Hon. Robert Black: Honourable senators, I stand before you today to support the long-term viability of the Canadian produce industry and an issue that directly affects the heart of our nation — our farmers and producers.

I’m proud to rise and speak to Bill C-280, An Act to amend the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act (deemed trust — perishable fruits and vegetables).

This critical piece of legislation holds one of the keys to supporting Canada’s agricultural sector as it works tirelessly to feed not only our nation but also the world.

As an “agvocate,” I’m happy to see such a bill come to us — one that addresses discrepancies that have long left important members of Canada’s agricultural sector financially disproportionate.

At the outset, I would like to state that this is a finance bill. It is about bankruptcy protection. I want to assure my colleagues that I am not an expert on the Bankruptcy and Insolvency Act. However, I rise to speak to the need for this protection for the agriculture industry and this sector.

At the core of this bill lies the protection of perishable fruits and vegetables, which includes fresh and time-sensitive produce that can spoil quickly.

The bill proposes the creation of a deemed trust that ensures farmers and producers are given priority over the proceeds from the perishable goods they supply to buyers or creditors in the supply chain when buyers become insolvent or bankrupt. This essential safeguard proposes to protect our farmers’ interests during times of financial instability.

As we all know, supply chains are the intricate web that connects farmers and producers to consumers. In a vast country like ours, these supply chains play a vital role in sustaining our economy and ensuring the seamless flow of goods from farms to markets and, eventually, to our tables.

Agriculture, being a cornerstone of this network, not only caters to our domestic needs but also upholds our international obligations in the global food market.

The importance of a robust agricultural sector to our nation’s food security cannot be overstated. In the context of an increasingly interconnected world, disruptions in the supply chain can have far-reaching consequences.

The collapse of a single link in this chain, caused by a buyer’s or a creditor’s financial troubles, can have severe repercussions. It can lead to financial distress for our farmers, destabilize the market, cause our farmers to bear the burden of others’ bankruptcies without protection and compromise food security, not just within our borders but also for those who rely on our agricultural exports around the world.

Bill C-280 serves as a lifeline for farmers facing financial constraints, which are only amplified by the unpredictable nature of their profession. Our dedicated farmers contend with unpredictable weather patterns, rising production costs and stiff international competition. Amidst these challenges, the COVID-19 pandemic brought forth additional hurdles, like reduced demand, supply chain disruptions and labour shortages.

Supporting this bill is a recognition of their resilience and an affirmation of our commitment to easing their burden during difficult times.

As my honourable colleague sponsoring the bill in the other place noted, the worsening recession, inflationary pressures, increased prices, tax amendments and the lingering impacts of the COVID-19 pandemic have only increased the vulnerability of the produce sector.

This is underlined by the lack of critical financial protections available to Canadian produce growers for the losses they suffer as a result of an insolvent buyer.

While the existing mechanisms within the Bankruptcy and Insolvency Act may be suitable for the wider agriculture industry and other sectors, they do not provide a workable mechanism for when a fresh produce buyer becomes insolvent.

I was delighted to see, after years of requesting this protection, the bipartisan support this bill has garnered in the other place. In a political landscape often marked by division, it is a testament to the understanding that the welfare of our farmers and the security of our food supply transcend politics.

This underscores our collective responsibility as lawmakers to address critical issues that impact the livelihoods of those who put food on our tables three times a day, each and every day.

It is important to emphasize that the passage of Bill C-280 comes at no cost to the Canadian people. Supporting our farmers through this bill is an investment in the sustainability and resilience of our agricultural sector.

Ensuring that perishable goods are protected by a deemed trust is not an impediment to creditors or buyers; instead, it is an assurance that our farmers’ hard work and dedication will not go to waste — pun intended.

Might I add, colleagues, that the sponsor in the other place also noted that:

The financial protection established by Bill C-280 would reduce losses in the sector and lead to increased economic activity in Canada of $200 million to $235 million per year, increased value added in the Canadian economy of $104 million to $122 million per year, increased employment by more than 1,200 full-time jobs, and increased wages for Canadian workers by $59 million to $69 million per year.

What I take from this economic analysis, colleagues, is that Canadians have nothing to lose from this bill and much to gain.

In fact, the sponsor further noted that this bill would in fact save Canadian families and consumers anywhere between 5% and 15%, which could possibly save Canadian families between $300 million and $900 million on their annual fresh fruit and vegetable purchases.

This is good news during this time of rising food costs for all Canadians.

Agriculture is not just an industry; it is a way of life deeply ingrained in the fabric of our nation. The legacy of our farming families spans generations, with the passing down of knowledge and expertise from one era to the next.

By supporting this bill, we are protecting and nurturing this heritage, ensuring that future generations are inspired to carry forward the torch of farming excellence and not the possibility of losses due to others’ insolvency issues.

In conclusion, let us take this moment to demonstrate our unwavering support for Canada’s farmers and producers. The quick passing of Bill C-280 represents an opportunity to show the world that we stand united in our commitment to those who feed our nation and contribute to global food security.

Protecting perishable fruits and vegetables through a deemed trust not only is a practical measure to secure our supply chains and food security but also shows appreciation and support for our farmers’ invaluable contributions.

Supporting Bill C-280 will send a resounding message that here, in this chamber of sober second thought, and in Canada, we again recognize the critical importance of supporting our farmers, our producers and our processors. Their hard work, dedication and sacrifices deserve nothing less. By doing so, we strengthen the foundation of our agricultural sector and sow the seeds of prosperity for Canada’s future.

Thank you, colleagues, for your attention. I urge you to join me in supporting Bill C-280 for the greater good of our farmers, our food security and for Canada!

Thank you. Meegwetch.

(On motion of Senator Clement, debate adjourned.)

On the Order:

Resuming debate on the motion of the Honourable Senator Gerba, seconded by the Honourable Senator Klyne, for the second reading of Bill C-282, An Act to amend the Department of Foreign Affairs, Trade and Development Act (supply management).

Hon. Robert Black: Honourable senators, a significant portion of my time as a senator has been dedicated to “AGvocating” for the interests of farmers, processors and producers throughout the country.

Over the past several months, I have spoken with many passionate farmers, producers and advocacy groups about concerns over the ongoing negotiations regarding the U.K.’s accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, or CPTPP. I share their concerns. With accession to the CPTPP, the United Kingdom will have unprecedented access to Canadian markets for pork and beef, while Canadian producers will be unable to send our high-quality products to the British markets. As a trading nation, this sets an unfair advantage for foreign markets. While the U.K. engages in some level of trade protectionism to control its domestic markets, Canada is putting its valuable food systems at risk by allowing foreign products to enter our market at an unfair disadvantage for our farmers. Equal opportunity is crucial for our producers to continue to export their products.

The Canadian Cattle Association and the Canadian Pork Council, as well as the Canadian Meat Council, have actively spoken about the implications that the U.K.’s accession without renegotiation will bring, and the falsehoods being adopted to justify non-tariff barriers to U.K. markets. Their main concern, colleagues, is the failure to accept Canada’s meat inspection system, which is widely recognized around the world as one of the finest. The U.K. does not accept Canada’s food safety and animal health systems and measures, and those non-tariff barriers limit access to the U.K. market. In addition, there is a lack of reciprocal tariff measures, which have allowed British beef and pork full access to the Canadian market without full reciprocity.

I urge my colleagues and the government to consider the implications created by the U.K.’s accession. I believe it is high time we address the non-tariff barriers that restrict global access to our high-quality food products. Canada continues to work diligently to put food on our plates — not just here at home, but around the world as well — and we must continue to protect our valuable food systems.

Thank you. Meegwetch.

[Translation]

Hon. Robert Black: Thank you very much, colleague. You said that many farms are conglomerates. However, 95% of all farms in Canada are considered family farms; I want to clarify that.

How does the government respond to other sectors — like steel or forest products — that may come out of the woodwork to request similar trade protection? How does the government handle that?

[Translation]

Senator Gerba: Thank you, senator, for your question. With respect to how other sectors might react, I think the government needs to respond on a case-by-case basis. We can’t just use one sector to help others. The priority must be to help and meet the needs of consumers, the needs of Canadians. If a sector requires government support, it’s up to that sector to demand it from the government. No sector should always have to pay to support other sectors.

Hon. Robert Black: Honourable senators, today I rise to speak about an increasingly concerning issue: the mental health of Canada’s farmers.

This has been a challenging few years for Canadians, but especially farmers and producers. Food insecurity is rising and inflation is pressuring families, flooding and drought have afflicted vital agricultural regions across the country and our economy has been battered in the post-COVID reality. But Canada’s farmers remain resilient. New funding programs and promising bills like Bill C-234 offer some relief to the sector.

Farmers have sustained Canadians both in the economy and by maintaining supply chains even in volatile times. I applaud the many farmers and producers who have remained adaptable and determined in the past years while managing and overcoming regulatory burdens, labour shortages and increasing financial and emotional costs. Farmers have been there for Canadians and the world, putting food on our tables three times a day.

There are, however, concerns that are presenting themselves. Despite continuing to overcome these challenges, farmers are facing greater strains that inevitably affect their mental health. A recent study in 2020 of over 1,100 Canadian producers found that 57% of farmers faced anxiety, 45% faced unhealthy levels of stress and 35% lived with depression.

There is hope, however, colleagues. Among other support organizations, new investments into the Canadian Centre for Agricultural Wellbeing will help that organization spread awareness of resources and multiply their availability within the agricultural community.

As we work to reduce the stigma, I applaud groups like this that work to support Canada’s producers, processors and farmers through some of the most turbulent and challenging times in their lives.

Farmers remain resilient and determined. They continue to feed Canada and the world and face ever-changing norms, and it’s important that we continue to support them as they do so. Whether that be by promoting and encouraging new programs, buying locally grown foods when and where possible, celebrating the twentieth annual Food Day Canada in August or advocating for their mental health, I hope that we as senators can continue to speak of their dedication to this country and the world here in the Red Chamber. Thank you, meegwetch.

[Translation]

Hon. Robert Black: My question is for the Government Representative in the Senate. Senator Gold, Canada’s farmland remains a finite and valuable resource for Canadians and the world. Despite your government repeatedly stating the importance and prioritization of agriculture and food security, I remain perplexed by the agreements and policies that we continue to see which undermine the capabilities and capacities of our processors and producers.

In a recent deal, a foreign company was given the green light for the procurement of 1,500 acres — the equivalent of 1,134 football fields — of prime agricultural land in southern Ontario. Around this deal was $700 million from Ottawa to build a plant along with $500 million from the Ontario government, plus $13 billion in federal subsidies for this gigafactory. Let’s not forget as well, colleagues, the $34 million in tariffs taken from farmers’ fertilizer purchases earlier this year, an essential product needed to feed the country and the world, which was not returned to our farmers.

While the province retains jurisdiction of land use planning, governments at all levels have permitted the land that grows our food to be swallowed up by urban sprawl, damaging valuable soils and reducing our food production capacities, all while subsidizing this destruction and financially limiting those who put food on our tables.

My question is this, Senator Gold: When will this government actually prioritize Canadian agriculture and food, stop financially depriving our farmers and stop giving monies to companies that will actively undermine and take away our crucial farmlands?

Hon. Robert Black: Senator Miville-Dechêne, I’m thinking of many farm families across Canada who employ and engage young family members and others in farm operations doing things like picking rocks and sticks or being at the upper end of a bale elevator during peak heat in barns. These are activities that, in my youth, I sometimes considered cruel and inhumane punishment. Your bill speaks to minimum age requirements to work, so will it adversely impact farm families and farming operations here in Canada?