Mr. Speaker, it is a very real pleasure for me to stand in the House today to address the very important Bill C-55. I do so on behalf of the residents of my area of Waterloo—Wellington.
This new measure will ensure that Canadian magazine publishers continue to have access to Canadian advertising revenues by regulating the advertising services supplied by foreign magazine publishers in Canada. It is important to note that this bill is in keeping with Canada's longstanding policy of promoting Canadian culture and that it respects our international trade obligations. We must have Canadian magazines that are vigorous and viable. Unless Canadians stand up for Canadian culture, no one else will.
For 40 years the federal government has supported our domestic magazine publishing industry. That cultural policy has been a clear success. Today there are more than 1,500 magazine titles published in Canada with revenues of over $1 billion. Eighteen of the top twenty magazines available here are Canadian.
It is important to note at this time that the bill that is being proposed does not affect the content of magazines. Publishers will continue to produce editorial content that they consider attractive to Canadians. It does not affect the price of magazines, for example. Canadians will continue to enjoy access to foreign and domestic magazines that are competitively priced.
The advertising revenues generated through the supply of advertising services are critical for any magazine publisher. Such revenues generate more money than subscriptions or newsstand sales combined. Without this key revenue source, editorial content cannot be created or photos purchased. Canadian magazines simply cannot survive without sufficient advertising revenues.
The government wants to ensure that Canadians continue to have access to their own ideas, stories and information. That is why Bill C-55 is important. It will ensure that Canadian magazine publishers have access to the funds they need to stay healthy and provide an essential vehicle of cultural expression. That is important to note.
The act will prohibit foreign publishers from supplying advertising services directed primarily at the Canadian market to a Canadian advertiser. We do not expect, for example, foreign publishers to respect the will of parliament and not contravene the legislation. However we need the tools to enforce it if necessary, if in fact those expectations are met.
These tools are flexible and give publishers a chance to comply with the law before more serious penalties are needed. If a foreign publisher is suspected of contravening the law, the minister has the authority to send a letter requiring that the action be halted or to demand the foreign publisher to prove that no offence has taken place. In other words, they can be let off with a warning.
However failure to comply with a letter to stop would mean that the minister could turn to the courts. The court can order the publisher then to stop publishing advertising services or other activities it deems are outside the law.
The bill provides for maximum fines to be levied against foreign publishers found by the courts to have contravened the law. Where an offence is committed by an individual there is a maximum fine as well. The level of fines must be high enough to be an effective deterrent.
This measure deals only with the supply of advertising services to Canadian advertisers. It will not affect the importation of foreign magazines. It will not affect any Canadian reader's ability to purchase foreign magazines at newsstands or through subscription. The Canadian market will continue to be one of the most open in the world. The act will not apply to foreign publishers now operating in Canada that maintain their current levels of activity. Canadian magazine publishers and Canadian cultural groups support the bill, which is something we should all note.
Canada will defend its rights as a sovereign country to develop measures designed to support our domestic cultural expression. We have negotiated rights in international trade agreements and we will defend those rights.
Bill C-55 does not violate the Canadian Charter of Rights and Freedoms. Bill C-55 does not violate the NAFTA or any other international trade obligations. It has never been challenged before the WTO or in any other dispute settlement today.
American magazines cross our borders every day and Canadian magazines compete successfully for readers, despite our close proximity and common language. This is because Canadian publishers produce original content for the Canadian market, content which is of interest to Canadians. The bill is about the advertising services market and the massive cost advantages foreign publishers would enjoy.
Finally, the legislation ensures that Canadians continue to have the freedom to express and enjoy a diversity of Canadian ideas, something we should all be proud of. The new law will guarantee that Canadians will continue to have access to magazines which tell their stories to each other in their own voices. It is in keeping with Canada's longstanding cultural policies and will ensure that Canadian magazine publishers have access to the funds they need to do so.
I urge all members of the House to work for a speedy passage of Bill C-55. It is certainly something Canadians want, deserve and expect. We need to move expeditiously on it.