Agriculture Committee on June 5th, 2020

[Richard Lehoux, Conservative, Beauce, QC]

Have you identified any other specific effects attributable to the COVID-19 crisis? It was a one-time crisis, but no one knows if it won't happen again. We need to use this year's experience to prevent similar cases in the future.

[Catherine St-Georges]

We identified barriers to interprovincial trade. We raised issues related to alcohol delivery, meat processing standards, licensing and inspection. In relation to border markets, goods must cross provincial borders.

[Richard Lehoux, Conservative, Beauce, QC]

Thank you, Ms. St-George.

Ms. Lefebvre, I'm coming back to you.

You spoke briefly about the issue of the wage subsidy, for which you are not eligible. We understand that you will not see a drop in income now, but later.

Wouldn't it be appropriate to have programs that are better adapted to the particular conditions of seasonal production?

[The Chair, Liberal, Pat Finnigan]

I'd ask you to respond briefly, Ms. Lefebvre.

[Catherine Lefebvre]

Yes, without a doubt, Mr. Lehoux.

There needs to be a program aimed at the workforce that is not necessarily paid minimum wage, the workforce that helps us every day, the workforce that knows how our businesses work and is able to help them progress. At present, there are only programs for low-wage workers.

[The Chair, Liberal, Pat Finnigan]

Thank you, Ms. Lefebvre.

[Richard Lehoux, Conservative, Beauce, QC]

Thank you.

[The Chair, Liberal, Pat Finnigan]

Thank you, Mr. Lehoux.

Now we go to Kody.

You have up to six minutes. Go ahead.

[Kody Blois, Liberal, Kings—Hants, NS]

Thank you, Mr. Chair.

Thank you to all our witnesses. It's refreshing to hear some of our local producers and their perspectives on these issues.

My questions will be directed to Mr. Hutten.

Ted, it's great to see you. We had Andrew Bishop on earlier for the first panel. You mentioned that you supply produce to the farmers' markets. I believe you also provide supplies to restaurants and things like that. You mentioned how you pivoted your business to online. Could you speak in broad terms about how this has impacted your business? Are you down a certain percentage? Have you had some cost savings on other sides? Could you tell the committee how you've pivoted?

[Ted Hutten]

Essentially, the restaurants have been closed or greatly reduced in business, so that aspect of the business, which was quite small, is essentially gone at this point.

We have dropped probably 20% in total sales, but we've had some positives as well. We have fewer costs because the demand is so high for local food in the area we live in; the waste is very low as well. It would not be uncommon to have an individual crop and maybe sell 50% to 80% of that crop, but when you can sell 95% of the crop, it's an advantage.

We're also getting the retail price for almost everything we sell, so those considerations would possibly make up for the loss in total volume of sales.

[Kody Blois, Liberal, Kings—Hants, NS]

Obviously, your business model is built on going directly to consumers, selling directly to their homes and things like that.

In your mind, what is the most important policy that the Government of Canada has come up with to help support your business and your model in particular?

[Ted Hutten]

My case is quite unusual when you look at agriculture in general.

The most positive thing, I believe, that has happened is the federal income support for people who lost jobs, lost employment. For me, honestly, if my customers have income and have money, they will continue to buy products from me. That essentially is the main benefit I have seen.

[Kody Blois, Liberal, Kings—Hants, NS]

I want to talk to you about the local interest, because again it seems to be bubbling up in the Annapolis Valley. We have a great tradition of people wanting to support local interests.

Have there been any circumstances where people have come up to you and expressed how much they are interested in the local scene and agriculture support right now?

[Ted Hutten]

Yes, it has been quite interesting. Within two days of the pandemic hitting, my online CSA probably tripled in volume. I had to put a stop on accepting new people, because I did not feel I had the production to maintain it. There is an extensive waiting list of people who want to buy food from me that I cannot supply at this point. I will be able to supply it as we get into the main season.

I've had unbelievable comments. One gentleman who was about my age, in his 50s, emailed me that he had never bought local food in his life. He couldn't have cared less about it, and the COVID pandemic made him rethink his life, as he said to me.

I just think it's very interesting. Even if a small percentage of this new interest lasts for us beyond COVID, at least in this area we could see a lasting benefit of new interest in supporting local food of many types.

[Kody Blois, Liberal, Kings—Hants, NS]

You are spot-on. There has been a de-industrialization of some of our processing capability in the Annapolis Valley, and perhaps there is an opportunity to return some of that, particularly in those niche scenes.

I want to be respectful. I want to turn it over to Ms. Shanahan. I know she has some questions.

Thank you, Mr. Hutten.

[Brenda Shanahan, Liberal, Châteauguay—Lacolle, QC]

Thank you.

First, I want to thank Ms. Lefebvre for joining us this afternoon.

Ms. Lefebvre, when the COVID-19 pandemic was declared—I remember it very clearly—I quickly received calls from producers. These calls mainly concerned the issue of temporary workers.

We were in a crisis situation. The borders were closing. We knew that we had to act quickly.

Can you tell us about the first days and weeks of the pandemic? Do you think that we were able to respond quickly enough?

[Catherine Lefebvre]

The start of the season went quite smoothly. Workers managed to arrive on time, or only a little late. Our ordeal wasn't too bad.

The current issue involves the essential workers that we'll need for the upcoming crops. Our major issue is the processing of applications. It takes four to six weeks to process applications in Mexico. The delay is the result of the time lost in the month when the offices were closed in Mexico because of the pandemic. We can't make up for the month-long delay in just a few days.

[The Chair, Liberal, Pat Finnigan]

Thank you, Ms. Lefebvre and Ms. Shanahan.

Unfortunately, we're out of time.

Mr. Perron, you have the floor for six minutes.

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

Good afternoon, witnesses. Thank you for giving clear presentations.

Ms. Lefebvre, you spoke about the $1,500 benefit to offset the presence of foreign workers after the quarantine. You were given this responsibility, in a sense.

You said that you must provide evidence to justify the $1,500 allocated, even though this amount was originally intended to be a lump sum. Is that correct?

If you had taken notes on the time spent by your employees preparing for the arrival of these workers, would you be eligible?

[Catherine Lefebvre]

To answer the first question, we must indeed provide evidence.

We still aren't eligible. Before participating in the committee, I checked with the association. We haven't received any concrete instructions stating that we can claim this money.

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

Isn't it a bit shocking to be told that you'll be receiving a lump sum and then to be told that you won't be receiving it and that you may not even receive the full amount?

[Catherine Lefebvre]

It's disappointing.

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

This adds to your other frustrations.

I really liked your comment on AgriInvest. With your permission, I'll keep it in mind for my upcoming argument. This program is designed to enable businesses to reinvest, not to fill their coffers. It's the same thing as asking a student to empty their bank account before they receive the Canada emergency student benefit.

You see things the same way, don't you?

[Catherine Lefebvre]

Yes.

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

I greatly appreciated your presentation. With your permission, I'll use it.

My next question is for Ms. St-Georges.

Ms. St-Georges, I'll focus on your requests.

With regard to all your requests, aren't they very similar to the requests made repeatedly at a press briefing several weeks ago by four farm groups that came together?