Mr. Speaker, first I want to say that I agree with my two colleagues, the hon. member for Ahuntsic and the hon. member for Bourassa. Indeed, we all know Armenians who directly or indirectly experienced the hardship suffered by that nation.
Let us now turn our attention to Bill C-76, which was carefully reviewed by our critic, the hon. member for Saint-Hyacinthe-Bagot, who knows a great deal about public finances, particularly at the federal level. Bill C-76 seeks to implement certain provisions of the budget tabled by the Minister of Finance. I want to discuss the impact of that budget on the agricultural industry, which is one of the most seriously affected.
The proposed cuts are far from having an equal impact on the various regions of the country. The Liberal government has abdicated its responsibility toward the agricultural sector. It is abandoning one of the most dynamic industries in Canada and in Quebec. The agri-food sector accounts for close to 10 per cent of our GDP, 15 per cent of the total employment, and almost 25 per cent of the surplus of goods. Between 1987-88 and 1994-95, the Department of Agriculture and Agri-Food's estimates was reduced by a whopping 33 per cent, and that includes the subsidies provided under the WGTA. We are talking about a 33 per cent reduction in financial resources; this is one third of the total budget over a five-year period.
If you look a little farther down the road, it is estimated that, by 1997-98, the agriculture and agri-food budget will have diminished by 58 per cent. This is ridiculous. This morning, I was looking at a publication called Farm and Country , which is sent to Ontario farmers. The cartoon on the front page showed a beautiful Holstein cow with a farmer sitting on his little stool and trying to milk the cow. But nothing was coming out.
If this government continues to slash in that sector, this could well be the fate of Canada's agriculture and agri-food industry.
As a percentage of total government spending, amounts allocated for agriculture have dropped dramatically. In 1987-88, the total budget for agricultural and agri-food, as a percentage of the budget for all government envelopes, was 3.5 per cent under the Conservative government. In 1994-95, the fiscal year that ended yesterday, it was 1.6 per cent. In 1997-98, it is expected to be only 1.2 per cent.
This government seems to have cut itself off completely from the agricultural sector. We have said so before and we will say it again: it is outrageous to treat the agricultural industry this way.
If we look at the kind of cuts that will be made, it is clear the government does not have its priorities straight. Furthermore, it is not prepared to deal with the problems and consider the long term impact. Bill C-76 repeals the Western Grain Transportation Act, the WGTA. The legislation will be replaced by a series of measures that will continue to regulate grain transportation, despite elimination of the Crow Rate.
Included in this budget is compensation for western producers who are affected by this cut. The government intends to offer $1.6 billion to owners of farm land, to partially offset the drop in land values that will result.
Interestingly, even if a producer did not grow wheat during the past year, he will be entitled to compensation. I see the hon. member for Brome-Missisquoi across the way. I am anxious to see whether he will react to this injustice, in a country where we now have two classes of farmers: those who are compensated to the tune of $1.6 billion, not taxable, while dairy producers in his own riding will suffer cuts averaging $4,485 and get absolutely nothing.
Yesterday, he was in Cowansville, the riding of Brome-Missisquoi, to sing the praises of his government's policies. I assume he did not say a word about the unfair treatment of our Quebec farmers as opposed to western farmers.