Canada and the European Union have quietly reached a tentative agreement on beef and pork, one of the biggest obstacles standing in the way of a comprehensive trade and investment deal.
Multiple sources tell The Canadian Press the two sides recently settled on a quota that is big enough to allow Canadian meat producers to penetrate the European market, but not so big that European farmers would feel threatened.
No one is talking publicly for fear the deal could unravel, falling victim to the horse-trading that characterizes the final rounds of trade negotiations.
But since the beef and pork conundrum was a potential deal-breaker for Canada, insiders are growing optimistic that the elusive agreement may now be within reach.
On Thursday, International Trade Minister Ed Fast was in the heart of cattle country, boasting about the market access the Canadian government had negotiated for the beef industry. He went out on a limb, saying only a few barriers remain in the trade talks.
Sources say there are still several contentious areas, apparently including financial services, procurement, cheese, fish and investor state dispute settlements.
Talks have been bumped up to the highest level of government in recent months in the hopes of breaking the logjam that has held up any formal announcement of a deal.
At the same time, Ottawa insiders say Prime Minister Stephen Harper wants some economic trophies to put in the showcase for his throne speech next month. On Thursday, Finance Minister Jim Flaherty announced a new plan for what he hopes will become a national securities regulator.
Stuart Trew, a trade expert with the Council of Canadians, said his organization's executive director was dismayed to hear of a breakthrough on "agricultural issues" when he visited Brussels recently to present European parliamentarians with a petition signed by Canadians who oppose the deal.
Trew said the council is concerned that Harper will agree to a deal, under pressure to get something finished before the ramping up of Europe's talks with the United States in October. The council has repeatedly criticized the government for being too secretive about the negotiations.
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