Agriculture Committee on Sept. 22nd, 2025

[Tom Rosser]

I might just add to that, Mr. Chair.

We've already talked about many of the programs and initiatives that have been put in place this year in recognition of the exceptional circumstances facing the agri-food industry. Just to briefly reiterate them, we made important changes to the AgriStability program earlier this year. More recently, on September 5, the Prime Minister announced a number of measures—we've talked about them—such as changes to the advance payments program, initiatives to support the biofuels industry and increased support to the AgriMarketing program.

[Emma Harrison, Liberal, Peterborough, ON]

To follow up on that, earlier this month, the Government of Canada announced an additional $75 million in funding over the next five years to AgriMarketing, which seeks to develop new export opportunities for Canadian agriculture and agri-food producers.

What specific activities will Agriculture and Agri-Food Canada use this funding to undertake?

[Tom Rosser]

The program will be used to provide direct financial support to associations in the industry to undertake market development and diversification activities. Certainly participation in trade shows and marketing efforts overseas are often the types of activities that funding in that program is used to support. It's based on what the priorities are of the associations that apply for the funding.

Chris may have something to add.

[Christine Moran]

I will add to that.

We have seen a heightened degree of interest in international trade markets in new countries. That is heartening. We are selling out spaces within days at trade shows that Agriculture Canada is coordinating. It used to take weeks and sometimes months. We're also seeing a lot of interest in looking at new markets. I think that is a testament to the availability of those funds.

[Emma Harrison, Liberal, Peterborough, ON]

Which international regions would be most receptive to Canadian agri-food exports?

[Christine Moran]

I think almost any region is receptive. A lot of work goes on. First of all, I think there's a respectful attitude toward Canadian agricultural products across the globe. That's partly due to the reputation we have for high-quality, safe and nutritious food. It relies heavily on the fact that we have solid regulatory efforts to ensure that all of those exports are safe to eat and meet the relevant regulatory requirements.

There is technical co-operation that also goes on with partners globally. We have markets that are growing in new places, taking advantage of free trade agreements like the CPTPP—the comprehensive trans-Pacific partnership—and the CETA—the Canada-Europe trade agreement—for example. They're looking at new markets and building new markets.

Agricultural markets take a long time to develop, but once they are established, they are avenues for ongoing investment and trade.

[Emma Harrison, Liberal, Peterborough, ON]

How does the federal budget balance immediate financial support to producers with investments in trade diversification and market development?

[Christine Moran]

Thank you for the question.

Those investments go hand in hand. There's obviously a tension to be found and there's a balance that's required for domestic supports. At the same time, it's important to look abroad. More than half of all Canadian agriculture is exported, and we continue to look for ways to support industry in its ambitions to look for new markets to promote Canadian value-added processing and to promote Canadian commodities as well.

[The Chair, Liberal, Michael Coteau]

Thank you.

Mr. Perron, you have two and a half minutes.

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

Thank you very much, Mr. Chair.

Earlier, at the end of my round of questions, I brought you to the topic of agri-food. We see a lot of details on the measures for canola, and so on. However, have concrete measures been put in place to help the agri-food sector during this difficult tariff period?

Perhaps investment should be encouraged. This is a shortcoming that we've been seeing for a few years in our studies in committee. I think the agri-food sector could greatly benefit from an investment program or investment incentive. The danger is that, at some point, the plant or processing site will be too outdated, and it will no longer be profitable to renovate it. Then a new one would have to be built, but that one wouldn't necessarily be built here. So this is an extremely important issue. Everything we produce has to be processed.

Go ahead, Mr. Rosser.

[Tom Rosser]

I can assure you that we are in constant dialogue with the agri-food sector to find ways the government can encourage investment in this sector. I know you're going to hear from them directly soon.

I want to add that, of the programs announced by the Prime Minister on September 5, two of them can help businesses in the agri-food sector affected by the tariffs.

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

Okay. What are those programs?

[Tom Rosser]

I don't have the French names of those programs in front of me. I will send them to you.

These programs will be managed by the regional development agencies. I will verify the exact names of those two programs and get back to the committee.

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

Okay.

A lot of people talk about trade barriers between Canadian provinces. A lot of this falls under provincial jurisdiction, but other measures could be identified.

Have you worked on that? Can you identify measures that are currently being developed to promote better internal trade?

[Tom Rosser]

Yes. A meeting of federal, provincial and territorial ministers of agriculture was held earlier this month in Winnipeg. One of the topics on the agenda was to find ways to encourage and improve interprovincial trade in Canada.

[The Chair, Liberal, Michael Coteau]

Thank you very much.

Mr. Bonk, you have five minutes.

[Steven Bonk, Conservative, Souris—Moose Mountain, SK]

Farmers in western Canada are facing a lot of uncertainty right now, be it because of weather, unresolved canola tariffs or the industrial carbon tax. Together, these are putting a lot of pressure on our producers and putting Canadian producers at an unfair disadvantage compared to our global competitors.

I have a question for finance. Have you done an analysis on how the Liberal clean fuel standard will increase revenue for farmers? Does this include the impact of 17 cents a litre on their fuel costs?

[Michael Mosier, Senior Director, Trade and Tariff Policy, Department of Finance]

Mr. Chair, with apologies, that's not my area of expertise. I'm not sure if other colleagues here have that information, but if not, I'd be happy to follow up and come back. It's not my area of expertise. I apologize.

[Steven Bonk, Conservative, Souris—Moose Mountain, SK]

Could you table that with the committee?

[Michael Mosier]

Let me see what we can provide and I'll come back. I'll have to speak to colleagues.

[Steven Bonk, Conservative, Souris—Moose Mountain, SK]

Okay.

In general, farmers are planners by nature. It's really important for farmers to have stability and predictability, like any business. Canola is a very important part of the crop rotation in western Canada.

What can you say to the farmers about what they should be planning for next year? When will these trade issues be resolved?

[Tom Rosser]

In reply, I want to assure the committee that we understand fully the importance of canola to the Canadian agricultural sector. We appreciate fully, as I believe we touched on in earlier testimony, that perhaps the most difficult thing about the situation is the uncertainty it creates and how long the situation will persist. We're certainly well aware of that in regular dialogue with stakeholders and in moving forward to try to engage with the Chinese and bring resolution to the sector while supporting producers and the value chain for as long as the situation persists.

[Steven Bonk, Conservative, Souris—Moose Mountain, SK]

Farmers aren't really looking for handouts. They're looking for a trade deal. I know that in my area, where I farm, we're directly north of the U.S. border with the same climate and the same soil types, yet they're not paying the industrial carbon tax. That's just one measure where we're putting ourselves at an unfair disadvantage. It's really important that we resolve these trade issues very quickly because we're already trying to play on the global markets with one hand tied behind our back.

How quickly do you think we can engage directly with China, and can you tell us who you're engaging with?

[Tom Rosser]

At risk of repeating some earlier testimony, we engage with China at every available opportunity. Colleagues at Global Affairs may offer specifics, but there was the JETC meeting that took place with senior officials from China at the end of last month. Through our embassy and in other fora, we take advantage of every available opportunity to engage with our Chinese counterparts.

[Darren Smith]

If I can just amplify that, indeed, there is engagement at all levels, both at the political level, as I mentioned earlier, and also at the officials level, working hard for Canadian farmers, to try to resolve this issue vis-à-vis China.

Of course, we also have our litigation options available to us. We continue to pursue this case at the WTO, defending the rights and interests of Canadian stakeholders. It's a multipronged approach. Unfortunately, it's not possible to put it on a specific time frame, but I can assure you that the effort is there and everyone is working very hard. Our two departments are working hand in hand to try to advance this issue in the best possible interests of Canadian stakeholders.