Mr. Speaker, I also received the memo from the sheep producers, who expressed their concern about the cuts in research funding to their industry. I received the letter yesterday and I look forward to talking with the sheep producers to see exactly what will happen to research in that area.
With respect to the hon. member's comment that these petty cuts are not acceptable, there is an overriding concern resulting from the budget that requires that cuts be made. Most farmers I have talked with have recognized, reluctantly, that the cuts to their industry, while unfair, are absolutely necessary in order to deal with the severe fiscal problem we have. Again, I say they are unfair because they were not balanced between cuts directly to farmers and cuts to the department, and they were not balanced across the country.
The biggest concern of farmers is that the cuts did not go far enough. There is no definite target for the deficit being eliminated. I would like to address the impact of that on farmers. When the member spoke of petty cuts, I became very concerned because these cuts were needed, and more cuts are needed.
However, I hope future cuts will be made in other sectors of federal spending in order to have some balance in the equation.
This budget did not go far enough. Our interest payments will have increased from $39 billion, when the Liberals took power, to $51 billion a year by the end of the three-year budget projection period, which ends two years from now. Those are interest payments on our debt alone. The result of that is an extra $12 billion of taxpayers' money that is being spent on interest payments on the debt. Still, with the Liberal budget, the debt will increase by $24 billion a year at the end of these three years. That means ever-increasing interest expenses.
Where is the money going to come from to make these ever-increasing interest payments on the debt? It will come from the taxpayers, and there are not enough taxpayers' dollars to pay for increased interest payments. That means that tax increases are not an option. That means that cuts will have to be made somewhere else in order to pay for these extra interest payments.
I encourage the government to take a step over the next five or six months to present another budget that will go far enough and set a definite date on which the deficit will be eliminated. I encourage them to do that. However, because that has not happened, and by not having enough cuts or a definite date for when the deficit will be eliminated, interest rate costs will be higher for farmers, because this continuing deficit has put upward pressure on interest rates. Lenders will be hesitant to lend; getting financing is going to be more difficult for farmers. There is also the threat to social programs, which will continue.
So not only are farmers asked to share more of the cost, but there is a real threat to social programs, including pensions, health care and other social programs that they depend on and want.
I do not think any of these cuts can be called petty. In fact, this government must go further in the very near future or the damaging results will go way beyond the pain that has been caused by the cuts in this budget.