Evidence of meeting #139 for International Trade in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was businesses.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Christine Fréchette  President and Chief Executive Officer, Chambre de commerce de l'Est de Montréal
Raphaëlle Mandelbaum  Director, Export Assistance, Chambre de commerce de l'Est de Montréal
Gary Stepien  Finance Manager, Iafrate Machine Works Ltd.
Gerald Fowler  President and Owner, Manna International Inc.
Terry Sheehan  Sault Ste. Marie, Lib.

4:30 p.m.

Liberal

The Chair Liberal Mark Eyking

Thank you.

We're going to the Liberals now. Madam Ludwig, you have five minutes.

4:30 p.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

Thanks to all of you for your presentations today.

I'll start my questions with you, Mr. Fowler.

I also taught international trade. My background for you would be this: Did you ever hire any of your graduates?

4:30 p.m.

President and Owner, Manna International Inc.

Gerald Fowler

No. They all, or 90% of them, went into exporting businesses, but not locally. Some went overseas and some went to other parts of Canada.

4:30 p.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

When you were teaching, did you teach any of the FITT courses?

4:30 p.m.

President and Owner, Manna International Inc.

Gerald Fowler

No. It was a bit of a variable, because the school asked me to teach it but it didn't have any structure. We actually just sat around. We went through a textbook they gave us, but we tended to study more on the practical experience side. We didn't do anything overly structured.

I don't think I taught it very well, to be honest with you.

4:30 p.m.

Voices

Oh, oh!

4:30 p.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

I'm sure you did. I think you're probably just very, very humble.

We hear from a number of small businesses on the challenges of really accessing and becoming more aware of the services. I probably am more biased than most, but I do think that our post-secondary students are really an untapped market. They often can do the homework and the research and the reports that small business owners and operators don't have the expertise on; they don't know what they don't know.

4:30 p.m.

President and Owner, Manna International Inc.

Gerald Fowler

That's right. We ended up with that group, with about 10 or 12 in the class, because the majority of them were fascinated by exporting. They wanted to stay involved, but there was nothing local to do there, practically speaking. So we set up this organization where we provided those services free, because it was government-funded, for local organizations that were interested in exporting but didn't have the means to get from the starting gate to the finish line. We would provide those services for them on a custom basis.

I think the challenge is that exporting isn't a cookie-cutter thing. The principles stay the same, but the application of those principles varies from industry to industry, sector to sector, and actually country to country.

4:30 p.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

Great. Thank you.

My next question is for the chamber of commerce.

I really appreciated your input today. I've always found that in the teaching business, and also from being a business owner, the closer we get to the ground level, the more people can relate to those who are offering information. As we have heard at the committee, a lot of small businesses don't know anything about trade commissioner services or EDC or BDC. We have heard from Startup Canada and others.

I'm wondering, ladies, if you could let us know how you are making your members aware of services or workshops that are out there.

I don't think you can actually see this, but this is a workshop I was at yesterday. It gave a list of links. If we were to provide you with that type of information, would that be of value and how could you disseminate that to your members?

4:30 p.m.

Director, Export Assistance, Chambre de commerce de l'Est de Montréal

Raphaëlle Mandelbaum

Of course. We will take any information available that you can share with us.

We are quite active, and I'm on the federal government's website every day. Our last newsletter, published last week, featured the federal government's new page on the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. We refer our clients directly to federal government services.

There is also the Canada Tariff Finder tool, which was created two years ago and which we have shared with our clients. When we meet with them we obviously talk about the services offered by the federal government. For example, we help businesses fill out applications for grants under the CanExport program. We do these kinds of things every day.

4:35 p.m.

President and Chief Executive Officer, Chambre de commerce de l'Est de Montréal

Christine Fréchette

We would be happy to do more if new tools become available.

4:35 p.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

Great. Thank you.

Do I have more time?

4:35 p.m.

Liberal

The Chair Liberal Mark Eyking

[Inaudible—Editor] whatever you want to do.

4:35 p.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

I can give that to Peter.

4:35 p.m.

Liberal

Peter Fonseca Liberal Mississauga East—Cooksville, ON

Am I up next?

4:35 p.m.

Liberal

The Chair Liberal Mark Eyking

I'll give it to you when it's your turn. How's that?

We'll move to Mr. Allison.

4:35 p.m.

Conservative

Dean Allison Conservative Niagara West, ON

Thirty seconds: That will get your question in there.

Thanks to the witnesses for being here today.

I have just a quick question for you, Gary. Thanks for coming here. You are from Niagara, from Thorold, right? Great.

Talk to me about this. I know this isn't on tariffs, but I want to know where you guys are today in your company in terms of tariffs and surtaxes. Are you guys working through that? Are you guys struggling with that?

4:35 p.m.

Finance Manager, Iafrate Machine Works Ltd.

Gary Stepien

We're down eight people.

4:35 p.m.

Conservative

Dean Allison Conservative Niagara West, ON

As a result?

February 26th, 2019 / 4:35 p.m.

Finance Manager, Iafrate Machine Works Ltd.

Gary Stepien

It's because our customers are struggling, shipping into the States. We're down eight people.

4:35 p.m.

Conservative

Dean Allison Conservative Niagara West, ON

Eight people out of how many?

4:35 p.m.

Finance Manager, Iafrate Machine Works Ltd.

Gary Stepien

We started with 60. Now we're at 52.

4:35 p.m.

Conservative

Dean Allison Conservative Niagara West, ON

Okay.

Has the thought of the new USMCA or CUSMA, or whatever we want to call it today, provided any certainty, or is it really just the tariff issue that's kicking your butts?

4:35 p.m.

Finance Manager, Iafrate Machine Works Ltd.

Gary Stepien

Well, it's the tariff issue, because even though we have the remission now, for whatever reason our customers are struggling. They've seriously cut back on their purchases from us, because they're facing issues selling into the American market that they have never faced before. Whether it's an image issue, a Buy America thing or whatever, I don't know, but we're down eight people.

4:35 p.m.

Conservative

Dean Allison Conservative Niagara West, ON

Yes. I guess the Buy America supplements that Mr. Trump has been talking about may, you feel, affect us again, rather like a double hit.