The provincial governments of Manitoba and Ontario have agreed to remove trade barriers between the two provinces.
It’s “the latest step we are taking to unlock the enormous potential of true free trade within Canada,” said Ontario Premier Doug Ford in a news release May 14.
The release heralded a memorandum of understanding signed by Ford and Manitoba Premier Wab Kinew. The document states that both provinces will:
- Build on legislation to remove internal barriers hindering the flow of goods, services, investment and workers. Direct-to-consumer alcohol sales and labour mobility were named specifically.
- Encourage other jurisdictions to remove barriers to trade across Canada.
- Encourage labour mobility by finding ways to align rules for regulated occupations and registration.
- Develop a bilateral direct-to-consumer agreement by June 30 to improve market opportunities for goods producers and increase consumer choice.
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Interprovincial trade barriers have been a standing topic of debate in Canada. The topic was thrust again into the spotlight this year as U.S. President Donald Trump threatened widespread tariffs on Canadian goods.
In January, Canada’s premiers agreed to take “meaningful action” to improve the flow of goods and services across the country. The next month, the federal government said it would remove 20 out of 39 exceptions to the Canadian Free Trade Agreement—most of which pertained to government procurement. The government said the move would increase businesses’ ability to compete across Canada.
In 2021, the value of trade between Ontario and Manitoba was $19.5 billion, the province of Ontario said in a news release.
Canola oil products and conventional crude oil are among Manitoba’s top exports to Ontario. Ontario’s top exports to Manitoba include household goods, food and beverages.
