Evidence of meeting #4 for Agriculture and Agri-Food in the 39th Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was industry.
A recording is available from Parliament.
5:25 p.m.
Conservative
5:25 p.m.
Bloc
André Bellavance Bloc Richmond—Arthabaska, QC
We have returned yet again to the famous CAIS.
Mr. Vincent, in the document submitted by the Fédération des producteurs de porcs du Québec, you talk about changes that should be made to the CAIS, in order to make it work.
You are most certainly aware of changes made to the CAIS pursuant to the New Agriculture Policy Framework, entitled Growing Forward. Do you believe that what the government is proposing will meet current needs? Will changes to the CAIS resolve these problems?
Mr. Dessureault was saying that the program is based on margins, and does not take into account production costs. In your opinion, have you been heard by the governments, has your call been heeded?
5:25 p.m.
President, Fédération des producteurs de porcs du Québec
I believe that a lot of improvements have to be made in order to address producers' wishes. I think there's still a lot of work to do.
As Mr. Dessureault was saying earlier, we need programs that take into account what truly goes on at the farm and fluctuating production costs. The programs should not be based on margins. Because of the way things are now being done, problems are surfacing, and in the end, we are left with nothing. This is the current state of affairs.
These programs need to be significantly improved.
5:25 p.m.
Director, Canadian Pork Council
I won't add very much. Jean-Guy certainly hit the nail on the head. We agree with that wholeheartedly.
The CAIS program has a lot of attributes and has been good, but it will not respond to this kind of crisis. That's why we've asked for changes to the program. Some of them are not extremely costly, but they're certainly significant.
Beyond that, we've asked for some kind of cash injection, which needs to be out before Christmas, as Curtiss said.
5:25 p.m.
NDP
Alex Atamanenko NDP British Columbia Southern Interior, BC
Mr. Wildeman, on harmonization, we either lower our standards and keep importing beef in this case, or we raise our standards, which obviously presents problems. So what's the best approach?
Second, as for the pork industry and the cattle industry, we've mentioned that we need help by Christmas. If we eliminated inspection fees and had immediate loan guarantees and money provided to processors for disposal, would that help in the short run?
5:30 p.m.
Chair, Canadian Cattlemen's Association
To your first question, we don't think that lowering the standard or imposing more import barriers will help anybody. In fact, the cattle industry would argue that our standard isn't lowered, and the meat coming in here.... There may be some mislabelling issues and other things that CMC needs to deal with, but that's not the issue.
I think your list is pretty close. I'd add that unless we get inside our present business risk management programs and make the changes we recommend in our paper, it unfortunately won't get the job done.
Immediate cash is good, but we need to make these other changes internally. We can take some time after that to make sure we get it right, so let's get the cash out and then get this program right.
5:30 p.m.
Director, Canadian Pork Council
I think you hit the nail on the head: we need a short-term solution. Getting the fees waived for our processing partners would be an amazing thing. Loan guarantees for the hog loan program or the beef program would give guys something they could bank on--they could go to their bankers.
I think you slipped and meant cash for producers, not cash for processors.
5:30 p.m.
NDP
5:30 p.m.
Conservative
The Chair Conservative James Bezan
Thank you, Alex.
I have a couple of questions. I'm using my prerogative as the chair.
First, there are some moratoriums in place on hog expansion in this country. I believe Quebec had a moratorium in place, and Manitoba currently has one in place. I had producer X tell me at first they were mad as hell that it was in, and now they say they're kind of thankful it was because they didn't grow their business and would be losing more money.
Has that affected the business? Is that why we're seeing a decline in inventory right now in the hog business?
Secondly, is that affecting our competitiveness at the plants on the hog side?
5:30 p.m.
Director, Canadian Pork Council
Jean-Guy is probably more up to date on the moratorium in Quebec, but I think it's over. It is possible now to build a barn in Quebec.
I'm not exactly up to date on the status of the moratorium in Manitoba, but there's no question it's a real issue, from a competitiveness point of view. More and more restrictions are being put on us on where we're allowed to build, what we have to do, and, from an environmental point of view, what we have to put in place. Some of it is fair and some of it is probably even required, but again, we come back to this harmonization.
I think farmers are stewards of the land and want to do the right thing, but it has to be reasonable and within a competitive cost. So to be able to site a barn is a real issue, and it's a competitiveness issue.
5:30 p.m.
Executive Director, Canadian Meat Council
It's not a limitation for us. We can access enough live animals. There are plenty of them still heading to the United States.
5:30 p.m.
President, Fédération des producteurs de porcs du Québec
I beg your pardon, I did not understand the question.
5:30 p.m.
Bloc
Jean-Yves Roy Bloc Haute-Gaspésie—La Mitis—Matane—Matapédia, QC
He's talking about a moratorium on hog farms. He would like to know what impact that would have on industry at this time.
November 26th, 2007 / 5:30 p.m.
President, Fédération des producteurs de porcs du Québec
If I am not mistaken, the moratorium was in 2002. At the end of the day, the effect of a moratorium is felt in the prices and costs that we are getting today. Furthermore, in 2005, production fell in Quebec due to disease. Vaccination helped, but we are of the opinion that many producers will pull out of the sector if no measures are taken for next year. As our producers are often farm families, this will mean a rural exodus. If you want to maintain vibrant rural communities, you have to start by helping pork producers, beef producers, and indeed all producers. It is important that the agriculture industry remain present in our rural areas.
5:30 p.m.
Nathalie Hansen Public and Governmental Relations, Communications Services, Fédération des producteurs de porcs du Québec
No, thank you.