Bill C-282

An Act to amend the Department of Foreign Affairs, Trade and Development Act (supply management)

This enactment amends the Department of Foreign Affairs, Trade and Development Act so that the Minister of Foreign Affairs cannot make certain commitments with respect to international trade regarding certain goods.

[Steve Verheul]

I mentioned a little earlier that in the review of CUSMA, it won't really that much impact, in my view, because Bill C-282, as you mentioned, talks about opening access. Every indication I've heard from the U.S. is that they're content with the access that was negotiated in the CUSMA. It's just about where that access goes and how the allocation of import quotas is done. Currently, it mostly goes to processors.

I've not heard that the U.S. is going after further tariff reductions or further tariff quota expansion, so I'm not sure it's going to be an issue.

[Chandra Arya, Liberal, Nepean, ON]

Thank you, Madam Chair.

Madam Chair, I'm sure all witnesses are aware of a bill currently passing through the Parliament of Canada, Bill C-282, that bars the minister of trade from concluding any free trade agreement that results in opening access to the supply-managed sector. Basically, it makes supply management non-negotiable.

I'll start with you, Mr. Verheul, because of your background in the negotiations of many trade agreements that Canada has signed with many other countries.

Right now, it has passed second reading in the Senate. I was hoping it would die in the Senate, but apparently it's still alive in there, so it may even get passed and it may even get royal assent. If that bill becomes a reality, what impact do you think it will have during the review of CUSMA?

[Steve Verheul]

Well, I'm not sure it will be a significant concern for the U.S. in the current context, because both of the panels that they took against Canada had to do with allocation policies for quotas under the tariff rate quotas.

Bill C-282 talks about prohibiting increases in tariff rate quotas and reductions in tariffs. Those issues aren't really under discussion between Canada and the U.S. when it comes to the dairy concerns that the U.S. has. Their concerns are about the allocation policy. Setting aside what Bill C-282 may imply for other negotiations, I don't see it coming up in the review, because that's not the target of the U.S. at this point.

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Mr. Verheul, I'm sure you're familiar with Bill C-282. It was passed by Parliament, but I'm certainly not a supporter of that piece of legislation. I think it's another trade irritant with the United States that could cause trouble in a CUSMA review. If that bill receives royal assent, do you see that as irritating our American trading partners as we get into this CUSMA review and something that they would raise in a renegotiation?

[Simon-Pierre Savard-Tremblay, Bloc, Saint-Hyacinthe—Bagot, QC]

I would like to clarify that Bill C‑282 deals with the supply management system in general, not just the dairy sector.

In your presentation, you mentioned Bill C‑282, which is currently before the Senate. Are you calling for its swift passage before the CUSMA is reopened?

[Daniel Gobeil]

No. I would tell you that in the last three major free trade agreements, the one with the European Union, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, or CPTPP, and the CUSMA, the dairy sector conceded nearly 9%. Given the 18% concessions we're being asked to make right now, it's clear that this model is at the limit of what's acceptable, which is why it's so important to defend Bill C‑282 to limit dairy sector concessions.

[Daniel Gobeil, Vice-President, Dairy Farmers of Canada]

Thank you, Mr. Wiens.

Mr. Chair and esteemed members of the committee, thank you.

I want to begin by acknowledging the support given by all parties to protect Canada's supply management system for many years.

As you know, concessions have been made. Mr. Wiens alluded to this. Canada's milk producers also thank you for the compensation that has been paid to producers.

However, there is no doubt that an agricultural model of concessions accompanied by compensation is not viable for us as entrepreneurs. It is in this sense that we must respect supply management.

We want to mention one thing: in addition to the 3.9% of the market that was conceded to the Americans, other important rules were requested, including a ban on Canada exporting any dairy products to all world markets. It's unique for an agreement between three countries to prohibit one of its signatories from exporting anywhere on the planet. At the moment, we're not hearing about a potential reopening of the market for three main products—skimmed milk powder, protein concentrates and infant formula—but, if there is a reopening and if Canada expresses an interest in such a reopening, it's obvious that the sector will have to take this very important element into account.

With that, thank you again. Bill C‑282 is still on the drawing board in the Senate committee.

Mr. Wiens and I are available to answer any questions you may have about this ongoing matter.

World Milk Day

[Yves Perron, Bloc, Berthier—Maskinongé, QC]

Mr. Speaker, this Saturday is World Milk Day. From skim milk to lactose-free milk to chocolate milk, this beverage will always be a comfort food. However, because of market share surrendered in past agreements, about one in five pints of milk will eventually be imported from abroad.

That is why the Senate must pass Bill C‑282 as soon as possible. Our dairy farmers do not want to beg for temporary compensation for permanent losses. They want to work hard to make a decent living and provide us with quality milk. Our public policies must be designed to serve the interests of the public and safeguard our own food security, not please foreign interests.

It is time to stand up. Our farmers are passionate about dairy production, committed to a sustainable future and proud of what they have achieved together, and they are calling on the Senate to act quickly. Let us all celebrate World Milk Day together.

Supply Management

[Yves Perron, Bloc, Berthier—Maskinongé, QC]

Mr. Speaker, this afternoon, the Senate will vote on the future of Bill C‑282 and supply-managed sectors in advance of upcoming international negotiations.

We are asking members of the Senate to respect the House of Commons' solid vote at third reading and to vote in favour of sending Bill C‑282 to committee.

Protecting supply-managed producers also means protecting their relevant suppliers and the entire agricultural ecosystem for the good of agricultural production as a whole. It means ensuring that our rural areas have a stable, prosperous and dynamic population.

Most of all, supply management is about our people delivering a high-quality, home-grown product for our people. That is how we ensure our food security.

We ask that members of the Senate vote in favour. The economies of our rural areas and villages depend on it.

Softwood Lumber

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Chair, the trade minister has not participated in this debate. It was not her who led off debate for the government. It shows us how important this issue actually is for the government, that the trade minister does not lead off debate on a simmering eight-year softwood lumber dispute.

It is worse than this. We have declined as the United States' trading partner, but we also have continuous own goals in the trading relationship. We have to look at things like Bill C-282, the supply management bill. That did not win us any friends in the United States, and now the Liberals are saying they are going to unilaterally impose a digital services tax, which the United States is adamantly against.

We have declined as a trading partner because of the incompetence of the government to manage the trading relationship. The Liberals bring in all of these trade irritants, and they wonder why they cannot resolve this dispute. It all goes back to the incompetence of the government, the incompetence of the Prime Minister and the incompetence of the trade minister. They are the people who are responsible for this, no one else. The buck stops with them.

I would love to see the Prime Minister come and contribute to this debate. I would love to see the trade minister come and contribute to this debate, but I suspect I will not, because it is actually not important for them to do so. That is what is causing all of the job losses we are seeing. We have gone from 33% market share down to 26%, and that is old data. That is actually from 2022. It is probably worse. We are probably down to 24%.

This is haemorrhaging jobs in British Columbia, Alberta, Quebec and the Maritimes, and the government's response is to not have the minister lead off debate and to talk about its team Canada approach. It is not doing anything. It will not do anything. Even the Liberals on the trade committee know it will only be resolved by Prime Minister-to-President negotiation. Unfortunately, we are snookered, because our leader has nothing to offer on this.

Dairy Farmers

[Yves Perron, Bloc, Berthier—Maskinongé, QC]

Mr. Speaker, I rise today to highlight the presence of dairy farmers from across Canada, and especially those from Quebec. They are on the Hill for the day to attend meetings with parliamentarians.

Our entrepreneurs are proud to offer the public their product at a stable and reasonable price that allows them to earn a decent living from their trade. That is why they are asking parliamentarians to support Bill C-282 to ensure the sustainability of supply management, and they hope the Senate will pass the legislation quickly.

Defending this system will help guarantee our national food security while protecting our model of regional agriculture on a human scale. This predictability allows farmers to invest in research and development, thereby constantly improving their productivity, the quality of their products and their environmental footprint.

I thank dairy farmers for getting up every morning to supply us with high-quality milk. We always enjoy their delicious products.

Carbon Pricing

[Francis Drouin, Liberal, Parliamentary Secretary to the Minister of Agriculture and Agri-Food]

Madam Speaker, it is Christmas and I want to thank the turkey farmers for doing an amazing job providing turkeys for all of us during Christmas.

The one thing that the entire supply-managed sector is asking of us is to support Bill C-282. I know that caucus is split, but our caucus is unified in terms of supporting our dairy farmers, our turkey farmers, our egg farmers and our chicken farmers.

Where is that member's support and where is that caucus's support for Bill C-282 in the other chamber?

[Francis Drouin, Liberal, Parliamentary Secretary to the Minister of Agriculture and Agri-Food]

Madam Speaker, I see the enthusiasm they have for a particular bill on the other side. I do not hear them being as loud in supporting Bill C-282, a bill we unanimously supported on this side of the House that supports supply management.

Where is the member and the other side of the House's support for Bill C-282, which the supply-managed sector, dairy farmers, turkey farmers, egg farmers and chicken farmers are all asking us to support? Where is the member and that party's caucus support for Bill C-282?

[Yves Perron, Bloc, Berthier—Maskinongé, QC]

In two and a half minutes of speaking time, I'm going to ask a short question, and if you are so inclined, Minister, you might give me a brief answer.

We're going to continue the discussion about the last answer that you gave me.

I am very pleased that you took the time to answer again towards the end of my comments and for saying that you were still requesting more funds. We won't be the only ones badgering the government for more funds. Thank you very much.

I have another question for you.

In your opening remarks, you spoke about supply, compensation and payments to adapt portions of the market. I'm sure you know that Bill C‑282, which was approved by your predecessor, Ms. Bibeau, is currently before the Senate.

I understood that you approved of it as well and that it is still part of your government's policy to ensure that there are no supply management bankruptcies, and that you would like this bill to be passed as quickly as possible.

Agriculture and Agri-Food

[Yves Perron, Bloc, Berthier—Maskinongé, QC]

Madam Speaker, I want to thank my colleague for that great question.

My colleague said that the trade alliance represents 90% of farmers. They often say that, but it actually represents 90% of exporters. That is an important nuance.

Of course the alliance is worried, because it believes that we will need these producers in order to develop other markets. What we are being told is that the government supports supply-managed producers, but not to the point of protecting them. It supports them, but it wants to hang onto them as bargaining chips. That is what we want to put an end to with this bill, which aims to ensure the sustainability of the supply management system because it brings stability to our rural areas and promotes dynamic use of our land. It is not in conflict with exports. We are capable of doing two things at the same time.

I just got back from a mission abroad. When I go on those missions, I always talk about our food exports. I also champion our exporters, and I want to speak directly to the ones who are tuning in right now. I want them to know that they do not need to fear Bill C‑282. Bill C‑282 is about ensuring sustainability. If we do not pass this bill, foreign producers will get 18% of the dairy market. That is one out of every five litres of milk. When we reduce domestic production, it will not work anymore because it will come flooding in from from outside.

If the government decides not to protect these people, it should have the decency to tell them to their faces and buy back their quotas, because to do otherwise would be hypocrisy. These people are essential. We need them. We must pass this bill, which is in danger of being rejected by the House. The government—