The U.S.-Canada Free Trade Agreement (CFTA) was enacted January 1, 1989, after two and a half years of negotiations. It predates the current negotiations to create a North American Free Trade Agreement (NAFTA) by expanding the CFTA to include Mexico. Participation in a NAFTA is important to Canada in order to maintain its status under the CFTA and to ensure its exports to the United States are not displaced by Mexican products. Canadian grains, oilseeds, beef, and pork exports would likely benefit from improved access to the rapidly growing Mexican market.
