Deal develops Canada's NAFTA Superhighway

An agreement announced by Transport Canada last month advances toward reality the massive planning that has been done to develop the NAFTA Superhighway in Canada.

A July 30 press release on the website of Transport Canada, the Canadian government's counterpart to the U.S. Department of Transportation, announced the signing of a memorandum of understanding, or MOU, between the governments of Canada and the provinces of Ontario and Quebec to develop the "Continental Gateway and Trade Corridor."

The memorandum noted Ontario and Quebec are "vital contributors to the Canadian economy representing approximately 60 percent of Canada's exports and gross domestic product."

"The main objective of this MOU," the document continued, "is to establish this commercial gateway and trade corridor as a strategic, integrated and globally competitive transportation system that supports the movement of international trade."

The memorandum makes clear that the billions of dollars in toll-road highway construction and infrastructure development contemplated will be financed by private investors, including foreign investment consortia, under the model of "public-private partnerships," or PPPs.

According to the National Policy Framework, the Ontario-Quebec Continental Gateway and Trade Corridor "encompasses a system of land, air and marine transportation assets, including the Saint Lawrence River and Great Lakes, that offers a competitive and attractive gateway for international trade."

That globalist impulses are driving Canada's National Policy Framework is made clear from the attention the defining statement of the policy gives to NAFTA and world trade, including competition from the European Union.

A Federal Role: Enhancing Border Efficiency

An efficient and secure Canada-U.S. border is crucial for Canadian competitiveness. The 2001 Smart Border Accord and the 2005 Security and Prosperity Partnership of North America provide solid bilateral and trilateral frameworks for cooperation to facilitate the legitimate, efficient and secure flow of goods and people.

Tremendous progress has been made by customs agencies, including initiatives that directly impact border security and efficiency, such as:

* Implementation of the Free and Secure Trade Program (FAST), a joint Canada-U.S. program for the expedited movement of low-risk goods and truck drivers.
* Expansion of NEXUS, a joint program to facilitate the movement of low-risk, pre-approved individuals who frequently cross the border.
* Advance notification requirements for goods being shipped into Canada and the U.S. by all modes.

To ensure that border capacity keeps pace with growing trade flows, the federal government has contributed to over 30 major projects that both increase capacity and support new border processes. Budget 2007 provides additional funding for further border crossing investments.

The government is also working to enhance transportation-related cross-border coordination and cooperation. A primary vehicle for this is the Canada-U.S. Transportation Border Working Group which aims to facilitate the safe, secure and efficient movement of goods and people across the border. This bi-national, multi-jurisdictional forum fosters ongoing communication, information sharing, and the exchange of best practices to improve the transportation and inspection systems that connect the U.S. and Canada.

http://www.tc.gc.ca/GatewayConnects/NationalPolicyFramework/nationalpolicy4-5.html

The Canada – U.S. Relationship

The integrated North American economy provides the “platform” for Canada’s successful global engagement. Canada and the U.S. share the largest bilateral flow of goods, services, people and capital of any two countries in the world.

Recognizing the importance of these connections, the federal government is working to further enhance stronger bilateral relations with the U.S. This includes expanding Canada’s official network in the U.S. With the opening in July 2006 of the new Canadian Consulate General in San Francisco, Canada’s network in the U.S. now includes 13 consulates general and six consulates, in addition to the Embassy in Washington.

With over $1.9 billion worth of goods and services moving across the border daily, Canada and the U.S. are each other’s largest customers and biggest suppliers. To put this into perspective, in 2006, Canada exchanged more goods with the U.S. each month than with any other country throughout the whole year.

Transportation systems are key to Canada’s successful relationship with the U.S. Maximizing the free flow of goods, services and capital with the U.S. is a key priority for Canada. The National Policy Framework for Strategic Gateways and Trade Corridors and future gateway strategies provide new avenues to advance competitiveness in the North American context.

http://www.tc.gc.ca/GatewayConnects/NationalPolicyFramework/nationalpolicy4-1.html

Shortsea shipping is a multi-modal concept involving the marine transportation of passengers and goods that do not cross oceans. In the North American context, this is shipping that takes place within and among Canada, the U.S. and Mexico. Shortsea shipping is part of an efficient, integrated transport system for North America, and can help meet the commercial, social and environmental needs of the continent’s growing population and expanding trade. From an environmental perspective, for example, shortsea shipping can offer air quality improvement, reduce traffic congestion and mitigate noise pollution. By most indices, marine shipping tends to have lower environmental and social impacts than land transport.

To maximize the benefits of shortsea shipping, Transport Canada will continue to work with its North American shortsea shipping partners to explore the mutual benefits of shortsea shipping, identify mechanisms to mitigate barriers, implement trilateral promotional activities, investigate specific cross-border corridors, and ultimately develop a North American shortsea shipping strategy.

http://www.tc.gc.ca/GatewayConnects/NationalPolicyFramework/nationalpolicy4-4.html

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