CIIT meeting 31 · 2026-04-16 — Committee Evidence — LegisWatch

Summary

The House of Commons Standing Committee on International Trade met to study the state of internal trade in Canada, hearing from business association leaders and a port executive, followed by the minister responsible for internal trade and a senior official.

Corinne Pohlmann of the Canadian Federation of Independent Business said that while more progress on internal trade was made in 2025 than in the eight years since the 2017 Canadian Free Trade Agreement, small businesses still do not experience Canada as one open domestic market. She identified key remaining barriers as inconsistent mutual recognition that still requires reapproval in practice, major excluded sectors like services and alcohol, labour mobility undermined by regulatory duplication, and a lack of clear implementation plans. She recommended fully implementing pan-Canadian mutual recognition without reciprocal conditions, expanding it to cover services and labour mobility, publishing clear timelines and guidance, and avoiding replacing old barriers with new ones.

Julie White of Manufacturiers et Exportateurs du Québec said that for her members, the top irritant is transportation and supply chain logistics, noting it is often easier to send products from Quebec to Florida than to the Prairies. She welcomed recent federal port investments but stressed that many projects have been dragging on and need to move faster, and she advocated for mutual recognition of trucking regulations rather than full harmonization, arguing that harmonization takes too long and that mutual recognition can preserve provincial distinctiveness, including Quebec's French-language requirements.

Robert Bellisle of QSL International Ltd. said maritime transportation is a strategic pillar of the economy and that while recent federal port programs are welcome, execution must happen faster because lengthy consultation and permitting processes remain a major obstacle. He cited a terminal project in Sorel-Tracy that began in 2020 and is still awaiting approvals six years later, and he called for streamlining processes and reducing duplication among federal and provincial entities without compromising environmental standards.

Jeannine Ritchot of the Privy Council Office said that internal trade has been top of mind at recent first ministers meetings and that all first ministers agreed to hard deadlines, including expanding mutual recognition agreements by the end of 2026, harmonizing approvals for building materials and prefabricated homes by the end of the year, and advancing digital credential recognition for tradespeople by spring 2027.

Minister Dominic LeBlanc said the federal government has removed all its own barriers to internal trade through the Free Trade and Labour Mobility in Canada Act and that the remaining work rests with provinces and territories, with whom the government is working collaboratively. He cited the Canadian Mutual Recognition Agreement on the Sale of Goods signed in November 2025, a new memorandum of understanding on interprovincial trucking, and progress on direct-to-consumer alcohol sales, with 11 of 13 jurisdictions set to allow it by May. He also noted that first ministers agreed to extend mutual recognition to services by the end of 2026 and to launch a network of internal trade commissioners to increase interprovincial trade in food and alcohol.

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Witnesses · 4

Corinne Pohlmann

Executive Vice-President, Advocacy, Canadian Federation of Independent Business

Opening remarks

Thank you for the opportunity to be here today to speak about the state of internal trade in Canada. The Canadian Federation of Independent Business represents more than 103,000 small and medium-sized companies across every sector of the economy and every region of Canada. For our members, internal trade barriers affect their ability to grow, hire, move goods and compete every single day. Our latest internal trade survey shows that 63% of smaller firms have sold goods or services, or purchased goods or services from another province or territory in the past 12 months, with about three in four stating that they would likely expand to new or additional markets across Canada if internal trade barriers were reduced. CFIB's interprovincial trade report card from 2025 and our progress report from earlier this year show that Canada has finally begun to make meaningful headway. In fact, more progress was made in 2025 than in the eight years following the signing of the Canadian Free Trade Agreement in 2017. Governments deserve recognition for that momentum. Our message to you today is straightforward: Small businesses still do not experience Canada as one open domestic market. Much of…

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Julie White

President and Chief Executive Officer, Manufacturiers et Exportateurs du Québec

Opening remarks

Thank you very much, Madam Chair. I would first like to thank you for giving me the opportunity to bring the voice of Quebec manufacturers to this committee today. Manufacturiers et Exportateurs du Québec, or MEQ, is a business association that is obviously dedicated to growing Quebec's manufacturing sector. Our association represents businesses of all sizes from all manufacturing subsectors in all regions of Quebec. We represent members' interests, and we support them when it comes to challenges related to labour, competitiveness, innovation and exports. We're also a member of Canadian Manufacturers & Exporters, the trade and industry association founded in 1871. First of all, it's important to remember that the manufacturing sector is a pillar of Quebec's economy. It ranks first among all sectors based on its weight in the gross domestic product, or GDP, and it contributes 12.3%. We employ over 501,000 Quebeckers. We represent more than 86% of exports and we bring together more than 13,600 businesses. The latest data show that we generated over $219 billion in overall sales. We are at the heart of the economic vitality in many regions of Quebec. Unfortunately, of all the…

Jeannine Ritchot

Assistant Deputy Minister, Intergovernmental Affairs, Multilateral Relations and Internal Trade, Privy Council Office

Opening remarks

Thank you, Madam Chair. Yes, I can say that we have supported the Prime Minister in organizing a number of first minister meetings that there have been since November 2024. Internal trade has been top of mind for all first ministers. At the last first ministers meeting, which Minister LeBlanc has referenced, there were a number of key commitments that have hard deadlines, and all first ministers did, indeed, agree to those. The specifics I can offer to that end are that the first ministers stressed the need for expanding the mutual recognition agreements by the end of 2026. That is what Minister LeBlanc referenced, that there has since been agreement to expand services. They also agreed to promote greater harmonization for the approval of new building materials and prefabricated homes by the end of the year. That's a very active space as well. On labour mobility, I believe the minister has already mentioned some of the work being done on digital credential recognition for tradespeople by spring 2027 and accelerating work to prioritize occupational health and safety requirements in the construction sector by fall 2026. There are ambitious timelines being pursued by all.

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International Trade

Summary

Witnesses · 4

Bills mentioned