Free trade between European Union (EU) and Canada started on September 21st, and this has increased business opportunities. It is a good news for independent professionals, services suppliers, and short term business visitors who work in Canada.
The Comprehensive Economic and Trade Agreement (CETA) is a free trade agreement between EU, its member states and Canada. This move will eliminate 98% of the tariffs between the EU and Canada.
The “provisional application” from CETA was brought into effect from September 21, though it is yet to be ratified by many member states.
It has been estimated by the Canadian government that there will be an increase by 20% in bilateral trade due to CETA.
The move will also have an effect on immigration. CETA will make it easy for many business person who are citizens of EU member states and Canada to enter the other country without the need to have a Labour Market Impact Assessment (LMIA).
Earlier, a person was required to obtain a legal permission before they can perform work in Canada.
The process of LMIA makes sure that Canadian companies hire international workers only when no permanent resident of citizen in Canada is able to fill the vacancy or perform the role. There are processing time and advertising requirements in LMIA.
Therefore, this move will exempt people from going through the LMIA process and will ultimately make things easier.
Three categories of visitors for business purposes are mentioned in Chapter 10 of CETA, they are:
- Key personnel including investors, intra-company transferees and business visitors for investment purposes
- Short-term business visitors
- Independent professionals and contractual service suppliers
New exemption codes have been formed in LMIA to capture data of business visitors from European Union member states in a better way.
These exemptions will be given under the International Mobility Program (IMP). This is an umbrella program run by the government to have a broader cultural, economic and other competitive advantages for Canada.
Applicants will be processed at a port of entry in Canada or they may apply at Canadian missions abroa d or within Canada provided they fulfill the requirements set out within section 199 of the Immigration and Refugee Protection Regulations (IRPR).