The Canadian Federation of Independent Business (CFIB) has highlighted the slow progress in removing barriers to interprovincial trade in Canada. The CFIB stresses the importance of removing these barriers to improve productivity and boost the economy. Small business owners are in favor of governments prioritizing the removal of obstacles, as many believe that the multiple sets of regulations hinder their productivity. While there have been some recent positive steps taken, such as the removal of procurement exemptions to the Canadian Free Trade Agreement and the launch of an internal trade data hub by the federal government, the overall progress in removing barriers has been minimal.
One area where progress has been lacking is in the elimination of alcohol trade barriers. Despite recent tensions between Alberta and British Columbia over direct wine sales, which led to Alberta imposing restrictions on B.C. wine shipments, the provinces have agreed on a path to resume direct sales. The report by CFIB ranks Manitoba as leading the way in interprovincial trade, while Quebec is ranked last. Businesses looking to expand operations across provincial borders within Canada face various challenges, depending on the province or territory. While some regulations, such as first aid kit standards, have been implemented across all provinces and the federal government, others, like certifying entry-level truck drivers, are only halfway done.
The CFIB recommends that governments across Canada swiftly adopt a mutual recognition agreement covering all regulations on the sale or use of goods and services to facilitate interprovincial trade. It is crucial for provinces and the federal government to work together to remove obstacles and harmonize regulations to create a more conducive environment for businesses. By streamlining regulations and removing unnecessary barriers, productivity and economic growth can be stimulated. The CFIB suggests that the federal government and provinces should focus on resolving issues related to alcohol trade barriers and reducing obstacles to doing business to improve conditions for small businesses across Canada.
While there have been some positive developments, such as the commitment to remove additional procurement exemptions and the establishment of an online portal to identify potential regulatory barriers, tangible improvements in removing barriers to interprovincial trade are still lacking. The CFIB emphasizes the need for continued efforts to address these issues and create a more seamless environment for businesses to operate. With the challenges faced by businesses looking to expand across provinces, it is essential for governments to prioritize the removal of barriers and harmonize regulations to support economic growth and productivity. By working together and implementing mutual recognition agreements, provinces and the federal government can facilitate interprovincial trade and create a more competitive business environment within Canada.
