Full Report. Agreement on Internal Trade (AIT)

Overview. Front Cover Overview Introduction AIT --- Briefing AIT ---Principles AIT --- Formation AIT --- Goal AIT --- Affected AIT --- Finances AIT --- As a Matter of Fact AIT --- Today Works Cited Bookend Cover

Introduction. Agreement on Internal Trade (AIT)

AIT --- Briefing The AIT is an Agreement which ensures the harmonized cooperation of Canada’s provincial and territorial governments in trade and commerce. The AIT provides the basis for the streamlining of regulations, barriers to trade, and dispute resolution.

AIT --- Principles The AIT covers six guiding principles: Non-Discrimination Right of Entry and Exit No Obstacles Legitimate Objectives Reconciliation Transparency Descriptions of each guiding principle:  Equal treatment of goods and services.  Prohibits barriers to movement of capital and people.  Gov’t Acts do not bar trade.  Gov’t non-trade Acts minimally impact the above.  Eliminating trade barriers caused by difference between provinces and territories.  Information is accessible to interested parties.

AIT --- Principles, Cont’d. The AIT aims to eliminate trade barriers in eleven economic sectors, which are: Procurement Investment Labour Mobility Consumer-Related Measures and Standards Agricultural and Food Products Alcoholic Beverages Natural Resources Processing Energy Communications Transportation Environmental Protection

AIT --- Formation The AIT was conceived on July 18, 1994 through the First Ministers. The Agreement was formed on the basis that Canada had a necessity for transparent, efficient, and amicable domestic trade. Placed into effect on July 1, 1995, the AIT is a powerful nationwide agreement which guarantees five crucial sections. These sections encompass:  Six rules preventing provincial governments from blocking trade.  Chapters outlining obligations in 10 economic sectors, such as government purchasing.  Provisions for effective operation of the AIT.  Dispute-resolution solutions for private and public inquiries.  Commitment to further liberalize trade through continued work.

AIT --- Goal The goal of the AIT is to produce a transparent trading environment across Canada. The AIT strives to: “[E]stablish a framework that will ensure equal access to procurement for all Canadian suppliers in order to contribute to a reduction in purchasing costs and the development of a strong economy, in a context of transparency and efficiency."

AIT --- Affected The whole internal commerce of Canada is affected by the AIT as it is a domestic Agreement. The AIT has no direct international ties. Every province and territory, save Nunavut, are signatories of the AIT and are bound by the rules discoursed therein. Nunavut holds observer status. Interprovincial commerce (importing, exporting, goods, services, capital, persons) acts similarly to international free trade agreements such as NAFTA.

AIT --- Finances The AIT is, in business terminology, more of a service than a good. Although Industry Canada envisioned and effected the Agreement, its solidarity is ensured through the continual kaizen of its signatories---the provinces and territories of Canada. Thus, no direct financing is needed. Rather, finances are only relevant to the actual Acts and Statutes assented through the provincial and territorial governments.

AIT --- As a Matter of Fact A Quick History Lesson on the AIT

AIT --- As a Matter of Fact, Cont’d. Who Knew? The AIT is an Agreement founded upon the pretense that it shall be amended continuously (Internal, 2014). Such amendments ensure the integrity of free internal trade! The very first amendment occurred less than five months after the Agreements ascension! (29/11/95) Get This! Amendments to the AIT have gone no longer than three years without being effected (Internal, 2014). This is a tremendous feat that shows the extreme dedication of all of the provinces and territories working in unison! The two periods with three year gaps were: & No Way! The AIT’s Ninth Protocol of Amendment ensures: “[E]ach Party shall [...] adopt occupational standards based on common interprovincial standards, including [...] international standards (“Ninth,” 2009). Hmm... ISO, anyone? Really? In 2009, Canadians saw new gov’t ads--- the Stimulus Plan. Via the AIT, the PM and Premiers implemented “Meaningful new investments,” the “continued availability of credit,” and “securing [of] Canadian pension plans” (“Prime,” 2009). J J`

AIT --- Today Presently, the AIT is an Agreement that faces the tests of time and evolving governments, although there is hope. From the Macdonald-Laurier Institute, “So much time and precious resources were squandered in failing to make the AIT work in the national economic interest” (Magnifico, 2014). From Magnifico, the former AIT Director, “the federal government speaks of 2017 as target date for reform. [...] Action plans/targets/timelines – I have seen this movie before” (Magnifico, 2014).

Works Cited " Agreement on Internal Trade (AIT)." Buyandsell.gc.ca. Public Works and Government Services Canada, 31 Dec Web. 11 Nov Daily Exchange. "Provinces Undermining Trade."Exchangemagazine.com. Exchange Business Communications Inc, 7 Nov Web. 11 Nov Industry Canada. "Summary of the Agreement." Ic.gc.ca. Industry Canada, 27 Sept Web. 11 Nov Internal Trade Secretariat. The Agreement on Internal Trade. Internal Trade Secretariat, 7 Nov Web. 11 Nov Internal Trade Secretariat. “Ninth Protocol of Amendment.” The Agreement on Internal Trade. Internal Trade Secretariat, 7 Nov Web. 11 Nov Internal Trade Secretariat. “Prime Minister and Premiers Agree on Action for the Economy.” The Agreement on Internal Trade. Internal Trade Secretariat, 7 Nov Web. 11 Nov Magnifico, Anna. "Inside Policy: Magnifico Details Squabbling That Undermined Internal Trade Deal." MacdonaldLaurier.ca. MacDonald-Laurier Institute, 6 Nov Web. 11 Nov

Full Report, Concl’d. Agreement on Internal Trade (AIT)