Five facts about the European Union trade deal set to boost Canadian lobster exports

By anna smith

Canada has struck a new trade deal with the European Union (EU), one which members of the US lobster industry fear will cause problems for American business.

The Canada-European Union Comprehensive Economic and Trade Agreement (CETA) was completed in the Parliament of Canada on 16 June 2017. The deal clears tariffs on Canadian lobster, putting Canada lobster exporters at a huge advantage over their US counterparts.

American exporters will be stuck selling lobsters with tariffs ranging from 8 percent for a live lobster to 20 percent on processed or cooked lobster.

Will Canada benefit truly outstrip US exports because of CETA? It seems so. Business Review Canada fished around for facts about Canada’s rich lobster industry and its relationship with the EU, leading us to believe that Canada can only benefit from the dropped tariff. Watch this space for updates.

  1. Last year, The EU imported over $140 million worth of lobster from Canada. That amount is likely to increase significantly after CETA is adopted.
  2. The Canadian government established a $325 million fund (Canadian dollars) to boost the Maritimes’ seafood industry. Furthermore, the Lobster Council of Canada discussed using the money to pay for marketing, research and development, and other improvements to promote the Canadian lobster brand, especially in Europe.
  3. The EU purchases $26 billion in fish and seafood products in an average year. This makes the 28-nation bloc the largest global fish and seafood market in the world, according to Fisheries and Oceans Canada.
  4. On 1 Jan 2017, China cut tarrifs on Canadian seafood entering its booming market. Canadian exports to China were valued at $634 million as of October 2016.
  5. A weak Canadian dollar (now valued at about 75 percent of a US dollar) will only make Canadian lobster more attractive to importers in the European Union

Featured Articles

How Elon Musk pulled off a $44bn hostile takeover of Twitter

As the world’s richest man, Elon Musk, takes over tech giant Twitter, we highlight the timeline that led to this titanic takeover

Amazon, Alphabet, Wells Fargo best workplaces, says LinkedIn

The top 50 workplaces to grow careers prioritise flexible work and tuition-support programs, as top-ranking firms Amazon and Alphabet prove, says LinkedIn

Top 10 women in technology in the US

These 10 women in tech are forging a path into bold areas of innovation and technological ambition, according to sister publication Technology Magazine

8 executive moves to crypto – from mainstream to startup

Technology & AI

Digital Twins tech ‘missing link’ in urban decarbonisation

Technology & AI

The Metaverse Foundry from Infosys is a business playground

Technology & AI