Hope remains for CETA, although Belgium's Walloon region still opposes trade pact

A top European Union official says he remains hopeful a compromise can be found to clear the way for signing a trade pact between Canada and the 28-nation bloc as plannednext Thursday, but a lone region inBelgium hasaffirmedit's not ready to support the agreement.

CETA(Comprehensive Economic and Trade Agreement)is being blocked by Wallonia, a French-speaking region in Belgium.People thereworry the deal will hurt their farmersand public services.

TheWalloon leader on Saturdaysaid he's still not on side, even though all national governments of the EUare ready to sign anagreement that was seven years in the making.

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"I think it's worth taking a little more time," Walloon leader Paul Magnette said after a meeting in Brussels with European Parliament President Martin Schulz, arrangedin an effort to save thepact.

Schulz, who earlier Saturday met with Canadian International Trade Minister Chrystia Freeland, saidEurope will work to ease anyconcerns.

"I think we clarified a lot of points. Other points I will discuss with President Magnette a little bit later. But I take note today that the Canadian side is prepared to sign," he said.

"The problems on the table are European problems, and we have to solve it. And I'm very confident that we can solve the problems that we have within the European Union," he said.

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At a joint news conference with Schulz before heading home, Freeland emphasized that Canada is finished negotiating.

"From Canada's perspective, our work is done," she said on Saturday. "We've done our job, and Canada is ready to sign this agreement. Now the ball is in Europe's court and it's time for Europe to finish doing its job."

Vocal farmers central to objections

Although Freelandheadedback toCanada, shehopesto return with Prime Minister Justin Trudeauin the coming weektosign CETA.

DavidKleimann, a researcher of of EU trade law and policy at the European University Institute, told CBC News, after the meetings at the European Parliament Saturday,that he was hearingthat things were looking "quite good now."

Negotiations continue, however, on the joint interpretative declaration that would be annexed to the legal text.

"The Walloons are having trouble (understanding) the investment protection provisions of the treaty," he wrote to CBC News, "as well as the validity (of the) EU ban (on) hormone-treated beef."

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The fate ofWallonia'svocal and powerfulfarmers has been central to the region's trade objections.

Canada is unwilling to reopen the deal's tariff changes and market access provisions for agricultural commodities, which would allow more Canadian farm products to enter the relatively sealed-off EU.

Difficulties over secretive arbitration deal

Magnettesaid Friday that his talks withFreelandhad made progress on agricultural issues.

The "difficulties"Magnetteidentified as remaining are on "the symbolic issue of arbitration, which is politically extremely important," he said.

The declaration was intended to ease fears, not only inWalloniabut in other key countries like Germany and Austria, whereCETAcritics have warned the agreement would limit countries' ability to regulate in areas like environmental or labour standards without fear of being sued by foreign corporations.

It's been rewritten sincean earlier leak of a five-page draft, but subsequent versions have not been made public.Some European reports suggest that it now includes a full page of clarifications on the proposed new investment court system. CBC News has not seen the latest draft and cannot confirm this.

Time is running out for the EU to come to an agreement on whether to sign before the plannedEU-Canadasummit on Oct. 27.

IfWallonialifted its objections by Monday, it may still be possible for the EU to complete its necessary procedures in time.

Time running out

A dejectedFreelandwalked awayfrom the talks onFriday, saying that the EU appeared incapable ofsigning the deal. The pact was produced two years ago but must beendorsed unanimously.

"I've worked very, very hard, but I think it's impossible," the minister said, reflecting on the months of travel and lobbying across Europe she's invested, working in tandem withher EU trade counterpart, Cecilia Malmstrom.

"We have decided to return home. I am very sad. It is emotional for me," she told reporters. "The only good thing I can say is that tomorrow morning I will be at home with my three kids."

Belgium won't sign on to CETA without the support of its regions.

Politicians in Wallonia, which is smaller than New Jersey, arguethe proposed deal would undermine labour, environment andconsumer standards and allow multinationals to crush localcompanies.