Paul Murphy (Dublin South West, Anti-Austerity Alliance)
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806. To ask the Minister for Jobs, Enterprise and Innovation her views on whether it is appropriate for the European Commission to progress and provisionally apply the EU-Canada Comprehensive Economic Trade Agreement, CETA, prior to its ratification by member state parliaments in view of a comment (details supplied); and if she will make a statement on the matter. [21191/16]

Mary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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The EU-Canada Comprehensive Economic Trade Agreement (CETA) is a new generation agreement that will remove over 99% of tariffs between the EU and Canada and will create sizeable new market access opportunities in services and investment. It will end limitations in access to public contracts, open-up services market, and offer predictable conditions for investors.

It will save on duty costs as 99.6% of all industrial tariffs will be eliminated on entry into force. Irish firms will also benefit from the recognition of product standards and certification, thus saving on ‘double testing’ on both sides of the Atlantic. These are some of the benefits of the trade deal with Canada as well as providing new market opportunities in many sectors for Irish firms.

In May this year, the Council had an exchange of views on the EU-Canada Comprehensive Economic and Trade Agreement (CETA) and the process towards signature and provisional application of the agreement. The European Commission and Member States highlighted the high quality of the agreement reached with Canada and expressed the desire to work towards signature of the agreement at the October EU-Canada Summit. The Commission published their proposals for signature, conclusion and provisional application on the 5th July 2016 which are available on the European Commission Register of Documents. The proposal is for CETA to be a mixed agreement.

At the last EU Council of Trade Ministers on 13th May 2016, I made Ireland’s approach clear, that based on our assessment of its provisions, we viewed CETA as a mixed Agreement, in terms of EU and Member State competency. In view of the position taken by Ireland and other Member States I note that the Commission have now decided to submit CETA to the Council for decision as a mixed agreement. This means that each Member State will be required to ratify the agreement under its own procedures. The Oireachtas will be part of the final decision on ratification. It will now be a matter for the Council and the European Parliament to decide on the signature, conclusion and provisional application of CETA.

Provisional application is provided for in the EU’s Free Trade Agreements. This means that those areas where the EU has full competence may be applied immediately once the Agreement comes into force. It is an important mechanism that allows companies and consumers to benefit from a trade agreement at an early stage. Provisional application of CETA would be without prejudice to national ratification by Member States.