Towards a free trade area between indigenous nations?

In a context of economic tensions between Canada and the United States, Kahnawà Mohawks: Ke, Quebec, announced last week that they have signed an agreement in principle with the Tsuut’ina nation of Alberta. It is one of the first milestones towards “the establishment of a sovereign economy of indigenous free trade”, according to the main interested parties.

This memorandum of understanding lays the foundations for a five-year collaboration aimed at developing a global free trade pact which affirms the inherent rights of the two nations to be traded freely, without interference, without customs tariffs or discriminatory restrictions imposed by the colonizing governmentssaid the Mohawks press release.

A working group will be created to plan what the free trade treaty could look like between the two nations, said Aboriginal spaces Paul Ricethe chief responsible for the portfolio of economic development within the Kahnawà band council: Ke. The agreement could come into force in 2026, according to him.

The community of 8000 inhabitants located in Montérégie has already signed two similar principles in recent months. A first with Western Canada black feet and a second with five other members of the Haudenosaunee Confederation, some of which are located south of the border.

The Mohawk community, which has several hundred entrepreneurs, could find outlets for its partners to sell its production (maple syrup, honey, crafts, etc.) and open the Kahnawà market: Ke to more rural Aboriginal nations.

Strong entrepreneurship means a strong economy, a high employment rate and a good quality of life for our members.

The latter is delighted that the community is currently experiencing its lowest rate of members using social assistance.

But exchanges between the two First Nations could also take the form of a knowledge sharing. Tsuut’inas are currently building, in partnership with the promoter Canderel, a gigantic domiciliary and commercial project of $ 10 billion on three sites southwest of Calgary.

However, Kahnawà: Ke recently recovered a band of 225 hectares of land spread over ten kilometers along Highway 30, south of Montreal. All after more than 10 years of legal battle with the neighboring municipalities which opposed the land transferred by Quebec to Mohawks.

The results of our commitment to the community concerning the use of highway 30 land will be announced soon and it is already clear that residential and commercial development will be carried out on part of the fieldnoted Paul Rice.

According to the latter, in the current context of trade tensions between Canada and the United States, It is important to assess all economic opportunities, including those between indigenous nations and internationally.

Several other nations participated in the forum that led to the agreement between Mohawks and Tsuut’inas. These are the Mississaugas de la Credit (Ontario), the First Nations of Enoch (Alberta), White Cap Dakota (Saskatchewan), Peepeekis (Saskatchewan), Chiniki (Alberta), Stoney Nakoda, Bearspaw (Alberta) and the first nation Louis Bull (Alberta).

When publishing, it was not possible to collect comments from the Tsuut’ina nation regarding this Aboriginal free trade area project.

On the Mohawk side, this search for business opportunities aims to reach a certain form of economic sovereignty. Currently, 28 % of the annual budget of $ 133 million in Kahnawà: Ke comes from independent income. These are mainly income from casino and participation in renewable energy projects, such as the wind farm of cultures developed with the Kruger company in Montérégie.

To achieve its financial independence objectives, Kahnawà: Ke also launched a sovereign fund of $ 33 million, after the sale of its shares in Continent 8, a Mohawk company specializing in online games.

For its first year of existence, the fund obtained a stock market return of 12.8 % ($ 4.3 million), a figure much better than the expected 7 % and even more imposing than the yield of 9.8 % of the Caisse de Dépôt et placement du Québec.

In 100 years, this fund could reach one billion dollars and ensure the financial independence of Kahnawà: Ke, says the band council. Part of the interests garnered by then will be used to finance economic, but also social projects.

About ten First Nations were present at the Economic Forum having sealed the agreement between the two communities, in Akwesasne, last April. Some of these communities could follow suit later.