Small businesses push for open trade as CFIB warns internal barriers hurt production and economic growth
The Canadian Federation of Independent Business (CFIB) urges all governments to eliminate internal trade barriers that restrict the movement of goods, services, and labour as potential US tariffs take effect next week.
The Committee on Internal Trade will meet soon to address these concerns.
According to a CFIB survey, nearly 90 percent of small businesses believe removing internal trade barriers should be a priority for governments.
Half of respondents reported that these barriers negatively impact production, and the same proportion said expansion efforts are hindered.
Additionally, about 87 percent of business owners support allowing food produced in provincially or territorially licensed and inspected facilities to be sold across Canada.
SeoRhin Yoo, CFIB’s senior policy analyst for interprovincial affairs, emphasized the urgency of addressing internal trade barriers, stating, “It’s been very heartening to see so much attention on the urgent need for open trade within Canada.”
She praised Premier Tim Houston’s plan to introduce legislation removing trade barriers with provinces willing to do the same and urged all other provinces and territories to follow suit immediately.
Yoo also stressed that while there is a real opportunity to resolve this long-standing issue, governments must act now.
She stated that premiers have all necessary tools at their disposal and that adopting mutual recognition agreements would enable the free movement of goods, workers, and services.
Ryan Mallough, CFIB’s vice-president of legislative affairs, noted that while internal trade progress has been monitored since before the Canadian Free Trade Agreement (CFTA) was signed, meaningful political action has been lacking until now.
“It’s ridiculous that it’s so often easier and cheaper to export food to neighbouring countries than it is neighbouring provinces or territories,” Mallough said.
He urged governments to focus on external competition rather than internal barriers.
CFIB is advocating for immediate adoption of mutual recognition policies to allow goods and services approved in one province to be available in all others without additional requirements.
Other recommendations include:
- Eliminating remaining CFTA exceptions
- Implementing outstanding items from the Regulatory Reconciliation and Cooperation Table work plan
- Collaborating with professional colleges to streamline credential recognition for skilled workers
- Legislating timelines for professional certification approvals across provinces
Liberalizing interprovincial alcohol trade
