International Trade Committee on Nov. 2nd, 2023

[Richard Martel, Conservative, Chicoutimi—Le Fjord, QC]

In light of what we experienced during the COVID-19 pandemic, do you think that Canada is currently able to meet its own needs? In other words, could Canada be self-sufficient if we wanted to be?

[Stephen Parker]

Do you mean can we put out the litres of product we would need for another pandemic?

Yes, I believe that there is Canadian manufacturing capacity. There is no issue with that. The issue is getting the raw materials we need during a pandemic. That was the problem in the last one.

[The Chair, Liberal, Judy Sgro]

Thank you very much.

We go on to Mr. Arya.

[Chandra Arya, Liberal, Nepean, ON]

Thank you, Madam Chair.

Mr. Parker, thank you so much for coming. Your family is quite motivational. This is the fifth generation, you said. Instead of thanking your grandfather or you or others, I think I would thank your son for taking over the business. We need more manufacturing here.

To summarize some of the things you said, you said that you don't invent new products here possibly because of the economies of scale or because of the technical complications involved. That's my understanding. Correct me later if I am wrong.

You also said that about 80% of Canadian manufacturers get products that have been developed elsewhere and manufacture them here. You also said that testing costs about half a million dollars and that there's no shortage of manufacturing capacity here in Canada, but the problem you faced during the pandemic was the availability of raw materials.

If my understanding of all these things is correct, your major solution is very important for the committee to review: that, in the labelling, we should focus more on the end-user because of the knowledge gap that may be there in the end-user who uses the product.

That is my understanding of what you said. My question for you includes two things. One is that Mr. Côté said that Canadian manufacturers need a moratorium, because 80% of Canadian manufacturers use products that are already being invented elsewhere. Do you think that a long moratorium is required?

[Stephen Parker]

Just to clarify, we invent new products, and we have development chemists for that, but we don't invent new disinfecting cleaners.

I think the time frame is very tight. I know that Health Canada did a great job during COVID turning things over. The nicest way I can say it is that they've slowed down on their approvals now.

[Chandra Arya, Liberal, Nepean, ON]

Do you export?

[Stephen Parker]

Not disinfectants. I'm not allowed to do that because selling to the U.S. currently requires EPA, and I don't have that.

[Chandra Arya, Liberal, Nepean, ON]

Are you suggesting, as Mr. Côté suggested, that we need reciprocity with the EPA?

[Stephen Parker]

Yes, but it would be very hard to sell products into the U.S.. It's not only the chemical side of it or the EPA. It's also the logistics side and the legal side. They look at all their states individually, so you have to get registration in each state instead of with one like in Canada.

[Chandra Arya, Liberal, Nepean, ON]

Thank you.

Mr. Kolz, now that you're here as a witness, why didn't you participate in the consultations?

[Gregory Kolz]

I think that's because our membership does not produce biocides.

[Chandra Arya, Liberal, Nepean, ON]

Why are you here then?

[Gregory Kolz]

In this case, the parallels between what we deal with and what our members are producing, and—

[Chandra Arya, Liberal, Nepean, ON]

Okay.

Ms. Bergeron, you did mention that you like science-based regulations. Is there anything in the regulations that is not science-based?

[Émilie Bergeron]

We're not here to talk about the details of the regulations. What we—

[Chandra Arya, Liberal, Nepean, ON]

You mentioned, in your testimony, science-based regulations.

[Émilie Bergeron]

Yes.

[Chandra Arya, Liberal, Nepean, ON]

Is there anything in the current regulations that is not science-based?

[Émilie Bergeron]

I don't know about this particular regulation.

[Chandra Arya, Liberal, Nepean, ON]

Okay. Thank you.

You also said that we have to align with like-minded countries like the U.S. with its EPA. Did you know, under President Trump, there were more than 100 regulations changed, including in the Clean Water Act? Do you still trust the EPA 100% when it comes to regulations?

[Émilie Bergeron]

I think it's something we have to review on a case-by-case basis and when it makes sense, when a country's approach is science-based—

[Chandra Arya, Liberal, Nepean, ON]

The regulations say that for friendly countries—that is basically the EPA—if you are registered there, you are good to use it here. Where does that case-by-case basis come from?

[Émilie Bergeron]

In terms of looking at regulations, I think we have to be very careful in how we approach aligning with other jurisdictions or even, in this case, leveraging decisions. We have to make sure that we're meeting the same level of protection and that the system or the regulation itself is based on the same science—

[Chandra Arya, Liberal, Nepean, ON]

Mr. Harrington, you mentioned that the exports doubled because of the change in regulations. Changing Canadian regulations, did that help Canadian manufacturers to export?

[Gerry Harrington]

Yes.