44th Parl. 1st Sess.
October 19, 2023 10:00AM
- Oct/19/23 2:52:22 p.m.
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Mr. Speaker, it is this simple: Higher taxes on farmers, on truckers and on processors mean higher food costs for Canadians. Canadian farmers will pay close to a billion dollars in carbon taxes alone by 2030. After eight years of the NDP-Liberal government, the Prime Minister is not worth the cost.
Conservatives are bringing forward common sense solutions, like legislation that would exempt the carbon tax from on-farm fuels like natural gas and propane, but the Liberals are trying to kill this bill at the Senate despite all-party support here in the House and in the Senate.
Why is the Prime Minister fighting so hard to make sure that food and farming remain unaffordable?
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- Oct/19/23 2:53:23 p.m.
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Mr. Speaker, I think my hon. colleague fully understands that farmers fully depend on what happens with the climate. In Prince Edward Island, we had hurricane Fiona. It blew warehouses down. It blew dairy barns down and killed cattle. In western Canada, where my hon. colleague is from, straw is worth $300 a bale. The Prairies burned and had floods. Quite simply, if we do not deal with the climate, we will not ever do anything about the price of food or be able to help farmers.
We will continue to address the climate issue in this country.
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- Oct/19/23 2:54:17 p.m.
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Mr. Speaker, ironically, the Liberals set aside $300 million for ACOA, for farmers to deal with Fiona, but not a single dime has gone out the door. All parties of the House supported this legislation. Even the Greens understand how important farming is.
After eight years of higher interest rates and inflationary costs, and now not one but two carbon taxes, the Prime Minister is simply not worth the cost. The Prime Minister is fanning the flames of inflation with yet another carbon tax on Canadian farmers.
Why will the Prime Minister not respect the will of the House and axe his farm-killing carbon tax?
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Mr. Speaker, before I get started in speaking to this great bill, I really want to pass on that today is a very special day for our family. Today is my 38th anniversary. Hello to Leigh, wherever she is watching me.
I rise to speak to Bill C-280, the financial protection for fresh fruit and vegetable farmers act. I want to thank my colleague from York—Simcoe for introducing this piece of legislation in Parliament. I know that the member for York—Simcoe represents Holland Marsh, which is known as the soup and salad bowl of Canada. The reality is that Bill C-280 would not only be support for fruit and vegetable growers and producers in this region but also all across Canada. That is why I am so excited to support this bill today.
As a former farmer myself, I know that farming is not just a business, but it is a way of life for many Canadian families from coast to coast. This way of life is not an easy one. There are significant risks and uncertainties that farm families take on every year to grow food that feeds the world. Producers face many uncertainties every year, including unpredictable commodity prices, Mother Nature and the ability to obtain revenue for their product. Producers are forced to work within a very limited growing cycle and one bad year could put the family farm business at risk.
One of the most significant things that can impact a producer is when a purchaser of their product declares bankruptcy. When a buyer declares bankruptcy, the impacts to the producer can be devastating. Many of the farmers I represent are grain, pulse and cattle farmers. While this bill would not directly impact them, they understand the importance of protecting producers from the insolvency of businesses that purchase their product.
When I was a young farmer, a few years ago, I was in a situation where our local grain buyer became insolvent. The situation was made worse for our farm and others in the area because the insolvent party was not only buying our product but was also selling us inputs for the next year's crop. Preventable moments like this put undue stress on family farm businesses. Because of the seasonal nature of farming, farmers plan months and years in advance to keep their businesses operating.
Therefore, when a buyer who is the main purchaser in an area suddenly goes insolvent, this puts undue stress on the entire area. By the way, we are talking about an area the size of P.E.I. That is how big the purchaser of our product was and it did take down the whole region. I am sure members can imagine the uncertainty for this entire area and the undue stress it would have put on farm families. Pricing everything else accordingly while simultaneously tracking inputs so that a farmer can maintain a cost coverage to keep profitable is enough of a challenge. Adding bankruptcy, an entirely separate issue, to the equation can create a whole range of complications, crippling farmers without warning.
The way the value chain is designed, it requires the farmer to have a buyer and contracts in place before they even step into the field. That means they need to enter negotiations on how much they will sell their pound of product for, without any guarantee that they will grow a crop. That means the Canadian farmer is forced to be all in. They can do everything right. They can get the product to the buyer's doors and then not get paid for the product. It is a devastating blow for anyone when they do not get paid for the hard work they do every day. While the current mechanisms within the Bankruptcy and Insolvency Act may be suitable for the wider agriculture industry and other sectors, the current approach does not work when fresh produce buyers become insolvent.
Fruits and vegetables are perishable. The shelf life of these products is not long. This is why the risk of the buyer becoming insolvent is so much more devastating to fruit and vegetable producers. Their products can rarely be recovered because they will have already spoiled. Without the ability to recover the product or access current mechanisms in the Bankruptcy and Insolvency Act, fruit and vegetable producers can face a significant loss that could very easily put them out of business. Imagine the effect this would have on a producer's insurance, their farm and their family. There are only so many hits one can take before the ship starts to sink.
The uncertainty of producers not being paid for their products is very real, but it is also avoidable if we pass this bill into law. Members do not need to just take my word for why this legislation is needed. They can listen to the Canadian fruit and vegetable producers who have rallied behind Bill C-280 in support.
Jan VanderHout, the president of the Fruit and Vegetable Growers of Canada, stated that this will have a very positive impact on our national food supply, lowering cost to consumers.
The chair of the Canadian Produce Marketing Association stated that, for too long, Canadian produce growers and sellers have shouldered the financial risk when selling their products. The challenges of the pandemic and the massive increases in costs they have experienced over the past few years have put many in an even more vulnerable position. He hopes that all members of Parliament will vote in favour of this important piece of legislation to support the long-term viability of their sector and send a message to their growers and sellers that we have their backs.
While I said there are reasonable protections for producers, there is a lack of protection for them within the banking industry itself. I believe that too often business people, with no understanding of how the agriculture industry operates, undertake uncalculated risks that could undermine the survival of the farms they do business with. That is why I am so grateful to my colleague for bringing this bill forward in the House of Commons and why I am so proudly supporting it.
As a lifelong farmer, I know that many farmers have faced challenges where they wished there was a mechanism in place to protect from the devastation of an insolvent buyer. It would allow producers to have more protection from the buyers who hold their very livelihoods in their hands. Bill C-280 would build that certainty into the financial landscape. This increased certainty would allow for reduced produce costs that could be passed on to the grocery cart of Canadians. With food inflation limiting how many fresh fruits and vegetables Canadians can afford, reduced costs are needed now more than ever.
This bill is a practical solution to a very serious problem. Farmers should not have to fear being shortchanged when their buyer goes insolvent. It is a common sense approach for the common people who feed our country and the world. The bottom line is that our agriculture producers need to get paid for what they grow. Anytime that system breaks down, the stabilization of the entire food supply is at risk. If we do not pass this bill, we are continuing to set up our fruit and vegetable producers for failure.
Now, more than ever, it is critically important that we send this very clear signal to our agriculture producers across the country. The NDP-Liberal government has neglected farmers for far too long. By passing Bill C-280, it has a chance to stand with Canadian producers for once.
In closing, I want to mention that one of Canada's newest vegetable producers, Vermillion Growers, earlier this year opened a state-of-the-art tomato greenhouse in Dauphin, Manitoba. The folks at Vermillion Growers are working tirelessly to become a leader in growing fresh, local produce that will feed Canadians across the country.
I am very fortunate to represent this new business in Parliament, and I know that Bill C-280 will support local growers just like them. I hope all members in the House will support Canadian fruit and vegetable producers by passing Bill C-280.
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Mr. Speaker, Canada's fresh fruit and vegetable growers should be paid for the fruit and vegetables they grow, full stop. Bill C-280 will ensure that fresh fruit and vegetable suppliers are not unduly disadvantaged by the bankruptcy of a produce buyer.
The deemed trust established by this bill will also support the highly integrated produce trade between Canada and the United States. Farmers and other suppliers in Canada have been pushing for these measures for almost 20 years. The absence of a deemed trust has cost produce suppliers their farms and livelihoods and has jeopardized our domestic food security. With Bill C-280, we can finally change that.
This is a common-sense Conservative bill that has been supported by all parties in this House. I want to thank all members for that, especially the Conservative shadow minister for agriculture and agri-food, the member for Foothills; the chair of the Standing Committee on Agriculture and Agri-Food, the member for Kings—Hants; the member for Berthier-Maskinongé; and the member for Cowichan—Malahat—Langford for their support. It goes to show the cross-country support this bill has.
Bill C-280 will provide financial protection measures for those growing fruits and vegetables from coast to coast to coast. This includes asparagus in Quebec, sweet potatoes in Nova Scotia, and carrots in the soup and salad bowl of Canada, home to the Holland Marsh in my riding of York—Simcoe. Of course, this week we saw the leader of the official opposition clearly loved the Ambrosia apples in the great province of British Columbia. How about those apples?
I am also grateful to Ron Lemaire and Shannon Sommerauer from the Canadian Produce Marketing Association, Quinton Woods from the Fruit and Vegetable Growers of Canada, Fred Webber from the Fruit and Vegetable Dispute Resolution Corporation, Jody Mott from the Holland Marsh Growers' Association, and of course, my number one staff in Ottawa, Patrick Speck, who worked tirelessly on this bill with me, as well as my staff in the riding: Jennifer, Michael and Carol.
My thanks to Suzanne, my wife. I told her that it would all be worth it, all the long days and nights here in Ottawa, which I know all members can appreciate.
It is time we get this over the line. I urge members to support Bill C-280 when this is voted upon next week. I trust that legislators in that other place with the red carpet, who can be a little slow sometimes, will deal with it promptly, given the multi-party support for these measures. Like we say in York—Simcoe, “Be ready, Senators”.
Right now, Canadians are dealing with the high cost of food. With Bill C-56 and other measures, the government has been talking about stabilizing food prices. Bill C-280 is going to lower prices of fresh fruits and vegetables that Canadians need now, so we all need to get behind this.
Too often Canadians, especially rural Canadians, think we cannot work together in this place. They think we cannot get anything done and they believe that whatever is accomplished does not have any relevance to or impact on their lives. In rural communities, people band together every day. They are the foundation of what it means to be Canadian. They want to see this place work for them, they want to see the way it works for one another. I firmly believe that Bill C-280 sends a message to every produce farmer and supplier that we understand the issues they face and that we are committed to addressing them.
The hard work of passing this bill is nothing compared to the boots in the muck in the Holland Marsh, which all farmers face right across Canada, but I can tell colleagues this. We are going to get behind them with this bill. We are going to get it done. Let us get Bill C-280 passed for the farmers right across Canada.
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- Oct/19/23 6:33:58 p.m.
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Mr. Speaker, I am thankful for the opportunity to follow up on a question I raised in the House on September 29. As we all do in this place, I value the time that I get to spend on the ground with my constituents.
It is only outside of the Ottawa bubble and with the workers of this country that parliamentarians can truly appreciate the challenges Canadians are facing and the sacrifices they are making, especially at this time, to keep our economy afloat. I saw this on full display this summer and fall as I travelled in my riding of Yorkton—Melville.
At harvest time, farmers and producers are at work from well before the sunrise to well into the night. They do what it takes to get the job done. They form the backbone of our economy. Their success is Canada’s success.
In turn, setbacks that they face create a ripple effect across our country and, indeed, across the globe. We live in Canada. I come from Saskatchewan. As all my constituents know, especially the farmers and ranchers that I represent, winter comes upon us quickly and lasts a long time.
Farmers and producers, therefore, meticulously plan out their year to account for the unpredictability of weather, supply chains and yields. However, there are often matters outside of their control.
Right now, they are facing a critical shortage of feed for their breeding herds after a year of drought. Precipitation remained well below normal throughout this summer, particularly in western Saskatchewan. As a result, moisture deficits have taken a critical toll on pastures and forage ranges. Livestock producers face tough choices.
Some may even have to sell a portion of their herds to sustain the remainder through the winter. However, this is not an option for all producers. If they do not have the means or the source to feed their animals in the short term, herds will suffer, and Canadians will face food shortages and higher prices. Ranching families could face business failures.
For months now, the Saskatchewan Cattlemen’s Association has been just one group sounding the alarm, asking the federal and provincial governments to step up with their share of the AgriRecovery relief, to help livestock producers navigate the extraordinary burden they take on when natural disasters occur.
The Government of Saskatchewan can be praised for its concern and fast action to protect Canada’s food security and the livelihoods of our ranching communities. Two months ago, it committed $70 million, or $80 per head, to sustain breeding stocks. However, the silence from the federal government has been deafening.
It has yet to commit its share of AgriRecovery funding. My constituents are rightly raising some difficult questions. Is Ottawa ignoring them? Does the government want them to fail? Has it forgotten about them or, by some calculation, determined that there is no need for assistance?
As their voice in this place, let me be very clear: There is an urgent need here and time is running out. I am asking again today for the Government of Canada to immediately make available its share of AgriRecovery funding, $120 per head, which will sustain precious breeding herds into the winter. The government must do its part to ensure that families from coast to coast have continued access to the high-quality food Saskatchewan’s livestock producers provide.
I understand that the federal government and the Province of Saskatchewan have been in consultation and were working on a review to determine how AgriRecovery could best assist the livestock industry. I must say, respectfully, that Saskatchewan has stepped up.
The time for consultation is long over. The government has pointed farmers and ranchers to the support available through this program as the answer in the past, and yet, it has not acted now.
My constituents go above and beyond to feed our country. They deserve the courtesy of a straight answer.
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- Oct/19/23 6:38:00 p.m.
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Mr. Speaker, since this is my first chance to take part in a discussion with you in the chair, I want to congratulate you on your new role. I want you to know that you have my full respect and confidence, as is my duty as an MP.
I want to thank my colleague from Yorkton—Melville for this opportunity to talk about our support for producers in Saskatchewan who are impacted by severe drought conditions.
Our hearts go out to producers during these extremely challenging times. With winter coming, cattle producers are facing difficult decisions about their herds, and many producers have suffered lower grain yields because of drought. We are talking about the cumulative damage of multiple years of drought on pastures and forage production, leading to low feed supply for livestock producers.
To address the member's question, the federal government is working as quickly as possible with the Saskatchewan government on AgriRecovery, and we will have more to say on this very soon.
AgriRecovery allows federal, provincial and territorial governments to work together when natural disasters like this occur. Just so the producers understand, this is not a federal- or provincial-only decision. Both the province and the federal assessors get together and make an assessment based on the AgriRecovery framework they have both signed on to, with a five-year agreement, to say yes, this is a natural disaster or drought that has impacted our producers, and they work within that framework. We have a lot of experience, unfortunately, with the B.C. floods and with hurricane Fiona. In fact, this is something that both provincial assessors and federal assessors have too much experience with because of climate change disasters.
Producers can help write down this income by claiming the cost of buying new breeding animals for the following year. This will reduce the tax burden from the original sale. Again, the goal is to help producers who are facing difficult herd management decisions.
Saskatchewan producers also have access to all of our business risk management programs. Business risk management programs are the first line of defence for producers facing disasters like this one. Our government has already supported Saskatchewan's request for an increase to the interim payment rate of AgriStability from 50% to 75%. We have increased the compensation rate for AgriStability from 70% to 80%, starting with the 2023 program year. That means more support in times of need. We have also partnered with the province on a one-year adjustment to the AgriInsurance program to make more drought-damaged crops available for feed. The vast majority of Saskatchewan producers enrolled in forage insurance have received payments, and 60% of their premiums are covered by the federal government.
My message is that our government is here for Saskatchewan farmers. They deserve and have our unwavering support.
I have been to Saskatchewan. The minister has been to Saskatchewan. We will always have the backs of our farmers and cattle producers. We know they are going through a rough time. I know the member is advocating for her constituents, and I respect that. We will have good news to share with members very shortly.
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- Oct/19/23 6:53:46 p.m.
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Mr. Speaker, I rose on September 20 on behalf of farmers in northwest British Columbia in an appeal to the Minister of Agriculture to come to their aid immediately after a disastrous summer that had affected many family farms.
This goes back to the spring. Farmers knew very early on that there was a problem, because their crops of hay were not growing. By July, they knew how bad this problem was. In fact, after months of a class-five drought, farmers were in a situation where they were getting as little as 10% of their normal hay harvests. We have seen this across all the western provinces.
I wrote to the former minister of agriculture back in July, appealed to her, raised this issue and asked for immediate help for farmers who were in a crisis. We were losing family farms. We were seeing farmers have to sell off their herds. We did not hear back from the minister.
Then I met with the current Minister of Agriculture on September 19, told him about the situation and asked where the help was. He said that he had not even heard about the crisis and was not aware of any application from British Columbia. Of course, that application had been sitting on his desk for months.
I do not want to hear that help will be coming soon or that the government is working on it. My question for my hon. colleague across the way is this: On what day will farmers in northwest British Columbia finally get the support from the federal government that they deserve?
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- Oct/19/23 6:55:36 p.m.
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Mr. Speaker, obviously, when farmers go through droughts or climate change events, it is serious. Unfortunately, they are going through this too often.
The good news, although it is unfortunate, is that whether provincial or federal assessors, they are getting too used to assessing climate change events through the AgriRecovery programs. As my hon. colleague would know, with respect to AgriRecovery, when a request is made, the province will send a letter to the federal government asking for an assessment. The province and the federal government will do the assessment together and assess whether it fits into the framework.
The hon. member knows that there are business risk management programs. Farmers already have access to that through the sustainable Canadian agricultural partnership program. I know he knows that. Whether farmers go through a climate change event, have a bad year or have a bad crop, whatever the reason for it, they already have access to the business risk management program.
After that, when the risk gets higher, if it is shared among other farmers, then the province gets access to the AgriRecovery framework. As I explained, the province would write a letter to the federal government requesting an assessment that they would do jointly as to whether it does respect the framework they have assigned.
For instance, I know the hon. member would know about the B.C. floods a few years ago. Many farmers went through hardships. I know many dairy farmers did. I was in the Fraser Valley, which was flooded, where farmers were growing fruits and vegetables. Some were raising livestock, which unfortunately had to be killed because of the major floods that happened. With respect to public safety, the province and the federal government worked together, and then AgriRecovery kicked in to ensure that the other losses that were not covered by the regular programs would have covered the existent losses that farmers were not eligible for through existing programs.
I can assure the member that, whether it is with respect to the B.C. floods or the hurricane in P.E.I. and Nova Scotia, the timeline will be respected. I know that when farmers are facing a crisis, it can never be fast enough. It is the same thing with insurance; when we are facing a crisis, it can never be fast enough. However, I assure you that the federal government and the B.C. government take to heart the fact that farmers are facing a crisis and will be there with good news to tell B.C. farmers in the northern part of the province. Farmers will be happy with the results.
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- Oct/19/23 6:59:01 p.m.
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Mr. Speaker, I do not think the three dairy farmers who had to sell their farms are going to be happy with the results. I do not think the many beef farmers who had to sell off their herds are going to be happy with the results.
I will tell members a couple of characteristics of a government that takes a crisis seriously. First of all, when a member of Parliament writes to a minister, they write back. Second, when the provincial government and the farmers of the region come to the federal government and say there is a crisis, it does not take three months to make something happen. It is October, and we still do not have help. Farmers do not have feed. They have sold off their animals, and we are losing a significant amount of our regional food security because the government, 4,000 kilometres away, is dragging its feet.
What is his message? I want to know what the parliamentary secretary's message is to the farmers in my region who have lost their family farms. Tell me.
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- Oct/19/23 6:59:59 p.m.
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Mr. Speaker, I know where the hon. member comes from, and I know he is doing a good job of representing his constituents and his farmers.
As I have said before, no response is fast enough when someone is going through a crisis. However, I can assure the hon. member that the B.C. government and the federal government are working hand in hand to respond as quickly as possible to farmers in order to ensure that they get the proper response. I can assure the hon. member's farmers, as they have gone through the B.C. floods in 2021, that they will be compensated with the program, through AgriRecovery. We will respond in due time. All I am asking for is patience for a few more days. I know they will get a proper response in a short few days.
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