similar Containers; Articles of Animal Gut (Other than Silk-worm Gut) Wood and Articles of Wood; Wood Charcoal; Cork and Articles of Cork; Manufactures of Straw, of Esparto or of Other Plaiting Materials; Basketware and Wickerwork UCPBA Ottawa. June 10, 2017.

  48. Pulp of Wood or of Other Fibrous Cellulosic Material; Recovered (Waste and Scrap) Paper or Paperboard; Paper and Paperboard and Articles Thereof Textiles and Textile Articles Footwear, Headgear, Umbrellas, Sun Umbrellas, Walking-sticks, Seat-sticks, Whips, Riding-crops and Parts Thereof; Prepared Feathers and Articles Made Therewith; Artificial Flowers; Articles of Human Hair UCPBA Ottawa. June 10, 2017.

  49. Articles of Stone, Plaster, Cement, Asbestos, Mica or Similar Materials; Ceramic Products; Glass and Glassware Natural or Cultured Pearls, Precious or Semi-precious Stones, Precious Metals, Metals Clad with Precious Metal and Articles Thereof; Imitation Jewellery; Coin Base Metals and Articles of Base Metal UCPBA Ottawa. June 10, 2017.

  50. Machinery and Mechanical Appliances; Electrical Equipment; Parts Thereof; Sound Recorders and Reproducers, Television Image and Sound Recorders and Reproducers, and Parts and Accessories of Such Articles Vehicles, Aircraft, Vessels and Associated Transport Equipment Optical, Photographic, Cinematographic, Measuring, Checking, Precision, Medical or Surgical Instruments and Apparatus; Clocks and Watches; Musical Instruments; Parts and Accessories Thereof UCPBA Ottawa. June 10, 2017.

More Related