Evidence of meeting #14 for Natural Resources in the 43rd Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was businesses.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Arun Alexander  Director General, North America Trade Policy Bureau, Department of Foreign Affairs, Trade and Development
Colin Barker  Director, Softwood Lumber Division, Department of Foreign Affairs, Trade and Development
Rosaline Kwan  Director General, Trade Sectors, Department of Foreign Affairs, Trade and Development
Michael Owen  Acting General Counsel and Executive Director, Softwood Lumber Litigation Division, Department of Foreign Affairs, Trade and Development

1:50 p.m.

Liberal

Maninder Sidhu Liberal Brampton East, ON

Mr. Chair, I did say that at the beginning.

1:50 p.m.

Liberal

The Chair Liberal James Maloney

You did say that. That's right.

1:50 p.m.

Liberal

Maninder Sidhu Liberal Brampton East, ON

Yes.

1:50 p.m.

Liberal

The Chair Liberal James Maloney

Thank you for the reminder, Mr. Simard.

If you gave up five minutes, then Mr. Simard—

1:50 p.m.

Liberal

Maninder Sidhu Liberal Brampton East, ON

I gave up four minutes, but I'd love to have my one minute with the minister if you don't mind.

1:50 p.m.

Liberal

The Chair Liberal James Maloney

I'll give you one minute, yes.

1:55 p.m.

Liberal

Maninder Sidhu Liberal Brampton East, ON

Perfect.

1:55 p.m.

Liberal

The Chair Liberal James Maloney

Make it a good question.

February 26th, 2021 / 1:55 p.m.

Liberal

Maninder Sidhu Liberal Brampton East, ON

Awesome.

Thank you, Minister, for being here with us today. I want to take this opportunity to thank the whole department for the hard work they're doing.

I know that you've been working hard through our trade agreements and working hard to support the forestry sector because it's an extremely important sector here in Canada. As you mentioned, it's $23 billion of our GDP.

Minister, how are we helping the forestry sector tap into the 1.5 billion customers globally through our trade agreements? Can you answer quickly and provide some insight on that?

1:55 p.m.

Liberal

Mary Ng Liberal Markham—Thornhill, ON

Well, I already talked about the trade commissioner service, so I won't go there, but CanExport is a terrific program. It's a program that actually helps our Canadian companies get the support they need to grow into international markets, helping those companies, particularly small and medium-sized businesses. There are so many of these businesses that are being created and that are innovative, that are developing new products, new bioproducts. Take a look at PPE during this pandemic and how important this sector has been in providing for those products.

Helping those businesses grow and get access into those international markets—a billion and a half customers in the international markets—is what we are absolutely committed to doing. In fact, not only are we committed, we've taken action on it, and we are seeing businesses growing. We're seeing businesses grow in places like Taiwan, Japan, the Philippines, Australia and Italy. We're seeing investment come in from Belgium and from—

1:55 p.m.

Liberal

The Chair Liberal James Maloney

Thank you, Minister.

In fairness to Mr. Simard, he's right. We have to honour the commitment.

1:55 p.m.

Liberal

Mary Ng Liberal Markham—Thornhill, ON

Yes.

1:55 p.m.

Liberal

The Chair Liberal James Maloney

Thank you for the reminder, Mr. Simard.

I apologize again for interrupting, which means the floor is yours, Mr. Simard, for two and a half minutes.

1:55 p.m.

Bloc

Mario Simard Bloc Jonquière, QC

Thank you, Mr. Chair.

Minister Ng, I just want to describe a scenario that thoroughly illustrates the issue with trade agreements.

A company that engages in primary wood processing can't access the Canada Economic Development for Quebec Regions, or CED, programs because this activity is deemed non-compliant with trade agreements. As a result, if the company applies for a grant from CED, it must turn to Global Affairs Canada. However, the company's application is consistently denied.

Some companies that engage in primary and secondary processing are also denied CED assistance. I don't know whether you're aware of this situation. However, for the economy of several regions of Quebec, this has a devastating impact on the forestry sector.

Would you be willing to discuss this issue in order to find a solution?

1:55 p.m.

Liberal

Mary Ng Liberal Markham—Thornhill, ON

Thank you for that important question.

As an example, we provided $4.5 million of investments in Sherbrooke to develop new products in the bioenergy from our forests. We have announced more than $600,000 in Abitibi to promote further economic opportunity for indigenous communities in the forest sector in Quebec.

I work as the minister responsible for Crown corporation agencies that are there to support the growth of Canadian companies through capital, whether it's through the Business Development Bank or Export Development Canada. We put a team trade approach for our Canadian businesses. I see that helping wood pellet manufacturers in Quebec—

1:55 p.m.

Bloc

Mario Simard Bloc Jonquière, QC

Yes, I understand.

1:55 p.m.

Liberal

Mary Ng Liberal Markham—Thornhill, ON

—to distribute and to grow into Italy.

These are a variety of supports, but my commitment to put team Canada trade to our businesses to grow and create jobs in Canada, and certainly in Quebec, is absolutely my top priority. In fact, it's the mandate given to me by the Prime Minister.

1:55 p.m.

Bloc

Mario Simard Bloc Jonquière, QC

I understand, Minister Ng.

Let me give you a quick example. There's a market development program—

1:55 p.m.

Liberal

The Chair Liberal James Maloney

Mr. Simard, I hate to tell you, but your time is up.

1:55 p.m.

Bloc

Mario Simard Bloc Jonquière, QC

Okay. I can come back to this later.

1:55 p.m.

Liberal

The Chair Liberal James Maloney

Mr. Cannings, it's over to you.

1:55 p.m.

NDP

Richard Cannings NDP South Okanagan—West Kootenay, BC

Thank you.

I'll start off by reiterating the importance of the damage that the high tariffs are doing, and the resulting high prices in North America because there's such demand. The tariffs are not just damaging businesses here in North America, but they're also stimulating imports from Europe, from Romania, Germany and Scandinavia. They are now finding their products are cheaper so that they can bring them to North America.

There's a company in Penticton that builds pine shelving. When it's servicing the eastern part of its market in North America, it imports from Romania. This is something we have to deal with very quickly.

When a deal is signed—let's hope—will there be a mechanism to bring not just the tariffs back to Canada, but also some way to help those small companies, not just the big companies that had to actually pay the tariffs? It's the small companies that work for them that have been really suffering off and on over the years as things go up and down. Those companies really have been hit hardest. A lot of them have gone out of business or have suffered. Is there a mechanism to help them?

2 p.m.

Liberal

Mary Ng Liberal Markham—Thornhill, ON

Thank you so much for that question.

As the minister responsible also for small business, I have an absolute commitment and priority to ensure the viability of Canada's small businesses in all sectors, and particularly here in the forestry sector, to ensure that, certainly during COVID-19, they have the supports they need.

Underlying that, we have an opportunity to also help those businesses grow and anchor that growth in Canada, to create really good jobs in Canada and to access those international markets.

Yes, we have a commitment to work with the United States so that we can pursue a negotiated settlement, defend the interests of Canadian softwood lumber with vigour, and certainly help with that diversification in supporting the growth of this incredible Canadian technology and environmentally sustainable capability for these Canadian small businesses.

I think it's all of those things that will ensure a competitive and vibrant sector. That can only be good for Canadian workers.

2 p.m.

Liberal

The Chair Liberal James Maloney

Thank you, Minister, and thank you, Mr. Cannings.

2 p.m.

NDP

Richard Cannings NDP South Okanagan—West Kootenay, BC

Thank you.