Mr. Speaker, as a Quebecer and as the member of the Bloc Quebecois representing the riding of Longueuil, I am pleased to take part in this debate on the bill to implement the World Trade Organization Agreement. In my remarks, I will rely on my personal experience.
I worked in the business sector for 15 years. I owned a small business that employed about 25 people. I was also the president of a company in the wholesale business with some 30 employees and president of the Chamber of Commerce of the South Shore of Montreal, the third most important chamber of commerce in Quebec. During the same period, I sat as director on the board of a credit union. I say all that just to show that most business people in Quebec are deeply involved in their community, just as I was, and can be pressed for time.
It is sometimes difficult for them to deal with international matters. I am proud of my deep involvement in the business sector, because it is a marvellous and exciting sector. Business people are constantly looking for means to improve both management and productivity. It is a world of constant change and inventiveness.
As a businessman and a politician from Quebec, I am delighted at the new opportunities that will flow from the new GATT.
Business people, through trade, will also get to know each other better and probably become the best instrument for achieving a more lasting peace in the world. So the Uruguay Round and Bill C-57 are important steps, as I have just mentioned. Today, the globalization of markets creates important and increasing opportunities. Businesses have to be more and more efficient.
Businesses need a flexible and efficient framework regulating trade as well as credible dispute-settlement mechanisms. Businesses must be able to count on the co-operation of enlightened government partners as well as unions sensitive to the economy. Businesses need laws and rules adapted to this new environment.
The Uruguay Round negociations will lead to an increase in international trade. Some statistics put the increase at $750 billion over the next 10 years. The amount of money flowing from one country to another is potentially enormous on the international level. So we must carefully watch this increase in international trade. This will also bring about an increase in total wealth of some $200 billion.
Here also, people will be richer, they will be able to spend more and they will have a greater potential for doing so. With Bill C-57, which implements the accord in Canada and Quebec, what are the stakes for Quebec, what is the importance of trade for Quebec? Quebec has a long commercial tradition. The history of our people is marked by trade.
Fur, fish and softwood trade has been the backbone of our economic development for the last four centuries. Today, we still export softwood, newspaper, electricity, aluminum and communication services. The last thirty years have allowed Quebec to open to the world.
The increase of international trade in Quebec is important and, of course, we have established some bases in other countries. We have several offices in several major cities of the world, in the United States as well as in Europe. Even in Japan, we have trade commissioners, so that Quebec is remarkably open to the world, and we will continue to work in that direction.
Quebec is very open to the world. Here is an example that happened not too long ago. In 1988 the government had a free trade project with the United States. Quebec was one of the first to support free trade. Free trade was supported almost unani-
mously, certainly by the Quebec Liberal government, the Parti Quebecois and the vast majority of Quebecers.
Of course, at that time, federal Liberals were against free trade. Over time, they finally understood, but I can tell you that it was a never-ending battle, particularly during the 1988 election, which was mostly based on free trade. Unions were also against it because they were supporting the NDP. But now, they have changed and are starting to understand that free trade with the United States is a good thing, that world market liberalization is a good thing for most businesses.
Quebec also supported the latest agreement, NAFTA, between Canada, the United States and Mexico. Once again, that demonstrates that Quebecers are very open to world markets. I will now talk about Quebec's openness towards the coming of new partners in NAFTA. Quebec, a growing society, has become a partner which is credible, efficient and well respected not only in North America but also in Europe. More and more businessmen and businesswomen in Quebec are active in international trade. Quebec needs a legal framework in order to develop its export industry. International trade is a challenge for business people in Quebec. There are numerous and daily challenges in the business sector but international trade is even more demanding.
There are some aspects to be considered. First, the financial soundness of the company. Before considering the export related costs, we have to assess all the costs in terms of prospecting and distribution network. For instance, as far as foreign accounts receivable are concerned, we have to take into consideration customs clearance and exchange rates.
Second, the control of production costs. Can the production be done within the timeframe without altering services provided to local customers who bring in our daily bread and butter?
Third, staff qualifications. Is the staff fully qualified to meet the demand? In terms of foreign languages, legal and technical vocabulary, business networks, financial support agencies, market, traveling, etc., can we train current staff? Should we hire qualified staff or people abroad?
Fourth, the marketing instruments. Before investing in marketing activities, a company should get some information on the way of doing things in the country with which it intends to do business.
Fifth, the expectations of customers. Check if the product or the service you wish to export meets the expectations of our new customers. International trade is a complex matter, hence the importance of trade agreements and mechanisms necessary to their implementation.
The role of governments. International governments, the 108 governments party to the agreement must first establish a framework for international trade; negotiate trade agreements furthering the access to new markets as well as preserving harmony and balance; eliminate barriers to international trade. The Uruguay Round satisfies those requirements to a great extent.
Sixth, business support. I believe the government should keep a close eye on the performance of businesses, their needs and the different matters that I have already mentioned, for example a certain guarantee concerning accounts receivable. When you export, collecting bills can be a difficult thing. The government should establish some sort of guarantee. That already exists for larger companies but it becomes very difficult and costly for small business, small and medium-sized firms. Governments should create a fund that would guarantee accounts receivable for small and medium-sized firms wishing to export.
There is also the issue of loans for the promotion of our products. It is often very difficult for small firms who have excellent products to export them if they do not have the necessary cash flow and it is often difficult to obtain it from the banks. Measures should be taken to ensure provision of funds for the promotion of our products. These funds would not constitute a gift but would rather be a loan guaranteed by the government or by independent insurance companies or others. Such a fund should definitely be set up to promote our products on foreign markets.
There are also trade bureaus abroad that are dynamic and available, people who are very willing to help our small and medium-sized businesses wishing to export and to develop markets. Public servants often lack drive. There is a lot of diplomatic talk, but when the time comes to do business, it is considered inappropriate. But I believe that the best way to survive is to do business, especially in these very open markets. It will really be necessary to support our businesses, to at least give them the information they need about the culture and the economy of those countries, the way they do business, all kinds of information that is available to the staff of the Department of Foreign Affairs and that could be useful for small and medium-sized businesses.
Because it is important I want to focus on an area over which Quebec has been claiming exclusive control for a long time, manpower training. We shall have to really consult each other, to try to be as efficient as possible and to train highly advanced people in order to be able to produce, create, be productive, to have adequate manpower, etc.
This is a very important point. I read in L'actualité of September 15 an article I found interesting. I knew a little bit about it, because when I was chairman of the Committee on Science and Technology we toured Europe. I had been struck by the dynamism shown by the Germans in the area of training in
science and technology. Scientists I met there were utterly different from the scientists here; they acted like car salesmen. They were extremely energetic and, what is extraordinary, they had business acumen.
In the article I was mentioning, Sylvie Halpern writes: "A small town of 15,000 inhabitants can have its own technical school, provided there is some industry and specific needs for specialized manpower. The financing comes from the Lander, the 16 administrative regions of Germany".
In Germany, the regions are responsible for vocational training. The federal government does not tell the regions what they need in terms of training, they each look after the needs of their area. It is said that Quebec and Ottawa quarrel about that. I should have said at the start: "Here is a model that works, the German model".
This system has been in existence in Germany for a long time. They decentralized manpower training long ago, and they did it in a way which is more responsive to the needs of business.
Here is another interesting excerpt: "The strength of the German technical colleges resides in the fact that students come and go constantly". I must say that in the vocational schools, even in the schools of high technology, students share their time between the workplace and the classroom. They put to use what they learn and are much more capable and efficient when they get on the work market. This way, products are better, productivity is greater, etc.
It is also reported that: "Technical colleges are a new type of university focusing on practical abilities". That is what they do. The report says we simply must be more practical in what we teach instead of teaching vague notions, horizontally. We must be closer to businesses and focus more on their needs. It will be necessary.
It goes on to say: "About 800 industry professionals teach in these institutions". Their teachers are not people who know nothing of the industrial environment but only big principles learned in books. They are people who work in the industry and are well-acquainted with this environment.
What I mean is that manpower training must be managed by Quebec, by businesses and even by those regions with highly specialized sectors. This is the only way we will become truly productive and be able to meet the competition from other countries in a global economy. I support the opening of markets, but, at the same time, we must ensure that our labour force, be it technicians, managers or business owners, is adequately trained to compete on the world markets.
Germany is an excellent example of this. I even took the trouble to send a copy of this article to Mr. Garon, the new education minister in Quebec, for him to read.
It bears to be repeated. We will never repeat it enough because the federal government is so stubborn. We have been talking about it for the past 20 or 30 years, but during all that time we have been falling behind. That is why we have to repeat it again and again. I wonder if we will ever succeed. The federal government is so pig-headed and, as you know, it wants to keep its spending power all for itself so that it can tell Quebecers: "Look, if I had not been here, this would not have been possible". That is the idea, you see. This is not logical, this is not practical. This is not the right thing to do. But what the federal government is saying is this: "I want to impose my will. I want to prove that I am important. If I were not here, you would not be able to succeed". And herein lies the misconception.
Have I run out of time, Mr. Speaker? I feel as if I have only been speaking for ten minutes. I still had a lot of things to say. Anyway, I am very proud to have taken part in this debate.