Evidence of meeting #38 for Agriculture and Agri-Food in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was soil.

A video is available from Parliament.

On the agenda

Members speaking

Before the committee

Filejski  President and Chief Executive Officer, Canadian Animal Health Institute
Honsberger  Interim Executive Director, Canadian Alliance for Net-Zero Agri-food
Cohen Boulakia  Agronomist and Project Manager, sustainable agriculture, Équiterre
Caron  Professor and Agronomist, Université Laval, As an individual
Pratt  Interim Commissioner of Competition, Competition Bureau Canada
Hollingworth  Acting Deputy Commissioner of the Competition Promotion Branch, Competition Bureau Canada

Paul Connors Liberal Avalon, NL

Welcome to the witnesses here today.

We're studying food security, and, as we all know, food security can have many different definitions. Are we producing enough food? Is the food affordable? Is it accessible? There are many things that factor in.

Canada has always been recognized for a safe and healthy food supply. I want to talk more about the domestic food supply. I guess that's what you would be concerned with as well.

Through your research, what do you think would happen to our domestic food supply from an agricultural perspective if competition is not there in order to keep the prices...and the markets open?

12:35 p.m.

Interim Commissioner of Competition, Competition Bureau Canada

Jeanne Pratt

We believe very strongly, as the competition enforcer and promoter in Canada, that competition is what leads to lower prices, better quality and innovation. On agricultural markets, Canada has a stellar reputation from its producers. To maintain or improve that demands that we have competitive markets and that they face competition. It's the race between the two of them that leads to better prices, better processes and using data better in their farming practices to increase production. It's the process that leads to those outcomes that we think is a key lever for leading to more affordable outcomes at the grocery store, at the farmer's market and wherever Canadians are buying their food.

Paul Connors Liberal Avalon, NL

Just for a bit of clarification, does an issue have to be brought to your attention or to the commission's attention, or do you do your own research and decide on what you are going to investigate?

12:35 p.m.

Interim Commissioner of Competition, Competition Bureau Canada

Jeanne Pratt

It is a bit of both. On the enforcement side, we welcome complaints and information from Canadians or stakeholders, which can inform our enforcement work. We have partnerships with law enforcement across the country as well, such as the Canadian anti-fraud centre.

In our promotion work, we are looking more proactively at how we can use the resources of the bureau to get the biggest bang for the buck, to promote competition in markets that matter the most to Canadians. We want to hear from everyone as to what is concerning them, so that we can inform our priorities. As I've said, our number one priority right now is affordability for Canadians—that is in food, and that is in all essential services. That is our annual plan and our priority, and we will continue to do that.

Mr. Hollingworth might be able to give you a bit more detail on how we decide on our promotion work and where to put our resources.

12:35 p.m.

Acting Deputy Commissioner of the Competition Promotion Branch, Competition Bureau Canada

Mike Hollingworth

Just very quickly, again under that work to advocate for lower barriers, to remove regulatory irritants, we look at where we can provide the biggest bang for the buck, quite frankly. Is there a market that we're aware of that may already have a degree or a level of concern for us with respect to the competitive dynamics? As our colleagues on the other side of the table mentioned, where there's very concentrated industry, is there a recognizable remedy, proposal or recommendation that we can make that is clear and will lead to a more competitive marketplace?

I will say, for the last part in response to your question, that the bureau can—with respect to market studies themselves—be directed by the Minister of Industry to do a study.

Paul Connors Liberal Avalon, NL

We heard the word “advocate” in your opening remarks, for policy to protect competition. Expand on that a little. What do you mean by advocate?

12:35 p.m.

Interim Commissioner of Competition, Competition Bureau Canada

Jeanne Pratt

Our retail grocery market study is a perfect example of that. We have a wealth of information from businesses, from our enforcement work, so we understand how particular markets work. Sometimes we understand the barriers they face, but sometimes we need to do additional studies so that we can understand, not just from an enforcement perspective but also from a public policy perspective, if there are constraints happening on competition.

That retail grocery market study is a perfect example of how we can use the information and our powers to collect information to make the most informed recommendations possible to government on issues that are priorities for Canadians.

Paul Connors Liberal Avalon, NL

Is that all done independently?

12:35 p.m.

Interim Commissioner of Competition, Competition Bureau Canada

The Chair Liberal Michael Coteau

Thank you.

Next, we'll go to the Bloc for two minutes and 40 seconds.

Sébastien Lemire Bloc Abitibi—Témiscamingue, QC

Thank you for your welcome, Mr. Chair.

I thank the witnesses for their testimony.

Essentially, your role is to stimulate competition and tackle deceptive marketing practices. However, it's the Canadian Food Inspection Agency, or CFIA, that issues the fines.

What are your connections with the CFIA?

How do you work together to tackle deceptive marketing practices?

12:40 p.m.

Interim Commissioner of Competition, Competition Bureau Canada

Jeanne Pratt

With respect to food, the CFIA does “made in Canada” and “product of Canada” claims, for example. They are the lead. They are the ones who have particular regulations with respect to food.

We do have a large mandate for deceptive marketing practices, generally. If there are false or materially misleading marketing practices that are dampening a consumer's ability to make an informed choice, that is where our enforcement work comes in. For example, we have an ongoing case against DoorDash for drip pricing, because we need to make sure that the price consumers see for their delivery is the price that is attainable. That is an example in the food sector, where deceptive marketing is part of our work to make sure the price consumers see is the price that consumers pay.

Sébastien Lemire Bloc Abitibi—Témiscamingue, QC

Indeed, several errors were noted. According to a CBC report on April 14, Loblaws and Sobeys were overcharging consumers for meat that was not the correct weight. There were also several labelling errors regarding the origin of products.

The grocers' code of conduct has been adopted. In your opinion, what have been the repercussions since it was adopted?

12:40 p.m.

Acting Deputy Commissioner of the Competition Promotion Branch, Competition Bureau Canada

Mike Hollingworth

Thank you very much for the question.

With respect to food labelling and weighting, that's covered under the food act, which is governed by the CFIA.

With respect to the grocery code of conduct, the bureau is not involved in that work. That's overseen by an independent office of the grocery code. That is meant to deal with the inequality of bargaining power among suppliers and retailers in the grocery sector itself. I don't believe that it covers issues relating to labelling or ticketing. It is very much to provide some predictability with respect to contractual relationships between grocery retailers and their suppliers.

The Chair Liberal Michael Coteau

Thank you. That concludes our time.

Ms. Pratt, thank you to you and your team for being here. We appreciate it.

We will now suspend for a few minutes to go in camera.

Thank you so much.

[Proceedings continue in camera]