A year ago this month, amid much fanfare during the state visit to Ottawa by Korea’s President Park Geun-hye, Canadian and Korean governments signed the long-anticipated Canada Korea Free Trade Agreement (CKFTA), following eight years of on-off negotiations. It came into effect on Jan. 1 of this year.

Prime Minister Stephen Harper and President Park also announced the elevation of the Korea-Canada relationship to that of a “Strategic Partnership.” Not only did it register the expectation that the trade pact would open a major new chapter of growth in our economic ties, but that it would have a “halo effect” in stimulating a deepening of relations across the board.

Earlier this month, at an annual forum hosted by the Centre for International Governance Innovation (CIGI), 40 or so Koreans and Canadians met to take stock of the FTA’s early impact and to consider what the notion of Strategic Partnership should mean for the road ahead.

Among the several conclusions reached at the forum, one in particular stood out: that taking Korea-Canada relations to these ambitious new levels would depend primarily on energetic and proactive approaches by business and government, driven by innovative ideas and leadership.

While some observers might think that FTAs are “switch on and go” propositions, they are not. Governments need time to implement the changes. Businesses need time to evaluate and respond to the new opportunities. Adding to the CKFTA mix, international economic conditions this year have not been conducive to growth in global trade generally.

It is not surprising, therefore, that with some happy exceptions — such as in some Canadian agriculture and food products that have benefited from immediate tariff cuts — we have seen an overall drop in two-way trade since the FTA came into force, but less fall off in those areas benefiting from improved terms of access.

This has been excerted from the 28 September 2015 article by Canadian International Council.