Pleading about CETA trade agreement to be settled

Tomorrow (Wednesday 12 February) the House of Representatives will decide whether it will give its final approval to CETA, the European trade agreement with Canada. Parliament is seriously divided on this, as are the agricultural advocates.

With the trade agreement, virtually all trade barriers between the European Union and Canada will eventually disappear. Although CETA has been in force since 2017, all European member states have yet to ratify the treaty. In the Netherlands, the deal is increasingly seen as a threat to the competitive position of the agricultural sector in the Netherlands, which could threaten the politically desired transition to circular agriculture.

Importance for export
The government is strongly in favor of CETA and emphasizes that Canada must at all times meet European quality requirements for the export of agricultural products. For example in animal welfare and the use of plant protection products. This is the reason why CETA can raise the Canadian standards. International trade is of great importance for an open economy such as that of the Netherlands. Since 2017, exports to Canada have grown faster than imports.

Yet political support for CETA hangs by a thread. Only VVD, CDA and D66 have openly supported it. ChristenUnie and SGP have not yet issued a final verdict, while all other parties have withdrawn their support. The ball in the parliamentary debate is therefore with the small Christian parties, which traditionally have a strong following in the Dutch farming community.

Not perfect, but good enough
But agricultural advocacy is also divided. LTO Nederland resolutely indicated on Monday that it supports CETA. The federation calls the treaty 'not perfect, but good enough'. According to LTO, trade agreements are essential for good trade. "Out of every 5 farmers and market gardeners, 3 exist by the grace of our export."

The organization also points out that "of every euro that farmers and horticulturists earn, 75 euro cents come from abroad, of which a quarter euro cents from outside the EU. Trade agreements such as CETA are crucial for Dutch agriculture and horticulture." Previously, however, the trade unions NAV (arable farming) and NMV (dairy farming) have stated unequivocally that they are against the trade agreement for fear of fierce competition and market disruption.

Council can overrule
The lobby around the trade agreement is huge. Nearly 70 organizations from 50 different countries are asking the House of Representatives to vote against CETA. Even from Canada itself. So far, about half of the European member states have voted in favor of ratification of CETA. The Netherlands could be the first country to vote against the treaty. Incidentally, this is not the final blow for CETA, because the European Council - which consists of all prime ministers of the Member States - can ultimately unanimously overrule a Member State's veto in this matter.

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