The House will now proceed to the taking of the deferred divisions at the report stage of Bill C-30.
The question is on Motion No. 2. The vote on this motion also applies to Motions Nos. 3 to 53.
This bill was last introduced in the 42nd Parliament, 1st Session, which ended in September 2019.
Chrystia Freeland Liberal
This bill has received Royal Assent and is now law.
This is from the published bill.
This enactment implements the Comprehensive Economic and Trade Agreement between Canada and the European Union and its Member States, done at Brussels on October 30, 2016.
The general provisions of the enactment set out rules of interpretation and specify that no recourse may be taken on the basis of sections 9 to 14 or any order made under those sections, or on the basis of the provisions of the Agreement, without the consent of the Attorney General of Canada.
Part 1 approves the Agreement and provides for the payment by Canada of its share of the expenses associated with the operation of the institutional and administrative aspects of the Agreement and for the power of the Governor in Council to make orders in accordance with the Agreement.
Part 2 amends certain Acts to bring them into conformity with Canada’s obligations under the Agreement and to make other modifications. In addition to making the customary amendments that are made to certain Acts when implementing such agreements, Part 2 amends
(a) the Export and Import Permits Act to, among other things,
(i) authorize the Minister designated for the purposes of that Act to issue export permits for goods added to the Export Control List and subject to origin quotas in a country or territory to which the Agreement applies,
(ii) authorize that Minister, with respect to goods subject to origin quotas in another country that are added to the Export Control List for certain purposes, to determine the quantities of goods subject to such quotas and to issue export allocations for such goods, and
(iii) require that Minister to issue an export permit to any person who has been issued such an export allocation;
(b) the Patent Act to, among other things,
(i) create a framework for the issuance and administration of certificates of supplementary protection, for which patentees with patents relating to pharmaceutical products will be eligible, and
(ii) provide further regulation-making authority in subsection 55.2(4) to permit the replacement of the current summary proceedings in patent litigation arising under regulations made under that subsection with full actions that will result in final determinations of patent infringement and validity;
(c) the Trade-marks Act to, among other things,
(i) protect EU geographical indications found in Annex 20-A of the Agreement,
(ii) provide a mechanism to protect other geographical indications with respect to agricultural products and foods,
(iii) provide for new grounds of opposition, a process for cancellation, exceptions for prior use for certain indications, for acquired rights and for certain terms considered to be generic, and
(iv) transfer the protection of the Korean geographical indications listed in the Canada–Korea Economic Growth and Prosperity Act into the Trade-marks Act;
(d) the Investment Canada Act to raise, for investors that are non-state-owned enterprises from countries that are parties to the Agreement or to other trade agreements, the threshold as of which investments are reviewable under Part IV of the Act; and
(e) the Coasting Trade Act to
(i) provide that the requirement in that Act to obtain a licence is not applicable for certain activities carried out by certain non-duty paid or foreign ships that are owned by a Canadian entity, EU entity or third party entity under Canadian or European control, and
(ii) provide, with respect to certain applications for a licence for dredging made on behalf of certain of those ships, for exemptions from requirements that are applicable to the issuance of a licence.
Part 3 contains consequential amendments and Part 4 contains coordinating amendments and the coming-into-force provision.
All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 7th, 2017 / 3:30 p.m.
The Speaker Geoff Regan
The House will now proceed to the taking of the deferred divisions at the report stage of Bill C-30.
The question is on Motion No. 2. The vote on this motion also applies to Motions Nos. 3 to 53.
The House resumed consideration from February 6 of Bill C-30, as reported (with amendments) from the committee, and of the motions in Group No. 1.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 6:10 p.m.
Conservative
Peter Kent Conservative Thornhill, ON
Mr. Speaker, I am delighted to rise in support of Bill C-30, an act to implement the comprehensive economic and trade agreement between Canada and the European Union and its member states and to provide for certain other measures.
As we approach the end of today's debate, may I be permitted to address the tremendous opportunities and benefits in the bill by first reflecting on the way I watched Canada change, develop, and prosper as a result of trade and unavoidable globalization in my lifetime.
As the product of an offshore union myself, I have no real memory of arriving at Pier 21 in Halifax, a babe in my mother's arms, aboard a Red Cross hospital ship from England near the end of the Second World War. In fact, my first real trade-related memories as a child here in Ottawa in the late 1940s involved the exciting arrival of Christmas oranges in our house, the mandarin oranges that arrived every year in those early years from Japan.
By the time I began elementary school, our family had moved to Medicine Hat, Alberta. My dad had been transferred from the Ottawa Citizen to become editorial page editor of the Medicine Hat News. Our food back then was local. Milk, butter, eggs, cheese, meat, and bread came from farms, butchers, and bakers barely a couple of hours away from our house, much of it delivered to our home by horse-drawn wagons. Just in passing, I was regularly detailed to collect horse droppings for our home vegetable garden, where today, of course, there is an abundance of off-the-shelf retail fertilizers.
Our shoes and clothes in the 1940s and early 1950s came mostly from Ontario and Quebec. It is worth remembering, of course, that the Canadian shoe industry was started originally by an investment made by Jean Talon in Quebec in 1688. It developed over the centuries before and after Confederation, but after peaking in 1972, the Canadian-made shoe industry went downhill because of the arrival of less expensive, cheaper foreign imports, even despite government efforts in that day to slow the tide with import tariffs.
Our T-shirts and our underwear back in the 1950s came from a great Conservative firm in Nova Scotia. I loved my Stanfield's unshrinkable, drop-bottom long underwear when winters were longer and colder than they are today, and in those days, almost all of our cars came from Detroit or the Canadian branch plants of Detroit.
By the mid-1950s, Canada's auto industry was booming with new plants, new facilities, increased employment, and the surge in export sales as Canadian manufacturers took advantage of the fact that European makers were still recovering from the war.
My dad, who was a prudent, penny-wise newspaper man, never bought a new car, but he always bought North American, carrying our growing family around southern Alberta, first in a second-hand 1947 Chevy sedan and then in another very well-used 1954 Pontiac.
While I was studying at the naval dockyard in Esquimalt in 1960 listening to the hit tunes of those days, Percy Faith's Theme from a Summer Place and Sinatra's High Hopes, I remember seeing the decommissioned World War II cruiser, HMCS Ontario being prepared to be towed to Japan for scrap. I have little doubt that some of the recycled steel from the “Big O” came back to Canada a few years later, perhaps in the form of the first Japanese auto import, the Datsun Fairlady I remember, and of course the very first Honda Civic.
As a young journalist covering Expo '67 in Montreal, I remember the record crowds of foreign visitors and heads of government, and the excitement and the talk everywhere of the many doors being opened to Canada to global trade opportunities. Those doors did eventually open, although the big trade agreements, as we know, took somewhat longer to be achieved.
I remember as a young foreign correspondent in London, England, in the early 1970s, the political debate leading up to the referendum that saw the United Kingdom join the European common market. That was followed eventually by the Maastricht agreement and the creation of the European Union, the United Kingdom's opt-out clause, and so forth.
Britons benefited from that trade agreement, but as we all know too well, the European integration progress went a little further than British voters would accept, leading to the Brexit referendum outcome last year.
Today we face new challenges, and we have seen new challenges for the U.K., for the European Union, coincidentally for the United States, for our NAFTA partners, and pretty well all of our global trading partners, which brings me to the legislation before us today.
Certainly on our side of the House, and I know on the government side, we cannot say too often that this landmark agreement is the result of years of hard work, especially by our world-class trade negotiators, who did the heavy lifting for a succession of ministers and governments.
We in the official opposition welcome the opportunity to bring this deal into force and to recognize the work of successive trade ministers, including, most recently, the member for Abbotsford and the member for University—Rosedale. I will come back to that in just a moment.
We believe passionately, in the official opposition, that Canada should strive to maximize the benefits we have as a free-trading nation and that CETA will establish trading relationships far beyond North America. Again, we cannot say too often for our listeners at home that the 28 member states of the EU represents 500 million people, and annual economic activity of almost $20 trillion. The EU is the world's largest economy and also the world's largest import market for goods. The EU's annual imports alone are worth more than Canada's total GDP.
I spent the morning with the EU delegation to Ottawa. It was interesting to catch up with the representatives of the 28 members of the EU on the ratification process. I was delighted to remark to the representative of the government of Latvia that our foreign affairs committee is just back from an eastern European tour visiting Ukraine, Kazakhstan, Poland, and Latvia and to have been told by the ministers in the Latvian government that they are rushing to try to be the first member of the EU to formally ratify the agreement. They are urging us to ratify and enable implementation of the act.
I would like to say that I was very impressed a couple of months ago by the very gracious acknowledgement by the minister of trade, now the Minister of Foreign Affairs, of the hard work of her predecessor, the member for Abbotsford, in developing and advancing the CETA file in his time. Not all of my Liberal colleagues have been as generous.
If I could conclude on a positive note, and in the context of that spectacular Super Bowl victory last night, I would suggest that the member for Abbotsford might be seen as the Tom Brady character, moving the ball against great odds to the brink of victory. Again, with the greatest respect, the former minister of trade, now the foreign affairs minister, might be seen as James White, in overtime, two yards to go, plowing through the defence to carry the ball into the end zone to win the day.
In closing, CETA is a great deal for Canada. It is a great deal for Europe. I have no hesitation in committing my vote to bring this agreement into force.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 5:55 p.m.
Conservative
Jamie Schmale Conservative Haliburton—Kawartha Lakes—Brock, ON
Mr. Speaker, I rise today to speak to Bill C-30, an act that would implement the comprehensive economic and trade agreement between Canada and the European Union and its member states and to provide for certain other measures.
I would like to begin by thanking my hon. colleagues, the member for Battlefords—Lloydminster and the member for Abbotsford, for their past and current work on this important file.
Bill C-30 is a continuation of our previous government's ambitious trade agenda and I am pleased to see that the current Liberal government is continuing to push for CETA.
Bill C-30 would implement the comprehensive economic and trade agreement, or CETA, between Canada and the European Union and its member states. The Canada-EU trade agreement is our country's biggest bilateral trade initiative since NAFTA. Including the 28 member states, the EU represents the world's largest single market for an investor and trader with over 500 million people and annual economic activity of almost $20 trillion.
When CETA comes into force Canada will be one of the few countries in the world to have guaranteed preferential access to the world's two largest economies, the United States and the European Union. This is a historic deal which would benefit Canadians from coast to coast. It would ensure that Canadians and Canadian businesses are in a strong position as we move forward to an increasingly globalized world.
Most members would agree that Canada is a trading nation. Without trade, thousands, if not millions, of Canadians would lose their jobs. It is therefore crucial that we continue to expand access for Canadians and Canadian businesses to international markets, like this agreement would do. Canada needs to maximize the benefits. We are a free trading nation and we need to establish trading relationships beyond North America. That is exactly what CETA would accomplish.
As CETA approaches final implementation, we will continue to hold the government to account and ensure that Canadians reap the rewards of free trade not only with the EU, but also through other significant trade deals.
The Liberal government must also honour commitments made to vital sectors of our economy, specifically to the supply-managed dairy industry as well as commitments made to the Province of Newfoundland and Labrador in terms of the CETA fisheries investment fund.
Now let us talk about the benefits of this deal.
The EU is the world's largest economy. It is also the world's largest importing market for goods. The EU's annual imports alone are worth more than Canada's GDP.
A joint Canada-EU study that supported the launch of negotiations concluded that a trade agreement with the EU could bring a 20% boost in bilateral trade and a $12-billion annual increase to Canada's economy, the economic equivalent of adding $1,000 to the average Canadian family's income, or almost 80,000 new jobs to the Canadian economy.
When CETA comes into force, nearly 100% of all EU tariff lines of non-agricultural products will be duty-free along with close to 94% of all EU tariff lines of agricultural products.
This agreement would also give Canadian service suppliers, which employ more than 13.8 million Canadians and account for 70% of Canada's total GDP, the best market access the EU has ever granted to any of its free trade agreement partners. It would establish greater transparency in the EU services market, resulting in better, more secure, and more predictable market access.
The agreement would also provide Canadian and EU investors with greater certainty, stability, transparency, and protection for their investments. Our preferential access to the EU would attract investments into Canada from the U.S., and EU investors would look to Canada as the gateway to NAFTA.
The agreement would also give Canadian suppliers of goods and services secure and preferential access to the world's largest procurement market. The EU's $3.3 trillion government procurement market would provide them with significant new export opportunities. The agreement would also expand and secure opportunities for Canadian firms to supply their goods and services to the EU's 28 member states and thousands of regional and local government entities.
Our previous government worked tirelessly to sign trade deals right across the globe, agreements with Korea, Ukraine, Honduras, Panama, Jordan, Colombia, Peru, and the TPP nations, just to name a few. I am pleased to see a continuation of the previous government's work on this file, and I hope that the Liberal government will continue to advance Canadian trade interests abroad.
During this discussion on international trade agreements, it is crucial that we take into consideration the recent comments by the new President of the United States on the renegotiation of NAFTA.
Trade with the United States is our most important relationship. Nine million American jobs depend on trade with Canada, and we have added 4.7 million new jobs to our economy since NAFTA came into force. With $2 billion in trade crossing our border every day, Canadians are worried about their jobs, and rightfully so. We need to ensure that the Prime Minister has a plan to protect high-paying jobs that are created in Canada as a result of NAFTA, including 550,000 auto sector jobs and 400,000 forestry jobs. There are also well over 210,000 aerospace jobs. We need a deal that is in the best interests of Canada.
I am now going to talk specifically about some of the benefits and opportunities for my home province and my constituents. The EU is Ontario's second-largest export destination and its second-largest trading partner. Once CETA is in force, it would eliminate tariffs on almost all of Ontario's exports, including 98% of EU tariff lines on Canadian goods becoming duty free for major Ontario exports, including metals and mineral products, manufactured goods, chemicals, and plastics. It would also provide our exporters with a competitive advantage over exporters from other countries that do not have a free trade agreement with the EU.
Being an Ontario member, we also want to thank the provincial Liberals because Ontario needs all the advantages it can get based on the current situation.
This agreement would give us access to a vast market for Canadian goods, as I have said before. It would benefit many sectors across our economy, including my riding, specifically in agriculture. In the agricultural and agri-food sectors, which I touched on before, CETA would make almost 94% of EU tariff lines on Canadian goods duty free. It would rise to 95% once all the phase-outs are complete.
This would include preferential, duty-free access for a specified amount of Canadian beef, pork, and bison. This is one of the largest industries in my riding. It provides employment and economic opportunities to many of the small communities in my area. Ensuring an advantageous position for our farmers and other sectors will help to ensure the long-term economic growth and prosperity for all Canadians.
As I mentioned, many people in my riding and across this country are concerned about their future, and rightfully so, with the cost of doing business in Ontario being sky high, and now with the increased taxes due to the provincial and federal Liberals. Many Canadians are struggling to get by. I am hopeful that this deal is signed and that the Liberal government's intention is to continue to build on the previous government's strong record of international trade. We are a trading nation, and we need to continue to increase market access for Canadian businesses and products.
I would like to thank all the men and women who have worked for years to get this agreement negotiated, drafted, and now before us here in the House of Commons. I look forward to questions from my colleagues.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 5:40 p.m.
Green
Elizabeth May Green Saanich—Gulf Islands, BC
Mr. Speaker, it is an honour to rise again in this place to speak to the concerns I have about Bill C-30, legislation to enact the comprehensive economic and trade agreement between Canada and the European Union.
There are a number of fallacies that have come up in the debate today, and I will try to address those. They relate, by the way, to the investor-state provisions, which I believe to be the key and most unacceptable part of the trade agreement. However, I want to make sure I do not skip over the other concerns that have been raised by many in Canada and in the European Union.
One is that this trade agreement will absolutely make pharmaceutical drugs cost more in Canada. There is no question about this. By giving greater patent protection, it will postpone the moment when drugs go to generic form, when they become much more affordable. The estimates are that it will increase the cost of pharmaceutical drugs anywhere between $800 million and $1.6 billion.
Let me give the reasons why. This is what the comprehensive economic and trade agreement commits to and that Bill C-30 would implement. It would commit Canada to creating a new system of patent term restoration that would delay the entry of generic medicines by up to two years. It would lock in Canada's current terms of data protection, making it difficult or impossible for future governments to reverse them, and it would implement a new right of appeal under the patent linkage system that would create further delays for the entry of generics.
If this trade agreement is in the interest of big pharma, the pharmaceutical industry, which I would have to mention is an economic sector that does not need a handout, can we accept that the prescription drug business, the pharmaceutical industry globally, does very well for itself and does not necessarily do well for those who need life-saving drugs?
This relates to the debates we have had in this place about the need for pharmacare and a national pharmacare program. It is even in the mandate letter to our Minister of Health to pursue bulk purchasing of prescription drugs to try to bring down the price to the level we could get if we had a national pharmacare plan, when all prescription medication could be purchased centrally to try to drive down the cost.
The reality is that the single largest growing cost within our health care system is the cost of prescription drugs. I want to reference the hard work of my hon. colleague from Oakville, Terrence Young, who lost his seat in the last election. His daughter died from taking a drug, as prescribed by her physician. Her name was Vanessa, and in the last Parliament, we passed Vanessa's Law.
It is very clear that the drug industry charges more than what it costs to produce a drug, because it can. This is the last sector on Earth we should be wanting to give yet more advantages to make the price of drugs go higher.
At the same time, litigation relating to pharmaceuticals, the notice of compliance proceedings dealing with full patent infringement, has been termed by Canadian Lawyer magazine as streamlining litigation, again, to the benefit of the pharmaceutical industry. It has a very effective lobby. Hats off to the pharmaceutical industry in Europe and in Canada for getting its own way under this agreement, but that does not mean it is in the interests of Canadians.
I am also very concerned, as is the Green Party, about the protection of procurement. This has to do with the rights of municipalities and other government sectors to say that they want the right to choose where they procure their products. They want to say that it is okay to preference their local suppliers. That will not be possible under CETA.
We also know that the way this agreement is structured around intellectual property leaves a lot to be desired and does not adequately protect Canadian companies in the large, more predatory global marketplace.
Getting to the misconceptions, one was, I thought, rather unexpected in this debate. Just to put it to rest, I heard a number of Conservative MPs use this debate on the comprehensive economic and trade agreement with the European Union to rail against having a carbon price. This was a very unusual place to make that argument, since the European Union has carbon prices. Why, in a debate on CETA, would we hear distorted arguments about the economic impact of putting a carbon price in place? It is rather the contrary. If Canada does not put a carbon price in place, we might find ourselves at the other end of discriminatory tariffs brought forward by the European Union, because they have done so, and they want trading partners to do so as well.
Other fallacies have to do with the way in which we characterize investor-state dispute resolution. It is very important that we distinguish and differentiate between terms of trade agreements to resolve disputes over trade. We have those in NAFTA. We have those in CETA. We have those at the WTO. When there is a dispute over a tariff or an alleged subsidy, there is a dispute process that resolves trade disputes. The investor-state provisions are not those. Investor-state provisions have nothing to do with resolving trade disputes. That may seem counterintuitive, but let me back up. Trade dispute mechanisms within treaties are state-to-state. If Canada has a problem with Belgium, or Poland has a problem with Canada, the investor-state dispute resolution is entirely different.
If we go ahead with CETA, it would give a Polish company the right to sue Canada if any government, state, provincial, municipal, first nations, or a court decision, made a decision that interfered with that corporation's expectation of profits. Therefore, it is not state to state, as it would be in a trade dispute. It is corporation to government.
Let us use a real life example from my home province. The people of Kamloops, B.C. are busy fighting a proposal for a large open-pit mine within the town limits. It is called the Ajax mine. It is being proposed by a Polish state-owned enterprise. Kamloops is a mining community with other mines. It is not as if it is against mines, but the majority of people in Kamloops do not want an open-pit mine in the town limits. If CETA is not in place and the Government of British Columbia decides it will not go ahead with an open-pit mine, that is the end of the story. B.C. can make a decision and Kamloops can make a decision. However, with CETA in place, it would not be the end of the story. The Polish mining company, Ajax mine, could do what Bilcon from New Jersey did under chapter 11 of NAFTA. When its open-pit mine on Digby Neck, Nova Scotia was turned down by the Conservative government of Nova Scotia and the Conservative government federally, under the previous environment minister, John Baird, Bilcon went for a secret tribunal under chapter 11 of NAFTA and sued us for $300 million. Did it allege we were wrong on the science? No. Did it say this was a secret protectionist move to protect trade in Canada? No. It just said it did not think the environmental assessment process was fair to it.
Ajax, the Polish mining company, would have the right to bring secret arbitration cases. The one thing that is different under CETA is the process would not be a secret. There would be an investment court. However, there would be no room at the table to have litigants representing the public interest. No environmental group would be allowed before the so-called investment court to argue this was a reasonable decision that our government made.
Therefore, the presence of these agreements really needs to be much better understood, investor-state agreements, the chapter 11s or sometimes called FIPA, the foreign investor protection agreement, such as the one Prime Minister Harper secretly passed in cabinet, which binds Canada to the year 2045, so the People's Republic of China has the right to sue Canada and we cannot get out of it until 2045.
These agreements need to be better understood as fundamentally corrosive to democracy. They do not belong in trade treaties. They have nothing to do with advancing trade. They are all about reducing the power of sovereign government and increasing the power of transnational corporations. That is why I will be voting against Bill C-30.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 5:25 p.m.
NDP
Cheryl Hardcastle NDP Windsor—Tecumseh, ON
Madam Speaker, I am grateful to rise once again in the House to speak to Bill C-30.
These trade agreements have the potential to cause great damage to communities and to whole regions, as our experience with NAFTA has clearly demonstrated. We, in the NDP, believe that they should be undertaken with scrupulous attention to all potential consequences.
I am more than a little disappointed. The NDP had proposed a number of well-reasoned and good faith amendments to CETA, amendments that would have gone a long way to fix the major problems in the bill, amendments that were not just sought after by us but by a broad swath of labour and civil society groups throughout Canada and the European Union, and they were all rejected.
We had amendments on limiting CETA's controversial investment chapter so corporations could not sue the country that made a decision or action in its own best interests in the name of corporate profit, rejecting the increased threshold for mandatory foreign takeover reviews, and limiting changes to Canada's cabotage rules. Cabotage, by the way, is the transport of goods or passengers between two places in the same country by a transport operator from another country.
We also called for an economic impact analysis of CETA and an analysis of the impact of CETA on pharmaceutical drug costs. Sadly, in what has become a recurring pattern with the government, there was little to no debate on our amendments and, as I noted, they were all rejected. It appears that the government's election platform commitments to fair, open, and transparent government have gone the way of electoral reform.
As the government prepares to renegotiate sections of NAFTA with the new administration in the U.S., it is important that it does not rush into another deal before we have been able to study the changes that will soon occur to our agreement with our American cousins, as it is arguably one of the more important trade agreements to which Canada has been a party.
More important, I and all New Democrats continue to be seriously concerned about the ways in which these agreements hamstring the ability of future governments to establish important social programs. The hamstringing to which I refer is what American pundit, Thomas Friedman, once termed, a couple of decades back, as the “golden straitjacket”. It is very entertaining to me that a previous speaker, an hon. colleague from another party, mentioned the gold-plated agreement. I want to talk about the golden straitjacket with some irony here.
The golden straitjacket is supposed to work like this. As our country puts on the Golden Straitjacket, two things are supposed happen: our economy grows and our politics shrink. It is a straitjacket because it narrows considerably the parameters of the government's future political and economic policy options. It is golden, presumably, due to the economic benefits which would then follow.
However, flash forward a couple of decades and we see clearly that these supposed benefits were a little more than oversold. In fact, to say that the benefits of NAFTA were unevenly distributed is to engage in cruel understatement. Some sectors of the economy benefited, and others were devastated.
Members could ask anyone in my riding of Windsor—Tecumseh, the people of Hamilton or Oshawa, Ontario. We have absolutely no evidence that the economic gains of CETA will be distributed any more equitably than were those of NAFTA. In fact, CETA is likely to make it all the more difficult for future governments to address the very inequalities that we can feel certain will result from this agreement.
CETA will increase the pressures to privatize most government services. That is because the multinational corporate and financial interests, in whose interests this agreement was negotiated, view most government services not as fundamental provisions without which our lives and economy would suffer, but as potential revenue streams, as potential markets in which to make lots of money.
CETA can be rightly construed as part of what was an aggressive wave of trade deals designed to undermine the rights of Canadian governments to legislate public health policy if it threatened investor profit. Under these conditions, the likelihood of a national pharmacare plan becomes substantially more difficult, if not impossible. Such a plan could be viewed as a direct infringement on corporate rights and counterintuitive to the purpose of health care policies that put people first.
In keeping with putting people first and to maximize our resources in our universal health care system, a national pharmacare program has long been the priority of the NDP. Just about everyone who has ever seriously looked at this issue will know that there is broad agreement among researchers that a universal public drug program, with an evidence-based list of reimbursed drugs, a clear and transparent budget, and a strong ability to negotiate fair drug prices, would improve the health of Canadians. It would significantly lower the social cost of drugs and could be achieved with relatively small initial outlays by governments.
It is an idea that is a long time coming. A prescription drug coverage program was recommended as the next step way back in 1964 by the Royal Commission on Health Services. Canada has the fastest-rising drug costs per capita among OECD countries and is the only country in the world with a public medicare system that does not have a pharmacare program.
It is estimated that changes to patent protection for pharmaceutical drugs as a result of trade agreements could cost our public health care system anywhere between $850 million to $1.65 billion every year, according to the Council of Canadians. At approximately $900 a person, Canadian drug costs are already the second highest in the OECD, second only to the United States. Countries like Australia, New Zealand, the United Kingdom, France, and Sweden have all had some form of universal public drug coverage that results in lower costs, as well as lower drug cost growth rates. Consumption of drugs in these countries is equal or greater than in Canada, but expenditure is much lower.
Countries with pharmacare programs are able to suppress the inflation of drug prices, which directly result in people paying less for their medications. A true universal pharmacare program shows feasibility, sustainability, and effectiveness. Universal pharmacare programs in other countries currently are more advantageous in terms of costs than both private or public drug insurance plans in Canada.
Our current fragmented system means higher drug costs for everyone and huge profits for big pharma. Canada has a total of 19 publicly funded drug plans, 10 provincial, three territorial, and six federal. Eligibility, coverage, and benefit payment schemes vary in each of these programs. Again, the Council of Canadians makes the excellent point that one's postal code or socio-economic status should not dictate if one receives necessary medication, but in some provinces only people on social assistance, seniors, or those suffering from certain diseases are covered, while in other provinces people are covered based on an income assessment.
It is long past time for federal leadership on this issue. The proponents of a national pharmacare plan have won every argument. By every rational criteria, it is the smart thing to do.
Therefore, why does Canada not have a national pharmacare plan? I suspect that on this issue, like so many others, the Liberals will not venture such a thing without total buy-in from industry. Let us be as clear as we can on this. The pharmaceutical industry will never support a national pharmacare plan.
In fact, the industry is moving in the other direction. The pharmaceutical industry lobbied heavily for changes to intellectual property rules for pharmaceuticals under CETA and, as we can guess, got them. These changes are expected to increase drug costs by more than $850 million annually. Yet leading environmental, labour, and civil society organizations in Canada also lobbied for changes, changes which, as I mentioned earlier, were similar to those proposed by the NDP. Apparently, the Liberals did not find their arguments convincing.
The priorities of a government are laid bare, not through its public statements but through its actions. Insofar as CETA is concerned, one has to ask, “On whose behalf does our government work?”
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 4:40 p.m.
Conservative
Diane Finley Conservative Haldimand—Norfolk, ON
Madam Speaker, I am honoured today to stand to speak to Bill C-30, an act to implement the comprehensive economic and trade agreement between Canada and the European Union, otherwise known as CETA.
This is a historic agreement, so I would first like to take this opportunity to thank my Conservative colleagues, the hon. member for Abbotsford, the hon. member for Battlefords—Lloydminster, and of course, the Right Hon. Stephen Harper, for all of their hard work and dedication in making this become a reality. Without their steadfast commitment to increasing Canada's economic productivity, driving our country's prosperity, and creating good-paying jobs for Canadians, we would not be discussing this trade agreement today, so I thank them.
When the previous Conservative government had the privilege of being elected in 2006, Canada had trade agreements with fewer than five countries. It was our party that understood the importance of trade and the economic benefits that it produces. As a result, Conservatives fought to increase the number to over 50, signing 46 new trade agreements, and opening up new markets for Canadian companies to have access all over the world.
Canada has always been a trading country. Right now, trade makes up 70% of our country's GDP, and one in five Canadian jobs depends on it. Needless to say, our economy depends on having this open, secure access to foreign markets to trade our Canadian products, and in a rapidly more global economy, our companies will need even more favourable access if they are to thrive.
With 28 member states, the EU represents 500 million people and annual economic activity of almost $20 trillion. This makes the EU the world's largest economy. It is also the world's largest importing market for goods. In fact, the EU's annual imports alone are worth more than Canada's entire GDP, making the EU market a lucrative place to do business.
As the largest market in the world, Canadian companies deserve an opportunity to sell their products and services to and in those countries. The previous Conservative government recognized early on that this part of the world would provide a great opportunity for Canadian businesses to expand and succeed, and I would like to thank the Liberals for continuing with this important work. However, with the recent waves of protectionist sentiment and the Prime Minister's willingness to renegotiate our most vital of trade agreements with one of our largest trading partners, the U.S., it is crucial now more than ever that we get it right.
Ontario in particular stands to benefit significantly from preferential access to the EU market. The EU is already Ontario's second-largest export destination and second-largest trading partner. Once in force, CETA would eliminate tariffs on almost all of Ontario's exports and provide access to new market opportunities in the EU. CETA would also provide Ontario exporters with a competitive advantage over exporters from other countries that do not have a free trade agreement with the EU.
In my beautiful riding of Haldimand—Norfolk, agriculture is a very important part of the local economy. When many people think of my area, agriculture is the first industry to come to mind, but there are many other industries, including manufacturing, that are crucial components of what makes the community function. Once CETA comes into force, nearly 100% of all EU tariff lines on non-agricultural products would be duty-free, along with close to 94% of all EU tariff lines on agricultural products.
Many of the businesses in my area currently export to the United States, so naturally, the talks around negotiating and renegotiating NAFTA are making many of these business owners nervous and, indeed, uncertain about their future. On the positive side, CETA would open a huge new potential for many of these businesses and they would be able to ship their products to the EU, in many cases tariff-free. CETA is an important opportunity to provide constituents in my riding with perhaps a little peace of mind during these uncertain times, providing them with potential new markets and a customer base that would continue to bring in economic benefits to Haldimand—Norfolk.
In fact, studies have shown that a trade agreement with the EU could bring a 20% boost in bilateral trade and a $12-billion annual increase to Canada's economy. This is the equivalent of adding $1,000 to the average Canadian family's income, or almost 80,000 new jobs to the Canadian economy. In Haldimand—Norfolk, that means a possible $3 million coming into our small communities. What is more, the agreement would also establish greater transparency in the EU services market, resulting in better, more secure, and more predictable market access.
I do, however, have some points that I would like to emphasize, and I hope that the Liberals will keep these in mind as they enter into the final stages of this deal.
The first is that the Liberal government must honour commitments that were made to vital sectors of our economy. These include the agricultural supply management arena, as well as commitments made to the Province of Newfoundland and Labrador in terms of the CETA fisheries investment fund.
The second is that, as my Conservative colleague from Central Okanagan—Similkameen—Nicola has previously mentioned, I too hope that the Liberal government will work hard to assist small businesses looking to enter into these new international markets. As he pointed out, many of these businesses simply do not have in house the resources necessary to navigate these new trade waters in a way that would benefit their company and help them succeed. Most companies in my riding of Haldimand—Norfolk are small businesses, and I know that they would welcome any assistance.
I support CETA and I look forward to the opportunities that it would create for my riding, for southwestern Ontario, and indeed for all of Ontario and Canada. The fact is that many businesses in Ontario in particular and in my riding of Haldimand—Norfolk are hurting. They need to see some light at the end of the tunnel. With rising hydro costs and increasing Liberal taxes, many of them are struggling to survive. They need more opportunities to get their products and their services to market, to make a living, to provide for their families, and CETA would do just that.
This trade agreement would also establish trading relationships beyond North America, provide economic prosperity for Canada, and help create well-paying jobs for Canadians. As CETA approaches its final implementation, our party will continue to hold the Liberal government to account and ensure that Canadians reap the benefits and the rewards of free trade.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 4:25 p.m.
Liberal
Sukh Dhaliwal Liberal Surrey—Newton, BC
Madam Speaker, as we are speaking on European free trade, I would like to mention Loreto Peschisolido, who was born in Italy on December 11, 1932 and migrated to Canada in 1951. He went from being a tomato picker, to a painter, to an entrepreneur, to a fashion designer. Mr. Loreto Peschisolido, sadly, passed away on February 2, 2017. Today, along with the member for Surrey Centre, I was able to attend his funeral.
I would like to extend my sincere, heartfelt condolences to his lovely wife, Margherita, and his son, the hon. member for Steveston—Richmond East. Our thoughts and prayers are with the Peschisolido family.
I rise today to speak to Bill C-30, more motivated than in any past remarks on this bill. As we all have seen over the past year, there is a great deal of rhetoric from across the globe that has emerged. It is rhetoric that speaks supportively of isolationism, protectionism, and an abandonment of treaties and international bodies that foster co-operation and collaboration.
Of particular concern to me, and many others in this House, is this new support for what is currently being described as economic nationalism. There is a belief among supporters of this new wave of protectionism that looking inward is somehow better for citizens of any country that adopts this kind of approach.
In the face of these kinds of arguments, it must be emphasized that the comprehensive economic and trade agreement, otherwise known as CETA, signed between Canada and the European Union member states, represents a new model for the world of what is possible in a well-planned, fair, and comprehensive trading relationship. More importantly, this is an agreement that is good for Canadians because of one simple concept: opportunity.
The numbers behind CETA are very exciting. There are 28 European Union member states, with a combined population of 500 million people and a collective GDP of more than $19 trillion. Simply put, Canada has spent many years negotiating access to the world's largest single market. Once again, the data is very promising. According to a joint report released by both Canada and the EU, CETA is estimated to increase the value of bilateral trade by 22.9%. The report also finds that it will increase Canada's annual GDP by $13 billion.
With so many ready to demonize international trade as a political strategy, we in Canada have a different vantage point. As a trading nation, the elimination of trade barriers represents job growth, not job loss. Businesses of all sizes and dozens of industries will have more opportunity than ever.
The list of business interests that will benefit from CETA is as diverse as it is long. From aerospace to agriculture, CETA has addressed long-standing and very specific trade barriers and tackled them directly. To sell our products and services abroad, due to preferential market access, in British Columbia we are actively looking for new markets for our products and services. Currently, the EU is B.C.'s fifth-largest export destination and our province's fourth-largest trading partner.
The elimination of tariffs as a result of CETA would be a massive competitive advantage for British Columbia's businesses. To put this in perspective, 98% of the EU's tariffs, representing over 9,000 individual measures, will now be transitioned to a duty-free environment. The regulatory obstacles that kept the EU at bay for many Canadian businesses that wanted to expand across the Atlantic Ocean are now gone. For our natural resources, aquaculture, information and communication technologies, and cutting-edge medical research breakthroughs, Europe is a frontier that is untapped and ripe with potential.
For B.C.'s services businesses, where 76% of our total GDP is generated and more than 1.7 million British Columbians are employed, there are also new opportunities on the horizon. As an example, the procurement market in the EU, which Canadian companies would now have access to through CETA, is estimated to be worth about $3.3 trillion annually. This is a monumental figure for which to plan out a potential new future as a business.
Canada has taken seven years to craft an agreement that protects public services and ensures continued control over environmental, labour, health care, and safety standards. It protects our public health care system, maintains the sovereignty of our government to draft laws and regulations, and of course, guarantees complete transparency.
Unlike the stories of average citizens being forgotten and ignored in trade agreement negotiations, I can say, as a member of the Standing Committee on International Trade, that my colleagues on all sides and I listened to Canadians to ensure that all individuals, groups, and organizations that would be impacted by free trade had the opportunity to have their voices heard and carefully considered.
For a country of Canada's geographic size, with such a small population, trade is at the heart of our economic success. While the federal government and the individual provincial governments are increasingly working on taking down trade barriers within our own country, our domestic marketplace cannot sustain the growth we aspire to and require. In CETA, we have established a new standard for how a comprehensive and wide-ranging trade agreement can benefit both sides while also respecting national interests and populations.
I am proud of the work our standing committee and the former minister of trade, the present Minister of Foreign Affairs, have accomplished since we started work on this deal. Today we are the verge of a new dawn for international relations between Canada and Europe.
I want to conclude by sharing my belief that trade in the world we live in goes far beyond the metric of dollars and cents. I believe that when nations come together for mutual benefit and with respect for one another's specific interests, diplomacy at its finest can result. International relationships have always been something Canada has prided itself on, with our openness and understanding, our history of forging alliances rather than enemies, and our ability to grow our economy into one of the largest in the world, in spite of our unique challenges of size and population density.
I strongly encourage every member in the House to vote in favour of Bill C-30 and open the wealth of opportunities that lie in front of us.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 4:10 p.m.
Conservative
John Nater Conservative Perth—Wellington, ON
Madam Speaker, it is an honour to rise in the House to debate Bill C-30, an act to implement the Comprehensive Economic and Trade Agreement between Canada and the European Union and its Member States and to provide for certain other measures.
CETA is one of the largest trade deals our country has undertaken since the North American Free Trade Agreement some 20 years ago. CETA is the result of many years of hard work by a number of key players, including key stakeholders, farm groups, agricultural groups, our trade negotiators, and certainly a number of public servants, but also by the hon. member for Abbotsford.
I am honoured to sit in a caucus with the member for Abbotsford. I have much respect for the gentleman for him bringing about such an important trade deal as CETA. I am very honoured to be speaking in favour of this trade deal. Thanks to the hard work of our previous Conservative government, CETA will have not only great benefits for the businesses and agricultural industry in my riding of Perth—Wellington, but in ridings and in communities across Canada as well.
International trade is absolutely essential to a country and to an economy like Canada. Investing our time and resources in international trade deals helps create wealth and reduce poverty in some developing nations as well.
When new trade agreements are negotiated, there are often those who will complain about different aspects of the deal, who will say that we are trading away Canadian sovereignty. People oppose the deal for one reason or another, but we always hear these voices. Thirty years ago, when the former Mulroney government was negotiating the Canada-U.S. trade agreement, we were told that Canada was signing away our sovereignty, that Canada would be a branch plant of the United States. Here we are 30 years later, celebrating the great success of the Canada-U.S. trade agreement, which was later supplemented by the NAFTA agreement. Our standard of living is as high as it has ever been and we are a strong and independent nation. In large part, this is due to the great trade deals that have been negotiated by previous governments.
These agreements can have a huge impact on our national economy. In order to avoid the negative impact of reducing tariffs, we must study free trade agreements very carefully in terms of the effects they will have on each sector of the economy. That is what we did with CETA. This agreement was not hastily put together; it is the result of years of consultations and negotiations.
CETA is the next great step in the development of Canada's economy. Our country has considerable resources. However, it is sparsely populated. With our small population, our domestic market cannot maintain our high standard of living. We must expand our global markets. If we want to continue creating jobs in the 21st century, we have to create more opportunities for selling our goods, resources, and technology on foreign markets.
Canadian companies are counting on trade with the United States to secure their growth and job creation. When the economic recession of 2008 hit, it became more evident that Canada had to expand its trade options.
The former Conservative government made excellent progress in response to this urgent need by establishing new bilateral trade agreements with other countries and negotiating important trade agreements such as CETA and the TPP. I was therefore relieved to learn that the current government is implementing CETA. Unfortunately, we do not know what it will do with the TPP. However, on this side of the House, we are very proud to support it.
In an uncertain world of unfortunate protectionist rhetoric, CETA has become more important now than ever. Our exporters simply cannot afford to lose global market access. If we expect our economy to grow into the 21st century, we must have access to the European market.
CETA expands Canada's access to 28 European nations, consisting of 500 million people and a total gross domestic product of $17 trillion. To put that in contrast, the gross domestic product of Canada is only $1.6 trillion. CETA would bring down the tariff walls that block access to Canadian goods in Europe and Canadian businesses would gain special access to the world's largest market for imports. By ratifying CETA, we give advantage to Canadian farmers, farm families, and manufacturers.
The local economy in my riding of Perth—Wellington is built on agriculture. I am very proud to be the son, grandson, and son-in-law of farmers in my riding. I am proud to support so many hard-working farm families that dedicate their lives to feeding our nation and feeding the world.
For communities, like mine in Perth—Wellington, to survive and prosper, we need expanded markets. CETA would eliminate tariffs on Canadian food products as they were imported into Europe. It would eliminate tariffs of up to 9% on fresh apples, 12% on cherries, 7.7% on flour, and 5.1% on sweet corn. CETA would also establish high duty-free tariff rate quotas for beef and pork to be phased in over the next five years.
I will share a couple of important figures with members.
In 2015, total exports of beef from Canada were $2.2 billion and for pork, $3.4 billion. This is a significant export market that Canada can embrace. We have some of the greatest farmers, especially in the pork and beef industry, in the world and we can harness that great potential. This is also all the more important today as farmers, especially in Ontario, are facing an uncertain future as they deal with the rising costs of production, especially as these are further increased by the implementation of carbon pricing in Ontario and nationally as well.
I want to say a bit about the dairy industry.
As hon. members may know, the great riding of Perth—Wellington has more dairy farmers and dairy farms than any other riding in the country. I am very proud of our dairy industry and I am very proud to represent so many farm families in my riding that dedicate their lives to producing high-quality Canadian milk. Contrary to the fears that often get presented when international trade deals are being negotiated, the three pillars of supply management have been protected, as they were protected in the TPP deal as well. Producer pricing, production discipline, and import control have all been protected in both the TPP and the CETA negotiations. Canadian consumers will be able to drink delicious Canadian milk. As the son-in-law of retired dairy farmers, I will continue to enjoy drinking a good cold glass of Canadian milk.
I might take this opportunity as well to say how proud I am of some of the cheese makers in my riding. The small communities in Perth—Wellington are quickly developing a name for creating some of the greatest new cheese products now happening in Canada. We have a number of small cheese processors that are doing some great work. I am proud of those local cheese makers who do such great work.
The CETA deal would create up to 80,000 new jobs in Canada. Putting that in perspective, that is 80,000 families that would have an individual in that family who has a job. That is 80,000 families that might be able to buy their first homes. That is 80,000 families that might be able to put their kids in that sporting activity, whether it is hockey or soccer, which they may not have been able to do before if those jobs did not exist. This would have upward of a $12 billion increase to the Canadian economy. That is as much as $1,000 per average Canadian family. This is an exceptionally important trade deal that we as Canadians ought to embrace and as members of Parliament ought to embrace and support as we go forward with these negotiations.
Finally, in 2015, agriculture and agrifood in Ontario alone exported $775 million worth of farm products and agricultural products to the European Union alone. This is a massive market that we as Canadians must embrace.
CETA is not only good for the Canadian economy, it is absolutely essential for our growth and continued prosperity. Protectionism is not the right path for Canada, and I will be voting to support and to ratify the CETA deal.
The House resumed consideration of the motion that Bill C-30, An Act to implement the Comprehensive Economic and Trade Agreement between Canada and the European Union and its Member States and to provide for certain other measures, as reported (with amendments) from the committee, and of the motions in Group No. 1.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 1:55 p.m.
Liberal
Peter Fonseca Liberal Mississauga East—Cooksville, ON
Madam Speaker, we are talking about Bill C-30 and CETA. The member brought up the TPP. The former regime did not consult when it brought forward the TPP. It was very closed in the exercise of working on the TPP. We took a different approach. It was one of transparency, of openness, and of reaching out to stakeholders.
As I mentioned in my previous answer to another member, this is the way to do things, in an open and transparent way, speaking with all stakeholders, with the provinces and territories, and with indigenous peoples, rather than, as the previous government did, in a cloud of secrecy. It ensures that Canadians know that whatever decision we make in the House is to the benefit of all Canadians.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 1:40 p.m.
Liberal
Peter Fonseca Liberal Mississauga East—Cooksville, ON
Madam Speaker, I am pleased to rise in the House today to speak about CETA, the Canada-European comprehensive economic and trade agreement.
I would like members to think about 500 million people, a $20 trillion economy, and the opportunity this agreement is presenting to Canada right now. If there was ever a time to diversify, to reach out to the rest of the world, to open up new trade agreements, this is the time. I am delighted that we are doing this.
I was lucky to sit on the Standing Committee on International Trade through its review of Bill C-30 and heard from a variety of stakeholders. While expanding trade to create new opportunities for Canadian businesses abroad, this agreement is about more than just trade and investment. The Canada-EU agreement, CETA, is a major landmark in the development of a progressive trade agreement, which our government is firmly committed to advancing. Notably, CETA includes robust commitments to promote high environmental and labour standards, and promote sustainable development, as Canada and the EU benefit from increased economic activity flowing from a liberalized trade zone.
Let me begin by speaking about the environmental provisions in CETA.
Canada's rich natural resources and environment are essential to our high standard of living and quality of life. Our government is firmly committed to the principle that a clean environment and a strong economy must go hand in hand.
Trade liberalization and environmental protection should be mutually supportive. Fostering robust environmental governance as our trade relationships expand is critical to ensuring long-term sustainable economic growth and well-being. This is all reflected in CETA. Underpinning this is the fact that we have many shared values with the European community, the shared values of freedom, democracy, peace, and human rights.
Specifically, through ambitious and comprehensive environmental commitments set out in the trade and environment chapter, Canada and the EU agree to pursue high levels of environmental protection to effectively enforce domestic environmental laws and to not relax or derogate from such laws in order to encourage trade or investment. Canada and the EU have also agreed to ensure transparency and public awareness and engagement in the development and implementation of environmental laws and policies. In addition, the environment chapter requires that each party ensures that appropriate and effective domestic processes and remedies are available to address any violations of its domestic environmental laws. A public accountability mechanism also allows for members of the public to raise concerns and make submissions related to the trade and environment chapter.
Recognizing the value of international co-operation, and in addressing environmental challenges, Canada and the EU reaffirmed their commitments to implement the multi-lateral environmental agreements that we have ratified, such as the historic Paris agreement to combat climate change.
In addition, CETA includes provisions to reinforce the relationship between trade and the environment. For example, Canada and the EU undertake to promote trade and investment in environmental goods and services. This includes special attention to goods and services of particular relevance for climate change mitigation. Moreover, the trade and environment chapter includes specific commitments for Canada and the EU to promote sustainable forestry and fisheries management. This includes co-operation to address issues such as illegal forestry and illegal unreported fishing.
To build on and strengthen our bilateral relationship, the trade and environment chapter establishes a framework for co-operation between Canada and the EU on trade-related environmental issues of shared interest. Should any issue arise under the trade and environment chapter, a dedicated government-to-government mechanism has been created to address the matter through consultations and dispute settlement. This includes review by an independent panel of experts whose recommendations would be made publicly available.
With this robust and high-quality trade and environment chapter, Canada and the EU have demonstrated our shared commitment to upholding and strengthening environmental protection as we enhance our trade and investment partnership.
For Canada, this reflects the strong priority that this government places on protecting and conserving the environment both at home and on the global stage. For example, we are very proud to have recently ratified the historic Paris agreement to address climate change. Closely following this, together with our international partners, we came to an important agreement to amend the 1987 Montreal protocol to phase down hydrofluorocarbons, which represents a significant step in combatting climate change.
At home, our government is working with the provinces and territories to develop a pan-Canadian framework on clean growth and climate change. This represents our strong commitment to taking action for a sustainable future and transitioning to a clean-growth economy. The trade and environmental chapter in CETA advances the objectives of Canada's progressive trade agenda. The implementation of this chapter will promote sustainable and inclusive economic growth as we continue to facilitate opportunities for Canadian businesses abroad.
Likewise, the trade and labour chapter of CETA reflects Canada's commitment to progressive trade policies. Canada and the EU have committed to ensuring that their laws respect the International Labour Organization's 1988 Declaration on Fundamental Principles and Rights at Work, which covers the elimination of child labour, forced labour, discrimination, the respect of freedom of association, and the right to bargain collectively. Canada and the European Union have also committed to effectively implementing the fundamental ILO conventions that each has ratified, and to make continued, sustained efforts toward ratification of fundamental conventions that have not been ratified to date.
To further protect the rights of workers, Canada and the EU have also committed to ensuring acceptable protections in regard to health and safety at work, acceptable minimum employment standards, and non-discrimination in respect of working conditions, particularly for those migrant workers. The chapter also includes provisions that enable members of the public to submit complaints concerning perceived failures to respecting labour obligations. This is a very progressive move, one that sets a gold standard for the rest of the world to look to.
These important commitments to CETA's environment and labour chapters are complemented and reinforced by a trade and sustainable development chapter. CETA marks the first time that Canada has negotiated a chapter on sustainable development in a free trade agreement. It is the first time. This chapter highlights Canada and the EU's shared objective that international trade should be developed in a way that promotes sustainable development and its environmental, social, and economic aspects. In support of this goal, it establishes commitments in areas such as encouraging businesses to adopt voluntary practices of corporate social responsibility. The trade and sustainable development chapter also commits the parties to review, monitor, and assess the impact of the implementation of CETA on our sustainable development. As well, it establishes a committee on trade and sustainable development to oversee the implementation of this chapter, as well as those on the environment and labour.
Finally, recognizing the importance of public participation and consultation, Canada and the EU agreed to innovative approaches to engaging with civil society through the creation of a joint civil society forum. This forum will conduct a dialogue on issues related to trade and sustainable development in the context of CETA.
This is an ambitious and comprehensive commitment that we have made on the environment, on labour, and on sustainable development. CETA marks a key milestone for progressive trade. This agreement supports this government's firm resolve that free trade must not come at the expense of high environmental and labour standards, but rather advance sustainable and inclusive growth and development for all Canadians.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 1:35 p.m.
Liberal
Jean-Claude Poissant Liberal La Prairie, QC
Madam Speaker, I thank my colleague for his question.
We are here to debate Bill C-30. What I would like to say today is that the previous government negotiated agreements with respect to the TPP, but that is it not currently working on the file.
We are ready to listen to farmers and work with them regardless of which opportunities come up in the future. Our government is transparent.
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 1:10 p.m.
Green
Elizabeth May Green Saanich—Gulf Islands, BC
Madam Speaker, it is true that in the debate about NAFTA, the single biggest damaging feature of NAFTA never got mentioned in the debate, which is chapter 11. That same sleeper element of investor-state agreements rests within CETA in Bill C-30.
Has my friend actually studied the effect of foreign corporations having the right to bring multi-million dollar cases against Canada for actions we take that are not in the interest of protectionism, but are all about the protection of health and safety, and the environment?
Canada-European Union Comprehensive Economic and Trade Agreement Implementation ActGovernment Orders
February 6th, 2017 / 12:40 p.m.
Conservative
Bev Shipley Conservative Lambton—Kent—Middlesex, ON
Madam Speaker, it is always a pleasure, and quite honestly, an honour to stand in this great place to talk about something that has great potential, an incredible potential to create jobs, economic growth, and value for our country.
Bill C-30 is about implementing this great agreement, CETA. I cannot go ahead without recognizing the member for Abbotsford, the former minister of international trade. For six years or so he worked not only with the team on our Conservative side, but also with all members of Parliament to come together on this extraordinary agreement which benefits Canadians from one coast of this country to the other.
I also want to thank the current Minister of Foreign Affairs, who was the minister of international trade, for taking the agreement forward to this point.
As my colleague before me mentioned, agreements do not happen in isolation. Our chief negotiator, Steve Verheul, is an amazing guy in his abilities and the things he accomplishes around the negotiating table. I am from Lambton—Kent—Middlesex. I farmed. I was involved in municipal government. In fact, when I was in dairy, I bought many of the inputs for my dairy operation from Steve's dad, so he comes from great stock.
There is a whole host of things that happened to get CETA done. One of them was the unprecedented amount of co-operation and involvement that the stakeholders had in developing this agreement. Whether it was the provinces or the territories, whether it was the stakeholders in the commodity organizations, the businesses, if they were not at the table, they were sitting on the chairs right behind it. That is why this agreement has so much appeal across Canada.
The text of the agreement was agreed to in August 2014. We all knew it would take a couple of years for the 28 countries to translate it into something like 22 or 23 languages. We are now at the time of implementation not only here in Canada, but also in Europe, which we understand may be happening very shortly.
What does it mean? As I mentioned, there are 28 countries. It has an impact for Canadian manufacturers, agriculture, education, and for all the stakeholders who were involved in the negotiations. It would provide access to some 500 million people and economic activity of almost $20 trillion. It is estimated it would bring about a 20% increase in bilateral trade, and about a $12 billion increase to the Canadian economy.
For example, it would leverage about $1,000 for an annual family's income, but we have to understand that could be eaten up, because the Liberals keep bringing in new taxes. They just brought in a new CPP tax on employers and benefits. However, it has the opportunity to increase family incomes, and also create about some 80,000 jobs.
When CETA comes into effect, about 98% of non-agriculture trade tariff lines will disappear. For agriculture it will be 94% to 95%. Over a short period of time those tariffs will start to disappear.
One of the great things about trade agreements, and good ones like this one which we negotiated, is that they help to get rid of non-trade tariff barriers, those things that pop up between one country and another which sometimes are not directly related to trade but they become a political inhibitor to moving a product from one country another. For example, a shipment may go over to another country, but all of a sudden, they will find there is something wrong with it and it may be rejected and returned. That is a non-trade tariff barrier, and both sides, whether it is the European Union or Canada, want to try to eliminate as many of those as possible.
As I mentioned, the trade agreement has an incredible amount of potential benefit to Canadians. However, over the past 14 to 16 months, we have sat in this place, and a new government came in, so some of the advantages will take a hit. The Liberals promised that they would balance the budget in four years, but now that seems to have been misjudged by about 32 years. People who are 18 years old today will be about 56 years old before the budget is balanced.
What does that mean? That means that all the young people who are 18 or 19 today will be almost at the age of what someone might call “freedom 55” and are now going to be paying for this extraordinary spending of the government.
When the Liberals got elected they said they would have a $10-billion deficit. However, within a couple of months or so, the amount was out by, I think, 300%. It went from $10 billion to $30 billion. The deficit will be somewhere around $30 billion.
I think the parliamentary budget officer said it would be $20 billion if the government did not spend the money on infrastructure that it had talked about. The Liberals were going to lower the business tax for our businesses, which very much involved CETA.
My riding of Lambton—Kent—Middlesex is all small businesses. Agriculture is the dominant one. Those small businesses not only did not get the tax relief they were promised, but there was an additional tax charge for the Canada pension plan and a new carbon tax.
It comes down to credibility, accountability, and trust.
The agreement has all the potential of going ahead and being good for our families and our businesses, but if the government is going to bring in a carbon tax, in it will negatively affect every individual, particularly farmers, truckers, and businesses in my riding. For example, a guy who is farming fills up his combine every day. At the end of the day, it will cost him another $100 just for the fuel, not including the tractors that he has running beside the combine, and not including the truck. It is the same with the truckers. By the time they fill their trucks with fuel, it is going to cost them another $100 or so a day, when the carbon tax is in full implementation. In Ontario, of course, we have other costs that are a deterrent, for example, our high energy costs.
My point is this agreement has all the potential to help keep Canada the strong economic force that it is.
Agriculture obviously is the key industry in my riding. Whether it is pork, beef, grains, when I was on the international trade committee and the agriculture committee, they told us about the significance of this, as did the dairy sector. We negotiated a true benefit for dairy producers.
I see my time has just about wrapped up. In closing, I will say that we will be supporting this bill as we move forward on the implementation of CETA.