Canada announces the extension of the air transport agreement with Chile

Canada announced Friday the expansion of the air transport agreement with Chile, which gives airlines more flexibility to operate flights between the two countries, both passenger and cargo.

The measures announced today by the Canadian Ministry of Transportation extend the bilateral arrangement of February 2005, which established unlimited direct flights between Canada and Chile.

The extension of the agreement means that airlines will now have more flexibility to operate flights with a stopover in a third country if the final destination is Chile or Canada.

In addition, a "fully open and flexible" shared code system, "included with third-country airlines," will be allowed to operate.

Also, cargo planes may make unlimited flights with stopovers in third countries.

Canadian Transportation Minister Marc Garneau said in a statement that the measures will help "help the Canadian airline industry increase its access to international markets," which, he added, "supports the expansion of trade, tourism and interpersonal links. "

Garneau said the extension of the air transport agreement will come into force "immediately."

For its part, the head of International Trade of Canada, Jim Carr, said that "the expansion of the air transport agreement between Canada and Chile will improve market access for passengers and cargo services and will make it easier for businesses to flourish in this dynamic market. "

"It is a step forward for companies looking to enter the region and will help generate wealth, opportunities and employment for Canadians," Carr added.

Canada and Chile have a free trade agreement in force since 1997 that was modernized in February this year and has quadrupled bilateral trade.

Chile has also become the main destination in Latin America of Canadian direct investments: At the end of 2017, Canadian investments in the South American country reached 17.1 billion Canadian dollars (12.825 million US dollars).