Canada envoy eyes FTA, stronger trade ties with Cambodia

After the closure of its embassy in Cambodia in 2009, Canada maintained a representative office here. Canada remains one of Cambodia’s biggest trade partners. In an exclusive interview with Khmer Times Business Writer Jose Rodriguez T. Senase, which was facilitated by Charge d’Affaires, Jan Scazighino, Canada’s new Ambassador to Cambodia, Thailand and Laos Sarah Taylor discussed the purpose of her visit, current status of trade between the two countries, the impending Free Trade Agreement (FTA) with Asean, Canada’s new Indo-Pacific Strategy, the push to make Asean a strategic partner, development assistance to Cambodia, among other topics. Excerpts:

Q:Ambassador Taylor, what are the objectives of your current trip to Cambodia?

Sarah Taylor:  Firstly, it has taken too long to present my letters of Credence to His Majesty the King. Due to Covid travel restrictions, I could not accomplish this important step to formalise my assignment here. His Majesty and I exchanged views on Cambodia’s remarkable progress over the past decades and challenges in its current development. We also discussed how Canada had been a steadfast friend and support to Cambodia and our current bilateral relationship priorities.

My team based in Phnom Penh does a great job to manage the Canada-Cambodia relationship, and I am here to provide impetus to deepen that relationship. We try to help civil society in the human rights area. De-mining is a big priority for Canada, and I will meet with Cambodian Mine Action Authority. Our trade relationship has grown to $1.5 billion, and investment from Canada has surpassed $1 billion, and I will meet Canadian businesses here.

I look forward to working closely with Cambodia as Asean Chair to advance our shared objectives across the three Asean pillars.

Q: What are your objectives during this important year for the Cambodian chairmanship of Asean?

Sarah Taylor: The year 2022 marks the 45th Anniversary of the Canada-Asean Dialogue partnership. We will celebrate this important milestone throughout the year, led by our Asean Mission in Jakarta. We also hope to have a Commemorative Summit here in Cambodia during the Leaders’ Summit.

As we reflect on 45 years of Asean-Canada partnership, we reaffirm our commitment to Asean. We are deepening our engagement in the region as we develop a new Indo-Pacific Strategy. We focus on ensuring our engagement is strategic and responsive to Asean’s needs and strengthening Asean’s centrality. Our desire to upgrade our relationship from Dialogue Partner to Strategic Partner reflects this focus and commitment.

We would be honoured if Cambodia, as Asean Chair, invited Canada to the Asean Leaders’ Summit as “Guest of Chair” and would give consideration to our membership request in ADMM+ and the EAS. We seek to be at the table with Asean countries to engage constructively and face the challenges of Covid, economic recovery, regional peace and security.

We have just launched the Canada-Asean FTA negotiations. It is much more than just dropping tariffs between our two regions for Canada. Canada includes in its recent FTAs chapters the environment, labour rights, procurement, and gender rights. The FTA becomes a tool and platform to energise the overall multilateral relationship. We seek support from Cambodia for full engagement in the FTA negotiations with the Asean Secretariat.

I recognise that this is a very important year for Cambodia as Asean Chair, providing leadership to help ensure progress against the Five-Point Consensus is made. We support the Asean 5PC and the efforts of the Asean SE to support a peaceful resolution in the interests of the people of Myanmar.

Q: How do you see the current free trade negotiations between Canada and Asean?

Sarah Taylor: I see tremendous benefits to both sides due to the FTA. The feasibility study performed in 2019 noted that Asean GDP/year could increase as much as $39 billion, and Canada’s could increase by $10 billion/year. For Cambodia, the number is $675 million/year. Along with increased trade comes the opportunity for more discussions on partnerships between businesses, government and even civil society.

We are pleased to have launched the FTA negotiations last fall and look forward to organising a first negotiating round as soon as possible. Officials continue to prepare for a first negotiating round. They will work with Asean to prepare a Work Plan for the negotiations. In parallel, Canada will complete its domestic transparency requirements by tabling negotiating objectives in Parliament over the coming weeks.

We look forward to Cambodia’s Presidency of Asean this year and to engage with Cambodia on the negotiations.

Q: Currently, Canada manages its bilateral relations with Cambodia with a small office here. Are there plans for any upgrades?

Sarah Taylor: Our Office in Phnom Penh is small yet mighty. They successfully promote Canada across all areas of foreign policy. But I should note that they are not alone. They get full support from my Embassy in Bangkok and the Canadian Defence Attaché for Cambodia, based in Hanoi. We are a team and work together daily to strengthen goodwill and progress between Canada and Cambodia.

Canada is working hard on an Indo-Pacific Strategy. For us, this means a renewed focus and importance on Asean. It is no secret that our offices in both Phnom Penh and Vientiane are not full Embassies. I am personally hopeful that our new Indo-Pacific Strategy will allow for more resources to these important countries.

Q: Canada used to have a full bilateral development programme based in Cambodia. Is Canada still providing assistance to the Kingdom?

Sarah Taylor: Yes! While we closed our bilateral development assistance office in 2012, the assistance continues largely. Up to last year, Canada has provided $450 million in development assistance to Cambodia since 1991, focused on food security, de-mining, parliamentary governance, gender issues, human rights, humanitarian assistance and border security.

In Cambodia, Canada’s international assistance is delivered through various channels, including bilateral, regional, partnership, multilateral and global programmes, the International Development Research Centre (IDRC), and peace and security. Yearly, Canada provides about $15.6 million to Cambodia. It includes small projects with local NGOs like COMFREL, Inclusive Organisation, Demine, SEVA and DPA. It also includes projects like PMI LED and WILL, women in agriculture AGROW Project, ADRA Cambodia, and UN ESCAP’s Catalysing Women’s Entrepreneurship project in Asia Pacific.

Through our Asean Regional Development Programme, Canada supports Cambodia. For example, through a project with the International Labour Organization (ILO), Canada aims to increase access to social protection for women and men migrant workers in the Asean region, including Cambodia, maximise the social and development impact of migration, and improve regional cooperation and labour mobility opportunities within the Asean community. Under the Canada-Asean scholarship programme, Canada welcomed four Cambodian mid-career professionals for professional development. The Canada-OECD project for Asean Small and Medium Enterprises supported Cambodia to advance its broader economic development strategies by fostering more innovative and productive SMEs and start-ups.

Canada also provided Covid assistance to Cambodia with a donation of $1.5 million in PPE and $2.7 million to the Covid-19 Asean Response Fund, as part of a broader effort to support an Asean-led response to the pandemic.

Q: Will you have any time to see some of Cambodia’s beautiful sightseeing spots on this trip?

Sarah Taylor: My favourite thing about this country is the Cambodian citizens. I am meeting formally with almost 40 people from government, civil society, and business on this short trip. Cambodia’s friendliness and warm and welcoming nature shine through these personal interactions.

I will not have time to visit Angkor Wat this time, but I have been before. I have a Doctorate in Archeology, and thus the entire Angkor system of temples and ruins holds a very special place in my heart. I hope to return on my next trip to the Kingdom.

Source: Khmer Times