Evidence of meeting #145 for Finance in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was federal.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Bernard Brun  Vice-President, Government Relations, Desjardins Group
Aaron Skelton  President and Chief Executive Officer, Canadian Health Food Association
Pierre Gratton  President and Chief Executive Officer, Mining Association of Canada
Laura Gomez  Lawyer and Legal Counsel, Canadian Health Food Association
Heidi Yetman  President, Canadian Teachers' Federation
Werner Liedtke  Interim Commissioner, Chief Financial Officer and Assistant Commissioner, Corporate Services, Financial Consumer Agency of Canada
Stewart Elgie  Professor, Faculty of Law, University of Ottawa
Gauri Sreenivasan  Co-Executive Director, Canadian Council for Refugees
Jenny Jeanes  Vice-President, Canadian Council for Refugees
Kayla Scott  Senior Director, Advocacy, Canadian Physiotherapy Association
Alexander Vronces  Executive Director, Fintechs Canada
Utcha Sawyers  Chief Executive Officer, BGC East Scarborough
Steven Boms  Executive Director, Financial Data and Technology Association of North America
Mark Weber  National President, Customs and Immigration Union
Michele Girash  National Political Action Officer, Public Service Alliance of Canada
Liam McCarthy  Director, Negotiations and Programs Branch, Public Service Alliance of Canada

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Do they have the ability to mandate a label change—for example, adding health warnings to any natural health product?

10:25 a.m.

Lawyer and Legal Counsel, Canadian Health Food Association

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Do they have the ability to inspect any site licence for any manufacturer, packager, labeller or importer of natural health products?

10:25 a.m.

Lawyer and Legal Counsel, Canadian Health Food Association

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Do they have the ability to inspect any product by taking it off the shelf and sending it to a lab for an analysis?

10:25 a.m.

Lawyer and Legal Counsel, Canadian Health Food Association

Laura Gomez

Yes, inspectors have those powers.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Does Health Canada actually approve every natural product, every numbered product, in Canada?

10:25 a.m.

Lawyer and Legal Counsel, Canadian Health Food Association

Laura Gomez

Yes, they have a licensing process for all natural health products.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Do they have the ability to revoke any natural product number in Canada?

10:25 a.m.

Lawyer and Legal Counsel, Canadian Health Food Association

Laura Gomez

Yes, there are procedures to do that under the natural product regulations.

10:25 a.m.

Blain Calkins

That is an immense amount of power. Basically, with the list that I've just read here, Health Canada already has the power, and they can request a recall if they want to as well. I'm sure the industry complies whenever that's asked. Is that correct?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

Aaron Skelton

As far as we know, yes, that's correct.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

This is a solution in search of a problem. It's clearly not about power, because there's immense power. Health Canada already is the agency, and as you said, the judge and the executioner. They're also the police. They already have the ability to police this industry through all the powers that I just outlined. These are massive powers. It's not about power, because they already have the powers to stop any product from being on the shelf, really, if they want to. Is that true, yes or no?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

And do they have the ability to stop anything at the border if they truly want to, yes or no?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

If it's not about power, it's obviously about something else. It's about money, and the self-care framework that is going to follow from this is going to be adding fees to the industry. Can you talk about site licences, product fees and what's coming? What's the plan?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

Aaron Skelton

I appreciate the question. I think what you're referring to is the proposal with cost recovery.

What we've seen with cost recovery is an example of unchecked powers from the minister, who has gone forth and proposed a cost recovery plan, when Health Canada did not complete a gender-based analysis and did not complete a risk-based analysis and did not consult with indigenous communities. That is what we are grappling with and what the industry is reeling from today.

The threat of a minister with these powers, who did not go through proper parliamentary process and did not go through proper due diligence, is real for this industry. As I stated at the opening, it's not hypothetical; this industry is dealing with it today, and that is why we have seen the groundswell from Canadians. These are products used by 82% of Canadians. Over 95% of Canadians deem natural health products licensed by Health Canada as safe, and that is why we've seen the success of our “save our supplements” campaign.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Many businesses are claiming that they're going to shut down their operations here in Canada and move to a less regulatory and less expensive jurisdiction. Will that make Canadian consumers safer? Will that do more for consumer protection or less for consumer protection, given Canada's regulatory framework versus where certain products are imported from? What's your opinion on that?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

Aaron Skelton

We believe that it is in the best interest of Canadians to have products that are reviewed and licensed by Health Canada. Unfortunately, with all the proposed changes, what they have not addressed is the importation from international markets, all of which are unregulated and unmonitored by Health Canada. Limiting the Canadian production of compliant companies and compliant products is really pushing Canadians to purchase from unregulated and unmonitored markets, which we feel is a detriment to Canadians.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Is this counterproductive to actual consumer protection?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

Aaron Skelton

That's correct.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Okay.

Is it true that there are several jurisdictions and states in the United States of America that are currently courting businesses in the natural health product space, knowing that this regulatory change is coming?

10:25 a.m.

President and Chief Executive Officer, Canadian Health Food Association

Aaron Skelton

We are aware of several states that have reached out to our member companies directly and are proposing reduced taxes and other incentives. At least two of our member companies have made the decision to relocate to the U.S.

10:25 a.m.

Conservative

Blaine Calkins Conservative Red Deer—Lacombe, AB

Are you familiar with traditional Chinese medicine and other traditional medicines from other parts of the world? What are these organizations, as part of your organization, saying to you?