Evidence of meeting #6 for Agriculture and Agri-Food in the 43rd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was programs.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Chris Forbes  Deputy Minister, Department of Agriculture and Agri-Food
Christine Walker  Assistant Deputy Minister, Corporate Management Branch, Department of Agriculture and Agri-Food
Colleen Barnes  Vice-President, Policy and Programs, Canadian Food Inspection Agency

3:55 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

We go according to the repercussions. We make those kinds of decisions based on data and programs. We have to take the time to look at the financial performance of companies. Then we act based on the situation. That's why we're in constant contact with the various producer associations, which provide us with figures.

Meat producers had a very difficult four months, but they had had a very good spring. At the end of the year, we will look with the industry representatives to see if they are in a situation where they won't be able to get through it. There are also programs offered by the provinces, and it will be up to them to apply for—

3:55 p.m.

Bloc

Yves Perron Bloc Berthier—Maskinongé, QC

I'm sorry for interrupting. I hope you don't see it as disrespectful.

I'd like to ask you a very important question. You talked about ratifying CUSMA as quickly as possible. The issue of August 1st for the export quotas that were imposed in the agreement was discussed at this committee. I hope that you in the department are very aware of this and that you will take all the necessary precautions to ensure that this comes into effect after August 1st.

3:55 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

We will follow the parliamentary process in terms of ratification of the agreement. I'm very aware of the situation, and we will see what can be done.

3:55 p.m.

Bloc

Yves Perron Bloc Berthier—Maskinongé, QC

Thank you very much.

3:55 p.m.

Liberal

The Chair Liberal Pat Finnigan

Thank you, Mr. Perron.

Mr. MacGregor, go ahead for up to six minutes.

3:55 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Thank you, Chair.

Welcome back to the committee, Minister.

I was just reading from the Prime Minister's mandate letter, bullet point number two, which says that you are to work “with the Minister of Finance and farmers on tax measures to facilitate the intergenerational transfer of farms”.

You may recall, Minister, that in the 42nd Parliament, former MP Guy Caron had Bill C-274 which proposed doing precisely that, yet most of the Liberal caucus voted against the bill and defeated it. Why the sudden change of heart? Why are you now supporting this proposal?

3:55 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

Generally, we want to support farmers. There's definitely a need for young farmers to be supported. The price of the land and the value of the farms have increased so much during the last generation that we understand it's hard for them to buy the farm. We are definitely at this point.

As you know, sometimes there are different ways to present bills and to include things differently. We took the time to consult last year. We are committed to proceeding with improvements to facilitate intergenerational transfer of farms.

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Sure, I understand that, but you voted the bill down before it even had a chance to go to committee where we could have studied this and made some amendments. I'm glad to see that you're working on it, but we did have an opportunity in the previous Parliament.

I also want to talk about business risk management. I'm very grateful to my colleagues on the committee for agreeing to study that first and foremost. I can assure you, Minister, that the recommendations in our report are going to closely follow the witness testimony that we're receiving. We have a very wide range of witnesses. I certainly hope that those recommendations are taken quite seriously by you. We want to get them done in advance of your meeting in July.

There is concern though that if your government comes about and agrees to some changes in the business risk management programs, there will be delays in their implementation.

What kind of measures are you taking to ensure that the fixes to the program are going to be instituted in a timely manner?

4 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

This is a very high priority not only in my mandate letter, but also for me personally. I have really tried, since our first FPT meeting last July, to put this on the fast track.

We met in December. Normally we only meet once a year. We will be meeting electronically in April. The objective is to have concrete improvements by July.

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Okay.

4 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

This is an ambitious agenda because business risk management is mainly cost shared with the provinces. Not all of the provinces have the same positions, so we'll have to get to a consensus, but I—

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

That sounds like an argument for a leadership role by the federal government.

4 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

This is what I'm doing. I'm working very hard on that, I can assure you.

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Okay.

4 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

I'm trying to think outside of the box, to be creative.

I thank you for having chosen this subject because the timing is just perfect. I really look forward to your recommendation.

Think outside of the box. Be creative.

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

The feedback on AgriStability has been resoundingly negative, so that obviously does very much need to be fixed. One farmer told me that AgriStability suits his accountant better than it does him, so we obviously do need to change it.

On the subject of risk and managing it, the landscape that farmers are facing these days with international trade, the threats from climate change, the high costs.... We know that with farming comes.... The amount of the money that farmers are left with after they've paid all their suppliers is very little. Farm debt has doubled over the last 20 years, so we have to address this.

Now we have the coronavirus. You made mention in your opening statement that you're watching it. Can you elaborate on what specifically the department is doing if this virus has the potential to significantly disrupt supply networks that are already under strain from previous issues?

4 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

We are having this discussion with the different representatives of the different sectors to see how we can eventually support them.

I think it's also a matter of the private sector getting together with retailers and their suppliers and reconsidering the commercial relationship.

As I said earlier in response to Mr. Perron, we at the federal government are here to support businesses when they face a hard year, and I know that this year is particularly challenging. We are moving with them to support them, depending on the situation that we're going to face.

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

I will make a comment in my final seconds, echoing what Mr. Perron said about the threshold limits in CUSMA for certain dairy products that are exported.

We have heard resoundingly, time and time again, with respect to the dairy year starting on August 1, that they really want to see the ratification of CUSMA happen with that in mind. I hope you are very much paying attention to that.

4 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

I am.

4 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Okay. Thank you.

4 p.m.

Liberal

The Chair Liberal Pat Finnigan

Thank you, Mr. MacGregor.

We will now go to the five-minute round of questions.

Mr. Lehoux, you have the floor.

4 p.m.

Conservative

Richard Lehoux Conservative Beauce, QC

Good afternoon, Madam Minister, Mr. Forbes and Ms. Walker.

As you can well imagine, my first question has to do with supply management and the dynamics of tariff quotas.

Madam Minister, would you be in favour of these tariff quotas being as close to the farms as possible? We know that isn't exactly the case at the moment. If so, it would be important to warn your colleague the Minister of Small Business, Export Promotion and International Trade.

Could you give me a quick answer, Madam Minister?

4:05 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

Yes. I understand.

A very broad consultation took place and, indeed, the leadership rests with the Minister of Small Business, Export Promotion and International Trade.

I understand very well the nuances surrounding the issue of giving tariff quotas to processors rather than distributors. Within the possible limits defined by our trade agreements, you can rest assured that the entire team working with the Department of International Trade and myself are advocating for what is closest to the farm, as you so aptly put it.

4:05 p.m.

Conservative

Richard Lehoux Conservative Beauce, QC

Madam Minister, I understand that your wish is also that it be as close to the land as possible. In any case, we hope that you will share that with your colleague.

4:05 p.m.

Liberal

Marie-Claude Bibeau Liberal Compton—Stanstead, QC

It's done, I can assure you.