N.L., N.B. sign agreement to explore breaking down interprovincial trade barriers

Newfoundland and Labrador and New Brunswick have signed a memorandum of understanding to explore how interprovincial trade barriers can be broken down between the two provinces.

Meeting in St. John's on Thursday, Newfoundland and Labrador Premier Andrew Furey said barriers have gotten in the way of business at times. As part of the MOU, any trade related credential held in Newfoundland and Labrador or New Brunswick would be honoured in the other province.

"It makes no sense, for example, that a trucker is licensed in New Brunswick but can't be licensed here in Newfoundland and Labrador," Furey said.

"There are barriers that have existed for quite some time that probably weren't designed to be necessarily barriers, but have creeped into the bureaucracy and governance of provinces to the point that they need to be reevaluated."

New Brunswick Premier Susan Holt says the provinces have put these barriers under the microscope in response to tariffs placed on Canada by U.S. President Donald Trump.

"This is a time when the U.S. is trying to divide us. And so Canada is coming together like never before. And Team Canada has made it a point that we are going to make doing business in Canada easier and easier," Holt said.

"That means breaking down the rules that used to say that you had to get inspected in Newfoundland and inspected in New Brunswick in order to sell that product. That makes things more expensive, more time consuming for small businesses."

New Brunswick is Newfoundland and Labrador's fourth largest two-way trading partner.

Both governments will immediately begin discussions to eliminate barriers where it makes sense, Furey said, but both he and Holt hope things can develop quickly.

"We want to do what we can, when we can do it, and strike while the iron's hot," Holt said. "It might not be everything, but it is something and it is progress."

But there will be exceptions where barriers remain in place, Furey said, pointing to minimum processing requirements in the fishery and labour agreements like those connected to hydroelectric projects and the Atlantic Accord.

"Those labour agreements, you could suggest that those are barriers to interprovincial trade, but they will still have to exist with respect to the people of Newfoundland and Labrador, there's no question," Furey said.

New Brunswick had already signed a similar agreement with Ontario. Holt says the province is also eager to sign an agreement with Quebec.

Furey says he's open to signing agreements with other provinces in Atlantic Canada and beyond. He specifically spoke of Ontario, calling Premier Doug Ford a good friend and champion for interprovincial trade.

Additionally, Furey and Holt used the announcement to issue a joint call for the federal government to address barriers around crude oil with the hope to have Newfoundland and Labrador product refined in New Brunswick.

"There is no reason that New Brunswick can't handle our crude product," Furey said.

"There are some regulatory hurdles. We look forward to being out of this writ period and seeing the commitments that were made to look at eliminating some of these barriers come into effect."

In March, Prime Minister Mark Carney told reporters he agreed to develop a national trade strategy with Canada's premiers with a goal of implementing free trade between provinces and territories by July 1.

Holt has also previously called for a free trade zone between the Atlantic provinces.

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