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House Hansard - 90

44th Parl. 1st Sess.
June 16, 2022 10:00AM
  • Jun/16/22 8:07:47 p.m.
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Mr. Chair, I would like to thank the member for Chatham-Kent—Leamington for his work on the agriculture committee. We have a great group that has really kept a strong focus on the needs of Canadian farmers and indeed on the conversation we are having today regarding farmers around the world. He is absolutely right that it is not only a production challenge. However, the reality is that there is a certain scarcity right now because of how important Ukraine is, and this is driving up food prices around the world. We are seeing that in Canada. We have more of a propensity to pay, as one of the richest countries in the world, but those vulnerable countries are going to really struggle. We have heard this from international humanitarian groups that are seeking additional funding so they can provide money. That is important, but we also need to make sure there is adequate production and availability of product so that we are able to contribute to the countries that are most food insecure.
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  • Jun/16/22 8:08:43 p.m.
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Mr. Chair, I thank my committee chair for his speech. We agree on many things when it comes to international action, but I would like to hear his thoughts on local production. I think that Canada will be called upon to play a key role in the global food supply in the coming months and years. Before we look after others, however, we need to look after ourselves. For some time now, we have been bringing up that infamous 35% surtax imposed on fertilizer orders that were made and paid for before the conflict began. Government members claim to understand the situation and say that they are looking for a solution, but days, weeks and months have gone by without a response. Does my colleague have an answer for us tonight?
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  • Jun/16/22 8:09:34 p.m.
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Mr. Chair, indeed, Canada's domestic capacity is absolutely important. I was very happy to see the Nutrien fertilizer company announce that it would increase production by 25%. In addition, the Government of Canada announced assistance for the BHP mining company in Saskatchewan to open the largest potash mine in the world. Other countries must also increase capacity. It is very important for the department's international development services to help increase the capacity of our allies, especially in Africa and Asia. The government believes it is very important to find a solution to help farmers with the tariffs imposed on March 2 on fertilizer orders made before the start of the war in Ukraine.
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  • Jun/16/22 8:10:53 p.m.
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Mr. Chair, we are in a really disturbing time, because all the myths of globalization have been blown apart. We saw it happen during COVID. Supply chain networks, access to PPE and the ability to supply our own communities were severely hampered. We are now seeing Putin use food as a weapon of war, threatening possible mass hunger. We are also seeing supply chain issues from the climate crisis. I was speaking earlier about the crisis of the Colorado River. It supplies a lot of agricultural support to the southern United States, which feeds world markets. I want to ask my colleague about the bigger question of whether or not the government is looking at how we deal with supply issues and how we deal with instability in a world where globalization is falling apart and we have war criminals like Putin using food as a hunger weapon. Our old systems are not working. What is the government looking at in terms of a new strategy to get Canada secure and help the world be more secure?
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  • Jun/16/22 8:12:07 p.m.
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Mr. Chair, that was a big question, so please permit me just a moment. On globalization, Canada is a world food provider. We cannot turn away from that. That is a reality. I think we have to look out both ends of the telescope. We need to build domestic capacity in Canada through local food infrastructure to help support, perhaps, import substitution, and Canada still needs to play a global role. As it relates to food and war, my hon. colleague is absolutely correct. Russia right now is playing from the old playbook, trying to target a country's capacity to feed itself and feed the world. It is creating havoc. It is driving a conversation here domestically. We need to continue to support Ukraine in its fight for all of us, because this is a playbook of the Russian Federation to try to create disruption in western countries that are committed to international rules-based order.
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  • Jun/16/22 8:12:58 p.m.
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Before we go any further, I want to wish my friend from Kings—Hants a happy wedding. I do not know if it is this weekend or next weekend, but pretty soon he will be getting married. We will do this in the House while we can. Resuming debate, the hon. Minister of Northern Affairs.
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  • Jun/16/22 8:13:18 p.m.
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Mr. Chair, it is a pleasure to stand in this chamber. It is always an honour to rise on behalf of my constituents in Saint Boniface—Saint Vital. With one of the world's leading grain producers in crisis, the world is looking to Canada to step up. Our world-class agriculture and agri-food industry is a major driver of food security in over 200 countries around the world. Last year, despite the challenges of the pandemic, our agri-food exports topped $82 billion to 204 countries and territories. Farmers need tools and support to keep their businesses strong so they can feed Canada and they can feed the world. We have committed to farmers getting them there. Right now farmers are facing shortages and higher costs for their inputs, particularly fertilizer and fuel, due to the disruption of supply chains caused by the conflict in Ukraine. Fertilizer is absolutely vital to Canadian farmers to grow their crops and to feed the world. We are working with governments, provinces and industry partners to ensure that farmers have access to fertilizer for Canada to do its part during this time of global food insecurity. As well as a leading food producer, Canada is also the world's single-largest producer and exporter of potash fertilizer. We are putting money towards making the largest potash-producing mine in the world one of the greenest. On Monday, my colleagues, the Minister of Innovation, Science and Industry, as well as the Minister of Agriculture and Agri-Food announced $100 million in federal support to ensure a new potash mine in Jansen, Saskatchewan, is sustainable. Our support for this innovative project is a long-term investment for global food security and environmental sustainability, and it will ensure Canada's position as a leading exporter of potash. During the pandemic, we introduced a number of measures to ensure the supply chain worked as effectively as possible, including support for farmers and food processors to invest in safety protocols to keep their farms and plants running. We are also working to strengthen our trade corridors so our farmers can get their world-class products to their global customers on time. To maximize our trade opportunities, we have worked hard to diversify our trade through agreements with key trading partners, including the European Union, North America and the countries of the trans-Pacific. However, ensuring global food security starts right here at home. Everyone deserves access to healthy, affordable and perishable food options. During the pandemic, our government worked with partners to deliver important supports to food banks, community food programs and food baskets in indigenous and northern communities, redirecting supplies of food to remote communities to ensure no food went to waste, as well as investments in food infrastructure. At the start of the pandemic, our government acted quickly, injecting $25 million into nutrition north Canada. Not only did this make food more affordable in the north, but additional items were added to the subsidy list. Our government also introduced the harvesters support grant, which increases access to country foods by providing funding to support traditional hunting in the north, harvesting and food sharing in 108 isolated northern communities. It recognizes the importance of traditions, as well as hunting, harvesting and food sharing, to the health and well-being of indigenous people and communities. No single department, organization or initiative has the capacity to address the issue of food security on its own, as the root cause of food insecurity is poverty. Our government is working directly with partners to address food security in the north and Arctic through a whole-of-government approach that includes working with provinces, territories and indigenous leadership and communities. The best way to strengthen global food security is to support the hard-working individuals producing the world's food and to work with local communities in partnership to address needs here at home and abroad. That is exactly what we are doing.
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  • Jun/16/22 8:17:59 p.m.
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Mr. Chair, the minister talked in his speech about the importance of fertilizer. Not only is it access to fertilizer, but I think the other issue about fertilizer is affordability. We have seen the cost of fertilizer in many parts of the country go up 100%. Canada is the only G7 country on the planet that is charging a 35% tariff on Russian fertilizer. Many times we have asked the Liberal government to exempt that tariff on fertilizer purchased before March 2. We now know that this tariff is costing Canadian farmers about $150 million a year. The minister just mentioned that the government gave $100 million to the largest mining company on the planet when they have record fertilizer revenues, not to make increased production at this fertilizer plant near Saskatoon but to ensure that it uses electric vehicles. Would he not agree that a better use of that $100 million would be to provide compensation to farmers for their own fertilizer tariff?
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  • Jun/16/22 8:19:00 p.m.
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Mr. Chair, I want to say first of all that it is incredibly important that we are having this debate today. I can speak for the Minister of Agriculture and Agri-Food. Her department is actively engaged not only with provinces across the west, but with the farmers and industry partners to ensure that farmers have access to fertilizer for Canada to do its part during this very difficult period of global food and security. With respect to the BHP Jansen mine announcement in Saskatchewan this week, this will be the largest potash mine in the world. We make absolutely no apologies for doing our part in working with industry. This will ensure potash not only for the medium term but for the long term, and will ensure that Canada will be an actual leading producer for generations to come, creating absolutely hundreds of jobs in the process.
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  • Jun/16/22 8:20:22 p.m.
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Mr. Chair, a few moments ago, I was speaking about the importance of teaching a person to fish. I used to live in the near-northern town of Fermont, which did not have road access until 1984. I know and remember very well how expensive food can be, such as a $15 salad. Even a $25 million investment to help communities even farther north than Fermont, which is after all only on the 52nd parallel, is a band-aid solution. What steps does the government plan to take and what measures will it implement in order to help communities access reasonably priced, healthy food?
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  • Jun/16/22 8:21:22 p.m.
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Mr. Chair, the $25 million that I spoke about was an investment from the middle of the pandemic. In budget 2021, we increased the budget by $163 million for a series of initiatives to address food security in the north, which is very important. We know that everything is more expensive for remote communities. There are no access roads or transportation. That is why we are also investing in building better infrastructure, roads and different ways to encourage transportation so that these communities can better look after their food needs. It is going to take more than just one department to make this change happen. It will require initiative from the entire government and all levels of government, including indigenous governments. That is our initiative, and we will continue to find partners to address this serious issue.
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  • Jun/16/22 8:22:50 p.m.
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Here is where I give my reminder to everyone that the quicker we can ask questions and answer questions, the more people can participate in the debate as we go along. Resuming debate, the hon. member for Chatham-Kent—Leamington.
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  • Jun/16/22 8:23:05 p.m.
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Mr. Chair, I will be splitting my time with the hon. member for Regina—Lewvan. I wish I were speaking more about Canadian food security this evening than speaking about global food insecurity. Prior to being elected, I farmed for most of my life. I have spent a lot of time in agricultural organizations and I also worked with an internationally focused NGO. It has been mentioned here tonight, the Canadian Foodgrains Bank, which deals with hunger, and so, with that background, I have spent a lot of time working for food and talking and thinking about it. If I had to title my remarks today, I would title them with the axiom that we hear at the farm, “nothing cures high prices like high prices”, and its corollary, “nothing cures low prices like low prices”. Ag pundits often cite this expression when they are talking describing volatile agricultural markets, but we might ask ourselves what this has to do with global food insecurity and why should Canadians care. Embedded in that expression actually lies one of the solutions to this crisis that we are facing, albeit it is a bit more of a longer-term solution, but respecting and understanding market dynamics is something we all need to collectively do. This works if governments and we collectively respect how markets work. High prices of anything, food and any product, encourage more production and increase supply. Low prices encourage demand and eventually high prices. I will come back to this in a moment but with the corollary that governments understand this dynamic. Let me speak for a second to why Canadians should care. Obviously, we are all experiencing increasing grocery prices and grocery food. Canada is a rich country. On average, we spend about 10% of our disposable income on the cost of food, which is much lower than in many parts of the world. However, the vulnerable in our own society feel the brunt more than many of us. We know that many problems do not respect international borders. We are dealing with greenhouse gases and climate. That does not respect the border. As we have learned, travel mandates and things like that have not slowed the spread of COVID-19. So too the effects of global hunger in other parts of the world will affect us. I am reminded that World War II was not declared in 1939 when Hitler crossed boundaries into Poland and Czechoslovakia. World War II came from a conflation of various regional conflicts. Whenever in any part of the world a population's average caloric daily intake falls below 1,800 calories, there is civil unrest, food riots, hunger, all sorts of other problems. Let us think back to the Arab Spring. It is important to put a few stats on the record. Global food hunger was actually decreasing through 2014. It has been mentioned that conflict around the world has actually been driving those numbers up. It was down to under 600 million people. The latest figures put it at over 800 million, with 50 million people actually facing acute starvation. There are two issues. As I mentioned in a question earlier, the price and availability of food require both short-term and longer-term responses. To address food instability, food needs to be available. My former employer worked in this space. Certainly, in a short-term response, we do need to supply cash. The Canada Foodgrains Bank led Canada to delinking our food aid back in 2008, which is a good thing, but what we need to do far more is to drive the cost of food down as well. For that, our Canadian agriculture needs all of the tools at its disposal, certainly fertilizer and access to fertilizer. Restrictions on the use needs to be balanced with our environmental responsibility, but we cannot be putting policies in place today that impact Canadians' ability to produce food. The carbon tax has been talked about as well. As I said, high prices cure high prices. More supply is attracted by high prices. For the world's poor, we absolutely need to put more food onto the market, which will lower the cost, which is the second possibility. Let us put our collective efforts toward those aims.
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  • Jun/16/22 8:28:14 p.m.
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Mr. Chair, as my hon. colleague from Chatham-Kent—Leamington mentioned, he has ties to Ukraine. We heard him contribute in a very meaningful way on the Standing Committee on Agriculture and Agri-Food. I want to ask him a couple of things. He highlighted very precisely what the challenge is in vulnerable countries and the geopolitical dynamic that could come from that, and I applaud that because it is spot on. We heard in Kharkiv, which is where the plant-breeding research station is in Ukraine, was targeted directly by the Russian Federation. We heard from the Food and Agriculture Organization of the United Nations that it is going to try to salvage some of the varieties that are there. I am of the view Agriculture and Agri-Food Canada can work constructively to help rebuild some of the varieties where there might be some common overlap. Does he believe that would be a constructive solution the government can work on, and will he constructively raise that to help push the government to work in that domain?
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  • Jun/16/22 8:29:12 p.m.
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Mr. Chair, yes, I absolutely will. I enjoy the work my hon. colleague and I do together at the agriculture committee. We need both short-term and long-term responses. There is a call for an immediate cash injection, and I support those efforts. From a longer-term perspective, Canada has expertise. In my time at the Canadian Foodgrains Bank, I often spoke, and it was referenced earlier by the member for Beauport—Limoilou, about the analogy of fishing and giving a person a fish compared to teaching a person how to fish to reduce the need for further fish down the road. The third stool, which is not often talked about, is access to the pond. I believe the hon. member's question concerns that third component. We need to not only teach and provide Canadian expertise in other parts of the world, but also give access to the pond so they can fish. There is that seed bank of Kharkiv, as well as other efforts. As Canadians, we have to develop the infrastructure in other parts of the world, and that is something that can absolutely be supported.
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  • Jun/16/22 8:30:12 p.m.
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Mr. Chair, I would like my colleague to elaborate on those examples and tell us how our own expertise can support and develop production in developing countries that are facing food shortages.
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  • Jun/16/22 8:30:31 p.m.
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Mr. Chair, some things we, in primary agriculture in Canada, take for granted are actually not very well known in other parts of the world. What we consider as second nature for conservation and agriculture, such as crop rotation and keeping the ground covered with residue, are not well known in places such as Ethiopia. It was the first to plow the land, and has been for 7,000 years, so there is a massive culture change required to bring that about. I will give honours to the Canadian Foodgrains Bank, as its curriculum has been adopted by the Ethiopian government, and it is incorporating that into its agriculture because of the draughts it experiences. It is increasing its food production by adopting some things we take for granted. I was in Tanzania and saw some simple things such as scattering corn versus planting it in a row. Things we take for granted are things we can export and teach.
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  • Jun/16/22 8:31:31 p.m.
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Mr. Chair, prior to being elected, I worked with the Canadian Foodgrains Bank quite a lot, and I think of my colleague as a friend and an ally in this place. I would be remiss if I did not take this opportunity to wish Jim Cornelius a very happy retirement from the Canadian Foodgrains Bank. Very quickly, I would ask for the member to share some more of his expertise with us tonight. We know the Canadian Foodgrains Bank has worked in countries around the world. Some of the work it has done in Ethiopia has been extremely strong. I wonder if he could talk a bit more about some of the ways western farmers have worked with farmers in Ethiopia and have provided food to people in Ethiopia.
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  • Jun/16/22 8:32:16 p.m.
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Mr. Chair, next week I will give a member's statement acknowledging Jim Cornelius and his role. Yes, the Canadian Foodgrains Bank, with a footprint across Canada in the agricultural community, grows food here, sells it into the market and then uses those funds to acquire food. In my remarks, I just touched on how Canada delinked our food aid to the rest of the parts of the world, so we are not destroying local markets when we source food to address food insecure parts of the world. We actually improve their own markets and lead to more sustainability from that perspective. That is an area in which the Canadian Foodgrains Bank led by lobbying the Canadian government back in 2008 to delink that aid. We are actually leading the world when it comes to that, certainly in our efforts in the Horn of Africa with conservation agriculture. As I said earlier, things Canadian farmers do almost by nature these days are not done by nature in other parts of the world. Certainly, that is another area the Canadian Foodgrains Bank has been a leader.
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  • Jun/16/22 8:33:25 p.m.
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Mr. Chair, this is a very important and timely debate that we are joining here this evening on the floor of the House of Commons. It is really talking about food supply and how Canada can be one of the sources to get food to people around the world. There are five major points I am going to make in my presentation today about what I see as the issues agriculture producers are facing in Canada that are hindering their ability to supply the world with more of the world-class beef, chicken, wheat and commodities and to get things moved from market to market. The first thing I see as an issue facing our producers coming down the pipe is front-of-package labelling. It is a big concern. We were reached out to by the Canadian Cattlemen's Association and the Saskatchewan Stock Growers Association. They interviewed yesterday, and it is something people are getting more concerned about, that the government is going to put warning labels on our beef and pork. We should have a really serious debate about whether that is something we need to do going forward because our producers have world-class beef and pork, and we do not need to put warning labels on them. It is a conversation that we need to have in the House of Commons to make sure we are supporting our producers. I believe they are doing phenomenal work from an environmental standpoint and from a food quality standpoint, and the government should not be putting a warning label on the front of packages. We would be the only country in the world to put this burdensome policy on our beef and pork producers. A second issue we talk a lot about in this chamber that is really hurting the food we can produce is the carbon tax. It is ever-increasing for our Canadian producers. In western Canada, when we have these conversations about the carbon tax, we hear these are serious dollars. Now the PBO has come forward and said Canadians are not receiving as much money as they are paying in the carbon tax. The fuel bill of a friend of mine has gone up $15,000 a week, just in the carbon tax, when he is seeding and harvesting. Obviously that is in the high point, during seeding, but that is how much more money this producer is paying to fuel his equipment, and that is just the tractors. It is not counting other pieces of machinery. That is the second thing that is hindering our producers from being able to feed the world. The third thing, as the member for Foothills talked about, is the fertilizer tariff. We are asking for the producers to get that money back from before March 2. We are penalizing our producers with the government's policies, which are something it has control of. It can make it better for our producers and easier for them to grow what the world needs. The fourth thing is the 30% reduction of fertilizer. I have talked to stakeholders across the country, and before this emission reduction was put on fertilizer, Fertilizer Canada, Nutrien and BHP were never reached out to. They were surprised by this 30% reduction target. There were never appropriate conversations with the stakeholders to ensure that they knew this was coming down the pipe. It was a surprise for them. It was a subjective target that came out of nowhere and really shook the people who produce the fertilizer that helps to grow the crops we need to feed the world. The fifth thing has been touched on by colleagues on all sides. It is not a partisan thing. It is the war in Ukraine. Ukraine is the third-largest producer of wheat in the world, and they are in war zone. Those crops are not going to be planted this year. We are burdening our producers in this country with more red tape and more regulations, which will hinder our yields and our crops. We are not going to be able to use much fertilizer, and that is something that is going to happen in this country. We are going to grow less produce and have smaller yields because producers are going to use less fertilizer because they simply cannot afford it. They will not be able to afford the increase in the cost of fertilizer, and they cannot support an increase in the carbon tax. When we talk about the global food supply, where we should be a major player in the world, the government is hindering the ability for our producers to step up and do what is needed.
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