This doesn’t help the little guy! Trader reveals why Germans are furious at EU trade deal

CETA deal GETTY

CETA is a trade deal between the EU and Canada

The warning comes as the UK points to the bloc’s Comprehensive and Economic Trade Agreement (CETA) deal as a potential blueprint for a future deal with Canada post-Brexit, with Prime Minister Justin Trudeau saying he is ready and waiting to trade freely with the UK. 

But Thilo Bode, executive director of Foodwatch International, said Germans do not support CETA because rather than serving the general interest, it serves the “interests of large corporations”. 

He said: “The EU’s trade agreements must be reformed. Otherwise, public resentment toward the EU will only deepen. 

“And no one, regardless of their views on trade, will benefit if that happens.” 

WHAT IS CETA? 

CETA GETTY

Thousands have protested against the EU-Canada CETA deal

The EU’s trade agreements must be reformed. Otherwise, public resentment toward the EU will only deepen

Thilo Bode, executive director of Foodwatch International


Mr Bode warned the European Commission’s planned free trade deals with Brazil, Argentina, Paraguay and Uruguay, Mexico, Indonesia, Japan and Vietnam “undermine important global agreements reached by the economic community”. 

Mr Bode, writing for Politico, said: “These agreements would cover not only market access issues, such as an increase in Brazilian meat exports to the EU, but also the harmonisation of regulations for consumer, environmental and health protection.

“The precautionary principle enshrined in the EU law should play a decisive role here. This principle holds that, in the absence of scientific consensus about the risks of a product or process, policymakers can delay or suspend its approval until there is sound evidence of its safety.

“The Commission failed to unambiguously incorporate this principle into its deal with Canada and continues to neglect it in agreements that are currently on the negotiating table.

“This apparent phase-out of the precaution-based approach is also evident in the environmental risks that are being tolerated under the agreements.” 

Mr Bode accused the EU of shirking its responsibility when it comes to being transparent about trade deals. 

He said: “Behind all the rhetoric, the Commission’s planned trade deals undermine important global agreements reached by the international community.

“The Commission should turn to independent studies to investigate the agreement’s impacts and avoid potential negative effects. 

Trudeau and Merkel GETTY

The EU is pushing to secure other trade deals with countries

“In many cases, impact assessments of this kind are either never conducted or, as with the Japan agreement, kept suspiciously under wraps.” 

He also raised concerns new trade deals, like CETA and TTIP could undermine the “bloc’s democratic principles”. 

Mr Bode said: “Committees to be established under the agreements would have the power to amend the provisions of a deal without adequate democratic control.

“The issue of insufficient democratic legitimacy has also taken centre stage in the pending constitutional complaint against CETA in Germany and will most likely be subject to review by the European Court of Justice.

“Overall, the EU seems to view democratic processes as irritating impediments to be overcome, much like trade barriers.” 

Meanwhile, the EU is planning to split future agreements into “EU-only” and “mixed” parts to get around the “tedious ratification process of CETA”. 

Mr Bode said: “EU members would not be given the chance to vote on aspects of the free-trade agreements that are within the EU’s ‘exclusive competence’ including provisions on standards for consumer, environmental and health protection, in spite of the fact that these matters would have a direct impact on the daily lives of European citizens.

CETA is a trade deal between Canada and the European Union. 

The deal came into effect on September 21 and will eliminate tariffs on 98 percent of products travelling between the two parties – a move the EU claims will save Canadian businesses €590million every year. 

Unlike other deals with non-EU nations, Canada does not have to pay into the bloc’s coffers or accept free movement of people. 

But the deal is far from a comprehensive free trade agreement. There are hundreds of items that are not covered by the policy, including eggs and chicken. 

Canada’s arrangement with the EU means it trades without any tariffs except in farming – and even then the tariffs are low.