New Brunswick eliminating more interprovincial trade exceptions

‘We are working hard to knock down barriers while encouraging our neighbours to join us to do the same’

New Brunswick eliminating more interprovincial trade exceptions

The New Brunswick government has announced the removal of five additional party-specific exceptions under the Canadian Free Trade Agreement (CFTA), advancing efforts to ease interprovincial trade and improve labour mobility.

"New Brunswick is moving full steam ahead on removing interprovincial trade barriers and improving the flow of workers, goods and services in and out of New Brunswick," said Premier Susan Holt in a statement. "New Brunswick was made for this moment. We have what Canada needs, and we are working hard to knock down barriers while encouraging our neighbours to join us to do the same."

The government formally notified the Internal Trade Secretariat of its decision to remove five exceptions that previously applied under the government procurement chapter of the agreement. The exceptions being eliminated cover:

  • Atlantic Lottery Corporation;
  • wastewater commissions;
  • regional service commissions (formerly solid waste commissions);
  • Fredericton Area Pollution Control Commission and Greater Moncton Sewerage Commission; and
  • newly created entities, such as Crown corporations.

While the removal of the exception for newly created entities takes effect immediately, the other four exceptions will be eliminated as of Sept. 1, allowing affected organisations time to adapt to new procurement obligations.

Previously, the governments of New Brunswick and Newfoundland and Labrador signed a memorandum of understanding (MOU) aimed at enhancing free trade and labour mobility.

Province eliminating 32 party-specific exceptions

New Brunswick’s Intergovernmental Affairs Minister Jean-Claude D’Amours said the province remains committed to modernising internal trade rules.

“As part of our work with the committee on internal trade, we pledged to quickly review all of New Brunswick’s 32 party-specific exceptions," said D’Amours. “We’re pleased to have cut that number by nearly half since the beginning of the year, and we remain committed to exploring further opportunities to remove barriers and the remaining exceptions.”

The move builds on changes announced earlier this year. On March 20, New Brunswick eliminated or amended 10 other party-specific exceptions, which affected a range of entities and sectors, including:

  • Provincial Holdings Ltd.;
  • Forest Protection Ltd.;
  • New Brunswick Research and Productivity Council;
  • New Brunswick Arts Board;
  • New Brunswick Credit Union Deposit Insurance Corp.;
  • New Brunswick Farm Products Commission;
  • New Brunswick Museum;
  • procurement of goods restricted by law from interprovincial movement;
  • mining; and
  • fisheries and aquaculture (narrowed to apply only reciprocally to jurisdictions that maintain the same exception).

The federal government, along with other provincial counterparts, have also worked to remove interprovincial trade barriers.