The EU-Canada trade pact (CETA) came into effect on Thursday, September 21.
The deal gives Canada access to a 510 million people Single Market, while the EU is also given privileged access to the Canadian market of 35 million people.
The deal not only has set a new standard for international trade deal for the EU but has also become a “model” for what hardline Brexiteers envisage as a possible framework for cooperation after March 2019.
At the same time, the process of ratifying CETA has also become instructive for the UK, since the deal has to be approved by 30 national and regional parliaments. Thus far, it has only been ratified by five parliaments.
One pending issue of interest to the UK is the process of legal arbitration process for the protection of investors. That is an important issue because Canada has different standards in a number of industries, including the food industry, which has different labelling standards, regulation on genetically modified crops, and specification for the use of pesticides. The final deal on this chapter may also set a useful precedent for Brexit negotiations.