Madam Speaker, I thank the hon. member for his questions. I always appreciate his contribution in the House. I quite enjoy debating with him.
He asked a number of questions and I am glad he did. There are some points I did not put in my speech that could have clarified them. He mentioned The Shooting of Dan McGrew written by Robert Service, the greatest Canadian poet of whom the Alaskans are great fans because of their gold rush and they try to use one of our poets.
I will touch a bit on the industry and our markets. As everyone in Canada and the United States knows, the lumber industry is competitive. It is hard for us to keep mills going. We have a number of mills but most cannot open under these conditions. They cannot open half the time under any conditions so we have very few mills.
We have an effective Yukon forestry industry association for small mills. A few weeks ago I visited a mill in the community of Teslin which is owned by a first nation. It is hundreds of miles from anything so it is difficult to manage. Most of the trees are either white spruce or lodgepole pine. Some are 300 years old. Their growth rings are close together because they take a long time to grow in a cold environment without water.
The regulatory regime is an excellent question. As I mentioned in my speech, the Teslin mill and some other mills are owned by first nations. They have settlement land which is private land which excludes them from duties. I do not know how long it will take the U.S. commerce department to figure that out but it is a situation unique to Yukon.
As the hon. member said, the rest of Yukon is currently under territorial jurisdiction but the House of Commons unanimously passed Bill C-39, the Yukon Act, which is now at third reading stage in the Senate. It would transfer jurisdiction from the federal government although some of the provisions, conditions and regulatory regimes under the federal government are very similar to the provinces. What the U.S. commerce department may be complaining about is that even though the mills are operated by the federal government they may shortly be operated by the Yukon government and be under no different a regulatory regime than any of the provinces. The Yukon government would then be able to make the same changes, alterations and deals to make the industry acceptable.
As I said, it is absolutely ridiculous that we would be a threat to anyone. It is like an elephant and a mouse going to war where the elephant asks for a 33% head start bonus to subsidize it to make sure it wins.