The lights are on, the cameras are rolling, and the crowd has taken their seats. The packed dining hall waits as four international trade experts are welcomed onto the stage by their host.

A recent iPoliticsLIVE event held in Ottawa, Canada, June 20 brought together industry experts to discuss current and future challenges facing Canadian businesses engaging in international trade.

Canada has a long history as a trading nation. But with a shifting trade landscape, what barriers will exist for Canadian exporters moving forward? This, along with questions on NAFTA and Canada’s relationship with China, were just some of key highlights from this discussion.

Catherine Clark, of Catherine Clark Communications, moderates the ‘Barriers to Growth’ panel and welcomes each of the panelists as they take their seats.

Mark Warner and Peter Clark, experts in international trade law, took their seats to the left of the stage as Bodhi Ganguli and Alexander Malaket, CITP, experts in international trade finance, took their seats to the right.

When the panelists settled in, the titular question of the discussion is brought forward.

What, in your opinion, is the biggest barrier to trade growth?

After a moment of thought, each panelist is given an opportunity to answer. The panelists cited protectionism and risk as the key barriers slowing Canadian businesses entry into international markets.

“The two biggest barriers to trade right now are protectionism as well as limits to domestic imagination,” said Mark Warner, Canadian American trade lawyer for MAAW Law. “We need to open up to new markets but we also must get more imaginative with the markets we are already engaged with.”

“Mindset is a barrier,” said Alexander Malaket, CITP, Founder and CEO Opus International Advisory Group, Director.

More education is needed to better prepare professionals for the international marketplace. Trade will always happen. Companies will figure out how to make deals with each other. Education is the key to preparing people to make those deals.”

“The benefits of global trade are far-reaching,” said Bodhi Ganguli, Lead Economist for Dun & Bradstreet’s Country Risk Services. “But the losses are very concentrated. That is a barrier facing Canadian growth.”

“The biggest barrier, in my opinion, is protectionism,” said Peter Clark, President of Grey, Clark, Shih, and Associates Limited. “The U.S. is Canada’s biggest trading partner and all signs are pointing to a modernization of the NAFTA agreement. This will be a barrier moving forward.”

With the topic of NAFTA now brought up, the first of the audience questions prompted the panelists for their thoughts on the subject. With such uncertainty regarding just how extensive the renegotiation would be, attendees wanted to hear the expert’s insights.

What can we expect in upcoming NAFTA negotiations?

“Nobody knows what’s going to happen,” said Clark. “America sees NAFTA as Canada taking. They want it to be a more give and take relationship. For the U.S., NAFTA must be a rebalancing of the scales.”

“NAFTA has been tweaked before,” Clark continued. “What we need to know now is if this will be a tweak like before or a complete renegotiation.”

“NAFTA won’t happen in a vacuum,” said Ganguli. “There is a global move away from multi-lateral trade to bi-lateral trade. Despite this current trend though, globalization isn’t going away. Product lines are now global. Consumers are now global.”

NAFTA needs to be a fact-based discussion,” added in Warner. “To showcase the benefits of NAFTA, we need to start laying the groundwork at home. We need to not just be promoting its benefits to the U.S., but to Canada as well. We need to expand our domestic imagination.”

“We need to consider the long-term nature of the Canada – U.S. relationship as well,” said Malaket. “Trade exports are extremely important to Canada.”

Are Canadian businesses prepared to do business with China?

Next the discussion dove into the practical challenges of doing business in China. Judging from the panelists answers, it was clear doing business with China will be a learn-while-we-go situation.

“How do we trade with China?” asked Warner. “Businesses have little to no experience working in China. Businesses need to be allowed to try and fail over and over, in order to find success.”

“More education would prepare businesses,” added Malaket.

“While education will always be needed,” said Ganguli. “Supply chains are always improving. They will always move faster than education. A shift in how we do things will be needed.”

Should Canada be diversifying its trade partners?

Given the recent political turmoil in the United States, there has been a great deal of uncertainty regarding Canada’s future dealings with its biggest trade partner. The audience leaned in to get the experts’ take on Canada’s trade future. The panelists recommended expanding Canada’s trading partners, touching on how to best work with the U.S. moving forward, and how Canada should approach its exports.

“You can’t get talent for free. If you want more Canadians working in the U.S., Canada has to give the Americans something. We have to give if we want to get,” said Warner.

“There is an inherent laziness because Canada has always relied on the U.S.,” said Malaket. “We need to diversify our partners, if we want to grow. There are tremendous opportunities beyond America.”

“Canada should absolutely be diversifying in terms of partners. When picking new partners, a trade credit is one way to show if one country is a better option than another,” said Ganguli. “The more data you have, the more strategic you can be. Businesses need to be factual and be agile.”

We need a major shift in Canadian policy in terms of agriculture,” said Clark. “We need to be supporting farmers to be exporting to other countries. There is a great potential and the opportunity for the Canadian agriculture sector.”

Do Canadian companies have all the tools they need to be successful in the global market?

The discussion panel ended by shedding a light on the deficits Canadian businesses are facing moving forward. Drawing on their expertise, Ganguli and Malaket offered their advice for Canadian businesses.

“Canadian companies need to be strategic,” said Ganguli. “And the way they can do that is by collecting information. The more data you have, the more proactive you can be at starting a growth strategy.”

“Financing is also an issue,” added Malaket. “A lack of financing is the most difficult issue exporters face, especially in the services sector.”

With that, the panel discussion comes to an end. The topics covered in this brief but ambitious discussion reflected the changes already upsetting the status quo for Canadian trade and businesses. Outside forces are pushing Canada to be more creative and strategic in taking advantage of all the global opportunities available to Canadian businesses.

What do you think? How prepared is Canada for the coming changes in international trade? Let us know in the comments down below.

The post Can Canada compete in the global market? The experts weigh in appeared first on Trade Ready.

Today, Carl Gravel is an experienced executive helping small businesses across Canada as a director at the Business Development Bank of Canada (BDC). Though he is now an integral member of one of Canada’s largest corporations, Carl has spent many years working hard to get to where he is today.

After earning his degree in finance and commerce, Carl’s career began in the finance industry.  By 2000, after spending several years of dedication, he earned the position of Structured Finance Manager with the National Bank of Canada where he began working with international clients for the first time. Doing so sparked a passion for international business which has guided his career path ever since.

“I started my international career when I was working on a special project many years ago. The project objective at the time was to support the Bank’s client in its work with China, and I fell in love with international business while working on it.”

“My first experiences going with clients to China in the early 2000’s certainly represent vibrant memories. Helping to negotiate deals between Canadian and Chinese entrepreneurs was very exciting.”

Since then, I’ve always enjoyed working with entrepreneurs and supporting them with their ambitions to become small multinationals!

In 2005, Carl’s passion led him to start his own private consulting company, PFL International. With a focus on helping Canadian SMEs enter or expand their businesses in Asian and European markets, he was able to build upon his experience and help many companies. He was also able to improve his global business skills, particularly those regarding intercultural communication and negotiation.

“If I could go back and give myself advice at the beginning of my career, I’d want to teach my younger self about the importance of dealing with different cultures and languages, as well as the time required to build trust.”

The excitement of supporting Canadian SMEs around the world

In 2007, Carl was offered a prestigious role with BDC as their National Director, Manufacturing, and has since continued to grow within the organization.

The organization’s main focus is to offer financing, capital and advisor services to Canadian SMEs, the perfect marriage of Carl’s financial background and passion for helping SMEs in global markets. After ten years there, he remains a firm advocate of their mission and enjoys every opportunity to help Canada’s business talent shine worldwide.

“Every time I work with an SME looking at expanding into international markets, it is exciting and interesting.”

We have so many good companies in Canada offering a lot of value. We need to better showcase them to the world!

In his initial role at BDC, he was responsible for developing the organization’s strategy to support manufacturers, including developing finance solutions to help them do more business in international markets.

In 2010 he was named National Director, Global Expansion (Financing and Consulting), and was put in charge of BDC’s Ontario and Quebec sales teams for their finance and consulting services.

He achieved his current position of Director of International Expansion in 2013. His focus is now on the consulting side of BDC leading their national team as they look to support increasing numbers of Canadian SMEs doing business globally.

Becoming part of a growing international business community

That same year, Carl also started taking FITTskills online courses, completing the entire program by 2016. He found taking the courses beneficial to his overall understanding of international trade, and is eager to recommend the courses to international business professionals.

I found the FITTskills courses to be comprehensive and very practical, especially for smaller businesses. It really gave me a structured thinking around the important aspects of international trade. I think anybody that is involved in international trade should follow the program.

Upon completing the courses and earning his FITT Diploma in International Trade, he applied for the elite Certified International Trade Professional (CITP®|FIBP®) designation and was proud to add it to his list of career accomplishments.

“I was looking for something practical, and it was a widely recognized certification across Canada. I felt very satisfied when I received it. I felt I became part of a solid international community.”

As he continues to help SMEs across Canada reach new heights in global markets, he says that what he’s gained from the FITTskills program and earning his designation will be an important part of meeting his goals.

“My role is to develop international solutions for SMEs and help them to understand the opportunities and challenges of international business, and I am sure all my gained global trade knowledge will be helpful in doing so.”

With Carl carrying on this important work, Canadian SMEs looking for help are in safe and capable hands and we’re looking forward to seeing him empower more businesses excel in global markets.

The post Carl Gravel, CITP|FIBP – Director of International Expansion appeared first on Trade Ready.

In January, I wrote an article for FITT arguing the government needed to show China it was serious about pursuing a bilateral free trade agreement (FTA), if that indeed was what they wanted to do.

In his most recent cabinet shuffle, Canadian Prime Minister Justin Trudeau appointed a sitting minister, John McCallum, as the ambassador to China. Appointing an ambassador straight from cabinet sent a clear message to Beijing that Trudeau was eager to explore an FTA. McCallum knows the prime minister well, having sat with him in caucus and cabinet for nearly a decade. The ambassador can be a direct line of communication between Beijing and the Prime Minister’s Office. During negotiations, the Chinese will know that McCallum has the ear of his country’s leadership.

However, as much as it will be a Canadian sales pitch in Beijing, any trade deal will require a sales pitch here at home as well. The Trudeau government will need to convince Canadians that a trade agreement is good for the Canadian economy, businesses, and workers.

Public support will be crucial for a trade deal of this magnitude—it will be a deal with the world’s third-largest economy, and it may transform entire industries.

The Asia Pacific Foundation of Canada, a Vancouver-based think-tank, released a 2017 National Opinion Poll (NOP) on Canadians’ feelings toward China, especially on trade. The numbers revealed support for a trade agreement, but they also revealed some concerns the government will need to address if such an agreement is to receive public approval.

Majority support for a trade agreement

The NOP revealed that a majority of Canadians (55%) support an FTA with China, while 36% do not, and 9% are unsure. During trade negotiations, the 36% opposed will need to have their concerns addressed. Similarly, the 9% who are unsure if they support or oppose it will need to be convinced of its merits.

The recent trend is towards support for an FTA. The NOP noted that support, currently 55%, was only 46% in 2016 and 36% back in 2014. In three short years, support has gone from just over one-third of Canadians to a majority. Support is growing, but there are public concerns  the government will need to address.

Support comes with concerns for the government

While 55% of Canadians may support an FTA with China, the NOP revealed a more nuanced situation. Prime Minister Trudeau will need to communicate the deal to Canadians in a manner that keeps the concerns below in mind.

An FTA is not a top priority for Canadians

While a majority of Canadians support an FTA with China, it is not their priority for Canada-China bilateral relations. According to the NOP, only 13% saw an FTA as their priority. The plurality (27%) cited environmental cooperation and 15% identified democratic reforms in China.

These numbers indicate Canadians are multifaceted in their approach to China—they may reveal an uneasiness about trade relations with the world’s third-largest economy. This means that any trade talks are likely to involve, in the domestic political sphere, discussions surrounding democracy and the environment.

If the Trudeau government hopes to sell a trade deal with China to the Canadian people, it will need to be prepared to answers questions on these issues.

Concerns over trade with China

The NOP further showed Canadians are concerned about the impacts of an FTA with China. While a majority believe it will be good for Canadian businesses (76%), a smaller majority (64%) is also concerned about the economic and political influence China may have on Canada, should our economies become so closely intertwined.

The 64% number is perhaps as important as the 55% support rate for an FTA. Should the trade deal go through, it may produce a public reaction similar to the one that occurred when Chinese company CNOOC invested in Canada’s oil sands. If the Trudeau government wants to pursue an FTA with China, they may face a lot of concerns that the Harper government faced during the CNOOC affair.

Other concerns that Canadians have include the impact of China’s volatility on the Canadian economy if there is an FTA (71%); cheap Chinese goods entering the Canadian market (56%); and that China will benefit more than Canada in any agreement (51%).

Work still to be done to get public on board with Canada-China FTA

The NOP reveals that, while a majority of Canadians support an FTA with China, that support is incredibly nuanced. There are a lot of concerns, from cheap goods flooding our markets to unequal benefits. Support for an FTA is not unconditional, and it is only the bilateral priority of 13% of the public.

Unless many of the concerns raised by the NOP are addressed, the government may find a public reaction similar to the one that faced the Harper government during the CNOOC situation.

While public support is growing, it is not absolute. There is a lot of work to be done to convince the public an FTA with China is good for Canada.

The post The people have spoken: public opinion on free trade with China appeared first on Trade Ready.

1. Take the China trade talks seriously

The Chinese market is the second largest in the world, and the country’s growing middle class ensures that firms with market access could strike gold. China watchers were therefore delighted when International Trade Minister Chrystia Freeland announced she would hold meetings with Chinese officials to explore a free trade agreement (FTA) between our two countries.

This is a great opportunity, but we have to keep our eye on the ball—talks will take a long time and the Chinese are known to be tough negotiators. Furthermore, with the world at Beijing’s doorstep looking for business, other markets are competing for China’s attention. We need to constantly show Beijing that we mean business on trade.

Canada can do that by devoting serious attention from senior leaders. Minister Freeland needs to be actively engaged in the process. That means regular meetings in Ottawa, and regular trips to China. Frequent high-level meetings in Ottawa will help us flush out our negotiating position and ensure we are adequately prepared for intense discussions.

Regular visits to China will show Beijing that we are serious about trade with the world’s second-biggest economy. It will demonstrate that an FTA is at the top of our bilateral agenda, and that it should be at the top of theirs as well.

That being said, there is only one person in Canada who can give the real symbolic credibility that the free trade talks need—Prime Minister Justin Trudeau.

The prime minister will need to “own” the China trade talks in the same way that Brian Mulroney took ownership of NAFTA.

The PM will need to meet regularly with ministers and public servants, passionately communicate the potential of such a deal to Canadians, and keep in touch with Chinese leaders on the subject.

Prime ministerial ownership will provide real benefits to the talks. It will speed them up by giving them CEO-style leadership that will demand accountability from ministers and public servants, while bringing in a broader strategic view that only the head of the Cabinet can provide. But prime ministerial ownership will also be highly symbolic—Beijing will notice and take Canada seriously in the negotiations.

2. Advocate for the TPP

A large part of the Canadian trade discussion since the Great Recession has been about diversification away from the U.S. market. The Trans-Pacific Partnership (TPP), the mega-trade agreement between Canada and eleven other Pacific Rim countries, was an integral part of that strategy – but it now faces an uncertain future.

The agreement’s two major economies, the U.S. and Japan, are at odds over its implementation. Despite domestic opposition, Japanese Prime Minister Shinzo Abe is still pushing for the trade deal.

With the election of Donald Trump, the American position on the TPP is uncertain. Though President-Elect Trump has stated his opposition, TPP leaders still hope he will change his mind.

Though Canada’s federal government has not confirmed whether it will implement the TPP, Minister Freeland did sign it last year, indicating the government is not wholly opposed to the FTA. Canada can still join Abe and other TPP leaders in putting pressure on the Trump Administration to back the deal.

With Donald Trump already reversing some of his campaign pledges—such as the Muslim immigration ban and the undocumented immigrant mass deportation force—there is a chance he could change his position and support the TPP (though he would likely have to seek modifications in order to save face with his base). It is by no means certain, or even likely, but it is distinctly possible that the TPP could still be a reality in 2017. Canadian leaders should push for it.

3. Re-start trade talks with Japan

As mentioned above, the TPP could still be implemented, but it is very far from certain. The Canadian government should resolve to defend our interests in the event that the TPP is not implemented. And that means going after the big gem among the TPP signatories: Japan. Canada already has a free trade agreement with the U.S., so the prize for Canadian businesses in the TPP is access to the Japanese market, the third-largest in the world.

If the TPP falls through, Canadian leaders, including the prime minister, need to utilize all that Canada has gained from the TPP negotiations, and apply these assets to immediate free trade talks with Japan.

These assets—contacts between officials, goodwill from negotiations, knowledge of the Japanese market gained through the talks, corporate contacts, etc.—are only good for so long. Officials retire or get shuffled, and agenda items get moved down the priority list as time moves on. The Canadian government needs to utilize its public service and business contacts in Japan now.

While any bilateral FTA talks will clearly be different in substance than the multilateral TPP talks (in which Japan was admittedly more focused on the U.S. than Canada), the foundations are there and the connections are too. Talks have stalled in recent years, but the potential demise of the TPP could provide a boost to bilateral efforts.

Canadian leaders should take advantage of this window of opportunity in 2017 and begin negotiations for a bilateral FTA that gives Canadian businesses access to the large and developed Japanese market.

If the government makes these three resolutions, it can deliver market access for Canadian businesses and growth for the Canadian economy.

The post 3 New Year’s resolutions for Canada on Asian trade appeared first on Trade Ready.

“In every class there are always a couple of students who bring energy, imagination and an entrepreneurial spirit to the group. When an amazing opportunity such as an internship appears, they are quick to recognize the challenge and rise to it.”

Ennio Vita-Finzi, Professor of the International Commerce Import/Export program at LaSalle College in Montreal, is talking about this year’s FITT-ALDO intern, Caroline Zhang.

Caroline was a confident, motivated student with a strong work ethic and a genuine interest in international trade, particularly in building on the import/export trade relationship between Canada and China, the two nations that have been her home.

Building a bridge between Canada and China

Before coming to Canada, Caroline worked in Shanghai as a buyer in the vibrant, fast-paced fashion industry, something she credits with sparking her interest in international trade.

Caroline says,

I am naturally excited about business and dealing with people from all over the world. I am passionate about life and one of the main reasons why I moved to Canada from China was because I embrace open-mindedness and change, and love to learn from people of various cultures.

Caroline then made the move to Canada with her son in November 2013 from the city of Xi’an in the North-West region of China.

Canada represented an opportunity for her to continue to excel in her career and further her education in the industry she loves.

The transition to a new country, culture, language and way of life was naturally a challenge. Luckily, Caroline found lots of support upon her arrival in Canada, including language training and help with job searching from the local government.

Seizing her opportunity with confidence

Not long after she arrived in Canada, Caroline found the International Commerce Import/Export program at Lasalle College in Montreal, Quebec. There she took FITTskills courses to improve her knowledge in North American trade, and the industry as a whole.

I decided to enroll in this program because I had experience in trade between China and the U.S. I wanted to learn and expand my knowledge of international trade agreements including NAFTA.

“I knew that I needed to do that in order to become more marketable for future employment in Canada.”

When she saw the FITT-ALDO internship opportunity, she knew she was the perfect candidate for the position, and also recognized the benefits of joining such a prominent, successful company such as ALDO.

“When I received an email from FITT and saw the opportunity to work with the ALDO Group I was so excited. I saw a perfect fit for me to further my career based on my background, and 15 years of experience in China as an import/export coordinator for the fashion industry.”

Building the right skills for the job

“The FITT program helped me gain, improve and update my knowledge of the latest supply chain management systems. My professor, Mr. Ennio Vita-Finzi, gave us many opportunities throughout the course to improve our presentation, business writing and negotiating skills.”

“This helped me in many ways to develop more confidence when applying to jobs, such as the internship provided by the ALDO Group. Mr. Vita-Finzi always encouraged us to believe in ourselves, and to never, ever give up.”

Caroline was thrilled when she was offered the internship position with ALDO Group and knew she was up for the task.

I was excited to be offered the FITT-ALDO internship, of course, but I also believed that I was the best candidate for the job.

Caroline was undoubtedly right about her aptitude for the internship. Her supervisor, Ann Marie Chenier, Customs Compliance Manager, says,

“We were presented with this initiative and could not turn down a chance to work with a knowledgeable individual in the ever changing Global Import-Export industry.”

“We were looking for a candidate with a global understanding of the Import-Export /Supply Chain operational process with a keen eye for details and analytical skills. Caroline had the knowledge and past employment experience required for the intern position.”

Mr. Vita-Finzi had kind words to say about her performance as a student as well.

“Caroline Zhang was able to use all the advice and suggestions made to apply, then interview and finally win the job. I am very proud of her.”

Finding the perfect fit for a great team

As an intern, Caroline took on the role of Import/Export Administrator, working on the customs process.

She is particularly happy to be working with such a great team.

“I enjoy working with the team I was assigned to. I would like to make special mention of my manager, Ann Marie Chenier. She trusts and empowers me with new tasks daily, and provides me with opportunities to learn new skills. She also accentuates and tries to find ways to help ALDO benefit from my past knowledge, skills experience.”

As for the ALDO Group, Caroline fits in perfectly, just like her favourite pair of shoes.

“ALDO is the leading shoe company in Canada’s fashion industry. The first shoes I ever bought in Canada were from ALDO, and that says a lot already.”

I take pride in working for a fast growing company, and I want to grow with them.

Her colleagues are just as happy to have here there.

“In the short time that Caroline has been with ALDO she has shown much initiative and an overall understanding of the import/export process,” says Ann Marie.

The realization of a dream come true

In fact, Caroline has so excelled in her internship role that ALDO didn’t hesitate to offer her a full-time position when it became available.

“As an opportunity developed and Caroline had the qualifications, we thought that she would be a good candidate for this position.”

And Caroline’s reaction to the news?

“I was so surprised, but also very happy. My dreams were fulfilled sooner than I thought.”

When asked about where she sees her career heading in the future, she shows a great loyalty and enthusiasm for the company that gave her that first big break in Canada.

“I am open to discovering new and different opportunities as my education and experience grows at ALDO. I truly enjoy working at ALDO because they provide equal opportunities to work with all cultures, and an environment to learn and gain many new skills.

What I noticed most at ALDO was how happy the employees are, and how much they enjoy doing their job. I feel like I landed in the right place at the right time.

Caroline also enjoys getting outside and taking advantage of the many activities Canada has to offer, like biking along the Lachine Canal, playing tennis and watching her son snowboard in the winter.

“I have become a Canadian and I am proud that I did. We are very much enjoying living in Canada, and look forward to getting to know more about the culture and meet new friends.”

As for the ALDO Group, they are very happy with the mentoring experience they have had with Caroline. In the future the company will be looking for individuals who are knowledgeable in the import/export business and are independent problem solvers who take initiative and work well with a team.

Most importantly, any candidate must share their core message to “Love, respect and have integrity”.

With such a great start at ALDO, we’re sure Caroline has a long, successful career ahead of her.

The post FITT-ALDO intern is wowing her new colleagues with enthusiasm, experience and know-how appeared first on Trade Ready.