Debates of Oct. 28th, 2014

Canada-Korea Economic Growth and Prosperity Act

[Chungsen Leung, Conservative, Parliamentary Secretary for Multiculturalism]

Mr. Speaker, it is a pleasure to stand in the House to speak on the Canada-Korea free trade agreement.

At the onset, I should indicate that prior to entering politics, I had an opportunity to do a significant amount of business in South Korea. As a matter of fact, one of the subway systems that is used in a suburb of Seoul is a system that I introduced to them back in the mid-1980s.

However, what I would like to address today is the broader implications of the Canada-Korea free trade agreement being the first of our many agreements, hopefully, in the Asia-Pacific region.

Our Conservative government is committed to protecting and strengthening the long-term financial security of hard-working Canadians. The creation of jobs and economic growth for the benefit of Canadian businesses, workers, and their families continues to be our focus. That is why we will continue to deliver pro-export leadership.

I would like to highlight the Canada-Korea free trade agreement in the broader context of Canada's foreign policy in the Asia-Pacific region.

This dynamic region accounts for half of the world's population and is expected to contain two-thirds of the world's middle class by 2030. By that point, it is further estimated that the region would account for one-half of global GDP. Canada and our competitors recognize the significant potential Asia-Pacific has to offer, in terms of productivity, investment and innovation.

In the last Speech from the Throne, we committed to expanding trade in the Asia-Pacific region to benefit hard-working Canadians and businesses, especially, our crucial small and medium-size enterprises and industries across the country.

In addition to the Canada-Korea free trade agreement that we are discussing today, Canada continues to pursue agreements with other Asia-Pacific nations. Earlier this month, we ratified a foreign investment promotion and protection agreement with China. We are also participating in the trans-Pacific partnership negotiations with 11 other countries in the region, and are negotiating an economic partnership agreement with Japan.

The tremendous economic momentum and potential of the Asia-Pacific has been accompanied by political and demographic shifts across the region. Amid this transformation, Canada has made our relations with Asia-Pacific a top foreign policy priority in order to contribute to regional and global security and prosperity.

In August, the Minister of Foreign Affairs announced additional Canadian funding in the amount of $14 million to help address security issues of shared concern in Southeast Asia. The projects include those to mitigate biological and nuclear threats; disrupt illicit flows, while protecting legitimate trade; combat human smuggling activities; improve regional cybersecurity tools; and work with our Association of Southeast Asian Nations partners to prevent and respond to terrorism.

For example, we are helping states by providing training and equipment, and technical and legal assistance to address the foreign fighter phenomenon and radicalization. Canada committed $2.3 million to support efforts by the Association of Southeast Asian Nations to identify and detect foreign fighters, individuals who are returning to their countries from abroad having been further radicalized and with the training and experience to undertake terrorist activities at home.

Canada also provides bilateral development assistance to countries such as Afghanistan, Bangladesh, Indonesia, Mongolia, Pakistan, Sri Lanka, Vietnam, and the Philippines, as well as other countries across Southeast Asia.

Furthermore, Canada provides development assistance through multilateral and global programs in Asia, as well as through partnerships between Canadian organizations and counterparts in Asia. In the fiscal year 2012-13, Canada provided approximately $1 billion in official development assistance to countries in Asia.

As an example, in September, our government announced funding for World Vision Canada and the Canadian Red Cross to support projects that are improving the health and well-being of vulnerable people in Afghanistan, as well as strengthening community resilience to natural disasters in Southeast Asia. Stability and security are vital to the prosperity of the region and that of Canada. We have a stake in attaining these objectives and we have made important contributions to supporting them in the Asia-Pacific region.

South Korea has witnessed rapid development, democratic evolution, and growing regional and international interests. It joined the United Nations in 1991 and in 2010 it was accepted into the Development Assistance Committee of the Organisation for Economic Co-operation and Development.

These milestones have facilitated and enhanced co-operation between Canada and Korea in a number of political and security dimensions such as arms control, disarmament, peacekeeping and development assistance. Canada and Korea are both active in multilateral fora and partners in promoting global peace and security. Both countries also co-operate on security issues in other fora, such as the ASEAN Regional Forum and the Asia-Pacific Economic Cooperation forum.

Additionally, we share important alliances with the United States and the Asia-Pacific and beyond. Canada supports efforts to maintain peace and stability on the Korean Peninsula and in that region, and takes seriously the threat posed by North Korea to regional and indeed global security. We stand with South Korea in its efforts to ensure peace on the peninsula. North and South Korea technically remain at war as hostilities were concluded with an armistice, not a peace treaty.

Canada remains gravely concerned about North Korea's provocative and destabilizing actions such as nuclear and missile tests and related proliferation, as well as its egregious human rights abuses. Canada strongly supports the six-party talks as a framework for credible negotiation on the denuclearization of the Korean Peninsula. Some of the great success stories of democratization in the last generation can be found in the Republic of Korea as well as Taiwan, Indonesia and Mongolia.

Canada now has more diplomatic staff in Asia than anywhere else in the world. Canada places great value on our relationships with the Asia-Pacific region and with Asian countries. We increased our presence on the ground with over 10 new offices in China and India since 2006. We will be establishing Canadian diplomatic presences in both Cambodia and Laos, and Canada is establishing a mission to the Association of Southeast Asian Nations headed by a new ambassador.

While in Burma in September, the Minister of Foreign Affairs opened Canada's newest diplomatic mission. Establishing a trade commissioner service in Burma is an integral component of the embassy as Canadian companies will have an important role to play in fostering sustainable economic growth while providing opportunities for Canada's private sector. No government in Canadian history has been more committed to the creation of jobs and prosperity for Canadian businesses, workers and their families. Deepening Canada's trading relations in dynamic and high-growth markets around the world is key to these efforts.

Canada's network of missions across Asia will help us to promote Canadian values: freedom, democracy, human rights and the rule of law. People in the region seek a bright future, including freedom and opportunity. Canada is ready to help them and to invite Canada's private sector to expand our engagement. Economic opportunity, in Canada and elsewhere, rests on free, transparent and open markets, the rule of law and democratic governance. As like-minded partners, Canada and Korea share a strong commitment to these values. Canadian foreign policy, including our trade policy, will not only promote peace and prosperity, but will contribute to the development of the wider Asia-Pacific region. In this context, the Canada-Korea free trade agreement is an important achievement that would advance our bilateral relations with Korea as well as Canada's broader objectives in this region.

We stand with Canadians incredibly disappointed that the New Democrats tried to completely gut the bill at the trade committee, where they made amendments to remove the investor protection provisions, cornerstones of modern trade and investment agreements. This is as harmful as the neglect of international trade under the Liberals who took Canada virtually out of the game of trade negotiations, putting Canadian workers and businesses at severe risk of falling behind in this era of global markets.

Thanks to the leadership of our government, in less than seven years our government has reached free trade agreements with 38 countries, bringing Canada's total to 43 countries. By continuing to actively pursue broader market access to new investment opportunities, we are providing Canada's businesses and exporters with access on preferential terms to the largest, most dynamic and fastest-growing economies and regions around the world.

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, I listened to the hon. member's speech very carefully. I have been listening to speeches by the Conservatives since this morning and one of the things they keep bringing up is the investment that South Korea makes in science and technology. Korea became one of the tigers in Asia because of its investment in science and technology, yet the record of the current government is that it has made cuts to scientists. It has eliminated thousands of positions, and that is not a direction that we should be heading toward, having learned from what Korea has done over the years. Not only did the Conservatives cut scientists, they actually muzzled them to ensure that it is the Conservative spin that carries on.

My question is very simple. What can the Conservatives learn from Korea in regard to investment in science and technology?

[Chungsen Leung, Conservative, Willowdale, ON]

Mr. Speaker, the Korean scientific model was built very much on Korea's acceptance of trade. When I went there in the 1980s and the 1990s, the first request was for us to help with scientific development. Scientific development in railroad technology and subway technology was a Canadian investment in the Korean marketplace. Understanding how that technology worked helped Korea to develop its railroad technology to where it is today.

Canada's investment record in developing all these technologies, such as in urban transit, is second to none. We have advances in software development, agriculture, and in all of our technology. We are ready to go from innovation to commercialization. The Canadian innovation record is excellent.

[Chrystia Freeland, Liberal, Toronto Centre, ON]

Mr. Speaker, I thank the parliamentary secretary for his remarks. I particularly endorse his point that opening up Canadian trade to Asia and opening up Asia to the Canadian economy is absolutely essential.

As the House knows, the really big deal, which would cover 40% of the world's economy, is the TPP. I would be very interested in the member's views on how those talks are going. If, as some observers fear, it looks as though they are getting bogged down, does the hon. member believe that Canada should be pursuing its bilateral talks with Japan more energetically?

[Chungsen Leung, Conservative, Willowdale, ON]

Mr. Speaker, the trans-Pacific partnership is like other agreements in which Canada participates through the Association of Southeast Asian Nations and with APEC. The coastline spans the Pacific, covering more than half the world's population. It is possibly one of the greatest consumer markets as well, and one of the higher-income markets as we approach the next generation.

Canadian TPP negotiations are well under way. Unlike some countries, we are not the first to jump in. We are looking to see how the trade negotiations transpire. As a matter of fact, as we speak, the Minister of International Trade will be returning from his discussions on this matter.

I have also participated in a number of briefing sessions on the TPP, especially in the greater Toronto area. I think we are advancing quite well in this area.

[Deepak Obhrai, Conservative, Parliamentary Secretary to the Minister of Foreign Affairs and for International Human Rights]

Mr. Speaker, it is indeed an honour for me to rise and speak today on the free trade agreement between Canada and South Korea.

This trade agreement has been a very long journey. It started under a Liberal government, but the Liberals had a record of not doing much about trade. During the Liberals' tenure, they just talked about it. After 10 years, they had only three free trade agreements.

There has been persistence by this government. The Prime Minister, the Minister of International Trade, and the Parliamentary Secretary to the Minister of International Trade have been consistent in trying to reach an agreement with South Korea.

As a matter of fact, at this stage I would like to acknowledge others who have also been working extremely hard to come to a fruitful conclusion for this free trade agreement. They include my colleague from Haliburton—Kawartha Lakes—Brock, Senator Yonah Martin, and colleagues who have been going to South Korea as part of the South Korea-Canada association. Here I include myself: I have made four visits to Korea, the last one being a state visit with the Governor General. During this visit we again raised this issue.

All of these officials consistently put pressure that both sides should continue to negotiate, because this free trade agreement is of immense benefit to both countries. When the Prime Minister met with the President of South Korea at Bali at a conference, both of them agreed that the agreement should be concluded very quickly. When the President of South Korea visited Canada, we were able to say that the free trade negotiations begun in 2005 had finally reached a conclusion. That is what we are debating in Parliament today. It will be ratified as well by the South Korean parliament.

When we look at the history of North and South Korea, we see that there has been tremendous advancement made by the people of South Korea in building their economy, which is one of the fastest-growing economies in the world today. It is a tribute to the people of South Korea. We are very grateful that Canada has over 200,000 people from South Korea living in this country and contributing to our prosperity.

In Canada, everyone knows about the Kia cars and the televisions being built in Korea. Korea's high technology is a tribute to that great country. It is natural for Canada, a country with a small population and vast natural resources, to look for markets overseas to continue to build on our prosperity by building free trade agreements bilaterally with other countries. I am pleased to say that since 2006, when this government came into power, as has been mentioned many times, we have signed 36 agreements. Before that, the Conservative government signed two more, bringing the total under the Conservative government to 38 free trade agreements around the world.

Let us just imagine the business that free trade agreements open up in the market for Canadian goods around the world. We have full confidence in Canadian businesses. We are one of the best in mining, engineering, and agriculture. We have a vast variety of businesses and products and we need markets where we can grow.

The NAFTA agreement we reached with the U.S.A. and Mexico is a clear example of why a free trade agreement is very beneficial. It has benefited all three countries. To say that a free trade agreement benefits one country over another is wrong. New Democrats have said at times that we are giving ground to other countries; we are not. What we are doing is opening markets for us as well as for them. It is mutually beneficial. That is why South Korea is now one of the strongest economies in Asia, and that is why Canada is also a strong economy. Let us not kid about it: Canada is one of the strongest economies in the world and is able to share with others.

Businesses need this market, and the market is growing. The Liberal critic talked about TPP. Indeed, we have TPP negotiations going on, and they are very extensive. These negotiations are going on. We see that the WTO talks have collapsed, but the problem is that we cannot wait for a global situation on a free trade agreement. Therefore, this government took upon itself a very robust agenda of free trade and went out, as I mentioned, to 36 countries. Imagine the market we have opened up for our Canadian businesses to take advantage of.

Of course, because we have the experience that comes with signing so many agreements, we know exactly how an agreement will impact the economy. We have taken into account every sector of the economy. We have talked to the provinces. We have talked to businesses. We have their input, and we have come up with a game plan or template on how free trade agreements should be done.

We are currently in negotiations with India on this same template, but we have also successfully done negotiations with the European Union. If we think about the markets of the European Union and NAFTA, we see that Canadian businesses are poised to take advantage.

From the other perspective, opportunities are opened up for Canadians to go overseas to work and gain experience and become first class in their businesses. That is happening around the world. Canada is welcomed anywhere in the world. We have a very robust corporate social responsibility. We hold Canadian companies to a high standard, and that is why we are welcomed wherever we go. They want Canadian expertise. In this situation, it works best to have a free trade agreement.

This agreement would be beneficial both for Korea and for Canada. There is no downsizing to this thing, contrary to what New Democrats will say, because experience has shown to us, as in NAFTA, that this is not a downsizing but an important and beneficial thing for Canada.

Koreans have already signed free trade agreements with the U.S. and with the European Union, so these countries are far ahead of us. Because of that, we started losing ground in South Korea. Our exports have fallen, and if we do not sign this agreement, how will we catch up? It had become an unlevel playing field, and the Europeans and Americans were far ahead of us. Now we are catching up, and we should be there.

That is why it is important for the other side to understand that we live in a global world. Other people are signing free trade agreements, as I just mentioned. The European Union, the U.S., and other countries are in TPP negotiations. We are in negotiations with Japan, with India, and with other countries, but at the end of the day, other countries are doing the same thing. If we are not up in the forefront in doing those things, we will lose ground, and we, with the smaller population, will suffer the financial consequences if we lose ground.

Let me expand on how provinces will benefit from this agreement. We have a vast country, from British Columbia all the way to P.E.I., and every region has its own strength in natural resources, which it can leverage on the world market. There is agriculture and potash; in the north there are diamonds, forestry, oil; and potatoes in P.E.I. We need this vast country, as I have stated, to move out and do it.

The Canadian trade delegation, led by the Minister of International Trade and the Parliamentary Secretary to the Minister of International Trade, is robust. I just came back from my visit to India, where the premier of British Columbia brought in a strong trade delegation to build up markets with India. I accompanied the Governor General to Brazil, which is an emerging market. It is a market where we can sell and expand our trade with Latin America. I was with the Governor General in Southeast Asia looking for markets to expand in.

All countries are doing the same thing. There is a global competition. It is not as if Canada is doing something different from others. There is a global competition to enter into other markets. Our good friends in Australia have successfully concluded a free trade agreement with Korea. They are good friends, but they are now our competition. They are there ahead of us. If we do not do these things, then we will lose ground. That is why I find it quite strange that New Democrats use any kind of excuse to say they do not want a free trade agreement and they feel we must live within our boundaries. They have never approved any free trade agreement. I have been here for a long time.

New Democrats need to understand that Canada is a trading nation. We market goods; we sell goods to markets. Think of the market in the U.S. that has over 300 million people, the market in the European Union that has 600 million people, the market in India that has 1.2 billion people, or the market in China that has 1 billion people. Canadian companies are robustly present in all of these areas. We have a global presence.

Canada is recognized around the world. As I travel, I see that we have a global presence. We have a global presence because, as I have stated, we have a great reputation, but we are also traders. When we trade around the world, we do it fairly and we have a good corporate socially responsible system here, contrary to what the NDP says. I will not mention the Liberals because with them there is only talk on trade and no action.

I am delighted to say that I have been to Korea and it is a country that I thoroughly admire, as well as the people. This free trade agreement would be of benefit not only to the world but Canada and everyone else, and I ask my colleagues on the other side to support this great agreement.

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, I too was part of the Governor General's delegation with the Parliamentary Secretary to the Minister of Foreign Affairs to Korea. As he would recall, I actually encouraged the government to speed up the agreement that we were going to sign with South Korea.

Here is a memo from the parliamentary secretary's own department. It says that the foreign affairs department shows that Canada has been slow to conclude trade deals with strategic partners and markets because resources and time were wasted securing agreements with extreme right-wing governments in tiny Latin American countries.

We have been encouraging the government to negotiate good, fair trade agreements with our strategic partners, in markets where we sell a lot. South Asia is one of those markets where we sell a lot of goods, and we should be negotiating good trade agreements there that will be beneficial to Canadians.

My question is this. Why has the Conservative trade policy been so unfocused and erratic? Why do the Conservatives not have a focused policy where we negotiate with governments and markets into which we can expand our businesses?

[Deepak Obhrai, Conservative, Calgary East, AB]

Mr. Speaker, I am delighted that I hear support from the NDP for our trade negotiations. I have been here for a long time, and I have never heard the NDP come and say that it is for trade. Rather, it puts all kinds of obstacles in the way to say that it does not want to sign this trade deal. The NDP should see its record, but I am glad that the member is on the record to say that he supports this thing. I hope that when we work, he will work for this free trade agreement.

In answering his question, I am a little puzzled. We have negotiated, almost, with the European Union. We are in negotiations with India. We are in negotiations with Korea, which we are talking about today. We are in negotiations with Japan. We are in negotiations for a trans-Pacific partnership. If these are the countries that he thinks are small countries, then he really needs to double-check his facts out there.

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, I am grateful for another opportunity to ask a question for the parliamentary secretary.

Honduras, a country that we negotiated with, has a terrible record, and it is a tiny country. We need to negotiate with countries that have strategic value for Canada and where there is a lot of value for us to be able to negotiate with them. What I have seen from the Conservative government is that it has been wasting its time negotiating these tiny agreements just to get its numbers up, so it can say it has negotiated with 20 or 50 countries.

What we should be focusing on is countries like Korea. It started negotiations back in 2003. There is the European Union. This is what the parliamentary secretary was saying about how we have been losing ground. We have been losing ground to the European Union and the United States. The European Union and the United States started negotiating trade agreements with Korea after we did, yet they concluded their negotiations before we concluded ours.

We have been losing ground. We have been losing ground because of the Conservative government.

South Korea has been investing in science and technology for many years, and this investment is one of the reasons it has emerged as a tiger in Asia. What can the Conservatives learn from Korea?

[Deepak Obhrai, Conservative, Calgary East, AB]

Mr. Speaker, signing a free trade agreement with a country like Honduras and what the member is talking about is a good thing. Colombia and all these countries here widen the market, even if they are smaller. There are Canadian companies that are doing business in those parts of the world. For them, this is a great advantage.

On the larger scale of things, I have already pointed out where we are going with our trade agreements. It is quite interesting now that the member opposite is talking about the slow pace of negotiations with this deal here. I would remind him that there are two parties to a free trade agreement, not one party. We walk in with our template when we go to negotiate, which is what the Prime Minister and the President of South Korea did when they finally said “let us move on”. We did move on. It is this government that has moved on.

To my colleague over here, I am pretty delighted to know that the NDP is now going to be a pro-trade party. We are delighted and looking forward to their supporting other trade agreements that will come forward over here. I will keep note of what he just said.

[Mathieu Ravignat, NDP, Pontiac, QC]

Mr. Speaker, as with any free trade agreement, we must ensure that Canadian markets benefit and, to a certain extent, that our businesses can compete internationally.

This requires that we conduct studies and gather information. We have to consider these studies when we move forward with a free trade agreement. Otherwise, there can be very serious repercussions for some sectors of the Canadian economy.

I would just like to ask my dear colleague if basic market research was done before this free trade agreement was negotiated.

[Deepak Obhrai, Conservative, Calgary East, AB]

Mr. Speaker, as I stated, we have 36 signed free trade agreements around the world, or 38. We have a template, which comes after extensive negotiations and talks with our own people, provinces, businesses, and so forth in this country. We take that into account.

It is not as if we are just signing one agreement that is different from another agreement. No, we use the examples we have had and the success rate we have had. This is why we say this is a successful template, which is why it takes a little longer for us to negotiate with other countries. Other countries have their own interests as well. However, ultimately, things are moving forward.

When Korea signed the deal with the U.S. and the European Union, they had a template as well, which they completed. We also came to a successful conclusion. However, extensive consultation takes place in Canada before we sign these agreements

[Mathieu Ravignat, NDP, Pontiac, QC]

Mr. Speaker, I would like to thank my dear colleague for his answer. It is not reassuring. He spoke about consultation and a template for free trade agreements used in the past.

I asked this question because there are people in my riding who could benefit from this free trade agreement, but who could also be adversely affected. I am thinking of pork producers, for example.

What can he say to reassure my constituents who make a living in the agriculture industry and hog production?

[Deepak Obhrai, Conservative, Calgary East, AB]

Mr. Speaker, if the member looks at the agreement, he will note that it does ensure that the farmers' interests are well taken care of. As a matter of fact, I would like to advise the member that, because we had not signed a free trade agreement with the Koreans, some agriculture sectors had lost the Korean market. However, I can assure him that the pork producers' interests are taken care of under this agreement. If he reads the agreement in depth, he will know that his farmers would have a lot of advantages through this agreement.

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, it is always an honour to speak in this House on behalf of my constituents from Surrey North.

I know that many of my constituents are very happy about this particular trade agreement. I have talked to a number of small businesses that already do some business in South Korea, and they will be delighted to finally see, after many years of negotiation, and to some degree neglect by the government, the conclusion of this agreement.

It is not perfect, but this is something that will definitely benefit not only the people in my constituency but people across this country, because we are a trading nation.

Before I get to that, I had the opportunity, along with the Parliamentary Secretary to the Minister of Foreign Affairs and for International Human Rights to visit South Korea with the Governor General. At that point, the talks were sort of stalled because of a lack of resources provided by the Conservative government to negotiate this particular trade agreement. The government's priorities were somewhere else, as I spoke about earlier. The government's priorities were countries that have shady records and should be a low priority, for a number of a reasons.

The delegation encouraged speeding up those negotiations. I am very proud that I was part of that delegation encouraging the Korean government to come to the table to negotiate a trade agreement that is going to benefit both countries, Canada and Korea. Both countries will benefit from trade.

Canada is a trading nation. We on this side of the House know that. We have been encouraging the government to negotiate trade agreements that are fair to Canadians. We are not going to get it 100% right, but overall, the majority of the trade agreement will be beneficial to Canadians and Koreans.

The NDP has always encouraged governments to negotiate trade agreements that are fair and that will benefit Canadians. I sat on the international trade committee. I have talked about what criteria we need to use to look at which countries we should be negotiating with and what sorts of things we should be negotiating to expand the markets our exporters need.

In this House we have heard that there are jobs related to our exports. It is critical that we negotiate trade agreements to benefit people across this country.

The Conservative government talks about having a template. I doubt that it has a template. The only template it has is to make sure that it negotiates trade agreements with 50 countries or 40 countries. It just looks at numbers. The government's priorities are not consistent.

I am going to talk about the criteria the NDP government in 2015 would look at in negotiating trade agreements. We will ensure that markets open up for all Canadians right across the country.

Here is some of the framework we should be looking at. There are three important criteria I will talk about in detail.

First, is the proposed partner one that respects democracy, human rights, adequate environmental and labour standards, and Canadian values? If there are challenges with these, is the partner on a positive trajectory towards these goals?

Second, is the proposed partner's economy of significant or strategic value to Canada?

The third criteria makes common sense. The Conservatives do not always talk common sense, but New Democrats do. Are the terms of the proposed agreement satisfactory and of benefit to Canadians? Would it create good-paying local jobs here in Canada. Would it create secondary industry jobs and value-added jobs?

Value-added jobs pay higher wages. Shipping our raw materials overseas does not create a lot of jobs. Creating value-added jobs in this country is what we on this side of the House, in the official opposition, have always advocated.

We should be adding secondary jobs. The Conservative government's record with regard to trade and the creation of secondary jobs is horrible. I would like to talk about that before I get into the details of the three criteria.

Canada had a trade surplus when the Conservatives took office in 2006. That trade surplus has now turned into a huge trade deficit. That is not a good record for the government. The Conservatives say they are stewards of the economy and have negotiated many trade agreements. However, they have failed to look at these agreements to see if they have been positive or to make adjustments for future trade agreements. The government continually fails to do its research with regard to trade agreements.

I talked about negotiating trade agreements that will add value to the goods we produce in Canada and ship overseas.

The government has gutted manufacturing here in Canada over the last few years. Hundreds of thousands of good-paying manufacturing jobs have disappeared under the Conservative government. When I talk about the government's erratic policies when it comes to negotiating trade agreements, we can relate that to what has happened in our manufacturing industry.

Conservatives' do not have a coordinated policy plan when it comes to negotiating agreements with our strategic partners.

I will talk to the House in detail about the criteria I just mentioned.

First, is the proposed partner one that respects democracy, human rights, adequate environment and labour standards, and Canadian values? I had a chance to go with the Governor General to South Korea. After the dictatorship in 1987, South Korea transitioned into a vibrant, multi-party democracy with an active trade union movement and relatively high wages. South Koreans have a high standard of living and freedom of expression.

South Korea has emerged as a tiger in South Asia. It is the fourth-largest economy in South Asia and the 15th-largest economy in the emerging developed countries. South Korea has one of the highest post-secondary education rates of all OECD countries.

In recent years, South Korea has invested billions of dollars in an ambitious green growth strategy aimed at improving energy efficiency and boosting renewable and green technology. This is something my friends across the aisle could learn from South Korea. It has invested in green energy and green projects. It is looking at 20 years from now. In the last decade, this Conservative government has been looking back.

The parliamentary secretary was right. The members of the third party talk about negotiating trade agreements, but they actually just talk. They do not negotiate any trade agreements. Over the years, we have seen them dragging their feet with respect to making good agreements that make sense for all Canadians from coast to coast to coast.

On the first criterion, it is clear that South Korea is a country that respects environmental and labour law standards. It shares Canadian values on human rights and democracy.

On the environmental front, Korea has emerged as a leader in renewable energy and green technology. Canada can increase its trade in these important sectors.

The second criterion is that the proposed partners be of strategic value to Canada.

Coming from Surrey, British Columbia, and living on the west coast, I know how important the South Asia economies are to British Columbia, because all of our goods flow out of the ports in Vancouver or Prince Rupert. We have been doing quite a bit of trade with Korea. Not only that, some of the ports on the west coast are located strategically. Goods shipped from Korea may be going to Ontario or the midwestern United States. The ports are actually able to cut down the time it takes the goods from Korea to get to Ontario or the central United States. We are strategically located, and we have been encouraging the government to negotiate good, fair trade agreements based on that criterion.

Japan is another country we have been negotiating with for many years. However, we have not yet seen a successful conclusion. There has not been that concrete push from the Canadian government to ensure that a fair trade agreement can be concluded with Japan. Japan is another strategic trading partner for Canada.

There is already a large amount of trade between Korea and Canada. We started these negotiations with Korea back in 2003. It has taken up to now, close to 11 years, to successfully negotiate a trade agreement. Although sometimes it may take a long time, I agree that we should ensure that the trade deals we are negotiating are fair to our country.

This is where I wonder what the government's priorities are. The European Union started negotiating with Korea after we started negotiating. The United States started negotiating with Korea after we started negotiating the trade agreement. The current government has been busy negotiating with some countries that have very shady records, and I have spoken about that in the House. The European Union and the U.S. not only started negotiations after we did but concluded their free trade agreement before we did. That tells me that their governments are putting more effort into ensuring that they lock in their strategic markets. We are negotiating trade agreements with strategic partners, yet the government has failed to see how important South Korea is.

I have talked with farmers from Alberta and Saskatchewan. I have sat on the trade committee. The cattle and hog farmers have told the trade committee that we are losing the market for their goods in South Korea due to the negligence of the government. That has eroded some of the markets our competitors have access to and we do not.

We will catch up. However, jobs have been lost because of the government's inability to negotiate these trade agreements with these strategic partners in a timely fashion before our competitors, such as the European Union, the United States, and Australia, have.

Australia is another country that is heavily invested into Asia. It is negotiating trade agreements and finding markets in Asia. A lot of the goods it sells to these markets are similar to what we have to offer to those very nations. I would advise the government to put its resources where strategically Canada can benefit from these fair trade agreements that will lead to local jobs and prosperity right across the country.

Another one of the factors of the second criterion I talked about is that Korea is also part of the Asian global supply chain and a gateway market to the economies of other countries in Asia. Korean and Canadian economies are largely complementary, meaning most Canadian industries do not compete directly with Korean industries. I am talking about most in generalities.

There is a number of manufacturing industries that would benefit from this agreement, and there is a cross-section of those. There are the aerospace industry, the chemical industry, the Canadian Apparel Federation and Bombardier. The heavy industry, such as Aluminum Association of Canada and the Mining Association of Canada, would benefit. Another area that would benefit would be the wood products. Agricultural goods, food processing, seafood and high-tech information technologies are some of the industries that would benefit as well.

There is a concern from the auto industry in regard to being unable to benefit from this agreement. We have asked the Conservatives how they will respond to the concerns of the auto industry, yet we have no response from them. We have seen the agreements the United States negotiated. It had won some concessions from the Korean government to protect parts of its auto industry. Again, the Conservative government has not provided any answers as to how it will mitigate the very real concern from auto workers in Ontario.

The third criterion is this. Are the terms of the proposed deal satisfactory? Most Canadians and virtually all industry associations support the deal, and these include, as I pointed out, many of the industries. The agreement would create a level playing field for Canadian companies and Canadian auto workers exporting to South Korea.

I have a lot to talk about, but I will try to sum this up.

One of the other areas of concern to us, as always, is the investor state dispute resolution. We have a very good judicial system in our country and South Korea has a fairly good one. The rule of law governs and the rules are applied the same to all companies. However, the investor dispute resolution settlement would provide an alternative kind of settlement. Sometimes that is not very open and sometimes it ties the hands of governments to protect local industry, or ties the hands of local city governments as to whether they can create local jobs or hire local people or buy local products. That is of concern to us.

The good thing about the investor state dispute settlement is that it could be cancelled with a notice of six years, whereas the FIPA the Conservative government has signed with China ties the hands of future governments for 31 years. That is the sort of irresponsible action the government has taken in regard to that agreement.

As we pointed out earlier, the Korean opposition parties did not want the investor state provisions in the agreement. The NDP is on record saying that we will look at opening it up and renegotiating this part of the agreement.

Overall, it is a good deal, one that we have always advocated. We are a trading nation. We will continue to negotiate free trade agreements that support Canadian jobs, local economies and local industry to provide prosperity across the country.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, it is quite encouraging to see that our friends in the New Democratic Party seem to have turned a new leaf. It is now supporting trade agreements. I never would have thought, given individuals like Jack Layton and Ed Broadbent, that we would ever see the NDP support free trade agreements. I applaud the New Democrats in recognizing that there is value to trade.

We in the Liberal Party have been very consistent through the years. In regard to this specific agreement, there was a will from South Korea to have an agreement put in place between Canada and South Korea back in 2003. The then prime minister, Paul Martin, took action within the year to ultimately get the negotiations under way. Unfortunately, it has taken many years for the Conservatives to capitalize on that interest of South Korea had, and at great cost. It has cost us a great deal of jobs and opportunities because of the slowness of the Conservative government.

Does my colleague from the New Democratic Party agree that even though there are concerns from the automobile industry in particular with this agreement there is great benefit? Does he agree that a considerable amount of benefit was lost because of the amount of time it took the Conservative government to achieve something that could have been achieved years ago, as many other countries did?

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, when the member for Winnipeg Centre talks about consistency and Liberals in the same sentence I get goosebumps because that is not something on which they have been consistent. When we look at NAFTA, Prime Minister Chrétien came in and said that he would rip the deal apart. There was another member from Southern Ontario who said that she would resign and she actually did.

Consistency is not something Liberals are very good at. We have seen this on the issue of the war in Iraq. One day they were sitting on the fence. The next day they were jumping on the other side, then back up on the fence again. If we look at the agreement that was signed in principle with the European Union, the leader of the third party stood up in the House, clapped and congratulated the government on negotiating CETA, which he had not even seen. How can they approve something and say that it is a good deal without even seeing the text? That is their consistency.

On this side of the House, the official opposition NDP has been consistent throughout our history. We have been calling for good, fair trade agreements. This is one agreement we like. We think it is a good trade agreement that will benefit Canadians right across the country.

The only people who have been consistent and principled in the House is the official opposition, not only today but for many years.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Mr. Speaker, I thank the member for Surrey North for that very eloquent presentation of the NDP support for the Canada-Korea free trade agreement.

In the speech given by the member for Vancouver Kingsway, he noted that in recent years South Korea had emerged as a global leader in environmental economics, investing billions in an ambitious green growth strategy aimed at improving energy efficiency, while boosting renewables and green technology. Then, sadly, he turned to Canada's track record.

In the report, “The Maple Leaf in the OECD”, comparing progress toward sustainability, it indicated that according to recent tracking polls, 90% of Canadians believed it was very important for national identity that Canada be a leader on the environmental issues. However, Canada's environmental performance was one of the weakest of all countries in the Organisation for Economic Co-operation and Development. The data shows Canada's overall environmental performance is far behind other OECD countries, with a rank of 28 out of 30, virtually at the bottom.

In Korea there is a green growth in action and it has become only the third country to issue a report using the proposed OECD green growth indicators. It is looking at CO₂ emissions, environmental and resource productivity, energy productivity, domestic materials consumption and so on. On many measures, Korea is in the forefront of a new green economy.

Could the member comment about the fact that Korea could show leadership to Canada, which is such a laggard when it comes to environmental measures?

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, there is no doubt that the environmental record of the Conservative government has been horrendous. Southeast Asian countries and Korea have taken leadership in looking at developing new industries. They are looking ahead 20 years. What is the Conservative government concerned about? It is concerned about fossil fuel, and we have seen the price of oil going down. Conservatives have been dependent on one industry for the last number of years. We need to diversify our industry. We need to invest in research, science and new technologies. The government has failed to do that.

Here is another lesson the Conservative government can take from South Korea. It has invested in science and technology to have it emerge as a leader in Southeast Asia. It has emerged as one of the tigers in South Asia. The reason it has been able to do that is because it has made a heavy investment in research and science. What does the Canadian government do? Not only does it muzzle the scientists, but it has also cut thousands of research positions throughout universities and the federal government. That is its record.

If we are looking into the next 20 years of creating good jobs, we need to make investments in the very sectors that will generate those jobs. The green energy sector is one of those sectors that the government has failed. In 2015, when the NDP forms government, we will be making those investments. The leader of the official opposition is committed to ensuring Canada has a leading world economy.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Mr. Speaker, I want to turn to the investor state resolutions youth settlement mechanism for a moment. There was a report issued by the International Investment Arbitration on Public Policy and it highlighted some of the concerns raised with regard to the lack of openness and transparency. In fact, it said:

Unfortunately, a recent review by the International Chamber of Commerce of its arbitration rules maintained a very high level of confidentiality in ICC arbitrations involving states, such that the existence of a claim against a state, the identity of the arbitrators, the text of orders or awards, and any amounts awarded against a state will continue to be kept confidential. While this level of confidentiality may be appropriate in commercial arbitrations, it precludes public scrutiny of ICC arbitrations involving states and makes it difficult to evaluate the policy implications of a state's decision to authorize investment arbitration under the ICC Rules.

In the House we often call on the government to engage in activities around openness and transparency. With the investor state resolution dispute settlement mechanisms, that openness and transparency is absent.

Could the member comment on the secretive dealings of those mechanisms?

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, the investor state dispute resolution component of this particular agreement is of concern to us. It should be of concern to all Canadians. Just as we cannot put consistency and the Liberals together, we cannot put transparency and openness together with the Conservative government. We have seen this with the CETA agreement and the Korean agreement. They have been negotiated in backrooms. Canadians did not have all the information to make those decisions along the line. Now that we see it, we do support that. Not only that, the current government likes doing things in secret and in backrooms.

This investor state dispute resolution fits right in with the Conservatives, where the public will not know why some of the decisions were made and whether their interests were protected.

There are robust judicial systems in both countries and those systems should have been able to take care of some of the disputes arising from trade. However, the current government has signed on to an agreement that would hear the disagreements in secret and the decisions would be made in secret. That fits right into the back alley of how Conservatives like to function.

[Devinder Shory, Conservative, Calgary Northeast, AB]

Mr. Speaker, I will be splitting my time with the member for Prince Albert.

I am pleased to rise today to speak about the historic Canada-Korea free trade agreement and how this agreement supports the government's broader pro-trade plan. It is only our Conservative government that is focused on what matters to Canadians: jobs, growth and long-term prosperity.

By pursuing an ambitious trade agenda, our Conservative government has provided Canadian businesses with access to new opportunities in dynamic markets around the globe. As an export-driven economy, Canada needs free trade agreements. Trade accounts for one out of every five jobs in Canada and is equivalent, in dollar terms, to over 60% of our country's annual income. Despite all the evidence that modern trade agreements create jobs, economic growth and economic security for hard-working Canadian families, the NDP tried to completely sabotage the Canada-Korea free trade agreement at committee. They would have forced our government to completely renegotiate the agreement and set Canadians back even further.

This anti-trade behaviour is just as bad for Canadians who depend on trade for their jobs as the Liberals' record on trade. During 13 long years in the government, the Liberals completely neglected trade, completing only three free trade agreements. The Liberals took Canada virtually out of the game of trade negotiations, putting Canadian workers and businesses at severe risk of falling behind in this era of global markets. Their trade critic does not even sit on the committee.

Our government recognizes that Canadian companies are at risk of being at a competitive disadvantage in key markets, as their major foreign competitors, such as the U.S. and the EU, are benefiting from preferential access under existing FTAs. That is why Canada is pursuing its most ambitious trade negotiations agenda in Canadian history.

Eight years ago, Canada had just five trade agreements, but since 2006, Canada has successfully reached free trade agreements with 38 countries, namely, Colombia, the European Free Trade Association, Honduras, Jordan, Panama, Peru, all 28 members of the European Union, and now South Korea. In addition, Canada has 28 foreign investment promotion and protection agreements in force, 13 additional concluded FIPAs. These bilateral agreements establish a strong rules-based framework for increased investment by protecting and promoting foreign investment through legally binding rights and obligations.

Focusing on sectors and markets that offer the greatest opportunities for growth is a priority under Canada's new global markets action plan, called GMAP.

Let me now turn to the historic Canada-Korea free trade agreement.

South Korea is identified as a priority market in the GMAP and the CKFTA represents an important step in increasing access to this fast-growing economy. The Canada-Korea free trade agreement is a landmark achievement that would restore a level playing field for Canadian companies competing in South Korean markets. Stronger economic ties with South Korea would create new jobs and opportunities and contribute to Canada's long-term economic growth and prosperity.

Critically, with this agreement, Canadian companies will become increasingly competitive in the region. With half of the world's population living a five-hour flight away from Seoul, South Korea offers strategic access to regional and global value chains. As a result of improved market access for goods, services and investments under the agreement, Canadian companies can use South Korea as a strategic base for growing their businesses throughout the Asia-Pacific region. The positive momentum of an agreement with South Korea is and will continue to carry Canada forward in this vibrant region, but creating new opportunities for Canadians in the Asia-Pacific region does not stop there.

Just a few weeks ago, the Minister of International Trade led his third trade mission to India, along with the Minister of Foreign Affairs and the Minister of National Revenue. India is a country where we continue to see many opportunities for Canadian businesses.

We have also seen a great deal of interest in India from a number of my colleagues, including the Minister of Agriculture and the President of the Treasury Board in September, as well as the Minister of Citizenship and Immigration in July.

Canada and India have long-standing bilateral relations, close people-to-people ties and shared goals of free trade, open markets, democracy and good governance for more growth and prosperity. In fact, India is a priority market under Canada's global markets action plan. Bilateral merchandise trade between Canada and India totalled $5.8 billion in 2013, a 10.7% increase from 2012, and has more than doubled over the last 10 years.

Strengthening the Canada-India partnership is one of our Conservative Government's top trade priorities. We believe that an exciting future awaits both our countries, a future based on deeper trade and investment ties. Opportunities are particularly strong in the fields of energy, agriculture and agri-food, infrastructure, and education.

Through our ambitious pro-trade and pro-export global markets action plan, Canadian businesses have the tools to grow, export and build on their success at home and abroad. These tools include trade missions such as the one the Minister of International Trade recently led to India, free trade agreements, foreign investment promotion and protection agreements, together with the support of the on-the-ground Canadian trade commissioners service, Export Development Canada, the Canadian Commercial Corporation and the Business Development Bank of Canada.

Canada has eight Canadian trade commissioner offices and five EDC representatives in India, reflecting the importance both countries place on increasing bilateral trade and investment. Canada's trade network in India is now our third largest globally, after China and the United States, and is also the second-largest foreign network in India, after the U.S.

Export Development Canada is a strong investor in Canadian companies seeking opportunities in India. Five EDC officers are on the ground in the country. To date, EDC has supported 299 Canadian companies with contract volumes of $1.86 billion.

While the Liberals led trade missions purely for photo-ops for politicians, our approach is to lead trade missions to actually help our businesses. The Minister of International Trade led his most recent trade mission to India to interact with Indian businesses and government representatives and to see first-hand the opportunities that exist to boost Canadian exports.

Participants in these trade missions have told us that high-level trade missions are valuable in opening doors and identifying opportunities. By helping Canadian businesses expand and succeed abroad, we are also helping to create jobs, growth and prosperity at home. Canada's competitive edge and combined access to these markets will lead directly to jobs and opportunities in every region of Canada.

Whether we are exporting meat, grain, fish, wood products or industrial goods, the more markets we have access to, the more jobs are created for hard-working Canadians and their families. Canada's long-term economic prosperity is directly linked to market access and other economic opportunities beyond Canadian borders.

Our government understands the importance of trade and exports to our economy. Exports are responsible for one out of every five Canadian jobs. The prosperity of Canadians depends on the continued expansion beyond our borders into new markets that serve to grow Canada's exports and investments. The CKFTA represents one of these key economic opportunities and is a watershed moment in our historical relationship with South Korea.

For this and other reasons, stakeholders from across the country have called for the agreement's entry into force as soon as possible. That is why our government is moving to pass the bill quickly and will not be stopped by opposition stonewalling.

I look forward to the support of the opposition on the bill.

[Ève Péclet, NDP, La Pointe-de-l'Île, QC]

Mr. Speaker, the question I have for the member is simple.

The facts are clear regarding chapter 11 of NAFTA, which contains the first investor state dispute settlement mechanism that Canada included in a free trade agreement. The Government of Canada had to pay hundreds of millions of dollars of public funds, taxpayers' money, to a number of American companies. Canadians had to pay American companies because they challenged Canada's right to make environmental and public health regulations.

What do Canadians stand to gain from the inclusion of such mechanisms in the free trade agreement with South Korea? Will it mean that, in addition to having to pay millions of dollars to American companies, Canadians will now have to pay Korean companies and assume those costs too? We are talking about hundreds of millions of dollars of taxpayers' money.

I would like my colleague to tell us what Canadians stand to gain from this type of provision.

[Devinder Shory, Conservative, Calgary Northeast, AB]

Mr. Speaker, the NDP has a long proud history of working against trade. I understand it is finding it very difficult to support this good agreement.

As a matter of fact, the NDP tried its best to gut this legislation in committee. It would have sent us back to the renegotiation table, which would basically put us off trade with South Korea. The U.S. has some deadlines, which come into action on January 1.

This agreement would benefit virtually every province and territory. I am from Alberta. Whether it is on agriculture or industrial goods or forestry, this agreement would help every province and territory, including Quebec.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, the member spoke about India. I am a great fan of India. It is wonderful in terms of the way in which we can look at expanding our relationships.

The member talked about his government's actions in regard to trade with India. The first thing that came to my mind was that former prime minister Jean Chrétien said we were going to go to China. He brought in this whole team Canada approach. He took premiers, stakeholders, industry reps, and so forth to China. There was hundreds of millions of dollars' worth of activity created because of that particular initiative.

Our Prime Minister goes to India, and he took a limousine. It cost $1 million. I am not too sure how he enhanced the trade negotiations by incorporating the different premiers of the provinces and so forth.

It is the same thing on this particular trade agreement. South Korea has wanted this agreement since 2003. Could the member explain why it has taken the government so long to sign the agreement? Could the member comment as well on the lost opportunities due to the government's slow response to South Korea's request?