House of Commons Hansard #178 of the 41st Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was panama.

Topics

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:30 p.m.

NDP

Annick Papillon NDP Québec, QC

Mr. Speaker, first of all, I thank my distinguished colleague who also sits on the Standing Committee on International Trade. He was able to bring in all of these comments from experts, from people who are familiar with the situation. When tax experts are telling us to be careful with Panama, that is something we need to take seriously.

We would like this government to take the necessary precautions this time with this free trade agreement. I would like this government to listen to us and make an attempt to sign an information agreement so that there is more transparency.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:35 p.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

It is my duty pursuant to Standing Order 38 to inform the House that the questions to be raised tonight at the time of adjournment are as follows: the hon. member for Churchill, Culture; the hon. member for Charlesbourg—Haute-Saint-Charles, Employment Insurance; the hon. member for Saint-Hyacinthe—Bagot, Employment.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:35 p.m.

Conservative

Ron Cannan Conservative Kelowna—Lake Country, BC

Mr. Speaker, it is a privilege and an honour to rise in the House this afternoon to speak to this very important Canada-Panama free trade agreement.

I think it is the third time that I have visited Panama as part of the trade committee of which I have been a member for about six and half years. Back in May 2008, we travelled to Panama and had over 60 hours of extensive debate in a variety of committees and in the chamber. I am hoping that later this afternoon we will see logic prevail and this agreement continue through the House and become an act as soon as possible for businesses across Canada so they will have a rules-based and fair-trading system in a Canada-Panama relationship.

I will first take a moment to thank all the members of the House who paid tribute to our veterans. The speeches we heard were very emotional. When we look into the eyes of our veterans, we think of the men and women who are serving today and have served. I think of the veterans in my riding of Kelowna—Lake Country. It is an honour and a humbling experience to be their member of Parliament. It is because of their dedication and sacrifice that we have the best country in the world.

Our government believes in the importance of our veterans. We also want to expand our economy to make Canada an even better place.

We are focusing on a global commerce strategy because we understand the importance of trade. In fact, one in every five jobs is dependent on trade in Canada and it represents nearly 65% of our country's income. Indeed, the importance of international trade to an export-oriented economy like Canada has cannot be overestimated. There is no doubt that trade sustains the incomes and living standards of Canadians and ensures the long-term prosperity of our country. Furthermore, integration with regional and global trading networks is essential.

As a trading nation, Canadian exporters, producers and investors need access to international markets to stay competitive. It is pretty simple: When we trade, we become more competitive. Prices for goods and services go down. wages, salaries and our standard of living go up, and businesses are able to hire more workers. In addition, internationally-oriented firms are better positioned to withstand global downturns.

Our government understands, as most Canadians do, that trade is a kitchen table issue. The Minister of International Trade is with the Prime Minister in India right now working on expanding agreements. He understands the importance of trade to help families put food on the table and make ends meet.

We have heard from my hon. colleague for Yellowhead earlier today and yesterday from the member for London West, the hard-working member for the 10th largest city in Canada, as he likes to inform us, on the importance of how we need to work together to break down these trade barriers so that Canadian businesses can be competitive.

In my own riding of Kelowna—Lake Country, Campion Marine, the largest boat manufacturer in Canada, is continually requesting that we break down barriers so that the excise taxes that are in place in other countries can be eliminated and it can be competitive. That 5% sometimes can be the difference between success and hiring more people or, unfortunately, not being competitive in the marketplace.

As I mentioned, not only does trade support the quality of life for Canadians but it provides hope, jobs and opportunities for our children and grandchildren. It would be difficult for the average Canadian to imagine a world without international trade.

Our Conservative government clearly understands that our standard of living and Canadians' future prosperity will be generated by deepening and broadening our trading relationships. That is why deepening Canada's trading relationship is rapidly growing in markets around the world, such as Panama, which is an important part of this government's pro-trade plan for jobs, growth and long-term prosperity.

Canada's exporters, investors and service providers are calling for these opportunities. Business owners and entrepreneurs want access to global markets. We heard numerous witnesses testify at our trade committee saying that they need to be competitive. Unfortunately, the opposition continues to delay this.

We heard back on October 31, just last month, that the Panama-U.S. agreement had come into place. However, we are still at the gate. Our American colleagues in the south and their businesses are out making deals while we are spinning our wheels.

We cannot stop this. We need to continue to move forward. With the co-operation of the opposition and all members of this House, we can continue to expand, establish and grow our pro-trade plan.

Since 2006, Canada has concluded new trade agreements with nine countries. They include: Colombia; Jordan; Peru; the European trade association member states of Iceland, Liechtenstein, Norway and Switzerland; most recently, Honduras; and, of course, the discussion this afternoon is on Panama.

We are also negotiating with more than 50 countries, including major economies such as the European Union, India and Japan. Last week I was with some of the trade committee members in Japan where we are working on an economic partnership agreement, which is looking very promising, to expand relationships with Japan.

A deal with the European Union would represent the most significant Canadian trade initiative since the North American free trade agreement. Such a deal could potentially boost our bilateral trade with this important partner by 20%. It could also provide a $12 billion annual boost to Canada's economy, which is like a $1,000 increase in the average Canadian family's income or almost 80,000 new jobs.

Canada has also officially joined the trans-Pacific partnership, otherwise known as the TPP. The potential benefits of this initiative are enormous. The TPP market represents more than 658 million people and a combined GDP of over $20 trillion.

By improving access to foreign markets for Canadian businesses, we are supporting the Canadian recovery and creating new jobs for Canadian workers. It is part of our economic action plan. As the Minister of Finance alluded to during question period, the importance of helping small businesses grow with a tax credit is an initiative within budget 2012.

Within our free trade agreement with Panama, we have the government's efforts to strengthen the Canadian economy once again. These are multi-prong approaches to help grow our economy and create jobs. Pursuing bilateral and regional trade agreements is essential to bringing continued prosperity to Canadians.

I understand, and it is unfortunate, the opposition NDP continues to stand in the way of our efforts to open up new markets for our exporters. I would love to see the WTO and the multilateral agreements come to completion as well, but the reality is that they are stalled. In the meantime we continue to work with bilateral agreements and multilateral with the trans-Pacific partnership.

The NDP comes up with all these excuses and says it believes in free and fair trade. We do as well, but we are also doing the trade agreements rather than just talking about them. The fact is that the NDP's anti-trade record is clear. My hon. colleague and seatmate just asked the opposition party if it could please list off the number of trade agreements it has supported over the last 20 years. It was like a deer in the headlights. Unfortunately, there was no response. The NDP members like to talk about it over there, but we are doing it. Going all the way back to NAFTA, they have consistently opposed our efforts to create new opportunities for exporters and investors. On this side of the House, we are tired of hearing all the naysayers. We will continue to move forward in creating jobs.

The anti-trade NDP's special interest backers continue to fearmonger and misrepresent the facts about trade. They believe that the global economy is something Canadian workers should fear. Our government knows that our businesses, our entrepreneurs and our workers can compete with the very best in the world and win. With a rules-based, level playing field, Canadians will be number one.

However, to compete and win, Canadians need to be on a level playing field. With the entry into force of the United States-Panama free trade agreement just last month, Canadian firms are no longer competing on a level playing field. Their American competitors are now able to sell their products in Panama at a lower cost as the result of the duty-free access they enjoy under the US-Panama FTA. This is why the implementation of this trade agreement is an urgent priority for our government. Canadian companies are constantly proving that they are competitive enough to compete and succeed in the global marketplace, but the government has a responsibility to do all it can to help those companies succeed abroad.

Governments do not create jobs. We create the framework and the environment. We minimize regulations. We have to have incentives where necessary, but ultimately it is the private sector that will create the jobs. That is why our government will fight to ensure that businesses have what they need to be successful abroad and ensure that the Canada-Panama free trade agreement is ratified and enters into force as soon as possible.

In closing, we must prevent Canadian firms from losing market share in Panama and defend the competitiveness of our businesses in this fast-growing emerging market. In a short time, we will be voting on Bill C-24 in the House. This is why I ask for the support of all hon. members for the Canada-Panama free trade agreement and the parallel labour co-operation and environment agreements. It is the right thing to do for Canadians.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:45 p.m.

NDP

Jonathan Tremblay NDP Montmorency—Charlevoix—Haute-Côte-Nord, QC

Mr. Speaker, the member said that, in the House, the NDP stands in the way of all free trade.

I do not understand how amendments stand in the way of a bill, a motion or anything else. We are talking about the role of the House, the very role of parliamentarians.

I would like the member to explain to me what democracy means to him. What is the role of a parliamentarian if not to introduce bills and debate them in order to make them better?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:45 p.m.

Conservative

Ron Cannan Conservative Kelowna—Lake Country, BC

Mr. Speaker, I just find it bizarre that the member even asked the question. The question was asked by my seatmate about the last 20 years and there was no response.

There will be dissenting opinions but there has to be something that the member agrees with in the trade agreement, such as the fact that NAFTA has been the best thing for both sides of the border. The U.S. is our biggest ally, 35 out of the 50 states, and Canada's number one trading partner. There is about $1.9 billion a day of trade going across the border. We are looking at expanding because we do not want to depend on one country. About 75% of our trade is done with the U.S. We need to diversify, just like our investment portfolios. That is why we are opening borders across markets.

Why would the opposition not at least say that they see the logic in creating jobs and opening opportunities for Canadians? That is what we are doing.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:45 p.m.

South Shore—St. Margaret's Nova Scotia

Conservative

Gerald Keddy ConservativeParliamentary Secretary to the Minister of International Trade

Mr. Speaker, I thank the member for Kelowna—Lake Country for his terrific speech. I would also like to recognize his work on the trade committee. The general public watching this may not know that he is also the person who put in the bill to allow wine to cross provincial borders. That was an important bill for British Columbia. It still has to be put in place by the provinces. We are hoping they will do that soon.

However, on Panama specifically, there is about $111 million of merchandise trade going from Canada to Panama. Therefore, Canadian exporters are exporting about 111 million dollars' worth of goods into Panama and are paying a duty on that. The opposition members talk about trade with Panama as if none already exists. We already have a vibrant trade between Canada and Panama.

How will this help trade that is already in place?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:45 p.m.

Conservative

Ron Cannan Conservative Kelowna—Lake Country, BC

Mr. Speaker, I thank my hard-working colleague, the Parliamentary Secretary to the Minister of International Trade. It is a real pleasure to work with him on our trade committee and moving forward.

While representing Kelowna—Lake Country in 1989 when NAFTA came in, there was all this fearmongering that the world was going to come to an end, so we replanted the grapes and we have some international award-winning wines now produced in the Okanagan, through Ontario and across Canada. Therefore, it has been of benefit to all Canadians.

With respect to the Panama trade agreement, the NDP have said that we need to restore our imbalance of trade. How do we do that? By opening up new markets. The fact is that we cannot have it both ways by talking through one side of our mouths and out the other. We want to open up markets. We want to expand on machinery, precious metal opportunities and agriculture.

There are opportunities for people from every province. Whether from British Columbia, the forest sector, in machinery, the agricultural community or financial services, there is something for everybody. There is a job waiting for one of your constituents if you would just stand up and support it.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:45 p.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

Order, please. I would just remind hon. members to direct their comments through the Chair.

We have time for a short question and response. The hon. member for Saint–Jean.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:45 p.m.

NDP

Tarik Brahmi NDP Saint-Jean, QC

Mr. Speaker, to respond to the member opposite, I would say that there are many ways to make easy money. Many criminal activities can also make a lot of money.

The member opposite said that, at the end of the day, the most important thing is to do business and to make money. Would he go so far as to say to his constituents that he is prepared to engage in just about any criminal activity to make money?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:50 p.m.

Conservative

Ron Cannan Conservative Kelowna—Lake Country, BC

Mr. Speaker, we have the most open and honest government that I have ever had the pleasure to serve with in the last six years. We are bringing fair trading rules so that Canadians have investment protection and there is a rules-based trading system. Why would members be against bringing rules so that people in both countries are treated fairly? This is all about fairness and providing opportunities for business so that we can compete on an equal basis.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:50 p.m.

Newmarket—Aurora Ontario

Conservative

Lois Brown ConservativeParliamentary Secretary to the Minister of International Cooperation

Mr. Speaker, there are no words I like to hear more than “new markets”.

I am pleased to rise to speak to Bill C-24, the legislation implementing the Canada-Panama free trade agreement, as well as the related agreements on labour co-operation and the environment. Today I would like to focus on the commercial opportunities that exist in Panama. It is unfortunate that members opposite continue to suggest that this agreement should not be a priority for our government. It is no surprise to hear this from New Democrats. They, after all, have consistently opposed our government's efforts to open up new markets and create new opportunities for our exporters.

It is disappointing to hear others, like the member for Malpeque, whose own constituents stand to benefit from this agreement, in particular Prince Edward Island's potato exporters. The member for Malpeque has suggested that since our bilateral trade with Panama represents a fraction of our global trade, we should not concern ourselves with it. How wrong he is. That is why today I would like to spend a few minutes talking about some of the opportunities that exist in Panama and why it is in our nation's best interests to forge closer economic ties with this dynamic and fast-growing economy.

Panama has long been considered a logistics centre and international connection point in the Latin American region. Panama is often referred to as the gateway to Latin America and plays a critical role in connecting the Americas. Panama is a central point for goods travelling to Latin America, a nexus for international trade and a strategic hub for the region. According to Panamanian estimates, 5% of world trade passed through the Panama Canal in 2010, but that is not all. In addition to its importance as a hub for global shipping, Panama boasts a stable and robust economy with the second highest per capita income in Central America. In 2011, Panama's economy recorded real GDP growth of 10.6% and all indications show that this impressive growth rate will continue well into the future.

Like Canada, Panama welcomes international commerce and is committed to providing a stable and pro-business environment for trade and investment. In 2011, Panama received the fifth highest score in Latin America in the annual World Bank rankings of countries for ease of doing business. Panama is a perfect example of a dynamic, fast-growing economy with tremendous potential, just the type of economy our businesses need to engage with in order to succeed in the 21st century.

It should not be a surprise that Canadian businesses have already begun taking notice of this country's commercial potential. In 2011, our two-way merchandise trade totalled $235 million and this figure is rapidly growing. In fact, over the past five years bilateral merchandise trade between Canada and Panama has increased by 105%. Panama currently represents our second most important export destination in Central America. Number one is Costa Rica and we already have a free trade agreement there. It is clear that this thriving economy offers tremendous commercial opportunities for Canadian businesses, but what is even more impressive are the opportunities that lay ahead.

Panama continues to invest heavily in large strategic projects that will solidify its position as an important emerging market in the global economy. In addition to the widely reported $5.3 billion project to expand the Panama Canal, the Panamanian government is implementing a five-year infrastructure plan valued at $13.6 billion. Furthermore, under the strategic plan, the government of Panama has designated $2.8 billion for transportation infrastructure projects alone. Numerous infrastructure projects to build hospitals, social housing, bridges and airports are either already in progress or under consideration. Looking ahead, tendering processes for projects such as airport improvement and the construction of the fourth bridge over the Panama Canal are expected in the coming months.

Opportunities also exist in the energy sector, which is, as we all know, another area of expertise for Canadian companies. Panama's energy needs have increased significantly in recent years, with demand increasing 5% to 7% annually. The expansion of the Panama Canal and a large number of other private and public infrastructure projects have led to an aggressive road map for increasing the installed base of energy generation and transmission.

Canadian companies are acknowledged leaders in the development of these types of projects and clearly have the expertise to meet Panama's development plans. By implementing the Canada-Panama free trade agreement, our government will support Canadian companies looking to capitalize on these opportunities, by solidifying their ability to participate in large-scale infrastructure projects in Panama. The government procurement chapter in this agreement will guarantee that Canadian suppliers have non-discriminatory access to the broad range of government procurement opportunities in Panama and receive the same treatment as Panamanian firms when bidding for these opportunities.

Panama's vibrant market has been sparking interest in the business community across Canada. Canadian companies are eager to capitalize on these commercial opportunities. Our government is doing all it can to support Canadian companies. The opportunities are out there, and clearly Canadian firms have the expertise to succeed. It is our job to ensure they have access to these opportunities and are able to compete on a level playing field against foreign competitors.

With the United States-Panama free trade agreement entering into force on October 31 of this year, we must act quickly to implement the Canada-Panama free trade agreement so Canadian companies can compete on a level playing field and continue to be successful in Panama. Despite the continued opposition of the Liberals and the NDP, our government is creating new opportunities for Canadian exporters.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:55 p.m.

NDP

Pierre-Luc Dusseault NDP Sherbrooke, QC

I listened carefully to my colleague's speech. I will ask her what is probably the easiest question she has had to answer in the House: does she approve of trade with a country that is considered to be a tax haven?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:55 p.m.

Conservative

Lois Brown Conservative Newmarket—Aurora, ON

Mr. Speaker, what we know about Panama is that they are complying with the OECD and all of the requirements there. They are moving forward and have been designated as being on the white list.

What I do know is that free trade agreements are good for everyone. What we do know is that the rising tide lifts all boats, and so everyone stands to win out of a free trade agreement.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:55 p.m.

South Shore—St. Margaret's Nova Scotia

Conservative

Gerald Keddy ConservativeParliamentary Secretary to the Minister of International Trade

Mr. Speaker, my question is quite simple. The reality is that for many years Canada depended upon the United States for trade. It was 82% of our trade that crossed the border, north and south. Today 72% of our trade crosses the border north and south.

Our growth is outside of North America; it is not inside of North America. If we do not sign agreements with countries like Panama, if we do not look to the European Union, if we do not look to Japan, if we do not continue with this very aggressive free trade blitzkrieg, if you will, that we have had as a government, what will happen to our nation?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

4:55 p.m.

Conservative

Lois Brown Conservative Newmarket—Aurora, ON

Mr. Speaker, trade has long been the history of Canada's success. If we look at the earliest Europeans who came here, we had the Hudson's Bay Company setting up trade with Europe from the very inception of their moving into Canada.

Trade is very important, and it is even more important now as we move into this global economy. We absolutely have to seek out new trade agreements and new places for our exporters to find markets. We are very aggressive on this. Our government is focused on it. We will continue to pursue these trade agreements.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5 p.m.

NDP

Rosane Doré Lefebvre NDP Alfred-Pellan, QC

Mr. Speaker, I thank my hon. colleague opposite for her speech. I heard only the end of it, but it seemed very interesting.

I have a very simple question for the member. My colleague from Sherbrooke talked about the fact that, despite everything that some people are saying, Panama is still considered a tax haven.

Panama does not appear on the list of countries with which Canada has signed tax information exchange agreements. Canada has signed hundreds of these agreements, but it has not signed any with Panama. It seems to me that it will be difficult to insist that Panama sign a tax information exchange agreement after a free trade agreement has been concluded.

Why did this government not think of that before putting this free trade agreement with Panama on the table?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5 p.m.

Conservative

Lois Brown Conservative Newmarket—Aurora, ON

Mr. Speaker, previously Panama was on the grey list of the OECD, but as of July 6, 2011, it has concluded the required number of 12 double taxation agreements, and the OECD has formally placed Panama on the list of jurisdictions that have substantially implemented the international standards for exchange of tax information, commonly known as the white list.

Is there more to be done? Yes, but we will work with Panama to see that happens.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5 p.m.

Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, the NDP did refer to trade in its last platform. NDP members, in fact, referred to a $21 billion carbon tax. They are in favour of trade, but so often they are not in favour of trade because they forget it is not just the big companies that benefit from trade but the smaller companies. In my riding, it is the farmers. When we sign this free trade agreement, it will help the farmers in my riding who are growing beef and pork and products that will be processed locally and then shipped overseas.

I am urging my colleagues across the way to support it, at least for the farmers in their regions. Not many of them represent farming areas, but for even the ones who might have a bit around the edge, it would be good if they would support it. I ask my colleague if she would agree that this is crucial for our farming community in Canada.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5 p.m.

Conservative

Lois Brown Conservative Newmarket—Aurora, ON

Absolutely, Mr. Speaker. Even though I live in Newmarket, and Newmarket—Aurora is an urban centre now, we are surrounded by farming community. It is essential for our farming communities to have access to these new markets.

I thank my colleague for Kitchener—Conestoga for the question and for identifying that agriculture would win from this type of trade agreement.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5 p.m.

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Mr. Speaker, I want to thank my colleagues who have spoken so far to Bill C-24, An Act to implement the Free Trade Agreement between Canada and the Republic of Panama, the Agreement on the Environment between Canada and the Republic of Panama and the Agreement on Labour Cooperation between Canada and the Republic of Panama. They have also done a fine job of explaining the NDP's position on this bill and why we oppose it.

I am pleased to speak to Bill C-24 on the Canada-Panama free trade agreement. This is not the first time we have talked about this bill and opposed it. It was introduced in the House in the 40th Parliament, where it reached second reading stage. The bill died on the order paper because of the election, as we all know.

I will try to explain why the NDP opposes this bill and the trade agreements proposed therein.

The free trade agreement is worrisome given the controversies surrounding Panama's track record on respecting workers' rights, human rights and the environment and because Panama is used as a tax haven for tax evasion.

In our opinion, this agreement promotes the exploitation of workers and human rights. When the committee studied Bill C-46, we heard convincing testimony about the fact that Panama had a bad track record when it comes to workers' rights and that the side agreements on labour co-operation were very weak.

Teresa Healy, senior researcher with the social and economic policy department of the Canadian Labour Congress, said:

The Canada-Panama agreement does not include specific protection for the right of association and the right to strike. Instead, it provides “effective“ recognition for the right to bargain collectively. As far as union rights are concerned, the agreement is, therefore, weaker than previous agreements.

On labour issues, the amendments are modest; there are no countervailing duties; there is no provision for abrogation or any other such remedy; and again, labour provisions are in a side agreement outside the main agreement.

She added:

I would like to say a few words about labour rights in Panama.

Panama has a population of about 3.4 million. It is currently enjoying relatively high rates of growth, but it is ranked second among countries in the region in terms of inequality: 40% of Panama's inhabitants are poor, 27% are extremely poor, and the rate of extreme poverty is particularly high among indigenous populations. In recent years, the country has undergone considerable liberalization and privatization, but they have not trickled down to financially benefit the population.

When we look at Panama's labour laws and the lack of protection for its working people, it amazes me that the Government of Canada is in such a hurry to sign an agreement with this country.

Teresa Healy of the Canadian Labour Congress testified before the committee about the labour co-operation agreement. She said that, although the agreement mentions the International Labour Organization's core labour standards, it is still too weak. What is more, in recent years, the Panamanian government has been increasingly harsh on labour unions and workers. We are convinced that this trade agreement does not respect the integrity of human rights.

The Government of Canada issued an official warning that can be found on the site for tourists and investors. It reads:

OFFICIAL WARNING: Foreign Affairs and International Trade Canada advises against all travel beyond the town of Yaviza in Darién Province. The danger zone begins at the end of the Pan American Highway (past Yaviza, about 230 km southeast of Panama City) and ends at the Colombian border. This area includes parts of Darién National Park and privately owned nature reserves and tourist resorts. Due to the presence of Colombian guerrilla groups and drug traffickers, levels of violent crime in this zone are extremely high, with numerous reports of kidnapping, armed robberies, deaths and disappearances.

I would also like to add that Darién National Park is a nature reserve in the Darién region of Panama that has been a UNESCO world heritage site since 1981.

Darién National Park is the largest of Panama's national parks. It is connected to Los Katíos National Park in Colombia.

I would like to quote the hon. member for Newton—North Delta. When the bill reached second reading stage, she said:

It seems that we have not learned too many lessons from our experiences with NAFTA. As a result of NAFTA, we have seen hundreds of thousands of jobs disappear over the border and into other countries.

During the clause-by-clause review, the NDP member for Vancouver Kingsway proposed several amendments that would have made progressive changes to the bill. The changes would have integrated into the bill the protection of workers' rights, including the right to collective bargaining. Other amendments would have required the Minister of International Trade to consult workers and unions, as well as human rights experts and organizations, in order to conduct analyses of the impact of the trade agreement. That motion was rejected by the Conservatives and the Liberals.

As for respecting the environment, the agreement on the environment is an exact replica of environmental agreements we have signed before, such as the Convention on International Trade in Endangered Species, the Montreal Protocol on Substances that Deplete the Ozone Layer, the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal, the Rotterdam Convention on Trade in Hazardous Goods, and the Stockholm Convention on Persistent Organic Pollutants.

Canada and Panama have agreed to not weaken their environmental regulations in order to attract investment, and interested parties must ask the government to investigate suspected violations of environmental regulations. However, it is important to note that there are no financial penalties for non-compliance.

Panama is also a tax haven. In March 2012, Canada and Panama began negotiations on a tax information exchange agreement. However, this agreement has not yet been signed. A lot of money laundering goes on in Panama, particularly with money from drug trafficking. The lack of tax transparency in Panama led the Organisation for Economic Co-operation and Development, the OECD, to label this country as a tax haven. It is often necessary to know the name of the suspected tax evader in order to obtain tax information from the other country. Governments cannot easily access this information.

Before the clause-by-clause review of Bill C-24, the member for Vancouver Kingsway moved a motion in committee to postpone the implementation of the Canada-Panama trade agreement until Panama agreed to sign a tax information exchange agreement. Once again, this motion was voted down by the Conservatives and the Liberals.

We want fair trade. In my riding, Charlesbourg—Haute-Saint-Charles, many people buy fair trade coffee. Do my colleagues have any idea what fair trade coffee is?

Panama is the smallest coffee producer in Central America. In the 2000s, the country experienced a coffee crisis. Producers banded together, and Panama's coffee was chosen as the best in the world for the first time in 2004. Fair trade coffee is the result of demand from consumers who all decided to make choices that would ensure that the producers receive fair payment for their product.

With this free trade agreement, we are worried that small producers will not end up processing or marketing their products. There is a very big risk of a third party taking over these steps, thus depriving the producer of the added value when selling the product. It is no easy task to protect one's business in a sector dominated by a handful of large-scale producers, and this is not a fair market.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5:10 p.m.

NDP

Raymond Côté NDP Beauport—Limoilou, QC

Mr. Speaker, I would like to thank the member for Charlesbourg—Haute-Saint-Charles for her very enlightening and well-researched speech. As usual, she has shown that she was very well prepared.

The many troubling facts about Panama lead us to ask many questions. Because of the problems she outlined, it is worrisome that the Republic of Panama adopted legislative amendments two years ago that prevent legal action against police in the event of certain abuses.

In light of everything she said, can my colleague tell us what she thinks of this unacceptable impunity of the Panamanian police?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5:15 p.m.

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Mr. Speaker, I thank my colleague from Beauport—Limoilou.

Drug trafficking endangers public safety and obviously leads to a lack of transparency. Consequently, it is possible that some police officers, who should be responsible for public safety, become the bad guys.

If there was a tax system that required the country to provide the names of people who make investments or park large amounts of money without providing any information, we could prevent these types of corrupt situations.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5:15 p.m.

Newmarket—Aurora Ontario

Conservative

Lois Brown ConservativeParliamentary Secretary to the Minister of International Cooperation

Mr. Speaker, a little earlier in my speech I spoke about some of the enormous commercial opportunities that would take place in Panama. It is putting huge investments into infrastructure projects. I commented about the billions of dollars that would go into Panama. Even the expansion of the Panama Canal would allow opportunities for infrastructure dollars to go there.

We know the U.S.-Panama free trade agreement came into effect on October 31, essentially giving United States companies the opportunity to move into that market now. Therefore, with the expertise that we have in Quebec in the aerospace industry, in machinery, in agriculture, why would my colleague want to put Quebec companies behind the eight ball and not allow them access to bid on some of those contracts?

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5:15 p.m.

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Mr. Speaker, I thank the member for the question.

What we have actually seen is the opposite scenario. Unfortunately, every time we sign free trade agreements with new countries, many of our businesses close up shop. That is what happened in the forestry sector, for example. Even the pharmaceutical sector is moving to a country where employees are paid less, their rights are not respected and where production will be less expensive. Thus, this will result in some of our businesses closing their doors.

This also affects our GDP and Canadians' quality of life. We are losing jobs, not gaining them, in those situations.

Canada-Panama Economic Growth and Prosperity ActGovernment Orders

5:15 p.m.

NDP

Rosane Doré Lefebvre NDP Alfred-Pellan, QC

Mr. Speaker, I am glad for this opportunity to ask my colleague from Charlesbourg—Haute-Saint-Charles a question, as I know she is deeply concerned about workers' rights in Québec and everywhere in Canada.

I was very surprised by some of the things I heard during the speeches, especially from the Conservative side. I remember that yesterday, my colleague from Hochelaga said that with this bill, workers will not be allowed to strike and, on top of that, employers will have the right to hire scabs. I have a very simple question.

Could my colleague comment on that?