Agriculture Committee on Dec. 10th, 2020

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

These producers ask us for investment programs. I don't know much about poultry farming, but I can imagine that some producers will want to invest in a better heating system or in equipment that will allow them to be more productive, more efficient and more competitive. They will be able to apply under this program and get some of the funding required to make these investments.

According to the latest discussions we've had with them, industry people are also asking us to help them with marketing. These discussions go back a long way, though, and that's why we want to revisit them. I remember from our past discussions that the industry wants investment assistance for farms and market development assistance. All of this is subject to change, however, and we will continue our talks with those concerned.

[Lyne Bessette, Liberal, Brome—Missisquoi, QC]

I have one last question for you. You have worked hard with your partners and stakeholders to make the compensation process work.

How did the industry react?

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

This was particularly well received by dairy farmers. What we committed to paying them over an eight-year horizon will now be paid over a four-year horizon. They know exactly how much they're going to receive over the next three years, so this predictability, which they wanted, is being received with great enthusiasm.

Poultry producers are happy too, but they're anxious to see the details of the programs. Based on past discussions, I'm confident we'll be able to meet their demands by offering them the type of programs they want.

[Lyne Bessette, Liberal, Brome—Missisquoi, QC]

I thank you for your answers and the work you do.

[The Chair, Liberal, Pat Finnigan]

Thank you, Ms. Bessette, and thank you, Madam Minister.

We will continue with you, Mr. Perron. You have two and a half minutes.

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

Thank you very much, Mr. Chair.

You are definitely, Madam Minister, saying some things this afternoon that I like to hear. You've just indicated that you've learned from the early modernization programs that were offered to dairy producers. We've had some fairly negative comments about that, i.e. that the first come, first served principle did not meet the demand for 10-year programs. I understand that you have heard what the industry has asked you to do and that you will be working towards that. That's very good.

I have a brief question related to the USMCA: may we expect the negotiations on compensation to be completed by next summer? Is that too much to ask?

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

It is too much to ask.

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

Your answer didn't take long. It doesn't matter, we'll come back to it.

I am pleased to hear my colleagues speak about the request for consultations formally made by the United States yesterday on Canada's dairy tariff quotas. I'm pleased to hear your views on the work you've been doing in relation to the compensation payments to producers, which we had agreed to and which are in line with the signed agreement. I'm very pleased to hear that you are going to live up to your commitment.

On the other hand, we know that this business partner always wants a little more. At the last meeting you attended, you mentioned to me that Bill C-216, which aims to protect supply management, deserves to be studied. I hope you still think so and that this bill will pass second reading and be studied in committee.

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

The current wording of the bill certainly raises questions, but we will have the opportunity to discuss it further.

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

I still understand that we'll want to study it properly, and that's fine. I don't have a lot of time left and I would like to raise another point that you addressed in your statement.

We are very pleased with the announcement regarding the tax-deferred co-operative share program, or TDCS, which you have extended for five years. However, people in the industry were nervous for several months, and unnecessarily so, since the announcement could have been made earlier.

Why not make this program permanent so people don't have to worry about it every five years?

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

This is a matter for my colleagues at the Department of Finance. You know what we've been doing over the last nine months as emergency programs have taken up all the space. In that context, the extension of the TDCS for five years is good news.

[The Chair, Liberal, Pat Finnigan]

Thank you, Mr. Perron.

Mr. MacGregor, you have two and a half minutes. Go ahead.

[Alistair MacGregor, NDP, Cowichan—Malahat—Langford, BC]

Thank you, Chair.

Minister, I apologize if earlier I might have missed this question from one of my colleagues. Under the CUSMA, when it comes to deciding on how the compensation measures are going to be rolled out for chicken and egg producers, are you worried about any push-back from our American counterparts on that compensation? I'm just referring to article 3.6.1, and whether domestic support measures have any trade-distorting effects or effects on production. Is your government concerned that the Americans might push back on any future compensation announcements?

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

No. We have a team here that is very experienced in terms of following up on our trade agreements, and I don't see any concerns with our being able to follow up on our engagement and commitment to compensate them for the market.

[Alistair MacGregor, NDP, Cowichan—Malahat—Langford, BC]

Thank you.

The other question is this. When I was meeting with Chicken Farmers of Canada last month, they were also worried about this second wave and the impact on processing facilities. They were worried that if there wasn't enough capacity, they might have to move to on-farm processing. Is your government in conversation with them about that and whether there might be any assistance offered to producers themselves to help them with on-farm processing?

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

Annette might want to add something, but this is not something that falls under federal jurisdiction. I would be tempted to say that the provinces might have a word to say on that.

Annette, do you want to add on—

[Alistair MacGregor, NDP, Cowichan—Malahat—Langford, BC]

Financially, though, because the federal government has offered financial compensation for processing, I'm just wondering, if it had to go to on-farm processing, whether that would be something you would consider. It's just a concern I heard from them.

[Marie-Claude Bibeau, Liberal, Compton—Stanstead, QC]

The idea behind the compensation is to compensate them for markets they have lost, so whether they fall under the producers or the processors.... This is maybe something that will be interesting to pay attention to while we design the compensation program.

[The Chair, Liberal, Pat Finnigan]

Thank you, Mr. MacGregor; thank you, Madam Minister.

Now we have Mr. Steinley for five minutes.

[Warren Steinley, Conservative, Regina—Lewvan, SK]

Thank you very much.

Sorry, Minister, I probably confused my first question in the first round, talking about CPTPP. I just want to make sure I have my numbers right. The market share loss was 3.25% for dairy; 2.3% for eggs; 2% for turkey; and 1.5% for broiler hatching, eggs and chicks. Can one of your officials just confirm that those are the right numbers?

[Annette Gibbons]

I can confirm. I just want to be sure of the number that you gave for chicken. I got all of the other ones, but just not for chicken.

[Warren Steinley, Conservative, Regina—Lewvan, SK]

It's 1.5% for broiler hatching, eggs and chicks.

[Annette Gibbons]

And what was the number you gave for chicken?

[Warren Steinley, Conservative, Regina—Lewvan, SK]

For eggs, it was 2.3%.

[Annette Gibbons]

Okay. Yes, 2.3% is right, and 1.5% for broiler hatching is right.