Madam Speaker, I thank the member for raising the important issue of non-tariff trade barriers which prevent the export of Canadian forest products with bark and needles to the European community.
I recognize that the member for South Shore has particular interest in Christmas trees as he, I understand, is a grower. The issues involved are much broader and affect the forest products industry as a whole. As Parliamentary Secretary to the Minister of Natural Resources I take the motion quite seriously.
The Canadian government has been working with Christmas tree growers, indeed the entire forest products industry, to preserve existing markets and to develop new market export opportunities.
This sector is of vital importance to the Canadian economy. Ten per cent of the world's forests are Canadian and there are well over 300 forest dependent communities across Canada. All in all 840,000 people rely directly or indirectly on the forest for their livelihood.
In addition, Canada ranks first in the world in terms of forest products exports. Products ranging from world class light weight coated paper to engineered panels for home construction are a vital component of Canadian exports. Forest products producers, especially those with expanding production, face the constant challenge of finding and securing new markets. The Government of Canada wants to help them rise to this challenge.
Christmas tree growers in British Columbia, New Brunswick, Nova Scotia, Ontario and Quebec already supply millions of Christmas trees every year to world markets. These Christmas trees are already being exported to the United States, Central America, Greenland and even the Caribbean. Increasingly Christmas tree farmers have been looking even further abroad to find new markets for their natural products.
The federal government supports these efforts just as it backs other Canadian industries taking advantage of globalization. The establishment of the World Trade Organization and the expansion of free trade in both North and South America have delivered on promises of open markets. This new dynamic is helping Canadian businesses grow and prosper in every part of our country.
Even so, barriers to trade remain. It takes constant vigilance and ceaseless work to prevent creeping protectionism from reducing access to markets opened by freer trade. As tariffs have fallen, countries have turned to non-tariff barriers such as health and environmental regulations to restrict or even ban imported products which are challenges to domestic industries in Canada.
The Prime Minister and the government have worked hard to open up markets and remove trade barriers for Canadian exporters. That was in evidence during the many team Canada missions he successfully supported around the world. That is also the case on the other side of the Atlantic in Europe.
Over the last 10 years the Government of Canada has contested the way the European community uses health and environmental or phytosanitary regulations to prevent certain imports. No one questions the right of governments to protect the health, environment and safety of their populations, but in many cases these regulations are unnecessarily restrictive. One example is the restriction imposed on the Canadian softwood lumber shipped to Europe.
The majority of countries also require that imported wood products be free of bark. This kind of non-tariff trade barrier is increasingly coming into play while international agreements are being implemented to expand trade and promote economy growth.
Canada recognizes that countries have the right to prevent the movement of foreign pests, but the Government of Canada also takes the position that trade restrictions have to be reasonable and in line with the real risks to health or the environment. In addition those risks have to be calculated on the basis of sound scientific research and not unfounded fears.
This is why the departments of foreign affairs and international trade, agriculture and agri-food and natural resources Canada have led the way in providing hard data on these types of issues.
I am pleased to inform the member for South Shore that the study proposed in his motion is being undertaken. Canada has already launched a joint study with the European commission to reduce trade barriers and to facilitate trade. This study is one of the provisions of the joint Canada-European Union action plan signed by the Prime Minister in December 1996.
Under this process Canada has identified European regulations which restrict the entry of Canadian products, which act as trade barriers and which must be addressed.
I assure the House that the Canadian government has been making strong representations to the European commission in an effort to resolve these issues. At the same time Canada is keeping all its options open including provisions of the World Trade Organization.
While the Canadian government is working diligently to open up world markets including Europe, it also has to be recognized that this is a two way street. Canada has its own regulations which protect Canadian forests, farms, lakes and people from imports which could lead to disease and animal and plant pests gaining a foothold in Canada.
Canada is confident however that its phytosanitary regulations are based on sound science and are aimed only at significant risks. This means that Canada cannot dismiss the European concerns about importing green Canadian softwood products. This is why the Canadian government is committed to working with the Canadian forest products industry to convince Europeans that there is no significant risk.
The Canadian forest service of Natural Resources Canada has already generated a wealth of knowledge about forest pests and effective measures to control them. The research conducted by the Canadian forest service is cutting edge and will continue to serve Canadians well.
The work is demanding and time consuming. There are no quick and easy answers to these types of issues. Opening up the European market for Canadian forest products is a challenge but one that will be met, with the potential to bring great benefits to Canadians. The Canadian government is prepared to invest the time and the energy to pursue this very worthy goal.