Marketing Freedom for Grain Farmers Act

An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts

This bill was last introduced in the 41st Parliament, 1st Session, which ended in September 2013.

Sponsor

Gerry Ritz  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

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

Part 1 of this enactment amends the Canadian Wheat Board Act to change the governance structure of the Canadian Wheat Board and to make other changes in preparation for the implementation of Parts 2 and 3. Part 2 replaces the Canadian Wheat Board Act with a new Act that continues the Canadian Wheat Board and charges it with the marketing of grain through voluntary pooling. Part 3 provides for the possible continuation of the Board under other federal legislation, while Part 4 provides for its winding up if no such continuation occurs. Finally, Part 5 provides for the repeal of the new Act enacted by Part 2.

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.

Votes

Nov. 28, 2011 Passed That the Bill be now read a third time and do pass.
Nov. 28, 2011 Failed That the motion be amended by deleting all the words after the word "That" and substituting the following: “this House decline to give third reading to Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts, because members of the Committee were unable to hear testimony from the primary producers affected by and concerned with the future commercialization of the Canadian Wheat Board”.
Nov. 23, 2011 Passed That Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts, as amended, be concurred in at report stage.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 55.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 46.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 45.
Nov. 23, 2011 Failed That Bill C-18, in Clause 14, be amended by replacing lines 38 to 42 on page 7 with the following: “(2) All the directors are elected by the producers in accordance with the regulations. The directors must designate, also in accordance with those regulations, a president from among themselves.”
Nov. 23, 2011 Failed That Bill C-18, in Clause 14, be amended by replacing line 36 on page 7 with the following: “9. (1) The board consists of fifteen directors,”
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 12.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 9.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 7.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 6.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 3.
Nov. 23, 2011 Failed That Bill C-18 be amended by deleting Clause 2.
Nov. 23, 2011 Passed That, in relation to Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
Oct. 24, 2011 Passed That the Bill be now read a second time and referred to a legislative committee.
Oct. 24, 2011 Failed That the motion be amended by deleting all the words after the word “That” and substituting the following: “this House decline to give second reading to Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts, because it: ( a) fails to respect the will of the majority of prairie farmers who have expressed a desire to maintain the current composition and structure of the Canadian Wheat Board; (b) ignores the fact that the Canadian Wheat Board is funded, controlled, and directed by Canadian farmers and removes their autonomy to maximize prices and minimize risks in the western wheat and barley market; and (c) makes sweeping decisions on behalf of prairie farmers by eliminating the single-desk system that has provided prairie farmers strength and stability for nearly 70 years”.
Oct. 24, 2011 Failed That the amendment be amended by adding after the words “70 years” the following: “, including specifically the elimination of the Canadian Wheat Board’s role in managing transportation logistics and thereby leaving farmers without an effective voice with respect to rail service levels and freight rates; and ( d) breaches section 47.1 of the Canadian Wheat Board Act”.
Oct. 20, 2011 Passed That, in relation to Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts, not more than two further sitting days shall be allotted to the consideration at second reading stage of the Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the second day allotted to the consideration at second reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and, in turn, every question necessary for the disposal of the said stage of the Bill shall be put forthwith and successively, without further debate or amendment.

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 1:10 p.m.
See context

Conservative

Bev Shipley Conservative Lambton—Kent—Middlesex, ON

Mr. Speaker, I just came from something that relates to what I want to talk about, and that is trade and having the freedom to change my businesses. Indeed, it is a pleasure for me to participate in this debate. I am proud that our government introduced the marketing freedom for grain farmers act in the House last week. I am particularly pleased that we have the opportunity to correct those misleading assumptions and predictions some people have been making, that providing marketing choice for wheat and barley producers in western Canada would somehow alter our system of supply management in my home province of Ontario.

Our government supports marketing choice for western wheat and barley growers, and it is entirely a separate issue from that of supply management. Those who try to link the two, providing marketing choice for western grain producers and our government's commitment to support Canada's supply management, are simply making mischief, but more so, they just do not understand it. There is no link.

Producers in the five supply managed industries, dairy, chicken, turkey, eggs and also the broiler hatching eggs, worked long and hard to establish these systems. There was clear support, and that is the important part, in all cases for the implementation of a supply management system before the provincial government and the federal government established and brought it in.

Quite honestly, I remember well that I had not taken over and purchased the farm yet in 1965, when supply management came in. The then minister of agriculture for the Province of Ontario, and I might add, the best agriculture minister that the Ontario has ever had, William A. Stewart, brought in supply management. In 1970, I had the opportunity to start to purchase the family farm.

Supply management was one of the main reasons I understood and was able to continue on, going into the dairy industry. Also at the same time, it was an opportunity for me as a young individual just graduating from college, when I started to buy the farm, to start to purchase land and grow grains and oil seeds. I have had the opportunity of being in both systems, which actually give freedom for marketing in Ontario.

The vast majority, if not all, of the producers who now participate in the supply management system support it. On the other side, the Canadian Wheat Board has a regionally shared governance administration. If farmers grow wheat and barley in western Canada and actually want to sell it for export for food use, then they have to sell it through the Wheat Board. Or the other option is to go to jail.

I do not understand the people on the other side always wanting to give farmers the responsibility to grow the crops, spend the money on the input, make the decision to grow them, but then actually saying they do not have the ability to market it. Quite honestly, it is amazing. They do not mind sending farmers to jail for the long gun registry or for selling wheat, but they do not want to give them the opportunity for marketing.

Far from being universally supported, as is the case of supply management, a large number of these producers involved just want an option. Farmers want an alternative to the Canadian Wheat Board monopoly. We are going to continue to work to give them just that.

Farmers should be in the driver's seat when it comes to making their own business decisions. They make the investments and they build their business, all through hard work and knowledge. They take all the risks. Should they not also have the right to decide how and to whom they market their products? Absolutely, they should.

Whether people are barbers, plumbers, financial advisors, hardware store owners or car dealers, as Canadian business owners, they have the opportunity to make the decisions. They choose to make those decisions, as do the eastern farmers, like myself and my fellow farmers in Lambton—Kent—Middlesex, Ontario. Why would we not give the western farmers the opportunity to do the same?

The Government of Canada is working hard to give the wheat and barley producers the marketing freedom they deserve. Farmers want the ability to add value to their crops and capture more profits beyond the farm gate. They deserve to have the opportunity to get the best possible return for their product.

Farmers are already making business decisions for commodities such as canola, pulse crops, cattle and even vegetables and a number of other farm products. Farmers know how the open market works. It is amazing to me that we would burden the farmers with all the expense of putting a crop in but the opposition does not want to give them the opportunity, and do not think they have the knowledge, to market it. Quite honestly, that is an insult to the farmers of western Canada.

Our vision for the Canadian Wheat Board is as a strong, voluntary and viable wheat board that farmers can use if they so choose.

Let me talk a little about supply management because, quite honestly, that is what this is all about.

At the same time, the government continues to support supply management at home and on the international stage. The Conservative Party of Canada is the only party that actually talked about the support for and the need to stand behind supply management in the last election.

The third party, the Liberals, had been in power for 20 years. Oh sorry, maybe it was 13; it just seemed like an eternity. They always just talked about it, but actually never did anything about it. As the Minister of Agriculture said at the Dairy Farmers of Canada annual meeting in February, our record on supply management speaks for itself. I cannot say enough about the support that the farmers have for our Canadian agriculture minister as he deals with both supply management and the freedom of marketing across Canada and the vision and goals that he has in mind to keep this incredible industry strong and sustainable.

What have we done on supply management? We have actually acted under article 28 of the GATT agreement to limit the import of milk protein concentrates. We harmonized the compositional cheese standards to bring greater certainty to processors and also to consumers. Canadians know that cheese is made out of milk, and we have made sure that Canadian families know what kind of cheese they are getting when they go to the grocery store.

The government is working also to continue to make sure that the WTO special agriculture safeguards are available if they are needed in the future. Finally, the government is also continuing to defend the interests that are important to supply managed industries in the international trade negotiations.

Clearly, supply management is an issue of paramount importance to all Canadians. Why? It is because supply management creates jobs and prosperity for Canadians. It creates prosperity in our urban areas and for thousands of well-kept dairy and poultry farms from coast to coast, from British Columbia to Newfoundland. Supply management provides livelihoods, not only for tens of thousands of Canadian farmers and their farm families, but also for their suppliers, transporters, and everyone right up the value chain from the gate to the plate. It is an economic engine not only in rural Canada but clearly in urban Canada also.

Why would anyone want to tamper with the supply management when it has been so successful and brought so many benefits to consumers, producers and others in the industry right across the value chain? It makes absolutely no sense, and that is our point.

I would suggest that because there has never been any action on the other side of the floor, and in fact during the election they never saw the need or the importance of supply management, that actually they are the ones who are continually pushing to maybe do something about supply management in terms of its dissolution.

The Conservative Party of Canada, the members on this side, are the only ones who not only say we support it, but we will put boots to the ground and put action in place when we are asked and see the need to do so.

On the other hand, grain growers have told us for years that they want the opportunity to make their own business decisions. It is not the case with supply management, where producers have strongly supported their marketing systems and have thanked the government for firmly supporting them.

A long-standing and continuing support for supply management and our commitment to increased options for western grain producers reflects this government's commitment to giving farmers what they need to run their businesses effectively.

We recognize that providing marketing freedom is a major change in agriculture in western Canada. That is why we have consulted extensively. We have gone across the country to talk about the supply chain, from farm to seaport.

Over the summer, a working group comprising experts in the field has done just that, finding out how we market the grain and about the transportation systems and how we can transition the current CWB-run system to an open market that includes the voluntary marketing pools. The working group is one of many ways the government is seeking advice on how we move forward.

The marketing freedom for grain farmers act is part of our commitment to move forward with the programs and processes that are most beneficial to farmers, not just to them but to the entire industry.

We came to office with a set of principles and issues that we promised Canadians we would tackle. We have remained focused and determined to accomplish the things we were told were important to them. One of the issues was providing marketing freedom for western barley and wheat producers. That is why we introduced the Marketing Freedom for Grain Farmers act.

The Canadian Wheat Board and some members across the way have fought change because they want the status quo. Apparently in their view, farmers just do not know how or do not have the ability to market their grain.

As was mentioned earlier, farmers take all the risks: when to plant, when to harvest, what to put on it, how to grow it, when to market it when they produce it. That is unless they grow barley and wheat in western Canada. It does not make sense.

Where does the idea come from? Oddly enough, it does not come from history. Let us go back a little bit. The Canadian Wheat Board was established in 1935. That is 76 years ago. It was originally established as a voluntary marketing agency for prairie wheat, but the sale of wheat through the board became compulsory in 1943.

In 1949, the Canadian Wheat Board's powers were extended to include prairie oats and barley. From 1949 to 1975, about 25 years, the board was the single desk for western oats, barley and wheat, whether it was for human consumption or for animal consumption. But with changes to the feed grain policy in 1974 and 1976, exclusive marketing rights over prairie grain fed to animals in Canada were removed by the board. Interestingly, the sky did not fall. These changes took effect and in fact the use of grain cereals for livestock has grown significantly since then.

Next, oats were removed from the board's jurisdiction in 1989. Again, it is amazing that the sky did not fall, but what actually happened was that a thriving oats processing sector has since developed in western Canada.

What started out as a monopoly has been evolving over 37 years, until what we are left with is a single desk for barley and wheat for export and domestic human consumption, those two only.

Farmers quickly adapted to the changes that were made, and the Canadian Wheat Board was not missed. What made sense during World War II just does not make sense in the 21st century.

Wheat and barley growers recognize, and so does this government, that the Canadian brewery industries have lost confidence in the ability of the Canadian Wheat Board to reliably supply the malt and barley they need to be competitive in the dynamic international malt and beer markets. Therefore, moving into the 21st century involves looking at the Wheat Board in a totally different way. It means putting on a new set of lenses and looking at what is going to be good not only for farmers but for the industry.

We recognize that this is a major change for agriculture in western Canada. That is why we have been consulting extensively with stakeholders from across the supply chain, from the farm to the seaport. Over the summer, a working group comprised of experts in the field heard a broad range of advice on how the grain marketing and transportation systems could transition from the current Wheat Board-run system to an open market that includes voluntary marketing pools.

I want to be very clear about this. This is not about the abolition of the Canadian Wheat Board. It is about giving farmers the choice of free marketing on their own or using the Canadian Wheat Board, something that opposition parties do not want to seem to comprehend would actually give them choice. They just talk about getting rid of the Wheat Board. The working group is one of many ways that the government is seeking advice on how to move forward.

The government is intent on making tangible progress in reducing the long-standing interference in farmers' business on the Prairies by the Canadian Wheat Board, which has taken the reins away from individual grain farmers when it comes to their very own businesses.

We need the monopoly Canadian Wheat Board, quite honestly, as a monopoly so that it can get out of the way and let farmers conduct their business. We know there are a number of farmers who will want to use it, as they do in Ontario because the wheat board still exists under the Grain Farmers of Ontario, for example. That is why members of the House need to support giving marketing freedom to grain farmers.

By the way, this has nothing to do with supply management, but our government has the same passion for the protection of supply management as we do for the support of the marketing freedom for grain farmers.

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 12:55 p.m.
See context

NDP

Djaouida Sellah NDP Saint-Bruno—Saint-Hubert, QC

Mr. Speaker, it is always an honour for me to rise in the House in order to defend principles. Today, I am pleased to defend democracy. My distinguished colleague from Churchill has moved a motion in the House to defend democracy and the right of farmers to determine their destiny.

The motion asks the government to do three things: consult, step back and accept. The government needs much more practice in order to excel at these activities. I hope it will start practising right now.

The motion asks this government to consult those affected by this ill-intentioned bill: the farmers. The Canadian Wheat Board is managed by the farmers, for the farmers. They control and direct the Wheat Board. Is the government telling us and telling farmers that farmers do not know how to manage their own business? Not only does it believe that the farmer-run board is not doing its job but, furthermore, it does not trust the farmers' ability to decide whether or not their Wheat Board should be dismantled. If the government would allow farmers to decide in a plebiscite, such as the one organized by Ontario farmers, we would be prepared, on this side of the House, to accept that decision.

I know that I am the hundredth person to raise the next point, but it is an important one. Farmers have already voted to keep the Wheat Board: 62% of wheat producers and 51% of barley producers voted to keep it. Certainly, 51% is a close result. However, because this government does not stop repeating that it was given a strong mandate with less than 40% of the votes in Canada, I find that its argument lacks credibility.

I am suggesting to the House that the government does not want to consult farmers because it is afraid of their decision. Farmers have done their homework. They know that if the Canadian Wheat Board disappears, they will suffer the same fate as their Australian colleagues, who saw a dramatic drop of 70% per tonne in wheat prices. This is an ideological decision. It does not respect the farmers, contrary to what is implied by the misleading title of the bill introduced by the Minister of Agriculture and Agri-Food.

This motion is not just about the Canadian Wheat Board. I was not joking when I said I was rising to defend democracy. In case the government has not noticed, people are currently demanding their right to speak. They want their voices to be heard. A stunt like this only fuels public cynicism about our respectable institutions. The government has to listen to reason and hear the voice of the people. It has to take a step back and accept the verdict handed down by the farmers.

This government has to stop showing contempt for the public. It has to stop looking down on those who do not share its views. Democracy is much more than just winning elections. Democracy is about holding ongoing discussions with the public. I do not mean it is about controlling the message, as the Prime Minister's Office does; it is about listening to the needs and opinions of the public.

Why is the government refusing to listen to the farmers? Why will the government not consult the farmers? Why does the government not follow Ontario's lead?

Yesterday I was listening to the speech by the hon. member for Acadie—Bathurst on Bill C-18. He spoke passionately about the situation with the fishers in his riding who struggle to earn a living from the fruits of their labour. What I gather is that sometimes there is a disparity between different producers in terms of the price they get for the same products. Has the government forgotten that the Canadian Wheat Board is responsible for marketing Canadian wheat?

The strength of the board is its ability to develop markets for our farmers. How do the Conservatives plan to replace the board in that role? It is not an insignificant role when we know that 80% of western wheat is exported overseas. What is the government doing about the role the board currently plays in terms of transporting the goods? Can the government guarantee that western Canadian farmers will have the same access to the railway? Can it guarantee the same favourable prices? No, obviously not. The government is playing with the lives of thousands of farmers. The government is having fun while our hard-working farmers are assuming all the risk.

I am afraid this government has abandoned family farms and small-scale farms. It is not surprising. This government has chosen to side with the multinationals and big oil companies by granting them huge tax breaks, to the detriment of small and medium-sized businesses, taxpayers and consumers. Now it is choosing to side with large agri-businesses at the expense of Canadian farmers, without thinking about the impact this bill will have on their lives, their families and their communities.

The Canadian Wheat Board is the farmers' union, their way of getting better prices. In unity, there is strength. Group insurance exists, which allows people to pay lower premiums than they would individually. Employees' unions allow them to negotiate with their employers for better salaries. Whether my colleagues across the floor like it or not, farmers will be the ones who lose, and they know it. That is why they voted to maintain the Canadian Wheat Board.

I am proud to rise in this House and defend the position they have taken. I am proud to stand up to the Conservative steamroller and defend the democratic rights of all Canadians. I am proud to stand here, alongside my NDP colleagues, and oppose the government's destructive policies. I am proud to do so on behalf of the people of Saint-Bruno—Saint-Hubert and on behalf of those who are overlooked by this government. We will proudly stand up to the government and oppose every bad bill it brings before this House.

The government's plan to eliminate the Canadian Wheat Board without the farmers' consent is just one more example in a list that is already too long.

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 12:05 p.m.
See context

NDP

Philip Toone NDP Gaspésie—Îles-de-la-Madeleine, QC

Mr. Speaker, we certainly do want to respect the results of the last election. It is clear that the government has the right to introduce bills. However, the government should also respect the rights of democracy in Canada and allow those bills to be debated in a timely fashion.

Over 38,000 farmers participated in an ad hoc plebiscite. Well over a majority spoke and made their intentions clear. They want to save the single desk. The Conservative government's proposal in Bill C-18 is right off the mark and the government needs to listen to the farmers who it claims to so well represent. The government needs to bring those farmers' ideas forward and it needs to protect farmers' rights to continue to farm on their family farms.

Bill C-18 would not help farmers whatsoever. It would challenge farmers' families in the future. We expect that people will have to leave their family farms if we allow Bill C-18 to pass. It is not a democratic move. It is--

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 11:55 a.m.
See context

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Madam Speaker, I would like to thank the hon. member for Burnaby—Douglas for his speech.

Bill C-18, as proposed by the government, should be scrapped, simply because it jeopardizes the financial stability of western wheat farmers and of all families associated with the sector.

Can the member tell us what the loss of the Canadian Wheat Board will mean for farmers?

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 11:40 a.m.
See context

NDP

Kennedy Stewart NDP Burnaby—Douglas, BC

Madam Speaker, I rise today to speak in support of our party's opposition motion on the Canadian Wheat Board. I am pleased to split my time with my colleague, the member for Gaspésie—Îles-de-la-Madeleine.

I am very happy to hear there may be some movement on the other side in that members are asking for a plebiscite, which is at the heart of the opposition day motion.

Our motion, as so eloquently introduced by the member for Churchill, calls on the government to set aside its legislation abolishing the Canadian Wheat Board and to conduct a full and free vote by all current members of the Canadian Wheat Board to determine their wishes. My speech today will speak directly to this motion, which is a direct reaction to Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts. I support our motion not only because I believe that maintaining the Canadian Wheat Board is important for Canadians, but I also feel Bill C-18 undermines Canadian democracy and is another example of how the Conservatives are using their majority power in an irresponsible manner.

There are two critical aspects of Canadian democracy. One of them is with regard to outcomes and the other is with regard to process. With respect to outcomes, those who often judge the health of a democracy examine the extent to which the preferences of minority groups are respected when elected governments make decisions. In terms of process, the extent to which a democracy can be considered healthy rests on the extent to which governments include citizens in both electoral and non-electoral decision making. Our motion speaks to how Bill C-18 undermines Canadian democracy with regard to both outcomes and process, and I hope all members of the House will support it.

Before discussing how Bill C-18 undermines both the outcome and process of democracy, it is worth stepping back to look at the institution which we support with our motion.

The Canadian Wheat Board is the prairie farmers' marketing organization for wheat, durum and barley. It is the largest and most successful grain marketing company in the world. It is a very impressive institution, proud to be called Canadian and recognized around the world.

The Canadian Wheat Board's roots date back to the 1920s when western farmers began pooling their grain in order to obtain better prices. It was a collective effort supported right across the country. In 1943 the single desk was created, mandating all prairie farmers to market their wheat through the Canadian Wheat Board. The single desk structure provided financial stability, prudent risk management and certainty of grain supply, all important during the war years but also after the war ended.

The Canadian Wheat Board is controlled, directed and funded by farmers. It is not a government organization; it is a farmers organization. The Canadian Wheat Board sells all around the world and arranges for transportation from thousands of farms to customers in 70 countries. About 21 million tonnes of wheat and barley are marketed by the Canadian Wheat Board every year.

Eighty per cent of the wheat grown in western Canada each year is exported overseas. It is not only an important Canadian institution but it is an important organization worldwide. Overseas exports are the Canadian Wheat Board's core business, but it also supplies Canadian millers and maltsters. The Canadian Wheat Board does not set grain prices, which again is an important component of the Canadian Wheat Board, but prices are established by global supply and demand factors. However, its size and market power are used to help maximize grain prices.

The benefit to farmers is clear in the mandate of the Canadian Wheat Board and its practice. It helps farmers worldwide. It helps Canadian farmers, but it still operates within the confines of the market. The prices are established by global supply and demand. However, it provides farmers certainty.

The Canadian Wheat Board does not buy wheat and barley from farmers. Instead, it acts as their marketing agent. There is such a big fuss for an institution that is really a marketing agent. We hear the other side talk about monopolies and trampling on minority rights. It is a marketing board that is doing good work for farmers and, in fact, allowing them to survive.

The Canadian Wheat Board negotiates international sales and passes the return back to farmers. The Canadian Wheat Board retains no earnings aside from what is needed to cover the costs and financial risk management.

The Canadian Wheat Board supports its marketing program through a variety of other activities, including market development, strategy, research and analysis, and policy advocacy. Again, this is an organization that is built by farmers, helping farmers to get the best prices possible but still operating within the market. There is nothing insidious here. It only helps. In fact, it is the only way in which a number of small farms survive.

The Canadian Wheat Board also administers assistance for grain delivery and farmer payments, including innovative pricing programs that help producers manage cash flow and risk.

I did not grow up on the Prairies; I grew up in rural Nova Scotia where I was surrounded by farms. Lots of farms cannot make it, especially small farms. They collapse because the risk is so great. The Canadian Wheat Board helps these small farms survive. If we abolish it, these small farms will undoubtedly collapse.

The Canadian Wheat Board mitigates risk for farmers, including when and if they will get paid on time, whether they are willing to sell their grain to the right buyer on the right day and how to get the grain to the buyer.

It is not a government agency or crown corporation. It is not funded by taxpayers. Farmers pay for its operation from their grain revenue. Again, it is not a government agency nor a crown corporation. Here again is an example of an arrogant majority government interfering in an organization that is operated outside the confines of government.

I will return to my two main points about outcomes and process being ways that we can evaluate the health of our Canadian democracy.

In terms of outcomes, Bill C-18 proposes to dismantle the farmer-controlled and funded Canadian Wheat Board by eliminating the single desk marketing of wheat and barley.

It establishes a voluntary Canadian wheat board, but no one here believes that this effort is genuine. It is just because the government is afraid to say it is going to abolish the whole thing. It wants to make it seem like it is in steps. The voluntary aspect of the Canadian Wheat Board is merely a way for the government to say it is not completely abolishing the Canadian Wheat Board in one fell swoop.

The Canadian Wheat Board is good for Canada and it is also good for small farmers. This is what we would evaluate in terms of outcomes. If the government manages to pass Bill C-18, how many small farmers will be left in five years? I think that is the important thing to measure.

We need to look at whether the majority government is running roughshod over the will of local farmers. In five years when we look at this and we see all these family farms that have collapsed, we will have to ask if this was the right thing to do.

Our opposition day motion states that we should let farmers have a voice as is mandated in the act. That is what I will speak to here in terms of process.

Probably the most egregious part of Bill C-18 is the process by which the government is attempting to abolish the Canadian Wheat Board. It is worth looking at the Canadian Wheat Board Act to see what the process is supposed to be and then contrast it with what the government is actually doing.

Section 47.1 of the Canadian Wheat Board Act states:

The Minister shall not cause to be introduced in Parliament a bill that would exclude any kind, type, class or grade of wheat or barley, or wheat or barley produced in any area in Canada, from the provisions of Part IV, either in whole or in part, or generally, or for any period, or that would extend the application--

There are lots of subsections and lots of things the minister has to pay attention to. The government cannot introduce any changes without consulting with the Wheat Board.

Second and most important:

(b) the producers of the grain have voted in favour of the exclusion or extension, the voting process having been determined by the Minister.

What this section outlines is there has to be a plebiscite. This is enshrined in law. In fact the Conservatives themselves used this under a former government.

This is an act by which the government will be judged. It is going to destroy local farms. In five years we are going to see a lot fewer family farms on the Prairies.

The government is showing Canadians how it approaches democracy in this country. Even though it is mandated to have a plebiscite, the government ignores this requirement. This goes against the traditions of the Conservative Party itself.

The Reform Party and the Alliance Party that make up the Conservative Party fought in this House to increase Canadian democracy. I applaud them for that. In fact, Randy White brought in private members' bills to bring in a recall initiative. This goes against that tradition. I am very upset about that and I think Canadians will be, too.

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 11:10 a.m.
See context

Liberal

Frank Valeriote Liberal Guelph, ON

Madam Speaker, I am certainly grateful for another opportunity to rise and speak to the wrong-headed, ideological attack the Conservative government has perpetrated on western grain farmers and the family farm across Canada.

I am grateful for this opportunity because, sadly, it was not one the government was willing to afford the producers most meaningfully impacted by its reckless decision to kill the single desk marketing and sales arm of the Canadian Wheat Board.

More than the disenfranchisement of western wheat and barley growers, this is about the disenfranchisement of Canadians. The government demonstrated in the last Parliament that it was not about to listen to any voice that opposed its singular branded message. It fired Paul Kennedy, head of the Commission for Public Complaints Against the RCMP. It fired Linda Keen, chair of the Canadian Nuclear Safety Commission.

Now every time a Conservative MP talks about his or her mandate, the subtext is subtly “resistance is futile”. Western Canadian grain growers will not be silenced. Neither will we on this side of the House.

Predictably, as it has done with the bill meant to address human smuggling, its omnibus crime bill and its budget bill, the Conservative government gave notice of motion for time allocation after only an hour and a half of debate.

While I understand that listening to the Minister of Agriculture and Agri-Food can be tiring even for a Conservative partisan, standing up for western farmers who may disagree with the minister--even Conservative farmers whom the government refuses to listen to--is no reason to cut off debate.

Clearly the Conservative government acknowledged my assertion that we should not be having this debate, since the bill is very obviously in contravention of section 47.1 of the Canadian Wheat Board Act. Its response, however, instead of holding a plebiscite, was to bury its head in the sand to a wave of criticism levelled at its illegal actions.

I will remind hon. members that section 47.1 of the Canadian Wheat Board Act states:

The minister shall not cause to be introduced in Parliament a bill that would exclude any kind, type, class or grade of wheat or barley, or wheat or barley produced in any area in Canada...unless (a) the Minister has consulted with the board about the exclusion or extension; and (b) the producers of the grain have voted in favour of the exclusion or extension, the voting process having been determined by the Minister.

The government is missing a key element in its ideological pursuit of the death of the single desk sales and marketing system: the will of the majority of western Canadian grain farmers. Consequently, the legislation before us over the past week exceeds the authority of the government, based on its neglect in fulfilling all of its obligations.

The institution of the Canadian Wheat Board is considered so sacrosanct that codified in the statute is a mechanism designed to protect farmers from a government arbitrarily removing the strength and clout of an agency that sells wheat and barley at the best possible prices on behalf of all western Canadian grain farmers. Section 47.1 was enshrined in the Canadian Wheat Board Act to prevent the very abuse that is being perpetrated by the minister and the government.

Repeatedly throughout the past few days of debate, Conservative members have lamented the plebiscite and argued its imperfections. On this side, we have never insisted that the government take the word of 62% of wheat farmers and 51% of barley farmers for granted. Instead, like true democrats we have argued that the government, if not satisfied with the plebiscite held by farmers themselves, should hold its own plebiscite, as mandated by the act, and determine the will of farmers.

The Liberal Party is not one to stand in the way should a majority of farmers in the Prairies decide to cut out their marketing and sales arm. They know best. They must decide for themselves, as they have a right to decide for themselves.

We have been clear from the start: let farmers decide. The government will not even allow that to happen. Despite its lamentations on Ontario's ability to market its own grain, the government conveniently forgets that Ontario wheat farmers made their own decision to stop marketing grain through a single desk.

Canadians must know that the marketing of wheat in Ontario and the marketing of wheat in the Prairies are two very different situations. Ontario produces soft wheat used for pastry, cookies and doughnuts, while the red spring wheat from the west goes to making durum and pasta. Ontario flour mills rely on prairie wheat for bread flour.

Moreover, the Prairies produce 80% of Canada's wheat, ten times more wheat than eastern Canada. Ninety percent of Ontario wheat is consumed in Ontario or the northeast United States; meanwhile, 68% of Prairie wheat is exported. It is destined to other countries at greater transportation costs, costs that are kept low by the clout of the Wheat Board. Transportation is certainly less a factor in Ontario, given its close location to its markets.

Why is it, then, that Conservative MPs from the Prairies trust western grain farmers when relying on their votes, but less so to make their own decisions on marketing and selling their grain? Despite their Reform Party ideology, this Conservative Party seems to have forgotten, once having come to power, that western Canadian grain producers deserve the same right to self-determination as that exercised by Ontario farmers decades ago.

Neither the Prime Minister nor the Minister of Agriculture and Agri-Food has ever made much of a secret of their single-minded desire for the death of the single desk system, but their reluctance to hear from the Canadian public on the issue is disturbing. Indeed, I have received messages from western producers that their own Conservative MPs are refusing to take their calls or answer their emails in their plight to be heard. So blinded are these western Conservative MPs, so zealous are they in their pursuit, that they have abandoned their responsibilities to their constituents.

Interestingly, heading into an election, the Minister of Agriculture and Agri-Food was more than willing to listen to farmers. He assured western Canadian grain producers in Minnedosa, as recited in the Manitoba Co-operator in March, that farmers would have their say on the fate of the single desk system, that he would not act arbitrarily and that a Conservative government would not undertake any action without hearing first from farmers, yet once elected, neither the minister nor the Prime Minister was willing to hear the voice of the majority of farmers.

I hearken to a comment made many years ago by the Prime Minister that he would change the face of Canadian politics. He has done more than change the face: he has disfigured it. Instead, the minister, the Prime Minister and other members of the Conservatives' string puppet orchestra harp on about a mandate.

In August 68,000 ballots were mailed out to farmers. Over the course of that month, meetings were held across the Prairies. Hundreds of farmers came in off the fields for meetings as harvest began, simply to ensure their voices were heard. I and other members of my party were there. We saw the many hundreds for ourselves and we heard their voices, their dismay and anger at the government. Farmers from both sides attended these meetings, listened respectfully and made their points as to why they believed the single desk should go or stay.

There is no mandate to proceed illegally with a bill to jeopardize the livelihood of western Canadian grain farmers. Not even receiving 24% support from eligible voters would give a mandate to tear the marketing sales arm away from Canadian farmers.

In Colonsay, Saskatchewan, in the riding of the minister of western economic diversification, farmers do not believe there is a mandate to kill the single desk system. They gathered there together on Friday in protest and said so. Nor do they believe that in Brandon–Souris, where again farmers gathered to say so, yet apparently their members of Parliament are deaf to the voices of their constituents. Even after three days of debate, not one single Conservative prairie MP has had the courage to stand up and defend the rights of their constituents to hold a government-conducted plebiscite as mandated by section 47.1 of the act.

Later this week, farmers will gather in Winnipeg. While we can only hope that the government will take the time to take notice, we should not hold our breath, because the government does not notice anything or anyone who is not in total agreement with it.

The results of the plebiscite were unambiguous. There was a 56% response rate, a number similar to the turnout in many recent general elections and byelections, including in the minister's own riding. Sixty-two per cent of wheat producers and 51% of barley producers voted to retain their single desk marketing and sales arm under the Canadian Wheat Board. Regrettably, the minister dismissed the results as an expensive survey.

Unfortunately, Canadians do not have the same opportunity to dismiss their muzzled Prairie MPs' own election results similarly.

Strangely, just yesterday Conservative MPs were willing to cite other Canadian Wheat Board surveys only so long as they were in compliance with their own viewpoints. Again I ask the members opposite to remember where they hid their courage before walking into this chamber, and if they are so confident in the will of western Canadian grain farmers, to hold a plebiscite.

Instead the government, through its misguided legislation, has sought to silence farmers in every way possible. Not only does it blatantly ignore the right of western Canadian grain farmers to self-determination through a plebiscite, but it is eliminating the democratic will of farmers through their elected farm directors. Clause 12 of Bill C-18 states that:

Every person holding office as an elected director of the Canadian Wheat Board immediately before the day on which this Part comes into force ceases to hold office on that day.

These are farmers chosen by farmers to be on the board and represent their interests, and now there shall be none. Instead of 10 elected directors, the Canadian Wheat Board will consist of five Conservative-appointed directors.

Consistently, eight of the 10 elected directors have consistently supported the single desk system. By reducing the number of directors from 10 elected and five appointed to simply five government-appointed directors on the five-year interim voluntary wheat board, the Conservative government would have it that only its own people, dictated to from the Prime Minister's Office, would speak for the multitude of farmers, thus suppressing any sort of democratic expression. The government places a higher value on ideology than on the experience of farmers.

Many, including the otherwise conservative magazine The Economist, argue that in the fragile state of the world economy, dismantling this single desk system will mean that:

Smaller producers, faced with mounting marketing costs, will inevitably have to sell their farms to bigger rivals or agribusiness companies...devastating small prairie towns, whose economies depend on individual farmers with disposable income.

What is to stop the market freedom government from going further? Janis Joplin once sang that “freedom's just another word for nothing left to lose”. There is more to lose. Once the government dismantles the single desk for Canadian wheat, the only thing left to lose will be the supply management system for poultry, dairy and eggs. I suppose that farmers at that point will not be “nothin' if they ain't free”.

The United States has unilaterally thickened the border in an effort to “stimulate their economy”. The number one trade asked by Americans has always been to get rid of the Wheat Board. Why? It is because it gives our farmers a competitive advantage. Now the Conservative government is kowtowing to our neighbours to the south by not only rolling over on protectionism but also offering up our competitive advantage as an appetizer. This comes from a Prime Minister who criticized our former Liberal government for not deregulating our banking system as the Americans had, and as they wished, wishing instead to walk in lockstep with our neighbours on every issue and getting nothing in return.

There have been 14 challenges to the World Trade Organization from the United States demanding we get rid of the Canadian Wheat Board. In every instance, the WTO has ruled in our favour and allowed western grain producers to maintain their valuable resource. Let us make no mistake: once it is gone, the provisions of our trade agreement say that it can never be brought back.

Just yesterday, the Minister of Agriculture and Agri-Food was caught unable to answer why the government feels our future key grain decisions are just as well made in Minneapolis, Chicago or Kansas City, where they will be. There have been no assurances made by the government regarding Canadian food sovereignty. It is one thing that these small family farms will be bought up by massive agribusinesses; it is entirely another to see Canadian farms expropriated by foreign interests, not unlike the purchasing of our mineral-rich lands out west. These interests are concerned with their own national food security and not at all with Canadian food sovereignty.

Last week I asserted that the Prime Minister has become the head chef and bottle-washer to the U.S. trade administration, but I was wrong: to be the head chef, the U.S. would have to come to us. Instead, we will shortly become the all-too-willing caterer to the perpetual buffet of trade concessions.

Regardless of the assertions of the Parliamentary Secretary to the Minister of Agriculture made yesterday respecting supply management, the government could not even make good on its promise to western Canadian grain producers to listen to their voice. What assurances can the remaining five supply managed industries glean? We would be foolish and naive to think that our supply managed industries, poultry, dairy and eggs, are not already now being lined up in the sights of the government for their demise.

Farmers will also be free to be railroaded by CN and CP Rail. Representatives of other agricultural industries have approached me concerned that Canada is regarded as an unreliable supplier of agricultural commodities by virtue of the fact that it cannot get its supplies to port along the railway. In large part, this is a direct result of the ongoing disputes between suppliers and CN-CP Rail.

The agricultural industries anticipated that these concerns would be addressed in the rail service review tabled in March. Meanwhile, seven months later, we are talking about stripping prairie farmers of transportation infrastructure while the government shelves yet another report.

Where is the facilitator for the rail industry? I have spoken to pulse producers and they have asked where the rail service level agreements are for them and other producers across the agricultural industry. Where are the mechanisms to protect farmers and prevent abuse by unresponsive rail companies?

The Minister of State for Transport has been remarkably silent on this issue. Shortline Railway owners are rightfully worried that they will no longer be able to maintain their railways without the support of the Canadian Wheat Board once it has gone. Western grain farmers have turned to the shortlines in response to the closing of sidings and unresponsive railway companies.

Farmers understand the virtue of saving $1,400 per producer car on transportation costs through the CWB's unique bargaining position, a savings that will be lost almost immediately. Presently, it is in a position to negotiate with CN and CP Rail to ensure the adequate supply of producer cars. With the loss of the clout of the Canada Wheat Board, this, too, will be lost.

In my conversations with western Canadian grain farmers, all too often I have heard tragic stories about the treatment of producers at the hands of the railways. The railway companies have such disregard for wheat farmers that often they will send railway cars with holes in them, without any consideration for what grain will be lost along the way. Farmers individually are up against the behemoth where once their collective clout enabled them recourse in the face of such poor treatment.

The government seems intent on spending a conservatively estimated $500 million, in a time when it claims that we are still in a fragile economic state, to demobilize an organization that has yet to require any federal funding. It has been farmer funded for farmer profits and yet the so-called Conservatives are ready to forsake billions of dollars in revenue for farmers while spending hundreds of millions to dismantle it.

Clearly, the protection of the family farm in the prairie provinces is not a priority under a Conservative government. The Conservatives might have done anything else to accommodate the popular will of a majority of wheat and barley farmers and yet decided against it for their own ideological needs.

The legislation is endemic of the government's mean-spiritedness. It is ill-conceived. Just yesterday, the Parliamentary Secretary to the Minister of Natural Resources and for the Canadian Wheat Board was forced to take down a video on his website that was not only blatantly inaccurate, but contained repeated bigoted racist slurs.

Such is the arrogance of the government that it feels it is no longer responsible to ordinary Canadians for its actions. The legislation made it clear and the will of western Canadian farmers confirmed that the Canadian Wheat Board is an essential institution on the prairies.

Having only passed second reading, the government still has the opportunity to withdraw its legislation and hold a plebiscite to finally determine the will of Canadian farmers. I implore the government to conduct such a plebiscite in the interests of our farmers and in the interests of democracy.

Opposition Motion--Canadian Wheat BoardBusiness of SupplyGovernment Orders

October 25th, 2011 / 10:45 a.m.
See context

Battlefords—Lloydminster Saskatchewan

Conservative

Gerry Ritz ConservativeMinister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board

Madam Speaker, I want to put on the record that this government cannot support this motion. We will not set aside Bill C-18, the marketing freedom for grain farmers act, as called for by this motion.

Having said that, I read over the motion and there were two words that jumped out at me, “democracy” and, of course, “supply management”, which the opposition is trying to hook into this argument as well.

In repeated surveys by the Canadian Wheat Board, a majority of farmers have asked for choice, and that number keeps going up. As late as last spring, 76% of young and beginning farmers were saying they want a choice, they want an option. That is exactly what this bill would do, and the marketing freedom for grain farmers act would deliver that choice. That is democracy at work.

With regard to supply management, which the opposition is trying to hook in here, unlike the members opposite, this government has actually taken concrete action to support supply management. During the last election, we were the only party to state unequivocally our support for supply management directly in our platform. In addition, we reiterated that commitment to supply management in the throne speech in the spring, something I cannot remember, in my 15 years here, happening on the other side at any given time. We have consistently defended our supply management system on the world stage, most recently at the Cairns Group meetings that I hosted in Saskatoon last month.

Please allow me to quote directly from Wally Smith, the newly elected president of the Dairy Farmers of Canada, who was with us in Saskatoon. He said:

We welcome [the minister] underscoring that Canada remains steadfast in its support for what works here in Canada, namely our supply management system.

He went on to say:

[The minister] took advantage of the Cairns Group discussions to promote the Government’s support for our diverse agricultural sectors by broadening the focus to include other agricultural trade issues such as the role science and innovation can play for farmers, the environment and food security objectives.

I would go on with a whole list of favourable comments from industry on our steadfast support of supply management, but I will do that at another time.

The fact is the opposition is doing contortion acts to make a false connection back to this bill for marketing freedom. The two issues are further apart than apples and oranges. It is actually apples and walnuts. There is no link. Producers in the five supply managed industries, dairy, chicken, turkey, egg and boiler-hatching eggs, worked long and hard to establish these systems 40 years ago next year and we will celebrate that with them. The supply management industry is national in scope and that is one of the major differences between it and the Wheat Board.

There was strong support for the implementation of a supply management system before federal and provincial governments put it in place and it is a joint offering, similar to the Canadian Wheat Board in the Canadian Wheat Board area where four of the provinces are involved and three are on-side with us in making these timely and called for changes.

The producers who now participate in the supply managed system are supportive of that system, unlike farmers in the Wheat Board area who want options. Canada's supply management system, unlike the Canadian Wheat Board, does not draw from the public purse to backstop its expenditures where the Canadian Wheat Board, in the last years, has taken $1.3 billion from the public purse to backstop some mistakes that it made. Supply management is a proven system that enables our farmers to produce top quality poultry and dairy products enjoyed by Canadian farmers and, of course, the genetics from those great industries are world-renowned and in demand around the world.

On the other side of the coin is the Canadian Wheat Board, probably not even on the same coin. The Canadian Wheat Board is a regional monopoly. Supply management is national in scope, as I said. As it stands now, if we grow wheat, durum or barley, in western Canada only, and we want to sell it for export or for food use in Canada, then we have to sell it through the Canadian Wheat Board by law. If we wanted to sell our own wheat when the Liberals were in power, they would put us in shackles and leg irons, and throw us in jail. That was a terrible blight and I know that will be celebrated later today, in the movement forward on this act, by the farmers that were jailed.

Far from being universally supported, as is the case with the supply management system, a growing percentage of producers forced into the Canadian Wheat Board Act are demanding an option and we would deliver that. Our long-standing and continuing support for supply management and our commitment to marketing choice for western grain producers reflect this government's understanding of what Canadian farmers need to run their farm businesses effectively and be economically viable.

Motions like these are desperate scare tactics that the opposition, if it really understood agriculture, should be ashamed of. The opposition's fearmongering will not stop marketing freedom from coming, but it would and could destabilize a multi billion dollar western grain industry. It could undermine the livelihoods of thousands of grain farmers of all sizes.

It would be helpful at this time to cut through the rhetoric and review the basic goals of this dynamic piece of legislation. The main goal behind this change is to provide western Canadian farmers with more ways to achieve economic success.

Farmers who want access to a pooling system will continue to have that option through a new voluntary wheat board, while those who believe they can achieve greater success by dealing directly in the marketplace will also have that opportunity.

Canadian goods and foodstuffs are in growing demand around the world. Canadian producers in mining, forestry, energy and food are working hard to be the most competitive and successful producers on the globe. Re-organizing the role of a 68-year-old government monopoly with a transition of up to five years is hardly a radical idea.

The opposition loves to use the word “ideologue”, perhaps because it has been a while since its members put forward an idea with any kind of substance. One does not have to be an ideologue to realize the marketing conditions of 2011 are not similar to those of 1943, when the Wheat Board became mandatory. Canada is simply joining the ranks of major advanced industrialized countries that have abandoned these types of marketing systems.

Refusing to adapt and evolve is not a recipe for success but a guarantee of long-term stagnation. This change has been the subject of debate for many years and is now our responsibility to act on the commitment we have made in every election campaign.

Our objective now is to ensure that there is predictability and certainty to allow grain sellers and buyers to plan effectively for the coming season. This legislation has garnered overwhelming support from farmers, farm groups and industry as a whole.

The government has heard from a great number of entrepreneurial farmers who believe that their own operations will be more successful if they have the marketing choices this bill would provide.

A broadly based working group concluded in a report just last month that this would be the case. The fact is, today's entrepreneurial farmers are proving over and over that they can and will help drive our economy if they have control over their farm businesses and ultimately over their own bottom line.

For the grain industry this means a choice in how they market their grain, a choice in when they sell their crop, a choice in who they sell their crop to, a choice in what price they sell their own commodity for, and ultimately a choice in whether they sell their crop to a new voluntary wheat board or on the open market.

Our comprehensive plan brings certainty and clarity to farmers, industry and the market overall. The government has always maintained that farmers must have a choice in how they market their grain, whether that is individually or in an open market through a voluntary Canadian wheat board.

The act enables the government to provide the Canadian Wheat Board with the initial support required to operate as a voluntary marketing organization, allowing it time to transition to full private ownership. We will work with the board to ensure this transition happens, as soon and as smoothly as possible.

Once passed, the act will also allow farmers and grain companies to immediately enter into forward contracts with the purchase or sale of wheat, barley and durum for execution after the beginning of the crop year, August 1, 2012. This will allow farmers and the entire value chain to plan accordingly and transition in an orderly fashion.

This new freedom also has many economic benefits for communities across the Prairies. There has been a lot of doom and gloom speculated on here, but processors will now be able to open their doors for business, unfettered by the current requirement to buy wheat and barley only from the Canadian Wheat Board.

Canada's grain industry is a powerhouse that brings $16 billion to the farm gate and makes up almost half of our agricultural exports, but what once was Canada's signature crop is lagging behind. Wheat and barley innovation have become stagnant. Competition for acres has weakened, and new crops, such as canola, have surpassed wheat in value on the Prairies.

A C.D. Howe report released this spring confirmed that Canada's share of annual worldwide wheat production has fallen by 50%. Equally, Canadian market share of world barley exports has declined by 40%. With that reduced market share, the Canadian Wheat Board has far less influence on the world stage, and as a result, has become a price taker.

We have seen tremendous growth in value-added opportunities across the Prairies over the last 20 years for crops that do not have a monopoly market, including oats, pulses and canola. We will see these same opportunities open up for wheat and barley as we implement this marketing freedom act.

We will work with farmers and industry to attract investment, encourage innovation, create value-added jobs and build a stronger economy. We know that the potential for wheat durum and barley is high, but the monopoly of the Canadian Wheat Board as it is, is standing in the way.

Look what happened to oats when it came out from under the monopoly. In Manitoba alone the acreage of oats has increased by 175,000 acres since its removal from the Wheat Board's control in 1989. Within weeks of that decision, two new processing plants were announced. Several more plants have been built in the late eighties and early nineties, significantly changing the oat market. This includes Can-Oat in Portage La Prairie, Manitoba, which today employs 125 people. Manitoba now processes a half a million tonnes of oats annually.

Just over the border in North Dakota, there are many new pasta plants that have sprung up creating jobs that could have been created in Manitoba, Saskatchewan or Alberta for that matter.

We can expect more processors to start up new businesses in Canada. Private marketers of wheat and barley will expand their work forces. Milling firms will be able to purchase directly from the farmer of their choice at a price and time they negotiate. Entrepreneurs will have the option of starting up their own small specialty flour mills and malting and pasta plants.

In fact, just lately we had the honour of turning the sod on a new pasta plant in Regina, Saskatchewan. The company does manufacture pasta worldwide now but has stayed out of Canada because of the monopoly and all the red tape involved in dealing directly with durum producers. The new plant slated to open next year will create 60 permanent jobs and up to 150 temporary jobs. The stage is set. Market forces can come to bear.

Forward-thinking processors like Alliance Grain Traders will be able to deal directly with farmers for the quality and consistency of supply that has gone missing in the ridiculous buy-back program that the Wheat Board has implemented. The business model in Regina is based on more than just that, but at the end of the day, certainly this makes it easier to move forward.

Murad Al- Katib, a young, dynamic businessman from Davidson, Saskatchewan, was unequivocal in stating the removal of the single desk makes this new pasta plant in Regina all that much more possible.

Alliance Grain Traders has built a world-class pulse handling system for lentils, peas and so forth, doing it right here where they are grown not at point of sale, as the Wheat Board claims must be done. It sees that same opportunity for durum pasta and I look forward to celebrating its future successes, successes that would not be possible without this government's important legislation.

As one Saskatchewan farmer told The Globe and Mail recently, “I'm looking forward to selling to them” and I am sure he speaks for other durum growers in his province as well.

All this is great news for Saskatchewan and I know there is more to come. It is simple logic, but it seems to be lost on a lot of the naysayers. More buyers mean more competition and a better price for a farmer's grain. We are already seeing two commodity exchanges on both sides of the border start to compete for farmers' wheat.

For the first time ever, the Minneapolis Grain Exchange will be accepting futures of Canadian grain. For the first time ever, the Minneapolis Grain Exchange will be allowing Canadian grain to be used to settle futures contracts.

The Intercontinental Exchange Futures Canada in Winnipeg has announced that its own spring wheat futures contract based in western Canada will be ready for trading as soon as the bill receives royal assent. This is tremendous news, which means that farmers will have an important risk management tool for the day when they begin to market their grain themselves.

We are hearing a lot of fearmongering about big corporations, but the fact is that there are strong Canadian companies in the business who are eager to make marketing freedom work, of course, including a number of farmer-owned terminals across western Canada now who also own their own port terminal in Vancouver.

Mayo Schmidt, the president and CEO of Viterra, again a top-quality Canadian company headquartered in Regina, was quoted this past Friday saying he is eager to work with the voluntary board to move the industry forward. He will handle their grain. This is his quote:

If the Wheat Board chooses to engage with industry to frame out a relationship and access to the (grain-handling) system, which will be provided, I think their prospects will be greater if they do it sooner than if they do it later.

Let us stop holding them up and let the market work. He also said: “The opportunity is now to take advantage of the openness and willingness of all players to welcome them as a participant”. He added that competition for farmers' grain will be fierce, adding that it is bound to increase dramatically as it has since the end of the Australian Wheat Board's grain monopoly three years ago.

As we all know, nothing good ever comes easily. As is evident by our comprehensive plan, our government is working diligently with industry to make the road to an open market as smooth as possible. We are taking every precaution to ensure that the transition period is as smooth as possible for farmers and industry overall.

Canada's farmers grow world-class food in a global marketplace that is ripe with opportunity. We are seeking to put wheat and barley farmers back in the driver's seat so they can seize these opportunities. Our government will free our farmers so they can continue to drive the economy and feed Canada and the world.

The motion from the member for Churchill is counterproductive and will only hurt the overall grain industry in western Canada. It is not surprising the opposition seems out of touch with western farmers, as it has no rural seats in the Wheat Board affected area. What is surprising is that opposition members continue to put their own self-interests ahead of ensuring stability and marketing freedom for western Canadian farmers.

I urge all members of the House to work for farmers, not against them. Let us show western Canadian grain farmers that their voices have been heard, that marketing freedom is a right they deserve, and vote against this reckless motion.

Marketing Freedom for Grain Farmers ActGovernment Orders

October 24th, 2011 / 6:05 p.m.
See context

NDP

Françoise Boivin NDP Gatineau, QC

Mr. Speaker, it seems that we rise in this House on a regular basis to discuss bills and, more often than not, we do so following gag orders imposed by the government. This time, at issue is Bill C-18, which proposes that the Canadian Wheat Board be dismantled and that the single desk marketing of barley and wheat in Canada be eliminated. It was not that long ago that the government was trying to force Canada Post employees back to work. One might say that there is a fear of debate in this House. This is particularly unfortunate because we learn a lot by listening to what others have to say and we also learn a lot when we are able to thoroughly examine the provisions of bills, whether they are proposed by the government or by our colleagues here in the House.

However, people are being silenced rather quickly, not only in the House, but also in committee. Take, for example, Bill C-10, the government's omnibus bill on law and order. Witnesses might have plenty to say about this extremely long bill, but they are given only five minutes in which to do so and then they are cut off, once again, in mid-sentence. It does not seem as though democracy is being taken very seriously.

Nor does it seem as though the legislative provision calling for a plebiscite is being taken very seriously either. In other words, only the producers, the farmers, have the right to dismantle the Canadian Wheat Board and it cannot be dismantled by us, here in the House, the very people who are supposed to uphold the law and ensure that things are done correctly. A vote was held. When I listen to the speeches given by members of all the parties, whether on the government side or this side of the House—with a few exceptions to my right—there are clearly huge differences in opinion.

From what I understand about this issue so far, we know very well that we have a Prime Minister who, since 2002, has been promising to dismantle the Wheat Board and, now that his party is in power, he has been quick to do so. I have often heard it said and I will say it again, since the Conservatives do not have very strong math skills: 39% of the population is not a strong mandate. In the current electoral system, it constitutes a majority, but it certainly does not constitute a strong mandate.

The government has to be careful about using such support to boast and say that the farmers it talks to or the farmers who talk to it all say it is doing the right thing. In actual fact, the Canadian Wheat Board held a plebiscite for which a total of 38,261 farmers mailed in their ballots. That is a participation rate of 56%, which is on par with federal elections, unfortunately, in my opinion. As I was saying at the beginning of my speech, 62% of the farmers voted for keeping a single desk marketing system for wheat and 51% for barley. I think 62% is a very good percentage. That is the rate with which I won my own election, so you can see why I like that very solid percentage so much.

That being said, it is not up to us in this House to decide on this. The act was drafted in such a way that it is the primary stakeholders who have a say. It is their Canadian Wheat Board. It is up to them to decide what to do with it.

Every speech I keep hearing about how the Wheat Board is not being eliminated, that it will be voluntary for a number of years, and that if people want to continue with it they will—it is all hogwash. It is a slow death, so as not to cause too much unrest. However, somehow, on the government side, no one is able to convince us in this House why this is necessary, other than for ideological reasons.

I have read up on the Canadian Wheat Board and I see how it succeeded—in regulating, perhaps. As a businessperson, I do find that regulations can be quite restrictive at times. In Quebec, we are used to having quite a lot of regulations and red tape. However, sometimes, to make systems work and ensure that everything is on the up and up, without losing control of an industry, that is what it takes and this is an industry that has been tried and tested.

This method has been proven over many years. The board should not be dismantled strictly on the basis of a poorly explained, unjustified ideology, without any figures to support the decision other than a few figures from emails here and there. I respect the fact that in a democracy, there will always be people who agree and people who do not agree. The members opposite may very well wonder who we are to talk, when agriculture is not the lifeblood of the riding of Gatineau, but the fact remains that this market affects every one of us.

The decisions we make here about how the market runs will affect everyone. If for no other reason, I think that that certainly gives us the right to speak to this issue.

I heard questions from some Conservative colleagues. They said to some colleagues from Ontario that their province had dismantled its board. Why should western farmers be treated differently than Ontario farmers? That could be a good question, but the fact is that Ontario farmers decided themselves, after a vote, to dismantle their board. I respect that. If western farmers tell us that they no longer want things to run like this, that is a different story. This board was created during wartime to provide wheat to Europe, among other places. Perhaps the board has no reason to exist in 2011. I do not know. The arguments that have been made by the minister and the Conservatives who have spoken on this issue have not convinced me, as the member for Gatineau, that there is a logical reason behind this that has nothing to do with ideology. Ideology is sometimes a bad adviser in a context like this.

I believe that the government would have our approval and the support of the entire House if it acted appropriately, that is, according to the terms of the act, which provides for a vote. Following a vote, we could decide whether or not the board would remain. No one would object. It would be the voice of democracy.

In this context, as the member for Gatineau, I personally find this problematic and it is for that reason that I will be voting against the bill. The Conservative government's actions are anti-democratic. It is no longer surprising. It is unfortunate. The government was only formed on May 2, 2011, and I am already forced to conclude that any type of organization, whether it is a union or the Canadian Wheat Board, is automatically on the Conservatives' chopping block. My concern is that we are selling our assets piecemeal to the Americans.

Matters such as those dealt with by Bill C-18 are very important because of the number of people affected directly or indirectly: consumers, producers, farmers, those involved in transportation, and all those who have anything to do with the wheat and barley industry. I believe we are entitled to expect a more responsible approach from parliamentarians.

Marketing Freedom for Grain Farmers ActGovernment Orders

October 24th, 2011 / 5:05 p.m.
See context

NDP

François Pilon NDP Laval—Les Îles, QC

Mr. Speaker, I rise in the House today to speak against Bill C-18, which would dismantle the Canadian Wheat Board. This bill is a direct attack on family farmers and is a direct affront to the very principle of democracy. On September 12, nearly 60% of Canadian farmers voted in favour of maintaining the Canadian Wheat Board. However, the Conservatives refuse to hold a plebiscite on dismantling the board. The government plans to destroy the single desk against the wishes of Canadian farmers. This would not be the first time that the Conservatives claimed to have received a strong mandate from Canadians with only 40% support.

The Canadian Wheat Board is not funded by Canadian taxpayers. So why are the Conservatives rushing to destroy this organization? The answer is simple. If the Canadian Wheat Board no longer holds the balance of power when negotiating with its economic partners, Canadian farmers will be left on their own, will no longer have any bargaining power and will be forced to sell their wheat and barley at lower prices. That will have disastrous effects.

First of all, Canadian producers will be forced to sell their products at lower prices. Lower selling prices also means lower profit margins. And God knows that during a recession and tough economic times, farmers who are already working in a sector that requires very large financial investments did not need another blow like this.

Furthermore, the Canadian Wheat Board's bargaining power has enabled Canada to maintain some independence for Canadian farmers and the Canadian agri-food industry with respect to the major world players. With the dismantling of the board, this independence will disappear and big American grain companies will be free to move their operations to Canada, which will gradually kill the economic independence of Canada's agri-food industry.

I have heard the Conservatives say that we are trying to scare farmers and that the expected effects are false. Well, I have a little surprise, my friends. By way of comparison, let us look at what happened in Australia after a board similar to the Canadian Wheat Board was dismantled.

Before the Australian Wheat Board was dismantled, Australian wheat could command $99 per tonne over American wheat. After the Australian Wheat Board was dismantled, things went awry. In fact, in December 2008, the price of Australian wheat dropped to $27 per tonne below U.S. wheat. In just three years, the 40,000 farmers who were members of the Australian Wheat Board all became customers of Cargill, one of the world's largest agribusiness corporations, which is privately owned and based in the United States. Once again, it seems as though this government is clearing the way for large American corporations to the economic disadvantage of its own people and voters. Once again, the Conservatives are putting the interests of the private sector ahead of the public interest of Canadians.

Now, here is what we are proposing for Canadian farmers.

We believe in respecting democracy. As a result, we believe that any decision about the Wheat Board must be made by the farmers, since they are the ones who manage this organization. Since 62% of farmers voted against dismantling the Canadian Wheat Board, we believe that the government should respect that decision or, at the very least, hold an official government plebiscite on the issue and, as a result, withdraw its bill.

What do members of the Canadian Wheat Board think of the possible dismantling of their organization? While the Conservatives claim that farmers are overjoyed at this prospect, Allen Orberg, a farmer and chair of the Canadian Wheat Board's board of directors, thinks that this government does not have a plan. In his opinion, the government has done no analysis and its approach is based solely on its blind commitment to marketing freedom. He added that the government's reckless approach will throw Canada's grain industry into disarray, jeopardize a $5 billion a year export sector and shift money from the pockets of Canadian farmers into the hands of American corporations.

What economic impact will this dismantling have on the overall Canadian population? First, Canada risks losing the money brought in through board premiums, which can represent between $200 million and $500 million per year. Second, as I said earlier, being a farmer today means considerable investment, be it in machinery or basic farm upkeep. Dismantling the Canadian Wheat Board will have a domino effect. By selling their product at a lower price, the farmers' profit margin will decrease. Less profit also means less money to pack back loans. That means that, at the end of the day, it is the Canadian taxpayers who will pay because the government will have to increase subsidies for farmers so that they can survive and make a living.

Dismantling the Canadian Wheat Board means that farmers will see their revenues drop considerably. The government will then have to pick the pockets of Canadian taxpayers to fix the disaster it will have created.

To conclude, I implore the government to rethink its decision, to realize that it is going down the wrong path and to understand that it is putting farmers and the Canadian economy at risk. Therefore, it should withdraw Bill C-18.

Marketing Freedom for Grain Farmers ActGovernment Orders

October 24th, 2011 / 4:20 p.m.
See context

Liberal

Wayne Easter Liberal Malpeque, PE

Mr. Speaker, on that very question, what Bill C-18 does is it puts big brother back in charge, does it not?

Prior to 1997 the board was run by three commissioners. The government of the day changed it to allow an elected board of directors, five appointed and ten elected. Now this bill fires the ten farmer-elected directors and puts in place five appointed directors. Big brother is now in charge.

I would submit that there is a terrible conflict of interest.

One of the directors is a guy by the name of David Carefoot. He has served as chief financial officer for Viterra Inc. and spent six years with Agricore United. Viterra itself has indicated that breaking the Canadian Wheat Board monopoly could be worth 50¢ to 75¢ of per share value to Viterra.

Why is the government taking the fate and control of the Wheat Board away from farmers and turning it over to government hacks who are working for multinational grain corporations from the inside? Does the member agree with me?

Marketing Freedom for Grain Farmers ActGovernment Orders

October 24th, 2011 / 3:20 p.m.
See context

Liberal

Wayne Easter Liberal Malpeque, PE

Mr. Speaker, I appreciate the opportunity to speak to Bill C-18. However, I am disheartened by the method the government is using to kill the Canadian Wheat Board and deny farmers their legitimate say in the process. This attack on a Canadian institution that was placed under farmer control in 1997 I believe is unprecedented in Canadian history.

We see many countries around the world moving to democracy, some as a result of support received from the Canadian military, yet here at home we see the very principle of democracy being taken away under the iron fist of this regime. The government is violating a law passed in Parliament. It is denying farmers the right to a vote that was established in law at one point in time as well as eliminating the ability to use access to information a little further down the road. Also, the minister, and his parliamentary secretary specifically, have violated their oaths of office. As well, there has been an unbelievable amount of misinformation and propaganda about the Canadian Wheat Board and its farmer-elected directors by this particular regime.

For quite a while we have seen this taking place by the government. Since it came into power in 2006, it has set out on a concerted attack against the board.

It fired directors who were appointed by the previous government specifically to further the efforts of primary producers around the world. They were experts in international law and marketing. They were replaced by government toadies whose objective in life was to destroy the board while working within it.

Against the wishes of the Canadian Wheat Board's elected board of directors, the government fired its former CEO, Adrian Meisner, who was working on the farmers' behalf. It put a gag order on the Wheat Board.

When farmers were to elect directors to the Wheat Board's board of directors, in every election the constituency offices of government members were used to spread propaganda against the Wheat Board in an effort to have anti-board directors elected. This failed every time because eight out of ten of the directors were in fact pro board.

If this was happening anywhere else in the world, some would suggest that we send in the military. That is how I feel about it.

These actions go well beyond the Wheat Board. Canadians should be concerned. This has happened to one law in one institution using the methods by which the government operates. However, the denial of legitimate rights to one group is an infringement on the rights of all.

I just cannot imagine how backbenchers in that party can sit there and not speak up. I asked a question of the member for Crowfoot earlier today as to why he does not quote those who are opposed to what the government is doing. We are receiving many calls from producers who tell us that the response they have received from Conservative members is that there is a difference in ideology and that they do not want to talk to them. Elected members of Parliament have a responsibility to all constituents, not just to the Prime Minister who seems to be their boss and is destroying the Canadian Wheat Board based on ideology.

In this instance, we are talking about orderly marketing. The same principles that allow for orderly marketing, i.e., through the Canadian Wheat Board's function, make supply management possible.

The same principles that allow single desk marketing to function on the Prairies are the same principles that apply in terms of maple syrup and beef in the province of Quebec. A similar principle applies to collective bargaining for unions.

In this case, the government is denying the rights of the majority, as was clearly spelled out in the vote that was held by the Canadian Wheat Board itself. Eight out of ten of the farm-elected directors oppose what the government is doing and 62% of producers oppose what the government is doing. What I find amazing is that others, like supply management groups, fail to speak out in the Wheat Board's defence.

I am going to ask this very directly. Is it the fear of the jackboots approval of the government that makes others voiceless in this country? Is it the fear that if supply management speaks out against what the government is doing to the Canadian Wheat Board, it will feel the wrath of the government? Where is the farm leadership in terms of support of the Wheat Board? Supply management tells us privately that it supports orderly marketing and opposes what the government is doing, but it fails to speak out.

My question to the backbenchers over there is this. When they have an issue or a law that they are concerned about, who will stand up for them when their time comes and the government, based on ideology, wants to target them rather than somebody else?

The minister in this case is selling out to United States grain interests. What is he doing? What is the minister actually doing for Canadian farmers? Let us again look specifically at the bill. Bill C-18 begins from the premise of denying farmers their legal right to determine their own future. If the government believed it had the support of the majority of farmers, a plebiscite would have been held under section 47.1, as the legislation demands.

Who is the Minister of Agriculture really working for? Bear in mind that United States grain interests have accused the Canadian Wheat Board under United States and international trade laws of trading unfairly on 14 different occasions. The United States has lost every time. I submit that the Minister of Agriculture is serving up the Canadian Wheat Board to those United States interests on a silver platter.

An economist working with the office of the chief economist of the U.S. department of agriculture, with regard to the United States' efforts to challenge the Wheat Board, stated the following:

The U.S. wheat industry has persistently claimed that the CWB is able to undercut commercially offered export prices in select markets or sell higher-quality wheat at discounted prices, but can offer only limited anecdotal evidence to support those claims.

In fact, it has no claims.

The Canadian Wheat Board sells as a single desk seller and prevents the deterioration of the lowest sellers setting the price and through the Canadian Wheat Board, it is the highest seller, maximizing returns in the marketplace back to primary producers. The Canadian Wheat Board has shown that time and time again, but the minister is selling out to United States interests and farmers will be the losers.

In a May 26, 2011 statement supporting the elimination of the CWB, the United States wheat associates acknowledged the elimination of the Canadian Wheat Board could, “initially mean more Canadian wheat moving to parts of the United States...However, the huge price incentive that currently drives that desire would dissipate very quickly”. The president of the United States wheat associates had this to say on an earlier occasion on the elimination of the Canadian Wheat Board, “There could be opportunities created for U.S. farmers to access markets in Canada and we can access the transportation systems as well”.

Further, a study prepared for United States Senator Kent Conrad stated, “If the CWB's single desk authority is eliminated...the United States may become more competitive in offshore markets.

That same report also found that by eliminating the Canadian Wheat Board:

The U.S. and Canadian markets would become more integrated without the CWB. It would be possible for multinational grain companies to buy wheat in Canada and export it from U.S. ports.

The bottom line is, clearly, this is a bill that would give advantages to American producers, takes advantages away from Canadian producers, gives advantages to the multinational grain trade, and Canadian farmers would be the losers. The government is doing that, imposing that on Canadian farmers without allowing farmers their right to vote under the law.

The House resumed consideration of the motion that Bill C-18, an Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts, be read the second time and referred to a committee, of the amendment and of the amendment to the amendment.

Legislation to Reorganize the Canadian Wheat Board--Speaker's RulingPrivilegeRoutine Proceedings

October 24th, 2011 / 3:15 p.m.
See context

Conservative

The Speaker Conservative Andrew Scheer

I am now prepared to rule on the question of privilege raised on October 18, 2011 by the member for Malpeque concerning the admissibility of Bill C-18, An Act to reorganize the Canadian Wheat Board and to make consequential and related amendments to certain Acts.

I would like to thank the member for having raised this matter, as well as the Leader of the Government in the House of Commons, the Minister of State and Chief Government Whip, the Parliamentary Secretary to the Leader of the Government in the House, and the members for Guelph and Winnipeg North for their interventions.

In raising his question of privilege, the member for Malpeque stated that the government had violated a provision of an existing statute by having introduced Bill C-18 without having previously allowed grain producers to vote on any changes to the structure and mandate of the Canadian Wheat Board as is required in section 47.1 of the existing Canadian Wheat Board Act.

In doing so, he claimed:

...my privileges have been violated due to the expectation that I will be required to engage in and cast a vote upon legislation that begins from the premise of a deliberate and overt violation of statutes passed by the House with the expectation that those provisions would be respected most of all by members of the House.

The member for Malpeque explained that he was not asking the Speaker to rule on the legality of section 47.1 of the Canadian Wheat Board Act, but rather whether his privileges were violated as a result of the government introducing legislation he claimed contravened an existing statute passed by Parliament.

The government House leader countered that the Chair was in fact being asked to make a ruling on a matter of law by interpreting provisions of a statute, despite the well-established practice that it is not for the Chair to rule on legal or constitutional matters.

He also challenged the member for Malpeque's contention that section 47.1 of the Canadian Wheat Board Act rendered the consideration of Bill C-18 unlawful, arguing that such an interpretation was tantamount to asserting that the enactment of a statute could fetter the House's consideration of future legislation.

He suggested it:

...would result in a delegation of the ability of this Parliament to make decisions to individuals outside of...Parliament, effectively giving them the power to legislate the law of this land rather than Parliament--

He emphasized that Parliament is free to consider whatever legislation it sees fit, including legislation to amend existing statutes.

In addressing this very point, Peter Hogg's Constitutional Law of Canada, Fifth Edition, Volume 1, on page 352, notes:

Not only may the Parliament or a Legislature, acting within its allotted sphere of competence, make any law it chooses, it may repeal any of its earlier laws. Even if the Parliament or Legislature purported to provide that a particular law was not to be repealed or altered, this provision would not be effective to prevent a future Parliament or Legislature from repealing or amending the “protected” law.

This citation rightfully underscores Parliament's continued right to legislate.

The government House leader also spoke to the role of the Speaker in preparing rulings, and quoted from House of Commons Procedure and Practice, Second Edition, at page 261. For the benefit of the House, I would like to cite the full passage, which reads:

Finally, while Speakers must take the Constitution and statutes into account when preparing a ruling, numerous Speakers have explained that it is not up to the Speaker to rule on the “constitutionality” or “legality” of measures before the House.

The footnote to this citation, footnote 75 on page 261, refers to an April 9, 1991 ruling by Speaker Fraser at pages 19233 and 19234 of Debates, in which the Speaker ruled that the Chair must avoid interpreting, even indirectly, the Constitution, or a statute. This is a well-entrenched practice that remains in force today and to which I alluded when this matter was first raised on October 18, 2011.

Accordingly, it is important to delineate clearly between interpreting legal provisions of statutes—which is not within the purview of the Chair—and ensuring the soundness of the procedures and practices of the House when considering legislation—which, of course, is the role of the Chair.

The hon. member for Malpeque has offered the House his interpretation of a law, in this case section 47.1 of the Canadian Wheat Board Act. He has concluded that the government has not respected its provisions and is therefore precluded from proceeding with Bill C-18. For my part, like my predecessors, when faced with similar situations, I must decline to follow the hon. member's example. It is not for the Chair to interpret the meaning of section 47.1 of the Canadian Wheat Board Act. I have confined my review of the matter to its purely procedural aspects.

Having carefully reviewed the submissions on this matter, I must conclude that, while the member for Malpeque may feel aggrieved by the government's approach and by its introduction of Bill C-18, there has been no evidence offered that the government's actions in this case have in any way undermined the ability of the member to fulfill his parliamentary functions.

Therefore, the Chair cannot find that either the introduction of Bill C-18 or the fact that members are being asked to consider the bill constitutes a prima facie question of privilege.

I thank all members for their attention.

Marketing Freedom for Grain Farmers ActGovernment Orders

October 24th, 2011 / 1:50 p.m.
See context

NDP

Pat Martin NDP Winnipeg Centre, MB

Mr. Speaker, my colleague from Crowfoot is a veteran member of Parliament, and I am sure he is aware of the conflict of interest guidelines and the code of conduct by which all members of Parliament are duty bound.

If we were to believe the Conservative talking points, that farmers would in fact enjoy an advantage if we get rid of the Wheat Board and that they would make more money if we get rid of the Wheat Board, would the member not agree that any Conservative member of Parliament who farms, produces grain, finds himself in a conflict of interest by virtue of the fact of not just voting on this Bill C-18 but even participating in the debate promoting Bill C-18?

When we bailed out the auto industry, the GM and Chrysler auto companies, there were Conservative members of Parliament who actually had car dealerships, even though neither of them were GM nor Chrysler, but they had the decency to recuse themselves from the debate associated with subsidizing the auto industry.

Would the member not agree that he, himself, and at least seven other Conservative MPs must recuse themselves from the debate and the vote on Bill C-18?

Marketing Freedom for Grain Farmers ActGovernment Orders

October 24th, 2011 / 1:15 p.m.
See context

NDP

Ryan Cleary NDP St. John's South—Mount Pearl, NL

Mr. Speaker, I rise today as a Newfoundlander, with a particular interest in the Newfoundland and Labrador fisheries. Last week, for example, I introduced a private member's bill, the Newfoundland and Labrador fishery rebuilding act. I rise to speak out against the dismantling of the Canadian Wheat Board and to warn against it.

The bays and harbours, the cliffs and crags and the fishing grounds of Newfoundland and Labrador may be a world away from the western provinces, but fishing and farming have much in common these days across Canada. At this moment in our history, what they have in common is that they are under direct attack by the Conservative government. In the Prairies, the Conservatives are attacking the livelihood of farmers with their attempts to kill off the Canadian Wheat Board. On the west and east coasts, the fisheries are their target, with ongoing moves to gut what little is left of the Department of Fisheries and Oceans.

What the Conservative government should realize, and must realize, is that its buddies on Bay Street cannot feed Canadian families. That is a simple fact of life.

I do not understand why the Conservatives have it in for Canada's primary producers, fishermen and farmers. Why? Who will that benefit? Who will that threaten?

Ultimately, such actions could jeopardize our food supply, could threaten the family farm and family fishing enterprise, the small businesses on which our country was built.

As a Newfoundlander and Labradorian, I am particularly baffled over why the Canadian Wheat Board is being targeted.

At the same time that the federal Conservatives are attempting to kill off the Wheat Board, back home in my home province, the Progressive Conservative provincial government is moving toward the creation of a marketing board for fish. Therefore, the federal Conservatives are killing off the Wheat Board, which markets and brands Canadian wheat and barley around the world, at the same time that the provincial PCs in Newfoundland and Labrador are attempting to create a similar type fish board to market and brand our seafood around the world. It does not make sense to me. If anything, it shows that there should be more study, more investigation and more review so smart decisions are made.

The federal Conservatives are killing the Wheat Board, while the provincial PCs are birthing a fish board. I just do not get it. How does that make sense? The responsible and right thing to do would be to carry out a cost benefit analysis.

The Canadian Wheat Board is the largest and most successful grain marketing company in the world. That is an indisputable fact. It is also a fact that the Wheat Board is a Canadian success story, with a proven track record of providing the best possible returns for farmers and minimizing their risk.

Why mess with a good thing? Why mess with something that is working?

As the hon. member for Winnipeg Centre has pointed out in the House on numerous occasions, there has never been one shred of evidence that farmers would be better off without the Wheat Board. That is a point that has resonated with me and it should resonate with everybody in the House and with all Canadians,

How can the Conservative government, which bills itself as being a great steward of the Canadian economy in these tough economic times and which are destined to get tougher, be so reckless and irresponsible, to use two other words from the member for Winnipeg Centre, as to turn the prairie farm economy on its head without even doing a cost benefit analysis? That does not make sense to me.

Bill C-18 proposes to dismantle the farmer-controlled and funded Canadian Wheat Board by eliminating the single desk marketing of wheat and barley across Canada, but do farmers want that? Apparently not.

On September 12, a majority of farmers voted in a plebiscite to keep the Wheat Board. A total of 38,261 farmers submitted mail-in ballots during that plebiscite. It had a participation rate of 56%, which was, as I understand it, on a par with the last three federal elections. The result was that 62% of respondents voted in favour of retaining the single desk for wheat, while 51% voted to retain it for barley.

Allen Oberg, chair of the Wheat Board's farmer-controlled board of directors, reacted by saying this:

Farmers have spoken. Their message is loud and clear, and the government must listen, Western Canadian producers have voted to keep their single-desk marketing system for wheat and barley. They cannot be ignored.

Sure, they can be ignored. Have they not heard of the Conservative government? For years, fishermen on the east coast of Canada, the fishermen of Newfoundland and Labrador, warned that they were not being listened to. The fishery eventually collapsed. One of the largest fishing companies, Fishery Products International, was later broken up and sold off piecemeal, including its marketing arm.

Today Newfoundland and Labrador PCs are moving toward a marketing board for Newfoundland and Labrador seafood products. The Conservative government is trying to move away from it.

Part of the marketing strategy would be to set up a council to promote Newfoundland and Labrador seafood in general. The government would also facilitate a consortium of companies so they could work together on branding their seafood products. Maybe they will even call it the Canadian fish board. Would that not be ironic?

The New Democrats say that the Conservative government should withdraw Bill C-18. In the interests of large American grain companies, the Conservatives are meddling to erode prices and market security for our own farmers.

The Canadian Wheat Board is a single desk. Farmers in western Canada sell their wheat and barley together through the Wheat Board, their sole marketing agent. The structure helps ensure farmers get their highest overall return, as it has an effective monopoly on the sales. Farmers have more strength when they act as one. It just makes sense. Fishermen have more strength when they act as one. Newfoundland and Labrador fishermen know this and prairie farmers know this. Why does the Conservative government not know this?

Western grain farmers can look to Australia to know what is in store for them once the single desk is eliminated, and it is not pretty. When Australia had its single desk power, Australian wheat could command premiums of over $99 a tonne over American wheat, but by December 2008, it had dropped to a discount of $27 a tonne over U.S. wheat. In three short years, Australia's 40,000 wheat farmers went from running their own grain marketing system, selling virtually all of Australia's wheat, to becoming mere customers of Cargill, one of the largest agribusiness corporations, which is privately owned by the U.S.

If we are not careful, the family farm and the family fishing enterprises of this great country will be no more. We should learn from the mistakes of the Newfoundland and Labrador fishery. We should listen to fishermen and farmers. We are stronger—