UK trade with Canada up 14% since new free trade agreement introduced
UK exports of goods to Canada have increased by 13.7% to £6.15 billion in the last 12 months since a new free trade agreement was introduced.
The growth in exports coincides with the provisional implementation of the EU-Canada Comprehensive Economic and Trade Agreement (CETA) in September 2017.
It is a significant increase when compared to the 5 years prior to the agreement being introduced, which saw annual trade increase by an average of just 3.9%.
CETA is one of the most extensive EU free trade agreements to date and removes 98% of export duties that are currently in place.
The food and drink industry was previously subject to tariffs of up to 11% but these have now been reduced to zero in most cases.
Meanwhile, auto tariffs are being reduced from 6.1% down to zero over several years so the British motor industry is expected to benefit even more in the years ahead.
Meat exports to Canada increased by 36.3% last year to £2.8m and wine exports grew by 16.6% to £1.75 million.
A significant proportion of UK exports pass through Liverpool Port, which account for 77% meat exports and 47% of wine exports. The city is a major gateway to Canada thanks to its strategic location and its importance is expected to grow even further as a result to a £400 million expansion project. ■