Mr. Chair, members of the committee, thank you very much for the invitation.
All issues related to the reciprocity of standards continue to be at the heart of our concerns. The globalization of markets has picked up since supply chains recovered from the pandemic. More than ever, Quebec vegetable producers are competing with their counterparts in the United States, but also with those in Latin America, Europe and even Asia.
In this context, the transition to a low-carbon economy raises many questions. Given the importance of international trade, differences in carbon pricing can be problematic. We must avoid having these differences lead to an increased imbalance in the competitiveness of vegetable producers.
The issue of border adjustments for carbon is complex. It should not be taken lightly. There has to be a symmetry of standards so that Canadian producers don't have to pay regulatory fees. In other words, local vegetable producers must achieve parity with imported produce. It is also imperative that serious consideration be given, in collaboration with the provinces and in light of international developments, particularly in Europe, to the opportunities and threats associated with the creation of a Canadian carbon border adjustment system.
Our various analyses show that production costs are already higher in Quebec than among our main competitors because of strong provincial and federal regulations. This situation is putting pressure on the profit margins of our farms, which is becoming increasingly unbearable, to the point of jeopardizing the survival of our sector. We must not exacerbate this already problematic situation.
With regard to the quality of local products, Canada has safety and traceability rules to ensure that they are safe for human health. In addition, the use of crop protection products is highly regulated. In our view, regulatory authorities must be unyielding. All imported fruits and vegetables must meet the same requirements as those applied here in Canada. No compromise can be acceptable. That is not the case right now.