Foreign Affairs Committee on March 26th, 2013

[The Chair, Conservative, Dean Allison]

If we could have everyone come to the table, we'll try to get started.

Pursuant to Standing Order 108(2) and our study on Canada's Arctic foreign policy, we welcome our witnesses here today. We have Justin Ford, who is executive assistant, and Chris West, the director of the Nunavut Arts and Crafts Association. Welcome, gentlemen. Thank you for taking the time to be here today.

We also have from Nunavut Tunngavik Inc., or NTI, James Arreak, chief executive officer, and Terry Fenge, who is a consultant, executive services.

Hopefully at some point we'll have someone joining us from the Yukon Chamber of Commerce. That's being lined up right now, but I want to get started, because we have a number of witnesses.

I'm going to start with Mr. West and Mr. Ford. You have 10 minutes, so why don't we turn it over to you and we'll get started? Thank you very much.

[Chris West, Director, Nunavut Arts and Crafts Association]

Good morning.

My name is Chris West and I am one of the volunteer directors on the board of the Nunavut Arts and Crafts Association. With me this morning is Justin Ford, who is responsible for projects. On behalf of NACA, we would like to thank you for the opportunity to present to you today and hope that you will find our presentation beneficial.

The Nunavut Arts and Crafts Association, also known as NACA, is a non-profit arts association that offers free membership to the artists of Nunavut. NACA was established in 1998 by the then Government of the Northwest Territories. NACA's mission, as the arts and crafts organization of the territory, is to promote the development and growth of the arts sector in the territory.

NACA receives core funding from the Government of Nunavut to assist artists and deliver programming related to the arts strategy in the territory. We work with partners from across the territory as well as the country to find and develop opportunities to advance the arts sector and to secure funds for a variety of projects, including artist projects, exhibitions, professional development and training opportunities, and marketing assistance.

The origins of Nunavut's mixed economy today are found in the unique and highly valued arts sector, which more than 50 years ago was used by Inuit, through the creation of small stone carvings as a means to transition into wage-based economic life in Canada. The production of this art depends on skills that have been passed from generation to generation and on the creativity that is a natural part of Inuit culture. Its distinctive design and representation of life in the harsh Arctic environment is recognized worldwide.

To support economic growth and continuing diversification in the arts economy in Nunavut, Sanaugait, a strategy for growth in Nunavut's arts and crafts sector, has been developed by the Government of Nunavut's Department of Economic Development and Transportation, in cooperation with artists, arts associations—including NACA—other territorial government departments, the federal government, Inuit organizations, cooperatives, and other private sector interests. The strategy lays out a framework for the work that is needed in the next five to seven years to ensure the arts in Nunavut grow and continue to play a prominent role in the economic life of the territory.

Seven goals were developed for the Sanaugait strategy including increasing the quality of Nunavut art; maximizing artists' profits through participation in the value-added chain; securing market share through protection of intellectual property rights; securing market share through international brand recognition; expanding international market share; providing current and accurate information about the arts sector; and promoting and celebrating the contribution of Nunavut arts to the global society.

As an organization, we focus on issues and concerns for artists across the territory that develop to larger problems and we attempt to come up with solutions. Nunavut is a vast, large geographical component of Canada, and that alone creates problems with accessibility to its 26 communities that are only accessible by plane. Travel is expensive to these remote communities, and shipping pieces of art for southern market opportunities, such as exhibitions or to buyers, proves to be quite an expensive undertaking.

Another issue is the topic of literacy and the high level required to understand and complete applications for grants or project contributions for projects, such as grants for artists to travel abroad to showcase their art. We are also working to inform agencies that translation of documents into Inuktitut is important to the growth of the arts sector in Nunavut so that artists may optimize their resources.

[Justin Ford, Project Manager, Nunavut Arts and Crafts Association]

Thanks, Chris.

As Chris stated earlier, I'm the executive assistant for Nunavut Arts and Crafts Association, and also in charge of developing projects.

I'm going to speak to the status of the economy of Nunavut in relation to the arts.

With a population of about 30,000—approximately 3,000 of whom claim to be full-time artists, with their main source of income created by the sale of their art—Nunavut is unique and unlike most provinces due to the high population of artists who choose to be artists for monetary purposes.

It has been said that Nunavut has the highest number of artists per capita than anywhere else in the world. The arts were next to mining in recent numbers released for the GDP of Nunavut. Because being an artist is part of a huge industry and a major source of income in Nunavut, it creates a huge impact when there are some noticeable negative changes in the Inuit art market.

One factor is the changes in demands regarding the quality, style, and uniqueness of each piece. Another factor is the economic downturn in the global economy that deters a lot of first-time buyers from entering the market due to less disposable income amounts.

We see one major contributing solution for these issues, and that would be to develop new niche markets abroad.

As to social and economic development, poverty reduction is a huge impact that we see in the territory. In some sense, the arts industry in Nunavut could be considered a trade that you learn from family and friends rather than what some may say is a calling. Not only does it allow for job creation, but it also raises the standard of living and becomes a reliable option of creating income for individuals who do not fit in the relatively recently established governmental system for reasons of lack of education, training, skill sets, or motivation.

As for creating sustainable economic growth in the sector, organizations like NACA and Nunavut Development Corporation provide opportunities of training and education for professional development and artistic development, while also creating awareness of artists' rights, such as copyright laws and knowledge of the developing artists resale rights campaign. Marketing initiatives and ongoing visibility by having a presence at meetings, conferences, and festivals of the arts sector on a community, territorial, national, and international level are necessary for the growth of the sector.

As a result of all of these economic development endeavours for the arts sector, there are some spinoff benefits, such as the tourism industry. Because so much of Inuit culture is submerged in the arts and traditions, this develops a unique cultural experience to see the Inuit culture to some extent preserved in the form of art.

International expansion is crucial to the growth of the Nunavut arts sector. Nunavut art is exotic and is known by most Canadians. The majority of Inuit art galleries are located in Canada. With times and the status of the economy changing, methods of marketing must be broadened to gain our potential. Nunavut art is healthy, but according to a recent discussion between NACA and other Inuit art wholesalers, it seems to be in a holding pattern, and therefore a new and a broader market development plan is required.

Outsourcing from Canada to artistic regions of the world, such as Europe, is one way of broadening the sales of Nunavut art and spiking the arts sector economy of Canada.

That said, NACA, in collaboration with Nunavut Development Corporation, has developed marketing trips to France, Switzerland, and the United States. The idea of these marketing trips is to bring international interest to Inuit culture and art.

For example, our trip to France showed that there is much more interest from first-time buyers of Inuit art than expected. Interest in Inuit art among the French, particularly Parisians, is well known and bolstered by documented attention to the art form by former French President Jacques Chirac. Additionally, in 2006 the Government of Nunavut hosted events with the French ambassador and dignitaries in both Iqaluit and Pangnirtung. At that time, both the French delegation and the Nunavut delegation made a commitment to work together on cultural events and other initiatives in the tourism sector.

With this initiative on our mind, we collaborated with a gallery in Paris that is an established dealer of Inuit art. They've been in the business for many years, and maintain a permanent mailing list of approximately 1,200 French and European clients. With a small brigade from Nunavut, including an artist demonstrating their talent, we put together an event celebrating Nunavut's culture and art. The results in sales were much greater than expected, with a gallery purchase of $30,500 in the two-day event from the wholesaler. To put this in perspective, the gallery had purchased $32,000 from the wholesaler in the 365 days prior to the event. The gallery reported very significant after the fact retail sales as a result of the advertised event and is purchasing additional art to support this interest.

We are working hard to create new, innovative initiatives to keep the momentum in this market. We recognize that strategic international investment and initiatives are required to keep these interests energized, and therefore insuring a sustainable future for thousands of Nunavut residents. Because the arts industry in Nunavut is a large contributor to the standard of living and the source of income for many residents, an investment in Inuit art is an investment in Nunavut's future.

In conclusion, as a representative of the artist population of Nunavut, NACA's position on this topic is to encourage support for artists, arts organizations, and arts enthusiasts to improve the visibility of Nunavut arts on an international level. International marketing and the exploration of new markets is a way that we can ensure the sustainability of the arts sector for the economy of Nunavut. The arts industry not only provides a source of income for many households in the territory but also is a very important part of the Inuit culture and their history.

We would like to thank you for your time and we'd be pleased to answer any questions. Thank you.

[The Chair, Conservative, Dean Allison]

Thank you very much.

We're going to turn it over to Mr. Arreak, who is going to take the full 10 minutes.

[James Arreak, Chief Executive Officer, Executive Services, Nunavut Tunngavik Inc.]

Ulaakut. Good morning.

My name is James Taqaugaq Arreak. I'm the chief executive officer of Nunavut Tunngavik Inc., which I will refer to as NTI, the Inuit organization that implements the 1993 Nunavut Land Claims Agreement, which I'll call NLCA. The NLCA is a modern treaty protected under section 35 of the Constitution Act, 1982.

Thank you for the invitation to appear this morning. I'm going to speak about the Inuit, Arctic sovereignty, and the NLCA.

As put forward carefully and thoughtfully in the April 2009 sovereignty declaration made by Inuit representatives from around the circumpolar world, sovereignty can carry multiple meanings in law and politics. Without detracting from that proposition, today I'll be speaking about Canadian sovereignty in the Arctic—that is, the sovereign rights of Canada as a whole.

Let me begin by saying that we have welcomed the personal interest of Prime Minister Harper in Arctic sovereignty over recent years. His annual trips to the Arctic have been appreciated. In the pursuit of all domestic and international Arctic policies, it's important that all Canadian political leaders give appropriate attention and weight to the status of Inuit as the aboriginal people of the Canadian Arctic and ensure that Inuit rights and well-being are effectively respected and served.

Notwithstanding the colonialism that marred the historic interaction of Inuit and the Canadian state, Inuit are proud Canadians. For years we have been holding up the Canadian flag over disputed waters of the Northwest Passage. Full and fair implementation of the NLCA must be part of our continuing to do so. In 2011, Minister Lawrence Cannon released the Government of Canada's statement of Canada's Arctic foreign policy. He said:

Canada's Arctic sovereignty is long-standing, well established and based on historic title, founded in part by the presence—since time immemorial—of Inuit people and other Indigenous peoples....

The NLCA was concluded 20 years earlier, and I'm quoting from its preamble:

...IN RECOGNITION of the contributions of Inuit to Canada's history, identity and sovereignty in the Arctic.

Article 15 of the NLCA adds:

Canada's sovereignty over the waters of the arctic archipelago is supported by Inuit use and occupancy;

Let me explain this a little bit. In the early 1970s Inuit hunters mapped where they went and what they did. These maps were aggregated and published by the Government of Canada in 1976. That's where the map I circulated comes from.

The important thing to note from this map is Inuit use and occupancy of Lancaster Sound, Barrow Strait, and the eastern portion of Viscount Melville Sound—the Northwest Passage. The Inuit contribution to Canada's Arctic sovereignty actually goes back many years. In the 1950s a number of families, about seven to eight, from Nunavik were relocated to the high Arctic in part to reinforce Canada's Arctic sovereignty.

In the early 1930s, the Government of Canada cited Inuit hunting as a reason for refusing Norway's request for special access to the Sverdrup Islands, visited 30 years earlier by Otto Sverdrup as a result of whose explorations Norway put forward some claims.

Faced with uninvited transits through the Northwest Passage by the U.S. tanker SS Manhattan, in 1970 Parliament passed the Arctic Waters Pollution Prevention Act. This was an exercise in asserting Arctic sovereignty. This statute was justified in part by the Government of Canada to safeguard Inuit hunting.

Let's move forward to 1985, when Minister of External Affairs Joe Clark announced straight baselines around the islands of the Arctic Archipelago, a legal move to declare as internal to Canada all waters within the baselines.

Mr. Clark said:

Canada's sovereignty in the Arctic is indivisible. It embraces land, sea and ice. It extends without interruption to the seaward-facing coasts of the Arctic islands. These islands are joined and not divided by the waters between them. From time immemorial Canada's Inuit people have used and occupied the ice as they have used and occupied the land.

While they spoke 25 years apart, Lawrence Cannon and Joe Clark seem to have had the same briefing, interestingly enough. Certainly they both drew upon the map you have right now.

For the remainder of my time, I'm going to talk about the NLCA for sovereignty assertion purposes. At the present time the Government of Canada is not making full use of the NLCA because of its failure to implement the Nunavut agreement fairly and fully. It has, at least for the time being, impaired itself from making full use.

Let me give you three quick examples of opportunities missed.

One: in February 2006, we wrote to the Prime Minister suggesting how the NLCA could be used to support Canada's sovereignty in the Arctic. We recommended establishing the Nunavut Marine Council, which is covered in article 15, and the implementation of the general monitoring provisions, outlined in article 12. We focused on these articles because Canada's full sovereignty is in question only in the Northwest Passage, and knowing what's going on—that is, monitoring our territory—is required if we are to persuade others to accept our full sovereignty.

We assumed the Government of Canada would, as matter of urgency, work with Inuit. This has not been the case. Only after we went to court in 2006 have the general monitoring provisions of the NLCA begun to be implemented.

Example 2: in the summer of 2007, the Prime Minister said: “Canada has a choice when it comes to defending our sovereignty over the Arctic.” He said, “We either use it or lose it.” Whatever its political appeal, this statement does not accurately reflect or respect the history or demography of the Arctic or relevant Canadian and international laws. As I said earlier, Inuit use and occupancy of the Arctic has been cited by the Government of Canada since the early thirties to support Canada's historic title to the Arctic and to negate the claims of other states.

Example 3: NTI initiated a lawsuit in 2006 to require the Government of Canada to live up to its obligations in the NLCA. As part of this ongoing lawsuit, in June 2012, Justice Earl Johnson of the Nunavut Court of Justice issued a summary judgment on the government's refusal to implement the general monitoring provisions. He characterized the attitude the Government of Canada as being indifferent toward the implementation of these provisions.

We ask the committee to take three recommendations to the Government of Canada.

First, the committee should recommend that the Government of Canada work with NTI to fully and fairly implement the NLCA, not only as a matter of public and private law and a responsibility to uphold the honour of the crown but also as part of its political and legal strategy to affirm and apply Canada's Arctic sovereignty.

NTI and the Government of Canada are required to negotiate the implementation of the NLCA for the next 10 years. These negotiations provide adequate funding to institutions of public government established through the NLCA to manage natural resources onshore and offshore.

The Government of Canada was obliged to appoint a federal negotiator in July 2012 to begin year-long negotiations toward the renewal of a new 10-year funding cycle beginning July 2013. Despite repeated requests from NTI, the federal government has failed to do so, in ongoing breach of this obligation.

In recommendation number 2, we recommend the full and effective implementation of the Nunavut Marine Council.

Lastly, we recommend full digitization of the maps in the 1976 Inuit land use and occupancy project, which you have in your hands. Currently gathering dust and mould in the National Archives, when digitized this information can be shared with countries yet to be convinced of Canada's full sovereignty over the Northwest Passage.

Qujannamiik. Thank you for your attention.

[The Chair, Conservative, Dean Allison]

Thank you very much.

We have someone joining us from the Yukon Chamber of Commerce. There was a challenge with timing: Ottawa time versus their time. We're going to start with our questions, and when our presenter comes from the Yukon chamber, we will turn it over to her.

I'm going to start with you, Mr. Bevington. We'll start with seven minutes, please.

[Dennis Bevington, NDP, Western Arctic, NT]

Thanks, Mr. Chair.

Welcome to the witnesses. I appreciate your comments here on the issues surrounding the NLCA, in particular. However, I'm trying to put this into the context of the Arctic Council and international relations.

I think the Arctic sovereignty issue is extremely important. How that plays out internationally is of interest to me. From what you're proposing here, say, with the Nunavut Marine council, we know that to deal with ecosystems we're going to have to have relationships with other countries, international agreements on those types of things.

Could you explain how that Nunavut Marine Council would work internationally to promote not only Canada's sovereignty but also the care and protection of the resources?

[Dr. Terry Fenge, Consultant, Executive Services, Nunavut Tunngavik Inc.]

The Nunavut Marine Council is referenced in the marine provisions of the Nunavut Land Claims Agreement. It provides an opportunity to bring together the institutions of public government that were established pursuant to the agreement, and for the Government of Canada and for the territorial government as well, if they wished, to partner and engage with the Nunavut Marine Council. It also provides for that council to address marine issues relating not just to sovereignty but all manner of issues. It would be a northern-based institution with a marine format that the Government of Canada could use to express the engagement and involvement of northerners in managing the northern marine environment. In that regard, it could be quite useful.

It's not going to be useful unless it adopts an extensive agenda. That agenda has yet to be developed because the council has not been established because the Government of Canada has felt for quite a few years and continues to feel unable to provide funding support to establish the council.

[Dennis Bevington, NDP, Western Arctic, NT]

Without funding in place, the work then simply doesn't take place? We don't then have the ability to provide governance over our marine areas in a fashion that would give us some certainty over those areas, even if it may not match to the agreement. Is it just a vacuum there right now?

[Dr. Terry Fenge]

No, that is not what I'm suggesting. We have a wide variety of federal institutions particularly that have marine-based mandates—at least in part.

What we're suggesting here is that through the establishment of the Nunavut Marine Council there could be a very effective partnership between the Government of Canada institutions and those that were established pursuant to the land claims agreement.

It's important that you understand and appreciate that the federal agencies are themselves represented on those institutions of public government that I mentioned, which would be established as part of the Nunavut Marine Council. Let me suggest that this would be an almost unique opportunity to bring together federal interests, Nunavut interests, and Inuit interests into an institution that could effectively represent Canada's concerns and deal with Canada's concerns in the marine environment.

[Dennis Bevington, NDP, Western Arctic, NT]

Changing gears a little bit, one of the issues that is before us on the Arctic Council is the funding of the permanent participants. I think the report that will likely come out of this study will have some kind of recommendation about that—how to enhance the role of the permanent participants on the Arctic Council.

Do you have any suggestions to us? Do you think the Arctic Council itself should be the funding agency and that the countries provide the funds to the Arctic Council so there is a coordination that way?

These are very important questions that we need your kind of input on.

[Dr. Terry Fenge]

I'll have a go at this.

You would appreciate, however, that NTI doesn't have an international mandate. The Inuit have given the international mandate to the Inuit Circumpolar Conference. I think you heard from the president of ICC Canada on the phone in one of your earlier sessions.

However, as some members of the committee know, I have done a great deal of circumpolar and international work, so I'll briefly try to give you a sense on this question.

Ever since the Arctic Council was founded in 1996, the issue of funding the permanent participants has been a live issue. The Government of Canada has been more helpful in this regard than most of the other states. This has to be said and has to be noted. The Department of Foreign Affairs has provided funding. Currently, it's about $125,000 a year to the three Canadian-based permanent participants. However, that is a drop in the ocean if they are to be efficient, effective, and do things.

A group of Canadian and American foundations recently funded a consultant, Mr. Bernard Funston, who also happens to be the chair of the Canadian Polar Commission, to prepare a report and suggestions regarding increased capacity building and funding for not just the Canadian permanent participants but all of them. I would hope the committee might have a look at that report and support the principles that are included within it.

I think the Government of Canada has yet to decide whether it is going to increase its support to the PPs. Certainly, from an NTI perspective, I think we would very much support that.

[The Chair, Conservative, Dean Allison]

Thank you very much. That's all the time we have.

We're going to move over to Mr. Dechert, for seven minutes.

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Thank you very much.

Thank you, gentlemen, for being here today and sharing this information with us.

I'd like to start with NTI and Mr. Arreak.

Mr. Arreak, you took us through the history of Inuit people, their contributions to Canadian history, and their support for Canada's land claims in the Arctic region.

Can you tell me how important you think it is that, for example, Minister Aglukkaq is Canada's chair of the Arctic Council, given her history from the region.

[James Arreak]

As far as sovereignty is concerned, I can speak from the perspective of our being family, because I know that as Inuit we're very fond of this nation. Even some of our leaders have said that we are “first Canadians”, or something like that, which demonstrates that you don't have to convince Inuit to be Canadian, because even though we may have our issues with Canada, the Inuit have really seen themselves as Canadian. They wear that proudly. That's something you can take to the bank pretty much.

As far as Aglukkaq playing the role of chair of ICC, I think that's a major benefit for the nation. You have somebody sitting on the throne that considers herself as “first Canadian” and Canadian first. Where can you go wrong with that kind of situation? I think it's a strength, a strong point for ICC and the nation.

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Has the minister consulted with your organization in the past?

[James Arreak]

Off and on we've had some interactions with Minister Aglukkaq. She often comes north, so we have many different discussions going on, and one of them was the issue of ICC.

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Thank you.

I'd like to ask a question of the Nunavut Arts and Craft Council.

First of all, though, thank you very much for your presentation on the importance of the arts community in the Arctic. I'm personally a fan of Inuit art. There's a store in Toronto at the Queen's Quay Terminal that sells art from that region. I've frequented that shop on many occasions. I hope anyone who hasn't had an opportunity to visit Toronto will go there. You'll see the most incredible art that you just don't see anywhere else in the world.

You mentioned the international markets for Inuit art and some of the things you're doing to help market the art outside of Canada. Could you tell us how you think increasing tourism will affect artists in the region? We all travel and when we travel we love to bring home a bit of the art and culture of the place we visit. As time goes on and tourism increases in the region, I think the appreciation of new art is going to expand around the world. Maybe you could talk about that and what you think needs to be in place to help support greater tourism and greater sales of Inuit art.

[Justin Ford]

As tourism is becoming a stronger and stronger industry in Nunavut, it definitely opens many doors for a lot more sales in Inuit art, particularly in Iqaluit, Rankin Inlet, and Cambridge Bay, the hubs of Nunavut. A lot of sales are happening in the lobbies of the hotels, and in restaurants. There's not a lot of infrastructure right now for safe, accommodating places for artists to sell their work. There are little stores, but there's nothing for the actual artists themselves. For example, a safe place to work is really important right now. Carvers are outside in 40-below weather in harsh conditions, and they're carving with not the safest of equipment. It's rough.

We're working on getting some funding through CanNor for some studio spaces. We have some plans drafted up right now. We're in the preliminaries of getting the funding, going through with it and getting these places built. That's a huge issue. If this infrastructure is set up, the potential goes much further. There are going to be places that tourists can go to purchase the art rather than relying on the luck of the draw when they're walking through the hotel lobby or wherever. That definitely will make a huge impact.

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Very good.

You mentioned that the arts community as a percentage of the total community in the north is one of the largest in the world.

Can you give us a rough estimate of how many people are employed in the industry?

[Justin Ford]

In Nunavut?

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Yes.

[Justin Ford]

Supposedly, there are over 3,000. There are about 700 artists that we have registered as members. We consider them to be active artists, full time, and art is their main source of income.

[The Chair, Conservative, Dean Allison]

Keep going.

Finish off.

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

He's telling me to stop. You can keep going.