International Trade Committee on April 14th, 2008

[Jim Abbott, Conservative, Kootenay—Columbia, BC]

I hope you won't be offended if I tell you. You won't be offended? Do you promise? It's because Canadians take a long time to reach a decision, to make a decision.

[Ed Fast, Conservative, Abbotsford, BC]

You can actually increase the speed at which we make those decisions. Canadians are very cautious people. We like to make investments that pay dividends; however, there must be something getting in the gears here that discourages us as Canadians from investing in your country.

[Jim Abbott, Conservative, Kootenay—Columbia, BC]

Precisely. I assure you that once we have an aviation agreement and don't have to go through the U.S., but have a direct flight so that you can go to Panama directly and get to know the canal and visit our country and realize that you can do business with us, then you will make a decision very quickly to do business with Panama.

[Ed Fast, Conservative, Abbotsford, BC]

I notice that in 2006 an agreement was signed between Export Development Canada and the Republic of Panama with respect to the canal itself, and I believe it will open the doors to Canada being part of investing in an expansion of the canal. Clearly that is an opportunity for us to boost our investment in your country.

Could you expand on that a little bit?

[Jim Abbott, Conservative, Kootenay—Columbia, BC]

That's right. As a matter of fact, last Thursday EDC senior vice-president Benoit Daignault was in Panama. EDC has been present in the international trade meetings at the ministry, encouraging trade with Panama. I believe he will bring back a report about what Panama is like and what should be done with Panama. Mr. Keddy knows this. There are companies, such as Irving, that have been selling tugboats in the Panama Canal. Irving was selling tugboats. Now, why don't these go in as a direct investment? Well, it's because this goes through international bidding. Irving sells tugboats at the Panama Canal through bids, so it's not a direct investment, but that doesn't mean that Canada isn't present in Panama.

Scotiabank is present in Panama, but it has been there for the past 33 years, so it doesn't matter whether Scotiabank has been there or not between 2002 and today, because it has been there in any case for the last 30 years. If their deposits grow in Panama, that growth doesn't count as direct investment, because Scotiabank has been in Panama for the past 33 years doing business. Do you understand that?

So it's difficult to measure how many Canadian companies are present in Panama. For example, in the Panama Canal, the lights we use in the locks are Canadian, but they were purchased through a bidding process, not through direct investment. All the french fries that are sold in Panamanian hotels are McCain french fries. All the frozen meat sold in Panama, pork and beef, is also Canadian, but it's not a direct investment.

So who do we have to take to Panama? SNC Lavalin, the mining companies, the construction companies: those are the companies that have to be attracted to Panama. And that has been my mission: to be here and to take companies to Panama so that they get to know Panama; and to try to close an aviation agreement so that we can have a direct flight and thereby not have to fly through the U.S. but be able to fly directly, Canada-Panama.

That's why we grew in the tourism area. We used to carry 7,000 passengers. Currently we transport 55,000. I rest my case.

[The Chair, Conservative, Lee Richardson]

And it's a good place to end. I think you have convinced us, and we look forward to the visit.

I want to say, in conclusion, how much we enjoyed your visit today, and also to thank you for the assistance that you and your embassy have given us in the preparation. It's not a long visit to Panama, but we're looking forward to it and appreciate the advance today. Thank you again for coming.

With that, ladies and gentlemen, the meeting is adjourned.