International Trade Committee on April 20th, 2016

[Terry Youzwa]

Being so far from port, competitiveness and the cost of freight are certainly critical issues for us. We certainly are not interested in producing more for less. We see valuable opportunities, and we need the ability to get our product to market position, cost competitively. Yes, transportation is very important to us.

[Karen Ludwig, Liberal, New Brunswick Southwest, NB]

Is there anyone else?

[Tim Wiens]

I'm sure you realize that we farmers are not just sole-commodity producers. What affects one commodity affects all of them. What affects canola affects pulses and barley. We are very much based on trade. Whatever we can do to get our products to market most efficiently is very important to us as farmers.

In reality, a very significant portion of what I produce on my farm gets exported overseas. I don't know who the customer is because there are people in between us. To make sure that the process flows freely and that trade flows freely is very important to me as a farmer.

[Karen Ludwig, Liberal, New Brunswick Southwest, NB]

In Ottawa, we actually had a presentation in my office by the cattlemen's association and they stressed, significantly, the phytosanitary implementation challenges. How can we improve that going forward, regardless of which market we're going into, in terms of the harmonization with CFIA and CBSA?

[Ryan Beierbach]

I guess we've really seen that with the CETA agreement. It looked like it was going to be really beneficial, but since it's been signed we've had issues with them not accepting the things we do to make the beef safer. I guess that's something that needs to be looked at right from the start of the agreement.

To me, in the Japanese market, that would be less of a concern because we already send beef there. It's just the tariff that restricts us, especially having a higher tariff rate than Australia. That's where it's more of a problem. For CETA, there should probably have been more of a focus on making sure they accepted the things we do that actually, I think, make beef safer than the way they would rather have us do it.

[Karen Ludwig, Liberal, New Brunswick Southwest, NB]

On the flip side then, if we're looking at an increase in imports—because obviously the member countries also have an opportunity for importing—will that present a problem, or will CFIA be able to control the quality of the imports?

[Ryan Beierbach]

I guess what it comes down to is that CFIA is responsible for the health of Canadian citizens, so they have to be able to make sure that it's safe food, but what goes one way goes the other as well. Just because they do it differently doesn't make it unsafe.

[Karen Ludwig, Liberal, New Brunswick Southwest, NB]

My last question is actually a large question. From across the country, often what I hear from people in the audience, or even people in my riding, is related to a concern for human rights and the environment. How do you put together the opportunity for exports with the enhancement of the environment and human rights in the member countries? I open the question.

[Ryan Beierbach]

From what I've seen, especially here, and in my perception of other countries, is that when you are more profitable, it gives you the opportunity to do things right. When I look at countries that are struggling to be viable, that's where they'll cut corners that do damage to the environment or adopt poor human rights practices. Things that benefit their economy will improve what they do with the environment and with human rights.

[Karen Ludwig, Liberal, New Brunswick Southwest, NB]

Okay. Thank you.

[Janice Tranberg]

I might also add that I was just in Colombia for a couple of weeks, and the poverty I saw really affected me. I had never seen poverty like that before.

What I thought was interesting is that I also see them as being really influenced by media and what happens here in North America and what happens in Europe. I think that as we create regulations, as we import and export, we are influencing their attitudes, so we have to take the responsibility to make sure that what we do is safe not just for Canadians, but I think globally.

[The Chair, Liberal, Mark Eyking]

Thank you.

Time's up. There were some good questions there.

We're going to start the second round with the Liberals, with Mr. Fonseca.

Go ahead, sir, for five minutes.

[Peter Fonseca, Liberal, Mississauga East—Cooksville, ON]

Thank you, Chair.

Thank you very much for your excellent presentations and for making so crystal clear for us the positive impacts that TPP and other trade deals we're looking to negotiate would have on your industries.

You are so global, and you've brought us a perspective on how global you are and what trade means to all of you. We've heard this right across, from all the presenters we've had in the other provinces from your industries. You're very consistent in terms of what you're looking for.

I was glad you were able to quantify, through Mr. Ritz's question, the number of jobs the TPP would produce in canola and some of the other industries in the supply chain.

What I'd like to know, because you're so global and have—excuse the pun—your pulse on what's happening around the world, is how you stay on top of those opportunities and threats that are presenting themselves globally. How do you do that today?

I can take you back. As TPP was presenting itself in the world, how were you on top of it to know what was happening and then engage with government? Did the government engage first with you, or did you call up government and say, “Listen, we have to get on top of this”?

If you could, take me through that. When did it happen? Give us some insight.

[Terry Youzwa]

That's why we belong to organizations, so that we can empower the organization's staff to do the diligence every day to help us lobby effectively. That's a meaningful part of it. We will also inform ourselves in many ways, whether it's through Twitter or knowledgeable expertise that we hire to assist with marketing. Whatever it is we need, we will access in a multitude of ways.

Seriously, when it comes to government, we're very interested in working through our organizations and hiring staff to do the diligence required to present ourselves in a manner that is appropriate and address those issues—and we will go to government.

[Janice Tranberg]

I might add that this gives us strong play for your market access secretariat. We work very closely with government. It will often be us bringing forward issues, but we have strong support for the secretariat and the work they do going out to the other countries.

[Ryan Beierbach]

Speaking from the cattle industry's perspective, the Canadian Cattlemen's Association has an office in Ottawa. The way I understand it, at the start Canada wasn't part of the TPP, and with Japan being one of our priority markets for Canadian beef, the cattle industry made sure that we showed the government at the time that it was very important that we be part of the TPP, especially with the United States, our key market, being one of the countries that was in at the start of the TPP negotiations.

We probably went to government first and said we need to be part of this, and we have always, even before that, said that Japan is a key market and that whether it's a bilateral or multilateral agreement, it's very important that we be part of it.

[Peter Fonseca, Liberal, Mississauga East—Cooksville, ON]

It's really important that we be strongly engaged with all industries and that we get the signals about what is happening globally, because what we have heard is that we were late to the table when it came to the TPP and that this has affected some of the other industries or stakeholders whom we've been able to speak with.

We're just trying to see how we can do it better, going forward with international trade.

Do you think there's a best practice or a different way that we can do it as government, in terms of our engagement?

[Tim Wiens]

There are two ways of looking at trade and when trade irritants happen. The first is when something happens and you reach out in a crisis situation; then you have to start talking government to government.

But there is a proactive, long-term way to look at it, saying, these are the markets we want to access and these are the things we have to learn before we get there. That is the rule for both government and national organizations, which we all represent. We have to work together, because in the end we're Canadians exporting to other countries. We're not individual producers. We are Canadians who are exporting to a different country, and we have to work together.

[The Chair, Liberal, Mark Eyking]

Just a short answer would be appreciated.

[Ryan Beierbach]

Okay.

I guess the Canadian Cattlemen's Association in Ottawa is there and available to government. We have our priority markets set out, so it's pretty simple to ask, and we can point out what benefits there would be for our industry.

[The Chair, Liberal, Mark Eyking]

Good. Thank you. That wraps up that time.

We have time for one more questioner. I'll leave it to Mr. Hoback, who lives not far from here.

It's great to be in your neck of the woods here, Mr. Hoback.

[Randy Hoback, Conservative, Prince Albert, SK]

You're seeing Saskatchewan first hand, which is nice to see. It's nice to have the committee here, Chair. I think these people really appreciate your being here.

[The Chair, Liberal, Mark Eyking]

You go ahead, Mr. Hoback for five minutes, and that wraps it up.

[Randy Hoback, Conservative, Prince Albert, SK]

It's great to see you guys here this morning and just to hear about how important trade is to your industries. I think back to the days not so long ago when there were no young farmers coming back to the farm gate; everybody had given up hope. Then all of a sudden we have seen some market movement—we have marketing freedom for wheat, for example—and we've seen a lot of research and development done in the pulse sector.

Maybe that's where I'll start off, with the research and development sector. As we go into these new markets, what are you doing for research and development to make sure you're getting the product that they want?

I'll start off with the pulse growers and then move over to the beef side.

[Tim Wiens]

Well, Mr. Hoback, one thing I think we have to do is analyze what the market wants and then work with the people in that area. We have initiated some research projects in China already, looking at food ingredient use in their food products. The TPP would offer the opportunity to expand this into other countries as well. It's not just one part in Asia.

But you have to look at what the market wants and at whether we can supply it and actually produce it here. If we can get the value added on this side and ship value-added product over there, that's even more important to Saskatchewan.