Mr. Speaker, I am happy to have the opportunity to speak today on the topic of Canada's progressive approach to trade.
Globally, there are trends of growing populist backlash against international trade and globalization more broadly, while at the same time increasing protectionism. In addition to what we have seen in recent months from political campaigns in the U.S. or the Brexit referendum result in the UK, the World Trade Organization and other international institutions published a report in November that noted that G20 economies introduced 85 new trade-restrictive measures between mid-May and mid-October 2016.
At an average of 17 new measures a month, this is a slight decline over the average of the previous review period. However, this number remains high and coupled with the slow rollback of existing trade-restrictive measures means that we are seeing a steady accumulation of such measures.
This growing protectionism is an issue of global concern, and it is especially problematic for a trade-dependent country such as Canada. Canada is a medium-sized economy competing in the global marketplace. As such, free and open trade is integral to our economic success.
The Government of Canada is determined to ensure that Canada is well-positioned to take advantage of the opportunities of international trade that are so important for Canada's continued economic prosperity. Implementing the Canada-Ukraine free trade agreement is an important step in that regard, because free trade agreements, or FTAs, are important tools to access the benefits of trade. FTAs provide transparent and predictable rules for Canadian companies doing business abroad, and ways to deal with problems when they arise. They create and maintain level playing fields in foreign markets, and they reduce or eliminate tariffs or other barriers.
While trade is crucial to the Canadian economy, however, it is also important to Canada and Canadians that trade is inclusive and is not conducted at the expense of important values. That is why the Minister of International Trade is working with Canadian and international partners on the development of a progressive approach to trade to address the concerns of citizens and organizations regarding trade and globalization more generally.
Trade, immigration, and international openness are more and more commonly identified as the cause of economic hardships and inequality. Globally, people are feeling powerless and anxious in the face of unceasing change. The issues are not just about trade. Globalization and the technology revolution have created wealth and opportunities for many, but parts of the middle class and those working hard to join it feel they are falling behind.
These apprehensions are not entirely unfounded. For example, Credit Suisse found that the top 1% of wealth holders owned just over half of the world's wealth; the bottom 50% combined owned less than the top 1%. Furthermore, 71% of world's adult population has a net worth of less than U.S. $10,000.
Our government believes we cannot turn back the clock on globalization and that we should not turn our backs on trade. Increased trade can actually raise living standards, create more jobs, increase prosperity and help to strengthen the middle class, when it is done with the right overall objectives in mind. If Canada and other countries start closing borders, we will find ourselves in a less prosperous and more insular, fearful world.
This is one of the reasons that our government is pursuing a progressive approach to trade in collaboration with our like-minded partners around the world.
A progressive approach to trade seeks to advance higher standards of living and foster sustainable and inclusive economic growth. It includes an emphasis on transparent and inclusive approaches whereby the government is committed to a consultative process on international trade that allows all segments of our society to contribute and be heard. It also ensures government can pursue broad, societal objectives without facing obstacles imposed by trade agreements. The government firmly believes that governments should defend the best interests of their citizens, particularly the most vulnerable.
In addition, a progressive approach to trade also ensures government's continued right to regulate for strong rules on food safety and consumer protection, in addition to world-class, publicly funded health care and other public services. This approach will more effectively promote labour rights and result in stronger environmental protection. It will also include a more progressive approach to investment dispute resolution that is widely recognized as fair, open and impartial, including exploring the establishment of a multilateral approach.
The government is still in the early stages of developing this new progressive approach to trade, but we can already see some real results. This includes advancing the Canada-European Union comprehensive and economic trade agreement, CETA, toward ratification and implementation, on which the Minister of International Trade has worked tirelessly with her EU and member states counterparts. These results also include the work before us in the House today to implement and help bring into force Bill C-31 to implement the Canada-Ukraine free trade agreement.
The Canada-Ukraine free trade agreement is a modern, high-standard agreement that once fully implemented will provide new opportunities for Canadian businesses, deepen trade linkages, provide for increased transparency in regulatory matters and help reduce transaction costs for businesses.
This agreement will provide Canadian companies preferential market access for exports of goods, as well as preferential access to procurement opportunities in Ukraine at the central level. It also includes commitments on non-tariff measures that will help to ensure that market access gains are not undermined by unjustified trade barriers; trade facilitation designed to reduce red tape at the border; and protection and enforcement of intellectual property rights, which will allow Canadian IP right-holders to do business in the Ukrainian market with increased confidence.
The Canada-Ukraine FTA also includes provisions to address the needs of 21st century economies. An electronic commerce chapter obliges both Canada and Ukraine to not levy customs duties or other charges on digital products that are transmitted electronically, for example. In addition, the Canada-Ukraine FTA incorporates several key progressive trade elements to help ensure the economic gains are not achieved at the expense of important Canadian values and priorities.
The agreement contains robust provisions in the areas of labour, environment, transparency and anti-corruption, as well as protections for the government's right to regulate in the public interest. It also supports our foreign policy objectives by strengthening Ukraine's commercial ties to western nations and supporting Ukraine's economic reform efforts. This will complement the support we have committed through bilateral assistance and low interest loans to help Ukraine stabilize its economy.
I support the Canada-Ukraine free trade agreement and all the benefits it would bring to Canadians and Ukrainians. I urge all hon. members to support the bill. I heard in the House this morning that all major parties seemed to support it, which is good news for both Canada and Ukraine.