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Complex Belgian Politics Threatens EU-Canadian, TTIP Trade Deals

© REUTERS / Kai PfaffenbachA placard against Comprehensive Economic and Trade Agreement (CETA) and Transatlantic Trade and Investment Partnership (TTIP) agreements.
A placard against Comprehensive Economic and Trade Agreement (CETA) and Transatlantic Trade and Investment Partnership (TTIP) agreements. - Sputnik International
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Belgium is set to block the controversial Canada-EU trade deal, CETA, which could also throw the US-EU Transatlantic Trade and Investment Partnership (TTIP) deal into doubt, because of the country's complex political structure.

The Comprehensive Economic and Trade Agreement (CETA) is an EU-Canada trade treaty, set for ratification by all 28 EU member states, each of which has to agree the terms of the offer to give EU firms more and better business opportunities in Canada and support jobs in Europe.

The problem with Belgium is that it is politically and linguistically challenged. There are French-speaking, Dutch-speaking, German-speaking and bilingual regions. These are based on historic cultural differences and have often led to long periods of political stasis within Belgium.

​Politically, at the top level is the federal government, with Prime Minister Charles Michel at its head. He attends EU Council and summit meetings.

Under that is the Flemish Government, which serves the Flemish region and community — largely north Belgium. Then there is the Government of the French community. In the tip of east Belgium is the Government of the German=-speaking community. The Walloon region — the French-speaking region of southern Belgium — has its own government, as does Brussels, the capital.

Any deal with Canada on a trade deal would have to go to all six parliaments. However, the Walloon Government is set to reject the CETA deal and may be supported by the Government of the Brussels-Capital Region.

Walloons Voting

Anti CETA demonstrators - Sputnik International
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"Wallonia is in a key position because a refusal on its part would prevent the signature of the treaty," a source told AFP. 

The Walloon Government has already passed a motion against CETA and is set to hold a second debate on the issue October 14. Andre Antoine, the head of Wallonia's parliament, told Le Soir newspaper on Monday after a trip to Canada:

"I have stressed that our disagreement was very justified, especially on commercial practices, agriculture and dispute resolution." 

The CETA deal — as well as TTIP — have come in for criticism for lowering regulatory standards in the EU, which tend to be tighter for food production and preparation, agriculture, pharmaceuticals and the environment. Central to the trade agreements is the principle that, if EU states' regulatory policies preclude non-EU countries from selling their goods or services, the company can sue for loss of earnings under the Investor State Dispute Settlement (ISDS) system, which is a trade tribunal separate form member states' judiciaries.

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