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Decentralized Democracy

Alistair MacGregor

  • Member of Parliament
  • Caucus Chair
  • NDP
  • Cowichan—Malahat—Langford
  • British Columbia
  • Voting Attendance: 66%
  • Expenses Last Quarter: $140,733.69

  • Government Page
Madam Speaker, I am very pleased to rise, not only as the NDP's agriculture critic but also as the member for Cowichan—Malahat—Langford and for all of the supply-managed farms in my beautiful riding to offer my full-throated support of Bill C-282. Just as a quick review for people to catch up, this bill is seeking to amend the existing statute, the Department of Foreign Affairs, Trade and Development Act. A quick reminder is that the act, in one of its important sections, spells out the powers, duties and functions of the Minister of Foreign Affairs. For example, the act specifies that the minister conduct all diplomatic and consular relations on behalf of Canada and foster the expansion of Canada's international trade and commerce, etc. Bill C-282 would add a new clause into that act to specify that the minister must not make any commitment on behalf of the Government of Canada that would have the effect of increasing the tariff rate quota or reducing the tariff that is applicable to goods in that category, which are two very important aspects. I will lay out reasons why. First of all, I want to say that I am proud to be a member of a party that has long stood by our supply-managed farmers and continues to do so up to this day. We absolutely recognize that supply management as a system protects our family farms and our rural communities and protects and promotes hundreds of thousands of jobs. Its economic impact in communities like mine is huge. It rests on three pillars; I have heard the expression “the three-legged stool”. Of course, we know that with a three-legged stool, if one is to affect any one of the legs the whole system collapses and they are all necessary to stand up and maintain the system. Those three pillars are production control, pricing mechanisms and import control. Under supply management, we have a national marketing agency that determines the production amounts for each commodity and sets production quotas for each of our provinces. We also know that our supply-managed producers are guaranteed a minimum price for their products. Those provincial marketing boards allow them to negotiate the minimum farm gate prices with the processors of their products. The third pillar, which is the key theme of today's discussion, is import control. The way we regulate import control is through tariffs on foreign imports. Tariffs are applied whenever foreign imports in a supply-managed sector exceed the allowable quantity and then they are subject to a massive tariff that essentially makes them uncompetitive. For each of our main products, whether in dairy, eggs, poultry or turkey, successive trade deals have whittled away at that important pillar and now we do allow import of some foreign products in each of those categories up to a certain amount, after which they are subjected to a high tariff. The system has proven itself time and time again over decades of use. It offers important stability for producers, processors, service providers and retailers. It allows our federal and provincial governments to avoid subsidizing those sectors directly. That is in strict contrast to our competitors both in the United States and in the European Union. I need to underline this point: Supply management protects the taxpayer because we avoid subsidizing the industry. It allows farmers in those sectors to actually make a good income and to innovate and invest in their respective farms. That is in stark contrast to the wild price fluctuations we have seen south of the border in the United States, in particular, where overproduction has led to dire economic circumstances for many of the farms, particularly in the dairy sector. The same goes for the European Union. That is where taxpayer funds are used to directly subsidize those industries. That is in stark contrast to the system that we have here in Canada whereby supply management allows the system to survive without that direct intervention. I know some of the criticisms out there. We have heard it time and time again, particularly from the OECD, which has said that supply management stifles innovation. However, we know that is not true. In many of the farms I have visited in my own riding, particularly the dairy operations, the technology in use in those operations is state of the art. It is that way because the farmers who operate those systems have had the guaranteed income and they know they can make the investment by betting against future incomes. They have been able to innovate, they have been able to invest; they have been able to make their operations world class and the envy of many nations around the world. I talked about the economic impacts. I referenced the economic impacts in my own riding. If we look country-wide, for example, in 2021, Canada had 9,403 dairy farms. Production and processing of dairy products contributes to 221,000 jobs and nearly $20 billion to Canada's GDP every single year. The same year for poultry and egg farms, we had 5,296 farms. Production and processing of poultry and eggs contributes more than 100,000 jobs and over $8.5 billion to Canada's GDP. Therefore, the economic impact of this sector is significant and it matters to many communities. Now, let us look at how Bill C-282 fared at the international trade committee. I do want to take time to recognize my fellow NDP colleague, the member for South Okanagan—West Kootenay, who helped shepherd that bill through committee on my behalf. That was some great work on his part to get the bill to this stage. That committee had six meetings. About 45 witnesses came forward and testified. As a result of that testimony there were a number of amendments proposed to the bill. None were successful, so ultimately the version of the bill that we see before us today is the same that the House gave voice to at second reading. I want to outline some of the testimony that we heard at committee because I have heard other members reference this. One of the important testimonies that we heard was from Mr. Tom Rosser, who is the assistant deputy minister of the Department of Agriculture and Agri-Food. He said: The Government of Canada is working hard to ensure that the supply management system remains strong and that producers and processors operating in the system remain productive and sustainable. Bill C-282 would protect these sectors from additional market access concessions in the context of future trade negotiations, and as such is fully consistent with existing policy. We had Mr. Keith Currie, someone I have become very familiar with and worked with over the years. He is now, of course, the president of the Canadian Federation of Agriculture. He said: Canada's three most recent trade agreements have had a considerable impact on supply-managed farm families and the system that supports them. It's our hope this new legislation will encourage Canada's negotiators to look to other negotiating strategies that do not place one agriculture sector against another, and instead focus our energy on issues that unite us, such as reducing non-tariff trade barriers. The interesting thing about this bill as I wrap up here, is that the vote on sending the bill back to the House was an interesting one because both the Liberal and Conservative caucuses were split. We had the Liberal member for Nepean vote against sending this bill back to the House and we had a Conservative member from Oshawa and a Conservative member from Dufferin—Caledon also vote against sending this bill back to the House. It is interesting to see the splits that exist in both the Liberal and Conservative caucuses. I am very curious to see the final vote on this bill when we come to third reading. I understand, of course, that there were a number of objections raised to the bill about this being a non-tariff trade barrier, that it constrains Canada's ability to negotiate the best possible deal, but I will again say this. We have been let down successively three times back in the 42nd Parliament. I was there. Despite the government's promises that it was fully in support of supply management, threes successive trade deals undermined that important pillar of import control. I see this bill as just pretty much a legislative guarantee that, despite a government's best intentions and words, this bill is going to insert a legislative guarantee in an important act to ensure that our supply management sectors enjoy that solid protection. With that I will conclude and again reiterate that New Democrats will support this bill. I would like to thank the member for Montcalm for bringing it forward. I look forward to seeing its successful passage to the other place.
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