Mr. Speaker, it is an honour to have the opportunity to participate in this evening's debate.
I want to congratulate my colleague the member for South Shore for moving this motion. I also want to congratulate my hon. colleague the member for Brandon—Souris, who is our agricultural critic, for the fine job he has done in terms of raising this issue and trying to express to Canadians the dire need that Canadian farmers are in.
What we are talking about in this debate is an issue of a pan-Canadian nature. This is not an issue where we are having a fluctuation or a downturn in the market. What we are seeing with respect to the income crisis which the farmers are enduring right now is a market collapse. This is a crisis.
In this House quite often we use words that may not actually fit the situation. However the situation our farmers are enduring from coast to coast, whether it be on the prairies or in my area of Atlantic Canada with respect to pork and hog production, is a crisis.
I will speak this evening about the pork industry. It has been devastated through the crisis we are enduring with respect to the commodity pricing. Farmers are in danger of losing their business. Just recently Charles Keats stated that he may lose his farm that has been in his family for six generations. He expects to lose at least $200,000 this year alone. That is the money he spends to operate his facility.
I worked in an industry where we had to market commodities. I understand that when $130 is needed to break even and the product is selling for $82, it does not take very long for it to have a very negative effect on the business.
This is not a negative effect on their business. This situation actually challenges their very existence.
Hog farming in the province of New Brunswick is a significant industry. There are 80 major farmers in the province who produce over 200,000 hogs per annum which means $25 million for the provincial domestic economy.
This affects the people in my riding of Fundy—Royal. Nearly half the farmers who exist in the province of New Brunswick are within a 30-mile radius of the town of Havelock which is in the heart of my riding. This does not just affect the individuals who work in the farming industry. There are individuals in my riding and a nearby riding and the riding of Moncton who work for Hub Meat Packers. Seven hundred people earn their living from that facility.
I was talking a few minutes ago with my colleague, the member for Pictou—Antigonish—Guysborough. I spoke about a few statistics which are paramount to this industry in terms of what is happening and that farmers are not getting the prices they used to get. Let us put some of this in perspective.
The price that farmers obtain for their hogs today is the same price that the hog farming industry obtained in 1944. The price of feed has not gone down. It is not at 1944 prices. Other commodities which farmers need to operate their business are not at 1944 prices.
I may have made a mistake in talking about statistics. What is at hand is that families from coast to coast are losing their livelihood. They are losing their ability to provide for their families, to pay for their homes and their car loans. They are giving up hope of having the opportunity to help their children who wish to go on to university or pursue some other discipline.
We are looking at a complete meltdown. It is the responsibility of the federal government in co-operation with its provincial cousins to ensure that the agriculture industry and Canadian farming goes on. This is a crisis. The income farmers are receiving is only 55% of what they received in 1997.
I want to talk about two particular programs which the Progressive Conservative government implemented between the years of 1984 and 1993. Those two programs are the net income stabilization plan, known as NISA, and the gross revenue insurance plan, known as GRIP.
I would hope that this crisis has demonstrated to my hon. colleagues on the other side of the House that we really do need to get a grip. I do not mean to be facetious. The government chose in terms of its program rationalization to keep NISA, which would affect the stabilization of pricing, and it did away with GRIP. GRIP was an assurance program so when there was a catastrophic change in terms of marketing, the federal government would be able to provide a bridge for the industry from one step to another. The government has chosen to abandon that program.
I will give due credit to the government of the day. There seems to be a consensus with my hon. colleagues in the Liberal Party that there is indeed a crisis and I applaud them for recognizing that. I can say that the farmers have been well aware of it for all too long.
The Liberal cabinet is on the verge of making some form of announcement to have an intervention. This announcement has to be a bankable one. When farmers go to the individuals to whom they owe money for feed, when they go to their banking institutions, the banks will understand that they can provide a bridge for the farmer to ensure the viability of their activity continues to go on.
Only a few hours ago I had the privilege to speak to a number of farmers who reside in my riding. I spoke to Mr. Bill Hart from Norton who told me that it is a very negative situation when he wakes up each day knowing that he is going to lose $1,000. Mr. Hart is not an affluent individual who trades in commodities left, right and centre. One thousand dollars is a very personal hit on him and his family.
I also had a conversation with Mr. Stephen Moffett who is one of the largest hog producers in Atlantic Canada. Mr. Moffett mentioned what we have touched upon which is the fact that the cuts that have been made to agriculture reflect what we have seen for that of rural Canada. The first hit the government of the day takes seems to hit that of rural Canada.
The Progressive Conservative Party is very proud to say that our new national leader, the Right Hon. Joe Clark, chose to make his first public impact as leader on this issue. The Canadian public should be very grateful for the leadership he has exhibited on this issue.
I am splitting my time with the member for Kings—Hants. In conclusion therefore, we have talked a lot about the commodity pricing that is affecting individuals whether they be in the prairie provinces, on the Atlantic coast or in the province of Quebec. The statistics get lost but what it means is complete devastation for an industry.