Canada-Jordan Free Trade Act

An Act to implement the Free Trade Agreement between Canada and the Hashemite Kingdom of Jordan, the Agreement on the Environment between Canada and the Hashemite Kingdom of Jordan and the Agreement on Labour Cooperation between Canada and the Hashemite Kingdom of Jordan

This bill was last introduced in the 40th Parliament, 3rd Session, which ended in March 2011.

Sponsor

Peter Van Loan  Conservative

Status

Report stage (House), as of Nov. 2, 2010
(This bill did not become law.)

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

This enactment implements the Free Trade Agreement and the related agreements on the environment and labour cooperation entered into between Canada and the Hashemite Kingdom of Jordan and signed at Amman on June 28, 2009.
The general provisions of the enactment specify that no recourse may be taken on the basis of the provisions of Part 1 of the enactment or any order made under that Part, or the provisions of the Free Trade Agreement or the related agreements themselves, without the consent of the Attorney General of Canada.
Part 1 of the enactment approves the Free Trade Agreement and the related agreements and provides for the payment by Canada of its share of the expenditures associated with the operation of the institutional aspects of the Free Trade Agreement and the power of the Governor in Council to make orders for carrying out the provisions of the enactment.
Part 2 of the enactment amends existing laws in order to bring them into conformity with Canada’s obligations under the Free Trade Agreement and the related agreement on labour cooperation.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 1:50 p.m.
See context

Liberal

Bryon Wilfert Liberal Richmond Hill, ON

Mr. Speaker, I am pleased to participate in this debate on Bill C-8. Let me first of all indicate that all countries are governed by their national interest, and certainly in Canada's interest, trade is absolutely paramount given the fact that 80% of our economy really needs access to foreign markets. Therefore, we are certainly concerned on this side of the House that for the first time in over 30 years we are now facing trade deficits, which obviously is something that needs to be addressed very quickly. Obviously this agreement is only one in a series of what we hope will be agreements, particularly on a multilateral basis, to push access not just for Canadian products, but obviously that helps business, cultural aspects and political aspects in terms of dealing with other countries.

There is no question that this agreement gives us an opportunity to begin further inroads. Since 1997, we had the free trade agreement with Israel, but we really need to look at not just Jordan but the greater Arab free trade agreement that Jordan is a member of. Over 18 countries are members of that. It would give us hopefully, down the road, access from the United Arab Emirates all the way to Algeria. It would give us the opportunity to really expand in areas on environmental protection. It would deal with areas of communication, areas dealing with forest products, et cetera.

The difficulty, of course, is that this is just one aspect. I had the privilege in July 1997, when I was parliamentary secretary to the minister of the environment, to meet with the minister and with King Abdullah II of Jordan to talk about environmental protection issues in particular. The king was very clear that he wanted to see more opportunities with Canada, and obviously the development of this agreement would give us opportunities to discuss and promote both environmental protection, labour protection and other issues with the Hashemite Kingdom of Jordan.

We on this side of the House support sending the bill to committee. I assume it will address a number of the issues that some other colleagues have raised in the House today. In terms of access to trade, trade is really our lifeblood and we need to not only be only aggressive looking at what our neighbours are doing, for example, the United States which has an agreement with Jordan, but it is also very aggressive in Asia and the Asia-Pacific region. We do not have one agreement in Asia-Pacific. We have exploratory discussions right now with India, but the reality is that while the Americans have been moving forward with even a discussion on an Asia-Pacific agreement, we still sit back and have not been aggressive. We are in the ninth round with Singapore. We are still dealing with the Korean situation, particularly the issue of automotive access. But in terms of where the real action is, it is dealing with multilateral agreements, and this is where the United States and the EU, which also has an agreement with Jordan in this case, are taking a very proactive role.

Although this is one step and we certainly welcome that, there are the larger issues that we need to deal with, particularly looking at the whole issue of an agreement with the Arab free trade zone. That would certainly be of benefit to us.

There is no question that Canadian exports, although they were only worth $77 million in 2008, still are important in terms of forest products and in terms of some of the agri-food areas and obviously machinery. But again, that is simply one aspect. We import only about $15 million, as of 2008, but it is building those bridges. That is why, for this country in particular, given that we have over 85% of our trade with the United States and given the economic downturn being faced around the world, the impact it has on the Canadian economy is significant. If we put all our eggs in one basket, there is difficulty, obviously, when doors close. So we need to have these other areas.

Canadian business has demonstrated very clearly that it can compete with the best in the world given the opportunities out there. This is obviously something that we on this side of the House will continue to push.

The elimination of all of the Jordanian non-agricultural tariffs, which currently average around 10%, is small, but again an example of the need to promote Canadian agricultural products, which we know are the best in the world.

The need to promote and reduce tariff barriers in general means that this country will become much more competitive internationally. It will give us, again, a bridge in the Middle East. Jordan and Israel have a peace agreement since 1994, so there is obviously trade going on. We can continue to promote many of these aspects, which I think are important.

Colleagues have mentioned environmental technology. One of the things about climate change, of course, is that Jordan is dealing with significant climate change issues, as are other countries, particularly in terms of desertification. Again, Canadian technology and expertise can be very helpful in terms of dealing with the Hashemite Kingdom of Jordan. It is an opportunity to promote and expand our environmental goods in that part of the world. I think it is important. Hopefully, it will be a bridge later on for other countries in the Middle East.

There is no question that, at this point, Canada is going to be able to take a leadership role, but we need to be able to evaluate some of the issues that have been raised. In terms of textiles, et cetera, there does not seem to be any concern raised in that area. Obviously, some members have asked about the nature of the labour agreement. It is similar to the one that the United States signed with Jordan. Again, we can certainly look into that at committee. If we look at where Jordan has come from, particularly since 2002, coming out of the IMF agreement it had in terms of its progress on banking, monetary reform, and in many sectors, Jordan certainly is a very good partner for Canada in this region.

When we are examining those kinds of issues, we again want to be able to say to Jordan and to the rest of the world that Canada is open for business. It is obviously going to be a two-way opportunity both for the Jordanians and for Canadians, but also we will be clear that this is simply one aspect and that Canada continues to diversify. As the lifeblood in dealing with that trade deficit for the first time in over 30 years, we have to diversify. We also have to get our businesses to line up to compete in that area.

Going back to the Asia-Pacific for a moment, the fact is that the Japanese concluded a free trade agreement with the Philippines, as well as with Mexico, a NAFTA partner. It is important because the Japanese were able to deal with agricultural issues, which traditionally they have always been very protectionist on. Yet they were able to get agreements with two countries that have large agricultural aspects.

The fact is that we are still toiling away with Korea and Singapore. We need to look at what others are doing. Of course, the Americans have clearly demonstrated that they see the future there. An ASEAN agreement, with the 10 countries in ASEAN, will mean that a market of over 590 million people will open up with Australia, with the United States. We have to be there.

Therefore, though we support the idea of a bilateral agreement in this case, the much larger picture is the trading blocs that are emerging, the ASEAN, the EU, and dealing with the Asia-Pacific. All those are really critical.

If one looks at an example such as Vietnam, Vietnam is a market that now has a very strong foreign investment provision. It is welcoming Canadian companies that are there, such as Manulife. Again, we are missing the boat when we are not developing these kinds of strong free trade agreements. Because Vietnam is part of the ASEAN group, we need to have that.

I know time is ticking down until after question period, but I want to point out that again these kinds of agreements will benefit Canadian manufacturers and Canadian labour. It will benefit many opportunities where we can in fact expand. I hope to add a little to that after question period.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 2 p.m.
See context

Liberal

The Speaker Liberal Peter Milliken

The hon. member will have about ten and a half minutes in the time allotted for his remarks when debate is resumed.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:20 p.m.
See context

Liberal

The Speaker Liberal Peter Milliken

When the matter was last before the House, the hon. member for Richmond Hill had the floor, and he has eleven minutes remaining in the time allotted for his remarks.

I therefore call upon the hon. member for Richmond Hill.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:20 p.m.
See context

Liberal

Bryon Wilfert Liberal Richmond Hill, ON

Mr. Speaker, as I indicated earlier, we are a nation of traders, and obviously, one of the issues that clearly comes to mind is the approach we take in terms of our trade relations with our neighbours, particularly when we have about 85% trade with the United States.

Clearly what we need to have is a vision. We need to clearly have a plan as to what we need to be doing. I talked about the fact that although the Canada-Jordan free trade agreement is an interesting approach, there is a wider market in that area, in terms of the Arab free trade area, which, with 18 states, is very important. The fact is that a multilateral approach is absolutely critical. Given what has been happening in Doha, we need to really push multilateral agreements. We need to push multilateral agreements, in large part because our neighbours are clearly doing that: Australia, the United States, the EU and others. It is very important that we be a player.

Jordan is a very good example of a country in which modernization in terms of banking and monetary infrastructure has been progressing. It is a good place to invest. Obviously, we recognize that, and we want to encourage Canadian business to recognize it by bringing on organizations such as the Canadian Chamber of Commerce, the Federation of Canadian Municipalities, and organizations that will have an interest in participating in this type of agreement so that we can encourage the best and the brightest in this country to be on the leading edge.

Without some kind of overall strategy, these kinds of agreements are simply one-offs. We need to hear from the government in terms of what overall approach we should be taking in terms of providing leadership to deal with our competitors.

I go back to the Asian-Pacific again to say that in the Asia-Pacific, we are not a player, and we need to be, particularly in places such as Malaysia, Vietnam, the Philippines, Cambodia, and others. What do they all have in common? They are all part of ASEAN. While other countries are looking at doing free trade agreements with ASEAN and the 590 million people who live there, we are standing idly by. We cannot afford to do that.

We need to be aggressive in these areas. If we are aggressive in these areas, we can compete, particularly on the environment. In the environmental area, we are experts on clean water, contaminated soils, and clean air. Environmental companies are very interested in participating there.

When I referenced my meeting, with our Minister of the Environment, in July 2007, with King Abdullah of Jordan, I mentioned the fact that they were very interested in the environmental technology this country has. Agreements like this will hopefully give Canadians an opportunity to access those markets. These are things that we should have been doing. We need to do them in a broader context as well. Without that kind of push, we are going to be left behind. We continue to do these one-offs. They are not necessarily the most productive or the most useful.

Speaking of the environment, in the agreement there are side agreements on labour co-operation and on the environment. I would point out that on the environment, one of the things I am pleased to see is that we are going to comply with and effectively enforce the domestic environmental laws and not weaken the environmental laws to encourage trade or investment. That is important. We are not going to weaken them; we are going to strengthen them.

We are certainly going to ensure that provisions are available to remedy any violations of environmental laws and to promote public awareness, because the environment is extremely important not only for Canada and Jordan, but in general, in terms of what we can provide. Providing these kinds of safeguards is obviously going to be important. They are going to be important not only for those countries and the people in those countries, but again, because we can share that expertise and get our environmental companies involved, particularly on issues of desertification and irrigation, on which we can provide expertise. Particularly in an area of the world where water is in short supply, Canadian expertise and technology can be part of the solution.

We can be part of the solution only in Jordan in the Middle East. Yet we have a trading area of 18 nations. I again point out, whether it is with Saudi Arabia, Egypt, or the United Arab Emirates, that we need to be a player. I hope that the government will come back and look at the issue of expanding this in terms of a multilateral approach, which would give us more access and opportunities for Canadian business. Standing still is obviously not appropriate.

We also have the side arrangement, on the issue of labour, to guarantee freedom of association, the right to collective bargaining, the abolition of child labour, the elimination of compulsory labour, et cetera. A colleague in the New Democratic Party raised this issue. I would suggest that this is where the Standing Committee on International Trade could bring witnesses forward to make sure that if there are areas of concern, they are addressed. Any agreement can be strengthened. It is absolutely important, for the protection of workers, to make sure that they have the ability to organize and carry out their activities free from fear, discrimination, and pressure. That is one of the aspects of this agreement. If there are opportunities to strengthen any of these, then we need to do so. They are basic human rights, and we want to make sure that they are enshrined.

Jordan has a high degree of internal security and stability. It is a free-market-oriented economy. That is something we encourage not only for Jordan but in other areas of the Middle East where we could continue to promote free-trade opportunities. In a free market, we can be a major player. Jordan has a well-developed banking and communication system. We can take advantage of that, given the expertise we have in those areas.

There is no question, in looking at tax rates for Jordanian and Canadian companies, that there are opportunities where Canada could play a role. However, we have to go back to the issue of developing a more regional approach, because other countries are doing that. Other countries are saying that in a very competitive global environment, given the economic situation around the world, we cannot sit at home; we have to be there. That is what we are hearing from the business community. I hear that from small- and medium-sized businesses all the time.

I appreciate that when we are looking at these issues and bringing those witnesses forth at committee, we will be approving simply one agreement. How do we strengthen our role internationally and competitively in a manner that really addresses Canada's strengths, whether that be the environment and dealing with climate change or telecommunications, two particular areas in which Canada is very strong.

We talked about agriculture. We have seen that it deals with subsidy issues. Agriculture is very important because we export so much. In looking at those opportunities, I mentioned the Japanese, who are able to sign agriculture agreements with countries we never would have thought of, such as Mexico or the Philippines. I think that if we really put our minds to it, we can do more. This particular agreement gives us an opportunity to say that if, in fact, we are not going to be successful at the Doha Round on the issue, we need to deal with it in a multilateral way. I know that there are colleagues here who clearly see that as an opportunity.

I hope that the Government of Canada will continue to show leadership, because our American friends, the EU, and others are not standing still. They are being very aggressive. As with the experience in Korea, we know the importance of accessing those kinds of markets, because those countries are clearly looking well beyond their shores.

We have talked about a free trade agreement with Japan. Again, the larger issue is an Asia-Pacific agreement. If we are not a player in that part of the world, if we are not a player in a larger sense in the Middle East, we are going to be left behind.

I know that my time is coming to an end. I urge colleagues to support sending it to the committee. It is important that we examine not only this bill, but again, the broader picture of where we want to be in the 21st century in terms of our trading relations. How will they strengthen our own domestic economy so that Canadians are at work and so that we can provide leadership on the world stage.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:30 p.m.
See context

NDP

Chris Charlton NDP Hamilton Mountain, ON

Mr. Speaker, I listened very carefully to my colleague's comments. I know that he has been an active participant in all of the debates on free trade agreements. One of the things that has been a commonality among the trade agreements that have come before the House, at least since I have been elected, is that labour issues have always been part of a side agreement.

I welcome the member's comments. He said that we could take this to committee. It is imperative that we strengthen sections that are of real concern, not just to people in the labour movement here in Canada but indeed, in Jordan, and in the case of other free trade agreements, right around the world.

I wonder if the member could speak briefly to whether there has ever been any success at the international trade committee in actually amending these labour agreements and whether his support, ultimately, for this free trade agreement will be conditional on the strengthening of those labour provisions.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:30 p.m.
See context

Liberal

Bryon Wilfert Liberal Richmond Hill, ON

Mr. Speaker, to my knowledge, there has not been, but that does not mean that there could not be. First of all, we need to make sure that the strongest teeth are in an agreement in terms of labour practices with respect to the issues I raised, such as the collective right to negotiate and unionize, et cetera.

At the same time, we need to be that beacon. We need to be able to continue to push. What we would expect at home we would also expect internationally when dealing with other countries. Obviously, even in the case of Colombia, provisions were put in the agreement, particularly in the area of human rights. Obviously it is not perfect, but we should not demand anything that we would not demand at home in terms of the issues the member has raised. Again, we need to collectively push that issue at committee and going forward.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:30 p.m.
See context

NDP

Chris Charlton NDP Hamilton Mountain, ON

Mr. Speaker, here we go again. It is another sitting of Parliament and we are debating yet another free trade agreement. As I understand it, we will be debating two this week, with the Canada-Panama free trade agreement scheduled to be considered in a few days.

It strikes me as a case of serial bilateralism, something for which I would encourage the government to hurry up and find a cure. So far, such agreements have neither enriched Canadians nor led to a coherent or wise industrial and trade policy framework for our country's future prosperity. On the contrary, since the first Canada-U.S. trade agreement was signed, the rich have been getting richer, while the rest of us are falling farther and farther behind. The middle-class, as has been well-documented over and over again, is shrinking and the poor are getting poorer.

However, perhaps that is okay for the Conservative government as long as its friends and the wealthiest corporations are doing all right, not much else seems to matter to it. How else do we explain that the government can find over $1 billion to spend on the G8/G20 without batting an eye, while it keeps saying it simply does not have the money to spend the $700 million necessary to lift all Canadian seniors out of poverty? It simply defies logic, unless the government really does not care.

Instead of debating yet another free trade agreement in the House, we should go back to basics. Let us talk about the kind of Canada we want to leave for our children and grandchildren. When it comes to trade, let us talk about creating a comprehensive, principled trade strategy for our country. That trade policy has to be an integral part of an overall national economic strategy that delivers on the promise of good jobs at home and shared prosperity abroad.

Instead of laying out such a trade policy, the Conservative government keeps pushing its patchwork approach, where our country's global competitiveness is determined based on the profitability of Canadian multinational corporations operating abroad rather than on the ability of Canadian-based producers to compete and thrive on Canadian soil in a dynamic global economy. Surely it is the latter that ought to be our goal.

However, the Canada-Jordan free trade agreement does not meet that goal, just like the softwood sellout did not meet that goal, the shipbuilding sellout did not meet that goal and the Canada-Colombia free trade agreement did not meet that goal.

Let us take a quick look at the agreement. It is, as I said earlier, yet another one in a series of bilateral agreements that the government is busily signing around the world. However, bilateral agreements usually favour the dominant economy and ultimately facilitate a degree of predatory access to the less powerful domestic economies, which multilateral trade negotiations under the WTO would not necessarily allow.

That is why my NDP colleagues and I have consistently opposed NAFTA-style trade arrangements that put the interests of multinational corporations before workers and the environment and that have increased inequality and decreased the quality of life for the majority of working families.

It is precisely the shortsightedness of the so-called free trade model that results in the rejection of fair and sustainable trade and that generates the discontent, which ultimately leads to protectionism and increases the wealth gap between the rich and the poor. The NAFTA model has shown unparalleled efficiency in driving and entrenching the political and economic domination of large transnational corporations and it is currently at the heart of the ongoing drive for bilateral FTAs.

Let me focus the majority of my time today by talking about labour issues. As the NDP labour critic, I am sure most members in the House would expect me to do so.

Although Jordanian law recognizes some trade union rights, those remain limited. Union activity is tightly controlled and the right to collective bargaining is not recognized. There is a chapter on collective agreements in the labour code, but the right to strike is heavily curtailed as government permission must be obtained in order to call a lawful strike.

Many of the labour violations are laid out in a recent report by the UN Refugee Agency. I would commend members of the House to read the 2010 annual survey of violations of trade union rights in Jordan. What is without a doubt the most striking part of that report is the section that deals with the continuing abuse of migrant workers. Despite amendments to the labour law in 2008, which stated that domestic workers were to be treated on an equal footing with Jordanian workers in terms of medical care, timely payment of wages and subscription to the social security corporation, nothing much has changed in the day-to-day lives of migrant workers.

The 2009 official figures showed that more than 322,000 migrants were working in Jordan, but that unofficial estimates put unregistered migrant workers at 100,000 to 150,000. Many are employed without the proper permits, have their passports taken and are forced to work extremely long hours.

Let me give an example. The Israeli owner of the DK Factory in Irbid QIZ abandoned 17 Jordanian and 151 Bengali workers without any pay or benefits. According to the textile union, the problem began when a supervisor had beaten a worker on January 22 in a dispute over a vacation and a financial request. Ninety-three Bangladeshi workers staged a work stoppage that day in protest.

The next day workers returned to work to find the factory gates closed and to learn that the owner had fled the country. The government took nearly one month to respond to the union's complaint, finally beginning to provide some food and shelter for the abandoned workers. An investigation revealed that the employer had been preparing to leave the country for several months and had deliberately provoked the workers to strike.

Here is another example. Some 130 Sri Lankan female workers from the Al.Masader/Mediterranean factory in the Al Dulayl QIZ (EPZ) went on strike on March 1 in protest against being forced to live without heat, hot water or electricity. As management had refused to solve the problem, a local union set up a team of 10 representatives to resolve the dispute. However, a group of organized men beat one of the union activists, threatening to throw him from the dormitory roof unless he agreed to not meet with the female workers again. A complaint was made against the gang, but police refused to intervene. The union has finally arranged a resolution and workers returned to work on March 8.

There have been similar reports of organized gangs that threaten workers and try to destabilize relations between the union and the workers.

I could go on. Reports of forced overtime, beatings, insufficient food, the illegal withholding of passports and other abuses amounting to conditions of forced labour are rampant in Jordan. All too frequently, when workers protested, they were beaten by police, arrested and then deported to their home countries. Some remain in prison still.

The United States already has a free trade agreement with Jordan, but clearly that has not helped. A trade agreement in and of itself does nothing to stop the abuse of labour laws. On the contrary, what this throws into clear relief is that the much touted labour side agreements that are part of every trade agreement are toothless and the one before the House today is no exception.

Yes, I want this trade agreement to be studied in committee. I am not suggesting that Jordan is like Colombia, where paramilitary thugs and drug pushers are connected to the government. In fact, Jordan continues to be a relatively stable country in the Middle East, with some democratic structures. The country has been hard hit by the economic crisis and faces rising unemployment and debt. In an act reminiscent of the Conservative government's prorogation of Parliament, King Abdullah of Jordan dissolved Parliament in mid-2009 in order to push through new economic reforms.

Clearly not all of the country's problems are solved. A U.S. state department report that was referenced earlier in this debate by my colleague, the hon. member for Burnaby—New Westminster, gives further proof of that.

Therefore, no, I do not think it is unreasonable to expect this trade agreement to be scrutinized further. In fact, I would argue that the international trade committee has an obligation to investigate further. We must hear from women's groups, human rights organizations, business and labour groups, all of which have an interest in addressing the impacts of this agreement.

To ask for such hearings is not being obstructionist. It is simply a matter of due diligence, which ought to be at the heart of how all of us in the House do our work. It is even more important on a file where so little evidence has been presented to verify its success.

Over the years, under both Liberal and Conservative governments, we have heard a lot of cheerleading about how wonderful the various bilateral trade agreements will be for our country, but there has been no hard evidence that their promise has been fulfilled.

I remember during the first free trade agreement that Canada signed with the U.S., Stelco, which is a steel manufacturer in my home town of Hamilton, sent a letter to all steel workers in the plant, telling them that in the upcoming federal election they should vote for parties that supported free trade because their jobs were at stake. That trade agreement has been in place for decades now and I would defy the government to find a single steel worker who would say that it has been good for his or her job. On the contrary, decent family sustaining jobs are disappearing and are being replaced by precarious and part-time work.

It is time to stop celebrating trade agreements when there is not a shred of evidence that they will benefit Canada or Canadians. It is time to develop a meaningful industrial and trade policy that will ensure jobs for Canadians. It is time to focus on policies that will lead to middle-class recovery.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:40 p.m.
See context

NDP

Carol Hughes NDP Algoma—Manitoulin—Kapuskasing, ON

Mr. Speaker, my colleague's comments on the bill were insightful. She talked about migrant workers and the fact that the government would have to recognize a labour dispute as being a strike. She raised some serious concerns.

With regard to human rights, we understand that it is not worse than the Colombia issues we brought forth. However, there are some issues and perhaps she could elaborate a little more on what the impact would be with regard to migrant workers.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:40 p.m.
See context

NDP

Chris Charlton NDP Hamilton Mountain, ON

Mr. Speaker, I welcome the opportunity to address this a bit further. The hon. member is quite right. We have seen in trade agreements, like the one with Colombia, where the remedy for having ignored human rights laws or labour laws is simply to pay a fine. In Colombia's case, many people heard many of us on this side of the House say, “Kill a worker; pay a fine”, because really that was all that was in the labour side agreement. It is never okay to engage in labour abuses. It is never okay to abuse migrant workers.

The contention I would have with respect to this free trade agreement in particular is that once again we have a side agreement that deals with labour issues. It is not part of the central document that governs this free trade agreement. When we look at the provisions of remedies available to ensure labour rights and the rights of migrant workers are respected, one will find it is nothing more than a toothless tiger.

For that reason, it is imperative we review the Canada-Jordan free trade agreement, that we do due diligence and make absolutely certain that we also protect around the world the kinds of labour standards we want to see for Canadian workers.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 3:45 p.m.
See context

Liberal

Mario Silva Liberal Davenport, ON

Mr. Speaker, I am pleased to speak to Bill C-8, which is the legislation to implement the Canada-Jordan free trade agreement, and to lend my support in sending this bill to the trade committee.

As many members know, I have been on the trade committee for some time. The committee has had an opportunity to deal with a variety of issues, some of them contentious, some less so. The committee does good work in providing a forum for people to present their views and concerns on trade and the different trade agreements with the possibility of amending some of the legislation. The committee has had some success in doing so.

The trade committee is now considering the agreement with Panama and the agreement with Jordan, which is before the House. After members have spoken to this bill, we hope that the committee will have an opportunity to hear from the different sectors about their concerns as well as the positive aspects of this legislation, and how they would like the legislation to be implemented.

Canada and Jordan enjoy good economic and trade relations. We are good friends and good partners. Jordan has shown itself to be a country that we can deal with not just on trade and economic issues, but also on issues regarding peace and prosperity in the region.

Following a visit of His Highness King Abdullah II to Canada in July 2007, Canada and Jordan committed to explore the possibility of a free trade agreement. At the conclusion of King Abdullah's visit, a foreign investment promotion and protection agreement and a new air services agreement were announced. Canada has a bilateral air services agreement and a nuclear co-operation agreement as well as the FIPPA, which was signed at the same time as the FTA.

To give some background on this free trade agreement legislation that we are embarking to send to committee, on March 24, 2010 the Government of Canada introduced legislation in Parliament to implement the free trade agreement on goods only, and parallel agreements on labour co-operation and the environment. Free trade agreement negotiations were concluded in August 2008 and the parties formally signed the agreement and made it public on June 28, 2009.

Upon implementation of this legislation, we will see the immediate elimination of tariffs on over 99% of recent Canadian exports to Jordan. This will directly benefit Canadian exporters. Jordan will eliminate all non-agricultural tariffs and the vast majority of agricultural tariffs as well.

Once the free trade agreement comes into force, Jordan will immediately eliminate tariffs in the 10% to 30% range on many key Canadian exports, including pulse crops, frozen french fries, animal feed, various prepared foods, certain forestry products and machinery. These are sectors in which Canadian companies are world leaders.

Once the agreement comes into force, Canada will eliminate all tariffs on Jordanian goods, with the exception of over-quota tariffs on dairy, poultry and eggs, which are excluded from tariff reductions.

Canada and Jordan will commit to ensure that their laws respect the International Labour Organization's 1998 Declaration of Fundamental Principles of Rights at Work, which covers the right to freedom of association, collective bargaining, elimination of child labour, forced labour and workplace discrimination.

Canada and Jordan will also commit to protect occupational health and safety, maintain acceptable minimum employment standards and provide compensation for occupational injuries and illness. Migrant workers will have the same legal protections as nationals in respect to working conditions.

Many members in this House have raised the issue of human rights and the importance of making sure it is not overlooked but very much integrated into discussions and negotiations within our free trade agreements.

When we look at this legislation at committee, we will have an opportunity to hear from the business sector and also from the human rights community.

Our party has a very strong view on labour and human rights issues. We have done everything we can to ensure that labour legislation that is put forward in this House has the widest respect from all the communities and specifically addresses human rights issues.

The labour co-operation agreements also include effective enforcement mechanisms. Failure to respect International Labour Organization principles and domestic laws could result in an independent review panel assessing a monetary penalty as a last resort. Any such assessment would accrue to a special co-operative fund. The funds will be used to support the implementation of an action plan to ensure that identified problems are rectified. There will be a mechanism in place to look at labour law, human rights conditions and workplace safety. Health and safety and respect for human dignity are key components in this legislation and the trade committee will ensure that all those important key elements are part of the agreement.

The agreement also has a component that deals with the environment. It will commit Canada and Jordan to pursue high levels of environmental protection and to develop and improve environmental laws and policies. The agreement will also oblige the two countries to enforce the domestic environment laws to ensure trade and investments are not encouraged at the expense of those laws.

Canada has a golden opportunity to work as a partner not just with Jordan, but with other countries on environmental protection and stewardship. Canada is a country of rich resources, natural resources in terms of the very large mining and petroleum sectors, but also its abundance of water. We have very large and vast water resources. Water management is very important. Respect for the environment is something that we in Canada cherish. We have to ensure it is always at the forefront of these agreements.

Canada and Jordan will also ensure that environmental assessment processes are in place and will provide remedies for violations of environmental laws. The two countries also agree to encourage corporate social responsibility and to promote public awareness of engagement in environmental issues.

The agreement focuses on consultation and co-operation to address any matter arising under the agreement with access to an independent review panel as the last resort. Again, as I stated, the same type of process is in place for the labour laws that we hope to be part of the agreement.

In 2009 two-way merchandise trade totalled $82.5 million with the value of Canadian exports reaching about $65.8 million. This is not very large when we compare it to some other countries with which Canada trades. Our largest trading partner is the U.S., and there is the European Union as well. Our trade with Jordan is still significant in the sense that it is a partner we very much are trying to reach out to, and a partner which for many years has had very good relations with Canada. This is not just an act of friendship; we also hope that our trading relationship will grow over the course of a number of years once this bill has passed.

Top exports between the two countries include vehicles, forestry products, machinery, pulse crops, mainly lentils and chickpeas, ships and boats, and plastics. Imports from Jordan totalled about $16.6 million in 2009, led by apparel, jewels, vegetables and inorganic chemicals.

The Minister of International Trade has said that the Canada-Jordan free trade agreement, once implemented, will open doors to the growing economy and give Canadian businesses a real advantage in the broader Middle East and North African markets. This is an important gateway to many of those countries. As pointed out, this agreement will open doors to those particular markets in the Middle East and Africa.

Upon implementation, the free trade agreement will eliminate tariffs on over 99% by value of recent Canadian exports to Jordan, thereby directly benefiting Canadian exporters and workers. Two-way merchandise trade between Canada and Jordan was about $2.5 million but there is a great potential for growth in the future.

Mr. David Hutton, director general of the Canada-Arab Business Council, stated:

The potential for expanding that network across North Africa and throughout the Arab peninsula is exceptional. I certainly believe that the potential for Canada in that part of the world is as great as it is anywhere, if not greater.

The parallel agreements on labour and the environment will ensure progress on labour rights and environmental protection.

The agreement is part of a broader international trade strategy that the trade committee has been looking at. I am very much a part of that. In the past we have been successful in many of our trade agreements with Chile, Costa Rica, Israel and Peru, and the European free trade agreement. The agreement with the U.S. and Mexico is one that is well known to most Canadians.

Canada is continuing trade talks with other members of the European Union as well as the Caribbean community, Central American countries, the Dominican Republic, Korea, Sweden, as well as pursuing closer trade relations with India, Morocco and Ukraine.

India is an important emerging market. The BRIC countries, Brazil, Russia, India and China, dominate the markets. India, as the largest democracy in the world, has played a major role in that region in terms of expanding its trade.

As the vice-chair of the Canada-India friendship committee, I will take this opportunity to congratulate India and wish it all the best as it hosts the Commonwealth Games. Notwithstanding some of the negativity that we hear in the news, I think India will showcase its best to the world. I have had the pleasure of visiting India twice. It is an incredibly beautiful country with lots of history and wonderful sights to see and great people as well. It is a true partner with Canada.

The Hashemite Kingdom of Jordan is a relatively small country. Unlike India, which is one of the largest countries in the world with over 1.5 billion people, Jordan only has about six million people.

We need partners large and small, because Canada is a trading country. We are a small country as well with only about 33 million people. We have to make sure that we have partners in the right places.

Jordan has been a committed, dedicated partner with Canada and a dedicated partner in the Middle East peace talks. Many of us in the west have a better understanding of the relationship with the Arab world.

It is also an emerging country. It is a small country that actually pulls beyond its weight in many ways, especially on issues of peace and leadership in the Middle East. It is certainly a country with which, justly so, Canada should be pursing free trade, notwithstanding the fact that I believe this still has to go to committee and we still have to hear from the public.

However, from what I have been able to read from this agreement and what I have seen thus far, I think it is something to which we should lend our support. Certainly we as a party have taken the position that we support that this go to the committee and at the committee we would have an opportunity to take a look at this.

With everything that is going on, I have to say that it was an incredible summer where I had an opportunity to speak with many of my constituents and attend many events. The issue at hand for them, of course, is jobs and the economy. Unlike some parties, we do not fear trade agreements. We believe trade agreements can be a very important component in job creation and we can see different sectors that have, over time, developed thanks to free trade agreements and the opening of markets. We have to ensure that Canada as a free trade country aligns itself with different partners in order to allow access to our goods and services and to allow our companies to grow.

When my constituents, at their doors, spoke about jobs and job creation and their concerns about the economy, we have to ensure that we respect and address those issues. We as parliamentarians have an obligation to ensure that we are constantly fighting for Canadians, for our people and for all our constituencies across the country. Opening markets is certainly one way of doing it, and opening ourselves to a market that is growing and is a good friend and partner of Canada makes a lot of sense. So I will be lending my support for this initiative to go before committee.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 4 p.m.
See context

Conservative

The Acting Speaker Conservative Barry Devolin

Is the House ready for the question?

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 4 p.m.
See context

Some hon. members

Question.

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 4 p.m.
See context

Conservative

The Acting Speaker Conservative Barry Devolin

The question is on the motion. Is it the pleasure of the House to adopt the motion?

Canada-Jordan Free Trade ActGovernment Orders

September 27th, 2010 / 4 p.m.
See context

Some hon. members

Agreed.

On division.