NET BENEFITS OF INCREASED TRADE LIBERALIZATION TO THE CANADIAN ECONOMY

The Next Round of multilateral trade negotiations under the World Trade Organization is set to begin towards the end of 1999. This study was initiated to inform, substantiate and aid the development of industry and government negotiation positions for the Round. It was sponsored by Agricore, Alberta Agriculture and Food Council, Alberta Agriculture, Food and Rural Development, Alberta Intergovernmental and Aboriginal Affairs, the Alberta Sugar Beet Growers, the Canadian Dehydrators Association, the Canadian Oilseed Processors Association, and the Potato Growers of Alberta. Its overall objective was to quantify the net benefits from agricultural trade liberalization in the Next Round of the WTO. The specific objectives may be encapsulated as follows: 1. Assess the relative sizes of the supply managed and non-supply managed segments in Canada's agri-food sector with the view to understanding the implications of trade liberalization on these segments. 2. Examine the implications of trade liberalization on trade by degree of value-adding. 3. Estimate the extent and distribution of government support to agriculture in Canada on a regional basis. 4. Quantify the net benefits from elimination of tariffs and other trade barriers to the agri-food sector and the economy. 5. Evaluate the impact of emerging trade issues (e.g., food safety, genetically modified organisms and biotechnology) on Canada's agri-food industries