Evidence of meeting #9 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 products.

A video is available from Parliament.

On the agenda

Members speaking

Before the committee

Heath MacDonald  Minister of Agriculture and Agri-Food
Hanson  Deputy Minister, Department of Agriculture and Agri-Food
Ianiro  Vice-President, Policy and Programs, Canadian Food Inspection Agency
Anderson  Chief Executive Officer, Vive Crop Protection
McCann  Chief Executive Officer, Precision AI Inc.
Farrelly  Committee Researcher

Yves Perron Bloc Berthier—Maskinongé, QC

We’re in agreement on the need to streamline government operations, but support for agriculture should not be reduced. It's important for you to hear that from me today, Minister.

We need to adapt to climate change. For instance, small dairy farms in Quebec must transition to free stalls and they need financial support. Do you have any announcement for them today?

Farmers need adequate support. Have you made any provisions for these small businesses to help them adapt to climate change and emerging practices in animal welfare?

Heath MacDonald Liberal Malpeque, PE

Climate change is extremely important. We just heard from Newfoundland about what it's going through in terms of drought. It's right across the country. We talked to people last night from Saskatchewan who were all seeing the changes.

It's extremely important that we maintain those investments in those areas to ensure that small farmers.... Where I come from, they're all small farmers, by the way. It's extremely important for me to ensure we're doing everything we can to mitigate.

Yves Perron Bloc Berthier—Maskinongé, QC

Minister, how is your review of business risk management programs going? The 2028 deadline is just around the corner. It’s going to be difficult not to put more funding into these programs. Do you have some possible solutions on this subject to share with us?

Heath MacDonald Liberal Malpeque, PE

To be quite honest with you, we had these discussions not that long ago about how we can actually expedite that process. We want to make sure we don't do it in a way that will detract from the consultations with those groups. We want to make sure everybody has a fair say and every province has a fair say. There is a regional difference, but we need to take all aspects into consideration.

Yves Perron Bloc Berthier—Maskinongé, QC

Okay.

That will require some investments, and it doesn't always have to be expensive. I think you were on this committee when we looked into the state of the agri-food industry, and it was clear our infrastructure was significantly underfunded. We need to modernize it. We have workforce challenges. We keep hearing about foreign workers in the agricultural sector, but we also need to remember the agri-food sector. You may recall that this committee referenced 30%, rather than 20% for the agri-food industry.

Do you have any exciting news on this subject to share with us? You talked about $200 million, but we think that this should be at least $400 million.

Heath MacDonald Liberal Malpeque, PE

I think likely some of the best outlooks in this industry and sector are in agri-food and value-add, and we're starting to see that across the country, which is going to help everybody because it's an ecosystem, a feeder system. We'll continue to invest in that, but we're also looking at private investment. We've also seen what FCC has done with their $2-billion investment fund, taking an equity share in a company in British Columbia, which has never been done before.

Yves Perron Bloc Berthier—Maskinongé, QC

I expect the budget will include measures for that. This is important, Minister.

Some measures are easier to implement and less expensive than others. It would be easy for a minister to implement these measures. I'm sure you know that because you're a former member of this committee. For years now, our farmers have been asking us to increase and make the advance payments program permanent so they're not forced to beg for an increase year in, year out. It’s approximately $100,000, which is ludicrous in 2025. You increased it for some farmers that have been impacted by trade with China. I commend that decision, but it should also be done for all farmers, for a minimum of $350,000. Our estimates show that this would cost approximately $60 million per year at most.

Can you commit to that for our farmers?

Heath MacDonald Liberal Malpeque, PE

No, I won't commit to making those increases today, but I can tell you that we can take a look at it and see where it is. It's certainly something where a $60-million investment is important, though. However, I want to ensure that we're not taking away from another program that may be even more important or just as important in your mind or in everybody else's.

Yves Perron Bloc Berthier—Maskinongé, QC

If you commit to work on that, then I would commit to work with you. However, things must move forward.

Thank you, Minister.

The Chair Liberal Michael Coteau

Thank you very much.

Now, we'll turn to the Conservatives for five minutes.

Mr. Epp.

Dave Epp Conservative Chatham-Kent—Leamington, ON

Thank you, Mr. Chair.

Thank you, Minister.

Pickled cucumbers are brined in open vats in the U.S.—that isn't allowed here—and imported into Canada. Would you support the creation of a “processed food for further processing” category so that we can have value-added production here in Canada?

Heath MacDonald Liberal Malpeque, PE

Based on our most recent conversations with the business that was in your riding or a friend of yours, Mr. Epp, I think it would be most appropriate to take a look at that and to see if there are opportunities there to grow the economic side of that within the boundaries of export and without interfering with any trade values that might pose impediments to another country. I would like to do that.

3:50 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

I'll hold you to it, yes. Thank you, Minister.

How active is your ministry with Codex Alimentarius regulatory processes and harmonization discussions, particularly with respect to MRLs and AI?

Heath MacDonald Liberal Malpeque, PE

I've only been in this job for about five and a half months, and the process that I put myself on was to get to the farmers, get to the farm gates, talk to them and find out exactly what the issues are. As time went on, we were diversifying trade, and that was a priority. We're still in that mode, and now it's continuing with trade discussions with basically two countries, although the diversification is taking us other places as well. As time goes on, I'll learn more about the file in that regard.

3:55 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Thank you.

I'll ask you, Minister, to table something with the committee on Codex Alimentarius, if that's all right.

When do you anticipate the completion date of CFIA's seed regulatory modernization process? It began in 2020. Do you have a completion date?

Heath MacDonald Liberal Malpeque, PE

I actually met with the seed guys this morning, and we had this discussion. There's still a bit of back-and-forth with the seed guys. We want to ensure that we have everybody's input before that's done, but it's really close right now.

3:55 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Pending the completion of the consultation period, will you support legislation around the variety use agreements to modernize our regulatory structure?

Heath MacDonald Liberal Malpeque, PE

Maybe I'll turn that over to my deputy.

Lawrence Hanson Deputy Minister, Department of Agriculture and Agri-Food

On the issue of the VUAs, we're continuing to talk not only to Seeds Canada but also to producers, because I think the view here is that we need to find a system where the private investors are there and the producers themselves feel that they're getting maximum value. In our view on this, the best thing to do is get the seed industry together with the producers, get them to have common cause and work together with them.

3:55 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Thank you.

It was raised earlier, with regard to the temporary foreign worker program, that Conservatives are going to have a separate program for agriculture. Do you support the continuation of SAWP?

Heath MacDonald Liberal Malpeque, PE

I don't know how complicated it is separating out temporary foreign workers for the farm program. Under my mandate and under my portfolio, I have seafood and I have processors, which you're talking about. I think if the program is reviewed, it has to be reviewed in a manner that takes into consideration all those sectors.

3:55 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Will you commit to keeping SAWP?

Heath MacDonald Liberal Malpeque, PE

Deputy.

3:55 p.m.

Deputy Minister, Department of Agriculture and Agri-Food

Lawrence Hanson

I think we would come back to you on that.

3:55 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

In writing.