Mr. Speaker, in talking to the budget implementation bill, I will focus my remarks particularly on the aspects of the forest industry and what may be done and what should be done to the bill to improve it so it can address this.
I will take us back to November 2005, when a $1.5 billion forest industry competitive plan was announced by the minister of industry at that time. That plan included funding support for what we would call transformative technologies, incentives for bioenergy expansion, assistance to respond to innovative opportunities, support for market expansion and a national forest community adjustment fund.
As I continue on through my speech, let us understand that the forest industry in Canada, the capacity for us to sell to the rest of the world, remains as vibrant as it ever was. We know our fibre is the best in the world. The product we have to sell and the pent-up demand that continues is something that should afford us tremendous opportunities. Let us keep this market expansion in mind as we discuss all other aspects that affect the industry and its dramatic downturn that we face right now.
These supports were developed in collaboration with forest industry leaders, union, labour and management, suppliers, to help slow the loss of jobs in forest companies across the country. Therefore, there had been a great deal of concentration and input. Indeed, the hon. member for Kenora, who established a forestry caucus, and caucuses are voluntary organizations, took great pains to ensure that representation from coast to coast to coast, covering most provinces and territories, was involved in the drafting of this and the pushing of it, not only through the Liberal caucus but through the cabinet itself.
We know what happened in January 2006. After that, the Prime Minister decided to cancel this plan, in the 2006 budget. From that date to the present, we have yet to see any tangible assistance to replace the supports that were put in place in November 2005, over two years ago.
As news happens daily in the forest industry, very rarely does it offer much good news. On November 16, 800 more jobs were lost in northwestern Ontario. On November 20, the announcement of a permanent closure of AbitibiBowater Fort William mill meant the loss of another 300 people, this time, with a full closure.
When we talk about a budget being designed to help the country give a leg up to industries that at various times could use the help, it is very clear the budget does nothing to help the forest sector through its own period of restructure.
Let us be certain we understand that. We know there will be some casualties. Anything else is a dramatic lack of awareness of what is happening in the industry. However, my contention is that thousands of jobs would have been saved by continuing to keep the forest competitiveness plan in operation.
The lack of response or the inaction by the government has not been due to a lack of effort by, again, labour or industry. Almost a year ago, on January 22, the CEP Union asked the Prime Minister to call a national summit on the future of the forest industry and to do that as soon as possible. It has repeatedly expressed its concern over the past 11 months.
In April of this year the opposition leader pledged, in response directly to the CEP, to hold that national summit on the future of the forest industry upon taking office as prime minister.
Just a few days ago, on November 30, the Communications, Energy and Paperworkers Union again announced that it would do its best to organize a national summit on its own, since the government would not do it.
On December 5, the Forest Products Association of Canada called for Parliament to study the forestry challenges and develop a market based action plan that would set the groundwork for a vibrant forest industry.
Before I became the critic for FedNor, I was the associate critic for Natural Resources. The departmental briefing made it very clear that the demand for Canadian forest products, whether it be wood, pulp or paper, compared to the rest of the world meant that with some adjustments we could provide market share and grow our market share in many of those components. Whether it is higher end, higher quality product, we know we can find our niches.
After all is said and done, Canadian fibre is the best fibre in the world. The way we process it in terms of our environmental standards, the way we harvest it, meeting exceptional environmental safeguards, the way we produce it, by cleaning the plant operations, means that on all those fronts the industry has shown a dramatic interest from the time I was a young boy, when I saw mercury pollution and smokestacks emitting all kinds of pollutants into the air. The Canadian forest industry can stand head and shoulders in the world with the effort it has made in terms of capitalizing.
Just recently in Thunder Bay, Bowater, before it became AbitibiBowater, put $180 million of environmental improvements into its operation. In these days, in a very competitive environment, it is something that should be applauded and recognized.
In the budget of last February was a capital cost allowance. As I read the budget, this is the only assistance that has been offered. While the measure is a small step forward, it is far less than what is needed. The best way to describe it is this way. A company has to have money and it has to make money in order to invest in new equipment, which is logical. It also needs to show a profit to benefit from the measure. Therefore, on two counts, while laudable as a concept, the reality of what the industry faces right now makes it very difficult for a company to take advantage of this. Indeed, to take advantage of something, it is a two year window. I am offering right now my advice that it be improved.
In question period last week I asked the government what it was doing to help. It said that it was getting it done. However, for the workers, the families and suppliers, there has been marginal assistance. I insist once more, let the budget include measures to help the forest industry, the workers, the communities and, directly, the suppliers. It is not just northwestern Ontario, it is the entire province of Ontario and, indeed, the whole country.