Why is CETA bad for local governments?
Why are more than 80 municipalities along with school boards and hospitals across Canada passing resolutions to opt out of the Canada-European Union Comprehensive Economic and Trade Agreement (CETA)?
What does a trade agreement with other countries have to do with a school board or hospital?
Local and provincial governments, public boards and Crown corporations who want to hire workers or purchase goods and services locally to promote the local economy will be in jeopardy of doing so if this agreement is ratified.
In other words, CETA’s restrictions on public procurement could end the practice of ‘buy or hire locally.’
CETA, which has more to do with corporate rights and profits than trade, has the ability of prohibiting municipalities from supporting goods and services which favour Canadian producers. Government procurement practices are a way of supporting the local economy, especially in difficult economic times or when new businesses or technologies need a boost.
European corporations want the same access to government business as local companies. This will only hamper the ability of municipalities to support the local economy.
It is for reasons like these that many municipalities and public boards are wanting the federal government to exclude them from these trade agreements. CETA is one of the first agreements that directly effect local governments. In the Comox Valley, Cumberland is the only municipality to have passed a motion asking for local governments to be excluded from CETA.
Why aren’t Comox and Courtenay concerned?