Thank you, Mr. Chair, committee members and colleagues.
I'd like to thank the committee for the invitation to contribute to the study under way. My name is Bradley Young. I am the executive director of the National Aboriginal Forestry Association. I'm also a citizen of the Opaskwayak Cree Nation in northern Manitou Api. I would like to take this time to recognize the traditional territory of the Algonquin first nations, Kichi Sipi Aski, otherwise referred to as Ottawa.
First, to give a little background on NAFA, we are a non-governmental, first nations-controlled organization focused on indigenous forest stewardship and associated economic development. Over 1,200 indigenous forest sector businesses and over 15,000-plus full-time employees comprise the indigenous forest sector. Maybe it's 30,000 now. In Canada 80% of first nations communities call the forest home. This is where the indigenous forest sector comes from, and NAFA works hard to support it.
I'll turn now to the business at hand. The indigenous forest sector is supported by ISC and CIRNAC economic development programs. However, these economic development funds are spread over 633-plus first nations and their myriad of business entities. Indigenous forestry projects must compete for space in the program with all other sectors of economic activity. The other major support is Natural Resources Canada's indigenous forestry initiative. We suggest modernization of both these budget line items with sector-specific fairness as a principle.
ISC and CIRNAC economic development budgets should be increased by a minimum of 15% to address the historic underfunding of economic development. The indigenous forestry initiative should be renewed at $12 million per year, at a minimum, for five years, from the current $6.6 million per year for three years. Both of these programs suffer from substantial underfunding and oversubscription, from our perspective.
We have followed some of the committee's work on these matters. We remind Parliament that the indigenous forest space communities suffer from unemployment numbers ranging from 50% to 90%. The employment, capital attraction, manufacturing and tax-based maintenance that the indigenous forest sector anchors are absolutely vital for the rural and northern regions they operate in. We also note that many funding envelopes across many other departments contribute to indigenous natural resource development initiatives in part. We suggest that these programs continue to be supported but that we do not forget about the indigenous forest sector, including it as a discrete silo in their eligible sector program and project criteria.
We also take note of the Inflation Reduction Act in the U.S., including the $20 billion over a number of years for American tribal renewable, green and climate change transition projects. This should be studied carefully. Relative supports and time horizons for Canadian indigenous nations, including the bioeconomy, should be considered. The indigenous forest sector has something to add to each of these.
Sectorally, many forest management firms and smaller manufacturing mills are family-run small or medium enterprises. They are greying and rusting, and need fresh capital and energy to operate into the future. Most of their kids and grandkids don't want the businesses. NAFA is advising that a national major indigenous forest sector projects envelope to convert these grey, rusty enterprises into green operations, owned and operated by indigenous groups and entrepreneurs, be established. BDC, EDC, the Canada Infrastructure Bank and related provincial structures for the necessary major capital and finance support resources, along with other indigenous economic development programs and funds for project feasibility and development, should be oriented or reoriented around this pressing structural problem in Canada's forest sector.
Importantly, all working forest businesses, including manufacturing facility projects, should be eligible. With foreign-owned interest, some friendly and some not, circling our natural resources, there's good security rationale behind this suggestion as well. With 10% of Canada's fibre basket under indigenous commercial management now, manufacturers and forest sector businesses continue to emerge and grow.
Supporting indigenous trade missions to take advantage of our progressive trade agreements, such as IPETCA, APEC, CETA, CUSMA and others under negotiation, will also be vital.
Can we start thinking about an Indo-Pacific indigenous forestry trade mission? How about Africa? Non-indigenous industry and indigenous groups in these economic blocs have requested Canadian indigenous forest sector trade missions in the past five years. As of yet, they have largely been unanswered.
Meegwetch.
[Witness spoke in Swampy Cree as follows:]
Hay hay, nânaskomitin môniyâsak, okimahkânak, êyikoni kahkanaw niwahkômâkanitik anishinaabeg, nêhiyawak, iniwak.
[Swampy Cree text translated as follows:]
I thank you, white people, chiefs and my relatives, Anishinaabeg, Cree, indigenous people.
[English]
Thank you very much, non-indigenous leaders, and also, thank you to all my colleagues and all my indigenous relations.