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2012-13
Report on Plans and Priorities

Foreign Affairs and International Trade Canada

The original version was signed by
The Honourable Ed Fast
Minister for International Trade and Minister for the Asia-Pacific Gateway

The Honourable John Baird
Minister of Foreign Affairs

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Table of Contents

Ministers’ Message

Section I: Organizational Overview

• Raison d’être
• Responsibilities
• Strategic outcomes and program activity architecture (PAA)
• Organizational priorities
• Risk analysis
• Planning summary
• Contribution to the Federal Sustainable Development Strategy (FSDS)
• Expenditure profile
• Estimates by vote

Section II: Analysis of Program Activities by Strategic Outcomes

• Strategic outcome 1: Canada's International Agenda
  • Program activity 1.1: International Policy Advice and Integration
  • Program activity 1.2: Diplomacy and Advocacy
• Strategic outcome 2: International Services for Canadians
  • Program activity 2.1: International Commerce
  • Program activity 2.2: Consular Services and Emergency Management
  • Program activity 2.3: Passport Canada
• Strategic outcome 3: Canada's International Platform
  • Program activity 3.1: Governance, Strategic Direction and Common Service Delivery
  • Program activity 3.2: Government of Canada Benefits
• Internal Services

Section III: Supplementary Information

• Future-Oriented Financial Statements
• List of Supplementary Information Tables

Section IV: Other Items of Interest

Ministers’ Message

We are pleased to present the 2012-13 Report on Plans and Priorities for Foreign Affairs and International Trade Canada (DFAIT). This report provides a summary of the department's operational priorities for the coming year with a focus on advancing the government's Global Commerce Strategy and international prosperity and security agenda in five key areas.

Expanding trade and opening new markets for Canadian businesses will remain a core priority for DFAIT. We will intensify our pursuit of new and deeper trading relationships with large, dynamic and fast-growing economies like China, India, and Brazil. We will ensure that Canada's brand is used to its greatest advantage in promoting our trade objectives, including the broadening of our trading relationships and the conclusion of trade agreements with the European Union, India and Japan. We will continue to pursue our efforts to join the Trans-Pacific Partnership at the earliest opportunity, and focus on capacity building in the Americas.

Our second priority will be to continue reinforcing an already robust Canada-U.S. relationship. We will advance trade and security objectives through the Canada-U.S. Shared Vision for Perimeter Security and Economic Competitiveness, and will continue to promote Canada as a supplier of choice for energy. We will expand our commercial engagement in the broader hemisphere while working with countries such as Mexico and Haiti to strengthen security and the rule of law.

Promoting democracy and respect for human rights, and contributing to effective global governance and international security is our third priority. We will support peaceful, democratic transitions and stabilization in the Arab world, and the launch the operations of the Office of Religious Freedom. We will continue to address international security challenges, including transnational crime and terrorism, cyber security, and the proliferation of weapons of mass destruction.

Our fourth priority will be further implementation of Canada's Arctic foreign policy. This will include working to resolve boundary issues, securing international recognition for the full extent of Canada's extended continental shelf, and strengthening the operations and policy role of the Arctic Council, which Canada will chair in 2013-15.

Finally, we will work to modernize consular services, collaborate with partner ministries to improve visa granting mechanisms, and introduce a new, more secure ePassport.

For more details on the government's international agenda and the department's work we invite all Canadians to visit the Foreign Affairs and International Trade Canada website (www.international.gc.ca/).

Section I: Organizational Overview

Raison d’être

Responsibilities

The department's mandate is set out in the Department of Foreign Affairs and International Trade Act and can be summarized as follows:

• Conduct all official diplomatic communications and negotiations between the Government of Canada and other countries and international organizations; (links to Strategic outcome [SO] 1)
• Coordinate Canada's economic relations and promote Canadian international trade and commerce; and, (links to SO 1 / SO 2)
• Manage Canada's diplomatic and consular missions and services abroad, including the administration of the Canadian Foreign Service. (links to SO 3)

The department advances Canada's priorities abroad by undertaking diplomacy and programming in support of international peace and security, democracy, human rights and the rule of law, and provides whole-of-government coordination in response to unanticipated events, such as international crises and natural disasters abroad.

DFAIT generates international opportunities for Canadian business by negotiating agreements to open and expand markets, facilitating two-way trade and investment, and encouraging innovation through international science and technology partnerships.

Strategic outcomes and program activity architecture

DFAIT's program activity architecture consists of three strategic outcomes, supported by seven program activities, as well as internal services, which support all program activities and strategic outcomes.

Organizational priorities

Priority	Type	Strategic Outcome(s)
Contribute to economic prosperity and job creation through continued implementation of the Global Commerce Strategy, with an emphasis on expanding and diversifying commercial relationships with emerging and high-growth markets.	Ongoing	Aligned to SO 1 and SO 2.
Description
Why is this a priority? Continued trade liberalization, improved access to new and traditional markets, and promotion of two-way trade and investment are essential to protecting and advancing Canada's prosperity and competitiveness. A major component of the Global Commerce Strategy is to enhance Canada's economic relationships with emerging economies, among which China, India and Brazil are key, given their size and dynamism. Concluding the Comprehensive Economic and Trade Agreement with the European Union will generate new economic opportunities with Canada's second-largest trading partner, while also setting a key benchmark for high-quality trade agreements. Plans for meeting the priority For 2012-13, the department will: Increase and diversify commercial engagement in key markets in Asia, in particular with China, India, Japan, Korea, and Mongolia and the Trans-Pacific Partnership, and in the Americas with Brazil and MERCOSUR, through a coordinated whole-of-government approach; Conclude agreements with the European Union in 2012 and with India in 2013; Refresh the Global Commerce Strategy, including to ensure that Canada is branded in a way that is most advantageous to our trade objectives in priority markets, with an initial focus on positioning Canada as a supplier of choice for energy; Work with partner departments to improve visa granting procedures to increase commercial engagement in priority markets.

Priority	Type	Strategic Outcome(s)
Reinforce the Canada-U.S. relationship and expand Canada's engagement in the hemisphere.	Ongoing	Aligned to SO 1 and SO 2.
Description
Why is this a priority? While Canada works to diversify its economic relations, the United States will remain Canada's most important economic and security partner (see Canada-U.S. Relations). Canada's security and prosperity are inextricably linked to effective management of the relationship with the United States on a range of bilateral, regional and global issues. The Americas is a region of strategic and commercial interest for Canada. Canada's vision for the hemisphere remains focused on prosperity, security and democratic governance. In particular, DFAIT will continue to contribute to the careful management of the shared border to ensure security in the face of new and emerging threats, without diminishing the competitiveness of integrated Canadian and U.S. businesses. DFAIT will also pursue activities under the Canada-U.S. Regulatory Cooperation Council through greater alignment and better mutual reliance in our regulatory approaches with a view to enhancing efficiency of supply chains, increasing trade and investment, generating new export opportunities, and creating jobs on both sides of the border. Plans for meeting the priority Support the implementation of the Canada-U.S. Shared Vision for Perimeter Security & Economic Competitiveness; Secure and deepen the commercial relationship with the United States through enhanced advocacy and management of trade irritants and promotion of Canada as a stable source of energy; Implement a refocused Americas strategy, including expanding commercial engagement, and advancing cooperation and capacity building, in particular with Mexico, Central America and the Caribbean, including Haiti, to address security and the rule of law.

Priority	Type	Strategic Outcome(s)
Promote democracy and respect for human rights, and contribute to effective global governance and international security.	Ongoing	Aligned to SO 1.
Description
Why is this a priority? Strengthening global security and economic stability remains a key priority. Improved security abroad directly contributes to Canada's own security and to expanded economic opportunity. Canadian foreign policy remains focused on promoting free markets and open societies, and advancing the values of freedom, democracy, human rights and the rule of law. The emergence of a multi-polar world has fundamentally challenged the capacity of conventional international governance to address issues that have a global dimension. There is an urgent need to address challenges related to recovery of the global economy, the rise of democratic movements in the Middle East, and security challenges related to fragile states, the proliferation of weapons of mass destruction (WMD) and, international crime and terrorism. Plans for meeting the priority Promote global institutions and partnerships that focus on results, accountability and effective burden sharing; Provide targeted contributions to democratic transition and stabilization in the Arab world and principled support for the Middle East peace process; Address security challenges including transnational crime, terrorism, and WMD proliferation, and promote security and stability in fragile states; Launch operations of the Office of Religious Freedom.

Priority	Type	Strategic Outcome(s)
Implement Canada's Arctic foreign policy to exercise sovereignty in the Arctic, in support of the Northern Strategy.	Ongoing	Aligned to SO 1.
Description
Why is this a priority? The Arctic is fundamental to Canada's national identity, and represents tremendous potential for Canada's future. Canada's Arctic foreign policy, the international component of the government's Northern Strategy, is founded on Canada's vision of the Arctic as a stable, rules-based region with clearly defined boundaries, dynamic economic growth and trade, vibrant Northern communities, and healthy and productive ecosystems. We must ensure that the Arctic Council responds to the needs of Canadians, delivers concrete results, and demonstrates to non-Arctic states that we are effectively governing the region. Plans for meeting the priority Seek to resolve boundary issues and to secure international recognition for the full extent of Canada's extended continental shelf; Continue to strengthen the operations and policy role of the Arctic Council and demonstrate international leadership on Arctic issues in the lead-up to Canada's chairing of the Arctic Council in 2013-15.

Priority	Type	Strategic Outcome(s)
Improve passport service to Canadians.	New	Aligned to SO 2.
Description
Why is this a priority? The ePassport will contain an electronic chip embedded in the book, containing the same information that is currently found on the data page of the passport. This will enhance the Canadian passport's current security features, provide greater protection against tampering and reduce the risk of fraud. Plans for meeting the priority Introduce, in 2012, a new 10-year ePassport that will enhance the security of the Canadian travel document.

Risk Analysis

DFAIT is among the most complex departments in the Government of Canada, responsible for the conduct of Canada's international affairs, including global trade and commerce. It faces a particularly wide array of risks arising from uncertainties in the international, domestic and internal environment in which it operates. From natural disasters to security threats at home and abroad, DFAIT success in fulfilling its mandate largely depends on its ability to manage risks related to developments beyond its control.

Through its 2012-13 Corporate Risk Profile, DFAIT has identified four key corporate risks that could affect its ability to deliver results against the plans and priorities identified in this RPP in all three of its strategic outcomes. These risks will be actively managed by DFAIT's senior managers, who will be accountable to report quarterly to the Deputy Ministers and governance boards on their progress in reducing the department's risk exposure. These are described below.

Corporate risk 1: Emergency response: Maintaining services to Canadians abroad in the face of emergencies

DFAIT will enhance its emergency preparedness to reduce the risk that natural disasters, hostile actions or civil unrest at mission(s) could significantly disrupt departmental operations. It will reinforce its capacity to respond rapidly and efficiently to emergencies by improving consular environmental scanning and emergency response structures and further enhancing emergency management training for employees. It will work to enhance partnerships with key federal departments involved in emergency management, and reach out to Canadians abroad with better information on safe travel practices. DFAIT will actively manage this risk through its Operations Committee, supported by the assistant deputy minister (ADM) for Consular, Security and Emergency Management and relevant geographic colleagues.

Corporate risk 2: Cyber threats: Ensuring the security of electronic information

DFAIT continues to face challenges arising from the risk of cyber-attacks. A successful breach of the department's IT system could result in the leaking of sensitive information, the blocking of access to IT systems and the interruption of communications and the delivery of services to Canadians. DFAIT will work with Shared Services Canada, given their new ownership of information technology (IT) infrastructure, to mitigate this risk by developing investment plans to ensure the timely implementation of DFAIT's IT Infrastructure Renewal Project. DFAIT will also work towards providing better training in security of information to its staff, including locally engaged staff, and work to improve compliance through better enforcement. This risk will be managed through DFAIT's Operations Committee, supported by the ADM for Consular, Security and Emergency Management and the ADM, International Platform Branch.

Corporate risk 3: Personnel security: Protecting our staff

The department will work to improve the safety and security of its overseas operations to mitigate the risk that inadequate security could result in severe injury or death of Canadian personnel (including Canada-based and locally engaged employees), dependents or contractors. It will continue to conduct extensive threat and risk assessments and enhance its security infrastructure. It will provide employees with enhanced personal security training, including by working with its partner departments in Canada's network abroad. DFAIT will actively manage this risk through its Operations Committee, supported by the ADM for Consular, Security and Emergency Management and the ADM, International Platform Branch.

Corporate risk 4: Financial and human resource management: Maintaining sustainability while managing change

Maintaining financial and human-resource sustainability while implementing a significant change-management agenda over the next year will present several risks that DFAIT will actively manage through its Resource Management Committee, supported by the chief financial officer as well as the Executive Council. Improving corporate planning, the alignment of resources to priorities, and financial and human resources management has been identified as a corporate priority for 2012-13. DFAIT will strengthen financial training for all managers and employees, and closely monitor spending practices. Active communications with all employees will be crucial to ensuring a good understanding of workforce adjustment strategies and a common vision for the organization. DFAIT will also communicate actively with managers and employees to ensure clarity on their new roles and responsibilities.

Planning Summary

Financial Resources ($ millions)

2012-13	2013-14	2014-15
3,075.8	2,676.5	2,651.4

Human Resources (FTEs¹)

2012-13	2013-14	2014-15
13,367	12,708	12,943

Strategic Outcome² 1: Canada's International Agenda: the international agenda is shaped to Canada's benefit and advantage, in accordance with Canadian interests and values.

Performance Indicators	Targets
Percentage of international partners and institutions that recognize and support key Canadian positions.	75%

Planning Summary Table
($ millions)

Program Activity	Forecast Spending 2011-12	Planned Spending			Alignment to Government of Canada Outcomes
		2012-13	2013-14	2014-15
1.1 International Policy Advice and Integration	100.3	105.1	93.0	93.5	A safe and secure world
1.2 Diplomacy and Advocacy	1,150.2	1,183.0	939.4	932.5
Total SO 1	1,250.5	1,288.1	1,032.4	1,026.0

Strategic Outcome 2: International Services for Canadians: Canadians are satisfied with commercial, consular and passport services.

Performance Indicators	Targets
Percentage of clients who were satisfied with consular, passport and commerce services provided by the department.	70%

Planning Summary Table
($ millions)

Program Activity	Forecast Spending 2011-12	Planned Spending			Alignment to Government of Canada Outcomes
		2012-13	2013-14	2014-15
2.1 International Commerce	173.3	172.4	167.5	168.2	A prosperous Canada
2.2 Consular Services and Emergency Management	72.3	65.7	62.9	62.9	A safe and secure world
2.3 Passport Canada	330.7	369.6	285.3	315.6
Total SO 2	576.3	607.7	515.7	546.7

Strategic Outcome 3: Canada's International Platform: DFAIT maintains a network of infrastructure and services to enable the Government of Canada to achieve its international priorities.

Performance Indicators	Targets
Percentage of Government of Canada clients who responded favourably to the common services they received.	75%
Percentage of maintenance work and modifications made to the mission network to meet the schedule prepared in accordance with Government of Canada interests.	100%

Planning Summary Table
($ millions)

Program Activity	Forecast Spending 2011-12	Planned Spending			Alignment to Government of Canada Outcomes
		2012-13	2013-14	2014-15
3.1 Governance, Strategic Direction and Common Service Delivery	701.9	783.1	736.7	687.0	A safe and secure world
3.2. Government of Canada Benefits	223.7	197.1	197.0	197.0
Total SO 3	925.6	980.2	933.7	884.0

Planning Summary Table
($ millions)

Program Activity	Forecast Spending 2011-12	Planned Spending			Alignment to Government of Canada Outcomes
		2012-13	2013-14	2014-15
Internal Services	201.5	199.8	194.7	194.7

Planning Summary Table
($ millions)

Program Activity	Forecast Spending 2011-12	Planned Spending			Alignment to Government of Canada Outcomes
		2012-13	2013-14	2014-15
Total DFAIT Planned Spending	2,953.9	3,075.8	2,676.5	2,651.4

Explanation of changes in spending from 2011-12 forecast spending to 2012-13 planned spending

International Policy Advice and Integration: Increase is mainly due to the re-profiling of funds related to the costs of producing Canada's submission to the Commission on the Limits of the Continental Shelf ($3.6 million) and for funds related to the G-8 and G-20 summits to fulfill carbon offsetting programs ($2.2 million), offset by a decrease in statutory employee compensation ($1.2 million).

Diplomacy and Advocacy: Increase is mainly due to a transfer of funds from the Canadian International Development Agency for the Canada Fund for Local Initiatives ($18 million) and forecasted surpluses of $72 million in 2011-12, including: softwood lumber litigation costs to be returned to Treasury Board Secretariat ($16 million); International Assistance Envelope crisis pool ($10 million); and grants and contributions (Vote 10) surpluses related to the Global Partnership Program ($21.9 million) and the Global Peace and Security Fund ($7.7 million). These increases were offset by a $56.5 million reduction in the cost of assessed contributions due to currency fluctuations and the completion of mandates for some assessed contributions.

International Commerce: Slight reduction in spending is related to a $1.3 million increase in funding for the continuation of the International Science and Technology Partnerships Program, offset by a decrease of $1.5 million due to the sunset of funds for the work of an advisory panel on the International Education Strategy.

Consular Services and Emergency Management: Decrease is mainly due to the one-time $6.1 million of capital funds received in 2011-12 for the new Emergency Watch and Response Centre.

Passport Canada: Increase is mainly due to costs related to the implementation of the ePassport as well as the variations in passport application volume and associated costs.

Governance, Strategic Direction and Common Service Delivery: Increase is mainly due to $35.5 million of incremental funding for strengthening security at missions abroad; $41 million of forecasted surplus in Vote 5 capital funds in 2011-12; and $41 million increase due to the forecasted capital budget carry-forward for 2012-13. These increases were offset by a $34 million reduction related to the transfer of IM/IT infrastructure to Shared Services Canada.

Government of Canada Benefits: Reductions are largely related to a decrease in the forecasted cost of funding for pensions, insurance and social security of locally engaged staff at missions abroad ($19.4 million) as well as a decrease from currency fluctuations for foreign service allowances provided to Canada-based employees working at diplomatic missions abroad ($9.6 million).

Internal Services: No significant increases or decreases.

Contribution to the Federal Sustainable Development Strategy (FSDS)

The Federal Sustainable Development Strategy (FSDS) outlines the Government of Canada's commitment to improving the transparency of environmental decision-making by articulating its key strategic environmental goals and targets. The department ensures that consideration of these outcomes is an integral part of its decision-making processes. In particular, through the federal strategic environmental assessment process, any new policy, plan, or program initiative includes an analysis of its impact on attaining the FSDS goals and targets. The results of SEAs are made public when an initiative is announced, demonstrating the department's commitment to achieving FSDS goals and targets.

DFAIT contributes to Theme II: Maintaining Water Quality and Availability, as denoted by the following visual identifier.

These contributions are components of PA 1.2: Diplomacy and Advocacy, and are further explained in Section II.

For additional details on DFAIT's activities to support sustainable development please see Section II of this RPP and DFAIT's web site. For complete details, see the Federal Sustainable Development Strategy website.

Expenditure Profile

Actual spending ($ millions)			Forecast Spending ($ millions)	Planned spending ($ millions)
2008-09	2009-10	2010-11	2011-12	2012-13	2013-14	2014-15
2,499.6	2,516.9	2,705.1	2,953.9	3,075.8	2,676.5	2,651.4

Over the period 2008-09 to 2014-15, actual and planned spending varies from a high of $3.1 billion in 2012-13 to a low of $2.5 billion in 2008-09. Included in the department's spending trend is Passport Canada, which in 2012-13 accounted for $67.7 million in planned expenditures and $301.9 million in respendable (or net voted) revenue. Overall, the department's spending profile is as follows: operating costs 57%; grants and contributions 33%; capital costs 8%; and LES pensions 2%.

Notes:

1. Actual spending represents the actual expenditures incurred during the respective year, as reported in the Public Accounts.
2. Forecast spending reflects the total expected expenditures for the 2011-12 fiscal year.
3. Planned spending reflects funds already approved through the estimates process and as presented in the Annual Reference Level Update. It also includes expected respendable revenues. Planned spending for 2012-13 also includes funding approved in the government fiscal plan, but not yet reflected in the department's reference levels.
4. Future-oriented financial statements, which provide additional information on 2011-12 forecast spending and 2012-13 planned spending, are included in Section III.

Given DFAIT's international operations, its annual expenditures are influenced by fluctuations in foreign currencies, varying rates of foreign inflation and changes in assessed contributions related to memberships in international organizations. Since fiscal year 2008-09, DFAIT's reference levels have been increased as a result of incremental funding for significant new initiatives, such as: implementation of the Canada-U.S. Softwood Lumber Agreement; establishment of the Counter-Terrorism Capacity Building Program and the Anti-Crime Capacity Building Program; creation of the Consular Services and Emergency Management branch; transfer of the Investment Cooperation program to DFAIT from CIDA; measures to strengthen DFAIT's network abroad and security at missions; and expansion and opening of new missions in key emerging markets.

The increase in spending from 2010-11 to 2011-12 was due primarily to new program authorities for: locally engaged staff (LES) pension, insurance and social security programs; Canada's engagement in Afghanistan; and operating and capital budget carry-forward spending. The increase in planned spending from 2011-12 to 2012-13 is due primarily to new program authorities for Canada's engagement in Afghanistan and estimated operating and capital carry forward spending. The decrease in planned spending from 2012-13 to 2013-14 is mainly due to the sunsetting of funds for the Global Peace and Security Fund and the Global Partnership Program as well as a decrease in Passport Canada's planned spending, attributable to forecasted variations in passport application volumes and associated costs.

Estimates by Vote

For information on our organizational appropriations, please see the Main Estimates.

Section II - Analysis of Program Activities by Strategic Outcome(s)

Strategic outcome 1: Canada's International Agenda

The international agenda is shaped to Canada's benefit and advantage in accordance with Canadian interests and values.

Program Activity: International Policy Advice and Integration

Program Activity Description

DFAIT draws upon its expertise at missions and Headquarters to establish integrated and coherent foreign policy and international trade priorities, and to provide information, intelligence and advice to ministers, senior officials and key partners to support informed decisions that advance Canadian values and interests internationally.³

Financial Resources ($ millions)

2012-13	2013-14	2014-15
105.1	93.0	93.5

Human Resources (FTEs)

2012-13	2013-14	2014-15
649	626	626

Expected Results	Performance Indicators	Targets
The Government of Canada has the information, intelligence and advice it needs to make informed decisions on foreign and international economic policies, programs and priorities.	Level of satisfaction of the government with the information, intelligence and advice.	Significant level of satisfaction demonstrated by approval and use of information, intelligence and advice.4

Planning Highlights

The role of country strategies will be enhanced to provide government-wide focus and accountability for transforming Canada's relations with key partners and commercial markets. These strategies will identify potential for economic growth, strengthened trading relationships and effective contributions to international security and stability, and set clear objectives for advancing our relations with these countries.

The department will provide evidence-based, coherent, integrated and prioritized policy research, planning and advice, to ensure that ministers, senior management, other government departments and Canadian stakeholders are able to implement their international policy priorities.

Effective policy formulation will be promoted by developing a medium- and longer-term international policy research agenda, developing policy dialogues with traditional and non-traditional partners, and by implementing an open-policy development model.

The department will ensure that Canadian aid policy remains effective, accountable and aligned with Canadian priorities through effective management of Canada's International Assistance Envelope.

The department will work closely with partner departments to develop mechanisms to increase collaboration and implement solutions that will address the current challenges of visa policies and procedures to Canada's international competitiveness, while respecting the priorities, mandates and resource constraints of partner departments.

Program Activity: Diplomacy and Advocacy

Program Activity Description

DFAIT uses diplomacy, advocacy, and program delivery, informed by consultations with domestic stakeholders, to engage and influence international players in order to advance Canadian interests and values⁵.

Financial Resources ($ millions)

2012-13	2013-14	2014-15
1,183.0	939.4	932.5

Human Resources (FTEs)

2012-13	2013-14	2014-15
2,047	1,972	1,972

Expected Results	Performance Indicators	Targets
Canada's diplomatic efforts and programs engage and influence international players to protect and build support for Canadian interests and values.	Reflection of Canadian foreign and international economic policy priorities in bilateral and multilateral actions, decisions, declarations and agreements.	Significant level of support for Canadian positions in the international community.
	Effectiveness of programs in achieving results and aligning with priorities.	Program effectiveness.6

Planning Highlights

Diversifying trade through expanded market access

In accordance with the Global Commerce Strategy, the department will contribute to Canada's prosperity by improving market access for Canadian exporters, investors and innovators. Plans include:

• concluding a Comprehensive Economic and Trade Agreement with the European Union in 2012;
• setting conditions for the conclusion of a Comprehensive Economic Partnership Agreement with India in 2013;
• conducting a multi-faceted advocacy campaign seeking to secure Canadian participation in the Trans-Pacific Partnership;
• advancing the trade and economic partnership with China, including completion of an economic complementarities study and the initiation of exploratory discussions on deepening the trade relationship;
• advancing trade and investment interests with Japan, through negotiations towards a free trade agreement;
• re-engaging with South Korea when there is a reasonable prospect for concluding the free trade agreement negotiations;
• conducting exploratory trade talks with MERCOSUR;
• concluding a Foreign Investment Protection and Promotion Agreement with Mongolia;
• advancing a range of other bilateral and multilateral trade negotiations, including foreign investment protection and air services agreements.

DFAIT will defend Canadian interests in international dispute-settlement mechanisms, including investor-state dispute settlement and World Trade Organization litigation. It will also negotiate dispute resolution and compliance mechanisms for treaties such as the Canada-European Union and Canada-India trade agreements.

To ensure that Canada's trade agenda is informed and supported, where possible, by provincial, territorial and municipal governments and the private sector, DFAIT will undertake stakeholder consultations supported by:

• outreach initiatives by the Minister of International Trade, senior managers, and Canadian heads of mission; and
• joint activities in areas of shared interests, including advocacy, trade negotiations, investment attraction and international business development programs.

Promoting Democracy, Human Rights, Security and the Rule of Law

DFAIT will work to enhance human rights governance by ensuring that egregious human rights violations are adequately addressed, and that an enhanced focus is placed on religious freedom through the launch the operations of a Canadian Office of Religious Freedom.

Canadian peace and security interests in evolving leaders' summitry, G8 foreign ministers' meetings, and NATO and other global institutions will be advanced through active engagement and diplomacy that focus on results, accountability and effective burden sharing.

The security and stability of fragile states will be strengthened through policy and program support, including Canadian whole-of-government civilian deployments and responses to humanitarian crises, including natural disasters.

The department will support democratic transitions and respect for human rights following the Arab Awakening through bilateral and multilateral advocacy, capacity-building initiatives, and other Canadian programming.

DFAIT will continue to address international security challenges such as transnational crime, terrorism, WMD proliferation, and illegal migration through targeted and effective use of programs and the provision of whole-of-government and international leadership in bilateral, regional and multilateral forums.

Advancing Regional Interests

The Hemisphere

The department will reinforce the Canada-U.S. relationship through whole-of-government programs and advocacy initiatives, including:

• enhancing bilateral trade and investment, including support for the implementation of the Canada-U.S. Shared Vision for Perimeter Security and Economic Competitiveness;
• deepening the commercial relationship with the United States through enhanced advocacy and management of trade irritants and promoting Canada as a stable source of energy; and
• managing agreements and trade issues, such as the Great Lakes Water Quality Agreement and the Detroit River International Crossing.

More broadly, Canada's engagement and influence in the Americas will be advanced by:

• addressing security and rule-of-law challenges through expanded cooperation and targeted programming, including capacity building, with a focus on Mexico, Central America, and the Caribbean, including Haiti;
• deepening Canada's bilateral relationships and intensifying efforts to strengthen the Organization of American States so that it remains the primary multilateral organization in the hemisphere; and
• deepening commercial engagement and investment interests in the Americas, with a particular focus on Brazil.

Asia-Pacific

In addition to the ambitious market access agenda outlined above, Canada's influence in the Asia-Pacific will be enhanced through high-level visits and engagement that promote deepened bilateral relations with key Asian nations on prosperity, security and shared values, notably participation in the Canada-Japan peace and security framework and deepened regional cooperation on security and stability on the Korean Peninsula.

DFAIT will seek to advance Canadian interests by reinforcing the regional and multilateral rules-based order in the Asia-Pacific region, with a focus on resource security, nuclear non-proliferation, anti-terrorism cooperation, human rights, and democratic governance.

Europe

DFAIT will implement targeted advocacy and outreach initiatives to increase support among key EU institutions and member states for the successful conclusion and eventual ratification of the Canada-EU CETA and the Canada-EU Strategic Partnership Agreement.

Effective advocacy and collaboration in the areas of energy and environment, democracy and human rights, and the Arctic will reinforce the bilateral and multilateral relationships between Canada and Europe.

Middle East

The Middle East Peace Process will be supported by a principled Canadian approach that respects Israel's right to security and full participation in the multilateral system while providing political advocacy for a two-state solution.

The department will enhance support for democratic transitions and the stability of fragile and vulnerable states following the Arab Awakening through bilateral and multilateral advocacy initiatives, capacity-building initiatives, and other Canadian programming.

Africa

In sub-Saharan Africa, the department will promote the Canadian values of freedom, democracy, human rights and the rule of law, and advance regional security and stability through targeted contributions to good governance as well as the management and coordination of emerging crises and security vulnerabilities.

Bilateral political and commercial relations with emerging partners will be enhanced through targeted engagement, including high-level exchanges, consultations and advocacy initiatives.

Advancing Canadian interests in the Arctic

The department will advance Canada's Arctic foreign policy, in support of the Northern Strategy, by:

• preparing Canada's submission to the Commission on the Limits of the Continental Shelf in 2013;
• seeking to resolve Arctic maritime boundary issues, including securing international recognition for the full extent of Canada's extended continental shelf; and
• strengthening the operations and policy role of the Arctic Council in the lead up to Canada's chairing of the Arctic Council (2013-15).

Protocol

The department will maintain high levels of client satisfaction and effective delivery of protocol services provided to the Prime Minister, Governor General, five portfolio ministers, and the foreign diplomatic corps accredited to Canada through improved efficiency and financial accountability and the implementation of recommendations from evaluations conducted by the Inspector General.

Strategic outcome 2: International Services for Canadians

Canadians are satisfied with commercial, consular and passport services.

Program Activity: International Commerce

Program Activity Description

This program activity delivers commercial services and advice to Canadian business and supports their pursuit of international business opportunities⁷.

Financial Resources ($ millions)

2012-13	2013-14	2014-15
172.4	167.5	168.2

Human Resources (FTEs)

2012-13	2013-14	2014-15
1,396	1,396	1,396

Expected Results	Performance Indicators	Targets
Canadian clients have increased their international business development activities.	Percentage of clients and partners who actively pursued a commercial agreement in a market where they sought assistance from the Trade Commissioner Service (TCS).	50% of assisted clients actively pursuing opportunities in target market.
Foreign direct investments facilitated by DFAIT in proactive sectors and from key markets have increased in number and value.	Number and value of foreign direct investments made in proactive sectors and from key markets to which DFAIT contributed.	Number: 100
High-quality international commerce services are delivered to Canadian clients.	Percentage of clients who are satisfied with the quality of the services delivered by the department.	TCS: 70% Export and import controls: Establish baseline data on appropriate interactions with client base.8

Planning Highlights

In accordance with the department's Global Commerce Strategy's focus on key markets and high-growth economies such as China, India and Brazil, the department will:

• work to enable the global success of trade commissioner clients through collaboration with portfolio partners, sector-specific capacity building and program delivery;
• promote two-way investment and innovation and initiatives to support small- and medium-sized enterprises; and
• continue to implement a sector-based approach to commercial engagement that emphasizes industry priorities guided by public-private sector consultation.

DFAIT will improve the Trade Commissioner Service's ability to respond rapidly to the rise of emerging economies and to seize shifting commercial global opportunities through improved client service, enhanced performance measurement and continued alignment of resources against TCS priorities.

The department will review the Global Commerce Strategy, ensuring that Canada is branded in a way that is most advantageous to our trade objectives in target markets.

DFAIT will deliver initiatives in the areas of trade and investment, infrastructure and transportation, resources and energy, international science and technology partnerships, education and immigration procedures, to better position the Canadian economy to benefit from an ascendant Asian economy, in particular India, China and regional Global Commerce Strategy countries.

Market access and opportunities for Canadian firms operating in the United States and Mexico will be facilitated through business development engagement on issues of federal and state legislation.

The department will deliver an outreach campaign directed at key business decision-makers in the United States and, building on the model established during the Vancouver Olympics, will leverage the 2012 Summer Olympic Games in London to increase foreign investors' knowledge and awareness of investment opportunities in Canada.

DFAIT will ensure that legislative and international security obligations to control trade in specific goods and technologies are met through the timely issuance of export permits and the effective maintenance of other export control measures.

Program Activity: Consular Services and Emergency Management

Program Activity Description

This program activity manages and delivers consular services and advice to Canadians and provides a coordinated Government of Canada response to emergencies abroad affecting Canadians⁹.

Financial Resources ($ millions)

2012-13	2013-14	2014-15
65.7	62.9	62.9

Human Resources (FTEs)

2012-13	2013-14	2014-15
492	492	492

Expected Results	Performance Indicators	Targets
Canadians travel safely and responsibly.	Proportion of Canadians travelling abroad in distress situations.	1 in 8,500
Canadians abroad receive emergency consular services.	Percentage of emergencies/crises addressed immediately.	100%10

Planning Highlights

DFAIT will work to ensure that Canadians are better prepared for international travel through the provision of up-to-date travel information, improvements to the consular website and increased outreach activities.

Consular and emergency management services to Canadians will be improved through:

• an enhanced emergency-preparedness network, including an expanded training and exercise program with partner departments and like-minded countries;
• improved coordination and oversight of threat assessments, training and sharing of best practices across consular, security and emergency-management centres in DFAIT and with partner departments;
• the leveraging of domestic and international partnerships to strengthen the international legal and policy framework for consular affairs; and
• improved policies and procedures.

Program Activity: Passport Canada

Program Activity Description

This program activity is responsible for the issuing, refusing, revoking, withholding, recovering and use of Canadian passports. The program enables the issuance of secure travel documents to Canadians, which facilitates their travel and contributes to international and domestic security. This program activity manages and delivers passport services through the Passport Canada Revolving Fund.¹¹

Financial Resources ($ millions)

2012-13	2013-14	2014-15
369.6	285.3	315.6

Human Resources (FTEs)

2012-13	2013-14	2014-15
2,789	2,231	2,466

Expected Results	Performance Indicators	Targets
Canadians receive innovative, reliable, consistent and accessible passport services.	Canadians receive innovative, reliable, consistent and accessible passport services.	90% of clients are satisfied to some extent with their overall service experience with Passport Canada.
	Percentage of Canadians having access to a point of service within 100 km.	95%12

Planning Highlights

DFAIT will complete the design, testing and deployment of the new 10-year ePassport in 2012-13, which will enhance the security of the Canadian travel document.

To improve passport services to Canadians in Canada and abroad, DFAIT will finalize the fee structure to support the 10-year ePassport and the new service offering.

The department will strengthen national workload management tools and enhance identity verification and entitlement procedures to improve passport services.

Strategic outcome 3: Canada's International Platform

DFAIT maintains a mission network of infrastructure and services to enable the Government of Canada to achieve its international priorities.

Program Activity: Governance, strategic direction and common service delivery

Program Activity Description

This program activity governs, provides strategic direction and leadership, manages change, delivers services and provides infrastructure to the mission platform¹³.

Financial Resources ($ millions)

2012-13	2013-14	2014-15
783.1	736.7	687.0

Human Resources (FTEs)

2012-13	2013-14	2014-15
4,604	4,611	4,611

Expected Results	Performance Indicators	Targets
Approved framework is in place to provide efficient and cost-effective common services and support for Canada's representation abroad.	Percentage of clients approving the costing framework for common services, which is in place to support Canada's representation abroad.	75%
Common services and support are efficient and cost-effective in supporting Canada's representation abroad.	Percentage of missions whose resources are being allocated according to the common service model or regional service centre plan.	90%14

Planning Highlights

DFAIT will ensure the delivery of common services in accordance with agreed standards that support Government of Canada programs abroad, through the assessment of performance metrics and client feedback and will make adjustments as required.

Risks to the safety and security of Canadian government personnel and assets abroad (infrastructure/physical and information) will be mitigated through the development and implementation of enhanced security and emergency management measures, policies, practices and training, and improved coordination and oversight of threat assessments.

Program Activity: Government of Canada Benefits

Program Activity Description

This program activity is the vehicle through which the department and central agencies manage statutory payments to Government of Canada employees abroad (Canada-based staff and locally engaged staff)¹⁵.

Financial Resources ($ millions)

2012-13	2013-14	2014-15
197.1	197.0	197.0

Human Resources (FTEs)

2012-13	2013-14	2014-15
65	65	65

Expected Results	Performance Indicators	Targets
Payments are made accurately in compliance with Canadian and local laws and regulations.	Percentage of payments accurate and on time.	95%16

Planning Highlights

The department will ensure timely and accurate Government of Canada benefits payments are delivered to compensate Canada-based staff and locally engaged staff abroad through effective risk management, governance and oversight of foreign service directives and LES pension, insurance and social security programs.

Internal Services

The internal services program activity provides the essential support functions that enable DFAIT to carry out its mandate, including governance and management support; resource management services and asset management services¹⁷.

 

Financial Resources ($ millions)

2012-13	2013-14	2014-15
199.8	194.7	194.7

Human Resources (FTEs)

2012-13	2013-14	2014-15
1,325	1,315	1,315

Planning Highlights

Governance and management support

DFAIT will continue to improve business planning, resource alignment, and risk management by updating the department's performance measurement framework, developing improved integrated planning tools and refining risk-management practices.

Decision making will be supported by legal advice on international trade and commercial policies and on issues such as Arctic sovereignty, international criminal law, treaty law and economic sanctions.

High-quality legal services and advice will be provided, including support to international negotiations and agreements and the management of legal risks, to ensure that Canada's domestic legal regime is consistent with its international obligations.

DFAIT will deliver improved values and ethics training and advisory services, investigate disclosures of wrongdoing, and harassment allegations in order to increase awareness of and compliance with the Values and Ethics Code for the Public Sector, the Code of Conduct for Canadian Representatives Abroad, and the Public Servants Disclosure Protection Act.

Access to mission inspection recommendations, program evaluations, recipient audits, proactive monitoring and forensic investigations will be enhanced to enable senior management to make more informed decisions on policies, programs and operations.

The department will maintain its improved access to information and privacy protection (ATIP) performance by ensuring sufficient capacity is in place to meet ATIP legislative and TBS policy requirements, as well as through activities associated with open government initiatives and ATIP modernization.

Awareness of foreign affairs and international trade priorities, policies and programs will be increased among internal clients, governmental partners, and Canadian and international audiences by providing a mix of traditional and innovative communications services, tools and products.

The department's risk-based audit plan, which will focus on the department's highest risks and support the achievement of the department's priorities, will be informed by extensive consultations with senior management and the internal audit function.

DFAIT will sustain the information management and information technology program and infrastructure that support operations through the strengthened integration of departmental IM/IT planning, governance, project oversight and risk management, in cooperation with Shared Services Canada.

Resource management services

DFAIT will enhance the quality of consular, emergency management, security and common services provided by management consular officers through improved community training, governance and management.

Managers will be provided with advice to advance official languages in the workplace and improve services to the public, address departmental employment equity gaps, improve staffing and address departmental results from the Public Service Employee Survey through the through the development and monitoring of:

• an official languages action plan;
• an employment equity action plan;
• alignment with the office of the Chief Human Resources Officer's common human resources processes;
• the implementation of the "Click, Contact, Consult" (CCC) service delivery model, which includes a client service survey;
• a Public Service Commission staffing audit action plan; and,
• a 2011 Public Service employmee survey results action plan.

DFAIT will improve department-wide financial management by:

• providing senior management with timely and accurate strategic financial information and guidance in order to optimize in-year and future-year budget management;
• continuing implementation of the CFO model, including standardization of the financial management advisor (FMA) structure; and
• activating CFO accountability for procurement and materiel management, including governance, procurement planning and risk management.

The department will encourage prudent use of public resources through effective and efficient accounting, reporting, control and oversight, improved processes for global banking, and further implementation of the Standard Payment System to strengthen stewardship at missions and further improvements in internal control to comply with TBS policy.

DFAIT will mitigate financial risks associated with resource transfers to Shared Services Canada by incorporating recommendations of completed internal audits, and by providing strategic financial advice, analysis and support to senior management to implement specific initiatives and to the Resource Management Committee to ensure financial oversight.

Asset management services

Progress will be achieved in meeting Government of Canada accommodation standards through an integrated departmental long-term accommodation strategy, including the leveraging of innovative office approaches, identification of tenant opportunities and alignment with Public Works and Government Services Canada asset management plans.

Section III - Supplementary Information

Future-oriented financial statements

Condensed statement of operations
For the Year (ended March 31)
($ millions)

	$ Change	Future-Oriented 2012-13	Future-Oriented 2011-12
Total Expenses	(45)	3,05118	3,051
Total Revenues		498	453
Net Cost of Operations		2,553	2,598

Condensed Statement of Financial Position
For the Year (ended March 31)
($ millions)

	$ Change	Future-Oriented 2012-13	Future-Oriented 2011-12
Total assets	N/A	1,705	N/A
Total liabilities		422	N/A
Equity		1,283	N/A
Total		1,705	N/A

The future-oriented financial statements are based on the Annual Reference Level Update (ARLU), Treasury Board submissions approved after ARLU and, where possible, federal budget announcements. The statements are thus consistent with the approved planned spending numbers reported in this Report on Plans and Priorities. Assumptions have been made in order to prepare these statements and are consistent with the department's plans. The full future-oriented financial statements, including notes, are available on the department's website.

List of Supplementary Information Tables

All electronic supplementary information tables found in the 2012-13 Report on Plans and Priorities can be found on the Treasury Board of Canada Secretariat's web site:

• Details on transfer payment programs (TPPs)
• Greening government operations
• Horizontal initiatives
• Sources of respendable and non-respendable revenue
• Summary of capital spending by program activity
• Upcoming internal audits and evaluations over the next three fiscal years
• Up-front multi-year funding
• User fees (Passport Canada)

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Section IV - Other Items of Interest