Thank you, Mr. Chair.
Of course, I'm pleased to be able to participate in today's discussion. We've been following along on television and with some of the follow-up. There have been great discussions going on, which I welcome.
As you've heard me say time and again, our government wants to help farmers earn their living from the marketplace, not the mailbox. Simply put, in working with industry, we've been creating an environment where farmers can succeed. Our cattle, swine, canola, and pulse industries, to name a few, have been competing and succeeding on the world stage. Sadly, this has not been the case for our wheat and barley farmers in western Canada. The Canadian Wheat Board monopoly, born in a different time to meet different needs, has cast a chill on western Canada and the entire grain sector in today's reality.
The fact is, today's entrepreneurial farmers are proving over and over again that they can and will help drive our economy if they have control over their farms and their own bottom line. For the grain industry this means a choice of when they sell their crop, a choice to whom they sell their crop, and a choice in the price they sell their crop. Since day one, the Harper government has made it very clear that marketing freedom is a cornerstone of our election platforms and, like farmers who make agreements on a handshake, we shook hands with farmers of western Canada on May 2 when they sent us back to Ottawa with a strong mandate.
Not only does Parliament have the legal right to enact, amend, or repeal any piece of legislation, but our government also has the responsibility, which we take seriously, to deliver on our promises. Our government will never allow one group of farmers to suppress the rights of another group. Every farmer must have the right to choose what he or she does with their own crop, including the ability to pool their grain through a new, reinvigorated Canadian Wheat Board. With the Marketing Freedom for Grain Farmers Act, we are delivering.
Marketing freedom is what western Canadian grain farmers want and deserve. Regardless of how they voted in Mr. Oberg's expensive survey, every farmer in western Canada will have the choice to sell their grain as they choose. For farmers who wish to continue selling to the Canadian Wheat Board, they will have the freedom to do so. Let me be clear: Our government will provide the board with the necessary tools and opportunities to be successful.
Ultimately, however, it will be up to farmers to decide for themselves whether they will market through the board and whether that's best for their bottom line. Farmers who have long wished to sell their crop on the open market, but couldn't because of the very real fear of going to jail, will now have that freedom to choose. Not only will an open market give farmers the marketing freedom they want and deserve, but it will attract new investment, encourage innovation, and create jobs.
Yesterday, I was in Alberta where Rahr Malting announced a $6 million investment to more than triple its storage from 400,000 bushels to 1.2 million bushels of malt barley. That's great news, Mr. Chair. As you know, that will get more barley right off the combine into a market position. Farmers will have their cash, and their bottom line will be much better for it.
Only a couple of weeks ago, the Prime Minister and I were in Regina to celebrate the announcement of a new pasta plant that will buy local durum wheat from farmers in the area. This plant will create 60 local jobs and 150 construction jobs. Both farmers and Alliance Grain Traders are looking forward to the day without the single desk, so they can deal directly with no buy-back or heavy administration to get in their way. Rahr has also made it very clear that it would never have been able to make its investment in Alberta without the government's plan to remove the stranglehold of the monopoly.
The opportunity for further growth is evident with these announcements, and I know there will be more to come. After all, the promise of marketing freedom is already attracting investment and creating value-added jobs in western Canada. So why would we make farmers in the industry wait? As soon as the legislation receives royal assent, farmers and grain companies will be allowed to begin forward contracting for delivery after August 1, 2012. Farmers in the entire value chain need clarity and certainty as they begin to plant for their coming crop year. The sooner they have clarity and certainty, the better.
A temporary check-off will be established at the point of sale to support ongoing research and market development. We all know how valuable that is. The interim Canadian Wheat Board will be required to develop a business plan to capitalize itself and begin to operate as a private company. The interim board of directors will need to submit such a plan and the Wheat Board will need to become a private entity within five years. It could be a business corporation, a producer co-op, or a not-for-profit corporation. The business model will be for the board and farmers to decide.
As you can see, the government has provided an evolutionary approach, one that gives the Canadian Wheat Board every opportunity to succeed as a voluntary marketing alternative for producers in western Canada. This approach will give the entire value chain time to adjust to the open market, and in doing so it will increase stability for western Canadian farmers during this period of transition.
Our government is also taking unprecedented action to support the community and the Port of Churchill throughout this transition. The government will provide an economic incentive of up to $5 million per year during the five-year transition period to support shipment of grain, including other non-board crops like oilseeds and pulses, through the port.
Working with the port owner, Transport Canada will invest a further $4 million over the next three years to repair existing port assets and support the safe docking of vessels. Western Economic Diversification will also extend the deadlines of a project of theirs so that the port can make full use of that funding. These initiatives are above and beyond the $38 million our government has already committed to Churchill.
Evidenced by our comprehensive plan, this government is working with the entire value chain and taking every precaution to make sure the transition to an open market will be as smooth as possible.
This act is about more than just its clauses and subclauses. It's about giving western wheat and barley farmers the same rights and opportunities enjoyed by farmers of other commodities or in other parts of Canada. It's about giving western farmers the right to do what they want with the crop they paid to plant, spent months to grow, and worked tirelessly to harvest. Our government trusts farmers, regardless of where they live or what crop they grow, to make their marketing choices based on what is best for their own bottom line.
We want to put farmers back in the driver's seat so they can continue to help drive the Canadian economy. Exciting new opportunities lie ahead for farmers throughout western Canada. This legislation is an important step forward, and I hope the members of this committee will continue to give it their full support.
Thank you, Mr. Chair. I look forward to your questions.