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Meat industry excited about Ukraine trade deal

The deal will eliminate most tariffs for goods moving between the two countries

Reading Time: 2 minutes

Published: November 23, 2016

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pork chops

Lost in the hoopla of signing the Canada-Europe Trade Agreement (CETA), legislation has been introduced to implement a free trade agreement between Canada and Ukraine.

When it comes into force, it would immediately eliminate duties on 99.9 per cent of goods imported from Ukraine and would likewise affect 86 per cent of Canadian exports to that nation. The remaining tariff concessions would be eliminated within seven years, according to a Canadian government statement.

The eventual result will be the removal of essentially all tariffs on goods currently traded between Canada and Ukraine.

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The Canadian Meat Council welcomes the deal because it expands the market for Canadian products, says president Troy Warren.

“A strategic priority of Canada’s export-dependent meat industry is competitive access to every country in the world,” Warren said. “The eventual entry into force of the free trade agreement with Ukraine will represent another concrete step toward the realization of this important industry objective.”

He said Canadian meat packers and processors have a long-term interest in trade with Ukraine, not only as suppliers of high-quality meat protein to that country’s 45 million citizens, but also in the context of Ukraine’s access to the European Union and its trade with the countries of eastern Europe.

When fully implemented, the Canada-Ukraine free trade agreement will provide duty-free access to Ukraine for an unlimited quantity of beef and veal, duty-free access for 20,000 tonnes of frozen pork, and duty-free access for an unlimited quantity of fresh chilled pork.

Trade Minister Chrystia Freeland said the deal “will generate opportunities for Canadians and Ukrainians and create new job opportunities.”

The deal was signed back in July during Prime Minister Justin Trudeau’s first official visit to the country.

The Ukrainian market offers many opportunities for Canadian businesses and investors, in areas such as aerospace, agricultural equipment, information and communication technologies, agri-food, fish and seafood and mining equipment.

In 2015, bilateral trade between Canada and Ukraine increased by 14 per cent over 2014, totalling almost $278 million. Of this, Canada’s exports to Ukraine totalled approximately $210 million. Canadian products exported included pharmaceuticals, fish and seafood, and coking coal.

Canada’s merchandise imports from Ukraine totalled more than $67 million in 2015. Major imports included fertilizers, iron and steel, and anthracite coal.

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