Mr. Speaker, I am pleased to have this opportunity to respond to the question asked by the hon. member.
As the hon. member knows, on April 27 the Prime Minister addressed the House to announce that Canada and the United States had reached an agreement in principle that will provide a basis for ending the long-standing softwood lumber dispute. This agreement meets all of Canada's objectives and will provide Canadian companies with a stable and predictable market access.
This government understands the difficulties and challenges facing our forest industry and has made resolving the softwood lumber dispute a priority. This government understands the impact the dispute is having on workers and communities across the country. This government understands that a resolution is required to turn the page on this dispute, so as to provide our lumber industry, workers and communities with the certainty and stability that they need.
That is the reason that Canada concluded this important agreement with the United States that will pave the way to a long term resolution on softwood lumber.
The effective resolution of this dispute was a result of a concerted effort by the government. The Prime Minister elevated this dispute to the highest levels of the U.S. government by raising softwood lumber directly and forcefully with the President of the United States. When the North American leaders met in Cancun, Mexico in March, softwood was a priority item on the agenda and the Prime Minister and the President agreed on the need to resolve this dispute. This agreement is a product of the cooperation and political will from the very top of the two countries. The government's determination has produced results.
Canada and the United States have agreed to a seven year framework agreement designed to ensure U.S. market access for Canadian softwood lumber. The deal protects Canadian market share, eliminates U.S. duties and ends the relentless trade actions brought on by the U.S. industry. Most important, it will return to Canadian exporters some $4 billion in duties.
Our obligation was to conclude a deal that is in Canada's best interest and we have done that.
This agreement maximizes market access for Canadian exporters. Under current market conditions, no restrictions would apply for Canadian softwood lumber entering into the United States.
The agreement is a dynamic framework that takes into account the different operating conditions in Canada from coast to coast to coast. The agreement provides provinces and industry with flexibility to respond to their specific circumstances, as well as exempting certain regions and products.
This agreement will ensure that Canadian companies will have the $4 billion returned to them so that they can invest in modernizing and making our industry more productive and competitive.
The agreement includes provisions for Canada and the United States, with the full participation of the provinces, to negotiate eventual exits from measures based on policy reforms.
This agreement includes an innovative measure that will respond to Canadian industry concerns about the possibility of other lumber producing countries increasing their exports to the United States at the expense of Canada.
As the hon. member can see, this is an agreement that addresses the interests and concerns of Canadian stakeholders, an agreement that is not static, but rather dynamic, and one that meets the needs of the country as a whole.
In conclusion, the government has delivered to Canadians what could not be delivered in the past.