In a commentary on President Trump’s possible threat to slap 25 per cent tariffs on Canadian imports, Anand said that more than $530 billion worth of goods and services move across the country annually. “While this is equal to almost 20 per cent of Canada's gross domestic product, it is held back by internal trade barriers.

“The upside to eliminating these barriers has always been clear - the prospect of lower prices, higher productivity and foreign investment and
potentially adding up to $200 billion to the Canadian economy. Yet Canada's constitutional structure permits provinces and territories to govern property and civil rights, which in turn has led to inconsistent regulations in each jurisdiction over time throughout the country.

“For example, jurisdictions have separate rules mandating different size containers for food packaging. Rules relating to transporting goods differ as truckers cross provincial borders, as do licensing requirements for small businesses outside of their home jurisdiction.

These inconsistent regulatory requirements impose additional costs to small and large businesses that seek to be national in scope.” Trump’s threats make it more critical than ever to press for increased federal, provincial and territorial alignment. “A robust domestic economy, integrated and accessible, free of barriers, has the potential to offset U.S. protectionist policies,” she said.

The federal government has taken several steps to strengthen internal trade, by harmonizing regulations relating to agricultural products, cutting red tape in transportation in the oil and gas field and helping fund the National Registry of Physicians to enhance doctor mobility. “However, barriers do persist and the federal government, provinces and territories collectively can do more to eliminate them. Different regulations and standards cause red tape and extra costs for businesses.

There are lengthy certificate recognition and licensing processes that delay regulated workers from going where they are needed most. “Right now, it is easier for wine producers in the Annapolis Valley to send their bottles to France than to neighbouring provinces. We must get goods and services to Canadian consumers faster, cheaper and more efficiently.”

The federal government is prepared to work with the provinces to ensure that internal barriers to trade are eliminated. Elected representatives at all levels “have this moment to ask ourselves if there is a way to address the concerns of local industries while developing a system of freer trade within Canada. This is the task before us now.”

It will be a tall order to eliminate regulatory barriers in goods and services, but it can be done, she said. In Trump’s first term as president and ahead of the NAFTA renegotiations, “we took unified action and signed the Canadian Free Trade Agreement, which facilitates the movement of goods and services across the country. But there is more work to be done to eliminate internal trade barriers. It will take hard work. Let's all double down on what it means to be on Team Canada.”

This news item prepared for National Newswatch