Debates of March 31st, 2014

Canada-Honduras Economic Growth and Prosperity Act

[Larry Maguire, Conservative, Brandon—Souris, MB]

Mr. Speaker, I rise in the House today to talk about the Canada-Honduras free trade agreement and the many benefits it would bring to our agriculture and agri-food producers and exporters.

First I would like to emphasize that our Conservative government clearly understands that our standard of living and Canadians' future prosperity will be generated by deepening and broadening our trading relationships, which is something missing from the comments earlier today by the Liberals and the New Democrats. That is why our government is committed to securing and deepening access to traditional markets such as the United States while broadening and expanding access to dynamic and fast-growing economies around the world.

Pursuing new trade opportunities is a win-win situation for Canada and its trading partners. Canadians benefit from the jobs, prosperity, and consumer benefits that come from increased trade. In turn, our international partners, many of which represent developing countries, benefit from the ever-expanding middle class and improved standard of living that is lifting more of the world's population out of poverty. This was mentioned earlier today by the member for Mississauga South in her comments.

We are also creating new opportunities for our exporters, opportunities that are bringing jobs, growth, and long-term prosperity to hard-working Canadians.

As Canada's agriculture and agri-food sector becomes more modern, innovative, and competitive, the sector is becoming a more significant part of Canada's economy. In fact, in 2012 the agriculture and agri-food industry accounted for one in eight jobs in Canada, which translated to employment for more than two million Canadians. It also accounted for 8% of Canada's gross domestic product.

In 2012 our overall agriculture and agri-food exports exceeded $44 billion, ranking Canada the fifth-largest exporter of agriculture and agri-food products in the world. That is why our government continues to work tirelessly to improve access to international markets for our agricultural exporters.

Whereas the Liberals completed only three trade agreements over their 13 years in government, in eight years Canada has signed or concluded new free trade agreements in 38 countries, including Colombia; Jordan; Panama; Peru; the European Free Trade Association, including Iceland, Liechtenstein, Norway, and Switzerland; Honduras; the 28 members of the European Union; and, most recently, South Korea. Sadly, the ideologically driven NDP has consistently opposed these agreements.

The Canada-Honduras free trade agreement we are debating here today is an example of the actions our government is taking to support Canadians as they compete and win in the global economy. Our government will ensure that Canadian agriculture and agri-food producers and exporters remain competitive with exporters to Honduras, and I want to emphasize why this is so important.

As members of this House are aware, Honduras has also concluded free trade agreements with the United States and the European Union. The United States is Canada's biggest competitor in Honduras, and many Canadian exports are in direct competition with those of the United States. Canadian products are now at a competitive disadvantage, as they continue to face duties, while exports from the United States enjoy duty-free access. Over 87% of U.S. exports of consumer and industrial goods to Honduras are now entering duty free.

Our government will not let Canadians compete on an unlevel playing field. It is time this House passed this agreement.

Our agreement with Honduras is a comprehensive agreement that covers market access for goods, including agriculture and agri-food products. Some of these products include Canada's high-quality beef, pork, wheat products, frozen french fries, malt, maple syrup, pulses, whisky, canola seed, and canary seed. These products would enter Honduras duty free upon implementation of this FDA. This is welcome news for our agriculture and agri-food industries and for our exporters.

For instance, our beef and pork exporters could take immediate advantage of restored access to the Honduran market following the recent approval of the Canadian meat inspection system. Our pork sector would also reap benefits from an FTA with Honduras. Canada's exporters of purebred breeding swine, swine genetics, and pork offal would benefit from the immediate elimination of Honduran tariffs of up to 15%. As well, cuts of Canada's fresh, chilled, and frozen pork would gain from immediate duty-free access. Our pork industry is optimistic about the potential for an increase in our pork exports to Honduras.

Canada's exporters of frozen french fries would also benefit from the immediate elimination of Honduran tariffs of 15%. Likewise, our pulse exporters would benefit not only from the immediate elimination of tariffs ranging from 10% to 15% but also from the eventual removal of tariffs of up to 30% within the next 10 years.

I have outlined only some of the benefits of the Canada-Honduras free trade agreement for Canadian agricultural exporters and their producers. Suffice to say, the Canada-Honduras agreement is excellent news for the Canadian agriculture and agri-food sector.

This agreement would support more Canadian jobs by enhancing our ability to export more goods and services to this market, including agricultural goods. Expanding Canada's trade and investment ties around the world will help protect and create new jobs and prosperity for hard-working Canadians.

All these initiatives are critical to the economic future of our country, yet they are also a representation of Canada's past. Canada has always been a trading nation. This year we are celebrating the 20th anniversary of the North American Free Trade Agreement. Twenty years ago, trade within the North American region was over U.S. $288 billion. In 2012, total trilateral merchandise trade reached nearly $1.1 trillion. That is nearly a fourfold increase.

Canada is now the top export destination for 38 out of 50 U.S. states. Of course, the U.S. remains by far the top export destination of all provinces. Over eight million U.S. jobs depend on trade and investment with Canada, and over 2.4 million Canadian jobs, one in seven, depend on exports to the U.S.

NAFTA has provided a solid foundation for Canada's future prosperity on which Canada continues to build to advance North American trade and competitiveness.

Canada has also punched above its weight when it comes to multilateral trade. By continuing to actively pursue broader market access and new investment opportunities, we are providing Canadian businesses and exporters with access on preferred terms to the largest, most dynamic, fastest-growing economies and regions around the world. That is why the implementation of this free trade agreement, and all free trade agreements, is a priority for this government.

I ask hon. members in the House to support Bill C-20.

[Dany Morin, NDP, Chicoutimi—Le Fjord, QC]

Mr. Speaker, once again, I feel as though I have landed on a Conservative-Liberal planet that is obsessed with free trade agreements.

I would like to talk more specifically about the Conservative government's track record when it comes to free trade agreements. The Conservatives boast about signing more of these agreements than the Liberals. However, I would like to remind hon. members that, under the Conservatives, Canada's has gone from a $26 billion trade surplus to a $62 billion trade deficit.

How has Canada benefited from all these free trade agreements thus far? To date, the NDP has supported one of the free trade agreements. We were not satisfied with the others because of the humanitarian values of the countries in question, among other things.

How can my colleague justify the fact that Canada now has a $62 billion trade deficit when we had a $26 billion surplus when his party took office?

[Larry Maguire, Conservative, Brandon—Souris, MB]

Mr. Speaker, it is clear that the NDP and we on the Conservative side of the House have different views of trade agreements. It is clear from the NDP trade critic, who has been quoted as saying that countries like Honduras, Colombia, Peru, Costa Rica, and others are not key economies with any kind of strategic value for Canada.

Clearly, when we can provide trade with countries like Honduras and some of the others that New Democrats have listed, we not only improve our own standard of living by providing more jobs and security here in our own country but also improve the lives of the people in those countries.

I have had the opportunity to visit a few of them, and we should do anything we can to try to promote trade with them, because they get to export their products in some of these cases as well. When a country relies as heavily on trade as Honduras does, this is a big benefit.

I talked about the benefits to the agricultural sector more than some of the others, but it would certainly be a benefit to us in terms of industrial machinery. The tariff on that is in the neighbourhood of 15%, and it would be eliminated. The tariffs on aerospace would be eliminated as well. That is a big industry in Manitoba, the province I come from. There are a number of other industries in coastal provinces that would benefit from this agreement as well. Certainly the plastic industries would gain from a trade agreement with Honduras.

In replying today to the same question that was just asked, one of my other colleagues indicated that there was a recession in 2008. Very clearly, we are all in recovery from that 2008 recession, and Honduras and the Central American countries are no different.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, I cannot help but notice that a number of Conservative members of Parliament stand in their place and talk about Bill C-20 and make reference to the fact that they have 38 free trade agreements under this particular Prime Minister. It is important that we distinguish, when we talk about the number of 38, one of them is with the European Union, and the European Union is 28 of that 38.

From my understanding, and I look for the member's comment, it is not the traditional type of agreement that we are talking about today. For example, in the case of the European Union and those 28 countries, there is no legislation before the House today regarding free trade.

I am wondering if the member might be able to inform the House as to when he believes we will actually have the legislation for the European Union agreement. If he likes, he could also provide comment on the pork industry in Honduras. The trade agreement would be of great benefit, we anticipate, in Manitoba, particularly in his riding.

[Larry Maguire, Conservative, Brandon—Souris, MB]

Mr. Speaker, I appreciate the comments of the member for Winnipeg North and the years I spent in the Manitoba legislature with him.

Certainly the pork industry would benefit from this measure. As I have indicated, there is a tariff that would be removed, which would certainly help our Maple Leaf plant in Manitoba, which is located in Brandon, as the member has indicated. However, these are strategic agreements that we need in order to continue with trade.

The member is right in regard to the European Union trade agreement. It is 28 countries, and as was indicated in last fall's throne speech, it is a memorandum of understanding that we hope will be signed by all of those countries in the next two years.

[Joan Crockatt, Conservative, Calgary Centre, AB]

Mr. Speaker, as we have heard, our Conservative government is undertaking the most ambitious trade agenda in Canadian history.

To date, the government has signed 38 trade agreements, and whether they are with countries large or small, each one is important. I want to underscore that because trade is both an opportunity and a necessity in Canada right now. Canada cannot consume all the products that we can produce, and there are other countries that need the products we produce.

In fact, 2013 was the most successful year for Canadian trade in history. We reached the historic Canada-EU comprehensive economic and trade agreement. We brought into force or signed free trade agreements with three priority countries. We concluded or brought into force a record ten foreign investment promotion and protection agreements.

The Minister of International Trade also unveiled Canada's new global market action plan, or GMAP. The GMAP is a comprehensive pro-trade and pro-investment plan that reflects a changing global landscape. It is focusing on core Canadian strengths.

It aligns Canada's trade, development, and foreign policy tools to advance our commercial interests around the world. It sets concrete targets to grow the presence of Canada's small and medium enterprises in emerging markets. This is where a lot of the job creation has taken place in Canada and where it will take place in the future.

The year 2014 is shaping up as another real banner year, with the Canada-Korea free trade agreement and the launch of negotiations on an expanded Canada-Israel FTA. The Prime Minister and the Minister of International Trade have secured Canada's status as a global champion of trade.

The Canada-Honduras free trade agreement is a high-quality, comprehensive agreement. It provides enhanced market access opportunities for producers, manufacturers, and exporters from every province and territory by eliminating tariffs. We have heard several of the members of Parliament from those provinces talking about that today.

This is very good news for my particular province of Alberta. For Alberta, a free trade agreement with Honduras will benefit exporters through the elimination of tariffs on a number of key provincial exports. Alberta's merchandise exports to Honduras, while they were a modest $629,000, showed an increase of nearly 200% from 2012. They are set to grow even further with the implementation of the Honduras free trade agreement.

Each of these agreements, as I have said, is important to growing our customer base and spreading our global reach. Each new opportunity means more jobs for Canadians.

Agriculture and agri-food products from Alberta, a key sector, is going to see a reduction in Honduran tariffs with this agreement. With more than 51-million acres of land used for crop and livestock production, Alberta produces an abundant supply of world-class agricultural commodities. In fact, the agriculture and agri-food sector contributed 2% to Alberta's GDP in 2012 and employed nearly 76,000 Albertans.

With this agreement in force, those agriculture and agri-food products can be competitive in the Honduran market, which is estimated by the Central American Economic Integration Secretariat to be $1.3 billion annually.

However, this is really a story about beef. One exciting and growing agri-food export area to Honduras is Alberta beef. On November 5 of last year, the Minister of Agriculture and Agri-Food announced full market access in Honduras for Canada's world-class beef and pork exports.

Upon entry into force, the Canada-Honduras free trade agreement will immediately provide duty-free access for high-quality cuts of Canadian beef, under a combined quota of 500 tons. Each year, that volume will grow.

After 15 years, Canada will have duty-free and quota-free access to the Honduran market for all types of beef. Honduran duties on beef offal currently sit at between 10% and 15%. These will be eliminated immediately upon implementation of this agreement.

I have a personal connection to this story because ranching runs in my family. My uncles have been ranchers in Alberta. My cousins are ranchers. In fact one of my uncles, Rodney James, brought Charolais Cattle to Canada.

We want to see the Alberta beef market expanded, with markets like Honduras and other markets around the world. Beef production is Alberta's largest agricultural sector, and it adds more than $12.7 million to the economy.

Alberta is also the largest cattle-producing province in Canada, with 44% of the total, or nearly 4.87 million head in 2012. Nearly 7% of that production is being exported to countries outside of Canada and the United States. This free trade agreement with Honduras would enhance that. The Honduran market is a dynamic and growing one. It is growing between 3% and 4% annually, which is a nice clip. With full market access for beef in the Honduras free trade agreement, the time now is ripe to expand our beef production.

More and more Hondurans are moving up into the growing middle class every day. Studies show that these kinds of customers have a growing appetite for high-quality agriculture and agri-food products like Canadian beef. With tariffs on Canadian beef being eliminated, we could help satisfy the demand there and see more Hondurans using more Canadian beef in their dishes.

It should also be noted that Canada's development program is also promoting sustainable economic growth and development in Honduras through investments in rural development. We are working to reduce social exclusion and inequality, with ongoing investments in other social programs. This approach is creating opportunities for Hondurans to improve their household purchasing power, which in turn will allow them to better afford quality agriculture and agri-food products.

The U.S. already has a free trade agreement with Honduras. In fact, the Americans are out there right now talking to supermarkets and restaurants across Honduras about using more U.S. beef. There is some urgency for us to get into that market, because right now our Canadian farmers and agri-food producers are at a disadvantage there. While the quality of our product is higher, and Canadian beef is very well perceived in Honduras, right now our producers have been uncompetitive because of the 15% duty currently in place. Key Honduran meat importers are looking forward to the ratification of this agreement. It would finally allow our Canadian product to compete in this marketplace. The agreement would level the playing field and make the Honduras market accessible.

I have spent a lot of time talking about beef, but many Alberta exports to Honduras are set to grow with the implementation of the free trade agreement. Beyond that, many Canadian exports to Honduras are set to grow, as are many exports from Honduras to Canada.

Throughout the negotiation of this agreement, our Conservative government consulted with a broad range of stakeholders, and the message was clear: Canadian companies look forward to the implementation of this agreement and the benefits it would create. Canadians value these kinds of real and tangible benefits. That is why Canadian companies are supporting our government's initiative to forge these new trade opportunities around the world.

We are a leader in trade. The U.S. and the E.U. have already recognized that with their FTAs. The Honduras free trade agreement recognizes that.

Our businesses deserve the right to compete on a level playing field. They seek this trade agreement, they welcome this trade agreement, and they deserve to have this trade agreement implemented.

[Marjolaine Boutin-Sweet, NDP, Hochelaga, QC]

Mr. Speaker, not long ago, Canada imposed economic sanctions on former Ukrainian officials because of crimes they committed against their own people.

Now it wants to sign a trade agreement with Honduras, which also commits crimes against its own people, including journalists. If I am not mistaken, that is the former profession of the member who just spoke. I would like to know how she feels about this. What is the logic behind all this? Why, as my colleague said, is there a double standard for two different countries?

[Joan Crockatt, Conservative, Calgary Centre, AB]

Mr. Speaker, of course, we know that Honduras is not Ukraine and that the two situations are not directly comparable. We really believe on this side of the House that engagement, not isolation, is the best way to promote Canadian values in a country like Honduras. Lifting Hondurans out of poverty, engaging in trade with them, and treating them as equal partners who are ready to participate in the world is the best way to a future all Hondurans can participate in.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, the Liberal Party is supporting Bill C-20 because we see the value of free trade agreements. We believe it is one very effective tool in being able to increase overall trade in Canada. We could ultimately deliver on more middle-class jobs and provide other opportunities for both businessmen and women.

The question I have for the member is this. To what degree does she believe her government is going beyond free trade agreements to attract investment in Canada, to increase the trade coming into Canada and going out, but, more importantly, to deal with the trade deficit that the government is ultimately responsible for? What is the government doing, beyond free trade agreements, to get Canada back on track to having a trade surplus, something we had prior to the Prime Minister taking office?

[Joan Crockatt, Conservative, Calgary Centre, AB]

Mr. Speaker, I am gratified to know that the Liberal Party will be supporting this bill. Free trade is a very essential component of the Conservatives' platform. We are headed toward some 60 free trade agreements, with 38 of them now in place. This is the key to prosperity.

The Liberals might be surprised to know that some countries are asking what is in it for them. Canada is a land that is rich, not only in natural resources but also many manufactured goods, environmental technologies, and intellectual property, which we are able to export around the world. They are somewhat concerned that they will not be able to benefit as much as Canada is benefiting from these free trade agreements.

Make no mistake about it, that is something we are concerned about. We want to make sure that other countries can benefit from having these agreements, but these agreements will very much benefit Canada. This is a way to get our exports out into the world. We used to depend on the U.S. as our primary trading partner. It had $368 billion worth of trade in Canadian exports in 2008. In 2009, that dropped to $270 billion, and it has not been back to the 2008 levels. We must go out to the world to sell our products, and that is the key to Canadian jobs and Canadian success.

[Laurin Liu, NDP, Rivière-des-Mille-Îles, QC]

Mr. Speaker, I am happy to have this opportunity to speak to the bill to implement the free trade agreement between Canada and the Republic of Honduras. Contrary to what the Conservatives keep saying, the NDP has always been a strong supporter of fair trade.

The NDP believes that Canada should pursue free trade agreements when such agreements benefit Canada. I have been a member of the Standing Committee on International Trade for a few months now, and I always emphasize the NDP's balanced approach to free trade. I talked about it during our study of the free trade agreement between Canada and the European Union, and I keep talking about it during our ongoing study of the proposed trans-Pacific partnership. Unlike the Conservative Party members, who are ideologically programmed to support every trade agreement, regardless of which country is the partner, we believe it is important to choose our trading partners and to insist that they implement good environmental protection, human rights and labour relations practices.

We believe that Canada's trade policy should be based on the principles of fair, sustainable and equitable trade that builds trading partnerships with other countries that support the principles of social justice and human rights, while also expanding business opportunity.

It is important that I emphasize our vision of international trade before I address the Canada-Honduras agreement specifically. I think it is important to clearly state what sets the NDP apart from the Conservative Party. We in the NDP believe that Canada's trade agreements should be part of an overall strategy that includes the following five elements.

The first element is an impact analysis to determine whether the trade agreements being negotiated by Canada are good for Canadian families, Canadian workers and Canadian industries. The government should not sign any trade agreement that is likely to lead to a net loss of jobs.

The second element involves a guarantee that trade agreements negotiated by Canada will strengthen Canada's sovereignty and its freedom to establish its own policy, that they will help make us a force to be reckoned with on the world stage and that they will support the principles of a fair multilateral trade system.

Third, all trade agreements must protect and promote human rights by prohibiting the import, export or sale in Canada of any products considered to have been manufactured in sweatshops, by forced labour, or under any other conditions that do not meet basic international standards for labour or human rights.

Fourth, all trade agreements should respect the notion of sustainable development, as well as the integrity of all ecosystems.

Fifth, and finally, every time the Government of Canada signs a free trade agreement, the decision to adopt the enabling legislation must be submitted to a mandatory vote on whether or not the terms of the agreement are acceptable.

The current system, which consists of tabling a free trade agreement in the House for a period of 21 sitting days prior to ratification, is not mandatory and does not bind the government to accept a decision of the House.

Coming back to the Canada-Honduras free trade agreement in particular, basically, as my NDP colleagues have already said, we oppose this free trade agreement because of Honduras's poor human rights record. Need I remind the House that Honduras is led by an authoritarian, repressive and undemocratic regime?

In 2009, the disputed but democratically elected Zelaya government was toppled by a military coup. Subsequent elections have been heavily criticized by the international community as failing to meet basic democratic standards. The situation was so bad that most foreign governments and NGOs refused to send observers.

Let us not forget that Honduras has the highest murder rate in the world and is considered the most dangerous country in the world for journalists. It should also be noted that the current government does not tolerate dissidence.

Mistreatment and systematic persecution of dissidents and serious human rights abuses have been documented. Killings, arbitrary detentions, severe restrictions on public demonstrations and freedom of expression, and interference in the independence of the judiciary are all well-established.

The Subcommittee on International Human Rights of the Standing Committee on Foreign Affairs and International Development conducted a major study of the human rights situation in Honduras last spring. I was present for the troubling testimony of Esther Major of Amnesty International at the committee last March. She relayed a number of cases of human rights violations, particularly against women.

For example, she spoke to us about a young female journalist who received death threats and was physically assaulted for filming forced evictions and police brutality. She also told us the story of Antonio Trejo, a well-known human rights lawyer who defended the campesino communities in the Aguán. He was murdered. No one in the current government spoke out against this crime. Worse yet, Antonio Trejo's brother was murdered a few days later for trying to draw attention to his brother's murder.

In short, the culture of impunity and violence in some parts of the country is such that the UN special rapporteur who visited Honduras and prepared a report on the situation of human rights defenders was not able to visit the Bajo Aguán region owing to security concerns. This gives an idea of the seriousness of the situation in the country.

There is also the issue of corruption. According to Transparency International, Honduras is the most corrupt country in Central America. Police corruption has been well documented.

To summarize, as things stand and in light of the human rights situation, the culture of violence, and the weakness of Honduran institutions, I definitely am not convinced that it is a good idea to sign a free trade agreement with this country. That does not mean that we are abandoning the Honduran people. I believe that Honduras mainly needs help to reform its institutions and to deal with its security and human rights challenges.

Canada provides bilateral and regional security assistance to Honduras. The Department of Foreign Affairs' Stabilization and Reconstruction Task Force is supporting follow-up to recommendations of the Truth and Reconciliation Commission on reparations to victims of human rights abuses that occurred following the 2009 political crisis.

I believe that we need to continue in that direction. Without national reconciliation, it will be difficult to rebuild this country and establish a democratic rule of law.

Since 2009, the department’s anti-crime capacity building program has provided $2 million to Honduras to equip and train police and other investigative units. In particular, this program provides equipment and training to the Honduran National Police on the use of special investigative techniques to combat crime.

The Conservatives seem to think that trade and an influx of cash will magically solve all problems; however, these are some examples of targeted interventions that have a better chance of contributing to development in Honduras.

In conclusion, clearly, it is time to change course. We propose putting more effort into restarting multilateral negotiations and signing agreements with developed countries that meet high standards and that are on the right track, such as Japan, India, Brazil, and South Africa. Canada should be signing trade agreements with these countries, not with countries like Honduras, where democracy and human rights are not respected and whose poor standards will harm Canadian businesses.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, all of the speakers coming from the New Democratic Party are very clear about their position on the trade agreement with Honduras. They do not support it, and the primary reason for that is the human rights issues.

In response to one of the questions I posed to the member for Hamilton East—Stoney Creek, he went even further by making a statement regarding trade in general. The question I have for the member, thinking about what her colleague from Hamilton East—Stoney Creek said, is whether she opposes the free trade agreement because of human rights.

Today, we have two-way trade with Honduras in excess of $200 million. Based on the arguments that members of the New Democratic Party are making, does the member believe it is okay to have trade with Honduras, and is it just the trade agreement that the NDP opposes?

It seems to be a bit of a contradiction. The member for Hamilton East—Stoney Creek seems to put into question the value of even having trade with Honduras, given its human rights violations.

[Laurin Liu, NDP, Rivière-des-Mille-Îles, QC]

Mr. Speaker, let us be clear. The NDP supports trade with countries that respect human rights and have high environmental standards, labour standards, and standards for human rights.

We see as well that DFAIT itself has produced a report saying that the benefits for Canada upon concluding this trade agreement would be marginal. We would encourage the government to listen to the reports produced by its own civil servants. We would also encourage the government to negotiate trade agreements with countries that are developed, like Japan, India, and South Africa, as I mentioned in my speech.

No, we do not believe that this trade agreement with Honduras would bring great benefit to Canadians, considering its atrocious record on human rights.

[Pierre Jacob, NDP, Brome—Missisquoi, QC]

Mr. Speaker, I am beginning to understand why the Liberals and the Conservatives agree on this free trade agreement with Honduras. It will benefit big business. Once again in this case, money talks. Profit is always the key word. Lobbyists spoke and influenced the Liberals and the Conservatives.

The Liberals and the Conservatives do not care that Honduras is an undemocratic country and that it has the worst human rights track record in the world. It is not a society governed by the rule of law. The Liberals and Conservatives do not care that Honduras has the highest rate of journalist murders in the world. The Conservatives do not care that Honduras tolerates cocaine trafficking and tolerates environmentally destructive policies.

I would like my colleague to comment on that.

[Laurin Liu, NDP, Rivière-des-Mille-Îles, QC]

Mr. Speaker, I thank my hon. colleague for his comments, and I would like to reiterate what he mentioned: the fact that the Conservatives and Liberals are actually of the same stripe on the issue of negotiating an agreement with a country with such an atrocious human rights record.

The approach of the Conservative government is to negotiate the trade agreements behind closed doors, and we should just trust it. However, we know this cannot be the case. We have seen it negotiate free trade agreements in the past in bad faith with civil society.

We can only mention the fact that Amnesty International last week revealed that the Conservative government limited the online consultation process to only six working days for the Canada-Colombia FTA human rights report, thus preventing any civil society groups from participating. Amnesty International also mentioned in committee last week that it had not been consulted by DFAIT on human rights implications to the trans-Pacific partnership, particularly considering that countries such as Vietnam may have lower human rights standards than Canada.

We see that the Conservative government, on the issue of human rights and free trade agreements, has consistently worked in bad faith with civil society.

[Chungsen Leung, Conservative, Parliamentary Secretary for Multiculturalism]

Mr. Speaker, I wish to join my colleagues and voice my support for the Canada–Honduras free trade agreement.

I should also indicate that in my prior life I was in the business of doing business internationally, and Latin America was one of my areas of focus. It certainly has opened a whole new market for my business. I will also talk about what free trade would do for us.

Canada has always been a trading country. As an export-driven economy, Canada needs open borders. One in five Canadian jobs is related to exports, and that includes not just the export part of it, but also the transportation and communication. The fact is, we bring business people in and we also need transportation to go abroad.

Our bilateral regional trade agreements are essential to bringing continued prosperity to Canadians. This year, we celebrated the 20th anniversary of the North American Free Trade Agreement. NAFTA has provided a solid foundation for Canada's future prosperity. Canada continues to build on North American trade and competitiveness.

Only our Conservative government understands the importance and benefits of trade. Last fall, we announced that a historic agreement had been reached with the 28-member European Union.

The Canada–EU comprehensive economic and trade agreement, or CETA, is by far the most ambitious trade initiative Canada has ever negotiated. Once implemented, it will cover virtually all sectors and aspects of Canada–EU trade, from goods and services to labour mobility, investment, procurement, including sub-national procurement, and many regulatory matters.

With CETA, Canada will gain preferential access to the world's biggest market, with more than 500 million customers and a $17 trillion GDP. The potential benefits for Canada are tremendous. A joint Canada–EU study found that CETA could boost Canada's GDP by $12 billion annually and bilateral trade by 20 percent.

While the agreement with the EU will bring important benefits for Canada and Canadian companies, it would be short-sighted to focus exclusively on one area of the world. Canada's prosperity requires expansion beyond our borders into new markets for economic opportunities that serve to grow Canada's exports and investment.

On March 11, 2014, our Prime Minister and President Park of South Korea announced the conclusion of the negotiations for a Canada–South Korea free trade agreement, Canada's first free trade agreement in the fast-growing and dynamic Asia-Pacific region.

I might also add that in 1983, I represented a Canadian company exporting Canadian mass transit equipment to South Korea. It was a pleasure, indeed, a joy for me to see that 42 kilometres of that technology developed by us is now exported by Bombardier to South Korea.

In October 2012, Canada joined the multilateral Trans-Pacific Partnership, TPP, talks and bilateral negotiations are also well under way with Japan and India. Furthermore, during his first official visit to the region, the Prime Minister announced the launch of negotiations to expand and modernize the Canada–Israel free trade agreement.

Free trade agreements are but one tool that we have. Our negotiators are very active in every corner of the world, negotiating agreements that will benefit all Canadians. Canada currently has 25 foreign investment promotion and protection agreements in force; 15 additional concluded FIPAs and 10 ongoing FIPA negotiations. We continue to explore the possibility of FIPA negotiations with other commercial partners.

Since the introduction of Canada's blue sky policy in 2006, we have concluded new or expanded existing air transport agreements that now cover over 80 countries, facilitating the movement of Canadians and Canadian goods and services, and enhancing trade and investment relationships across all sectors. Canada has also been a key architect of international trade rules at the World Trade Organization, helping to establish principles of non-discrimination, transparency, and effective dispute settlement. Canada continues to welcome progress at the WTO, an organization that advances trade liberalization around the world.

Canada was an active participant in the negotiations leading up to the Bali declaration last December. This led to a new trade facilitation agreement, an agreement that will cut red tape and reduce border transaction costs for Canadian businesses, directly benefiting Canada's small and medium-size enterprises. It is estimated that this trade facilitation agreement could stimulate the world economy by up to $1 trillion and create as many as 20 million jobs worldwide.

Canada is also an active participant in the trade in services agreement currently being negotiated with 23 other countries representing 1.6 billion people and a combined GDP of more than $48 trillion.

Our government has made it a priority to diversify our international trade negotiations agenda and place increased focus on concluding regional and bilateral free trade agreements, such as the Canada-Honduras agreement that we are discussing today.

We need to be sure than we can compete. We cannot afford to hold back while our competitors are securing international trade deals. This is precisely why bolstering Canada's commercial relations in rapidly growing markets around the world, such as Honduras, is an important part of our plan for long-term prosperity.

The issue of competitiveness is also at the heart of why we need to implement our free trade agreement with Honduras. The U.S. and the EU already have free trade agreements with Honduras. How can we give our companies an edge if we do not even ensure they are on a level playing field?

Keeping pace with Canada's main competitors is just one reason we need to move forward on this deal. Both the 2013 Speech from the Throne and the budget made it clear that the government's top priority is to create jobs, growth, and long-term prosperity for all Canadians.

As Canada is an export-driven economy, international trade is fundamental to achieving this objective. One in five jobs are related to exports. Over 40,000 Canadian companies are global exporters, including global leaders in such sectors as aerospace and information and communications technology.

The Canada-Honduras free trade agreement is part of our efforts to liberalize trade with our partners in the Americas. The Americas offer great potential. Total merchandise trade between countries in the Americas and Canada, at $56.2 billion in 2012, has increased by 32% since 2007, and Canadian direct investment in the region, at $169 billion in 2012, has increased by 58% since 2007.

Our government recognizes that protectionist restrictions stifle our exporters and undermine Canada's competitiveness, in turn adversely affecting middle-class Canadian families.

Canada's Trade Commissioner Service already works with Canadian companies that are interested in doing business in Honduras, such as Gildan Activewear, Aura Minerals, and the Canadian Bank Note Company.

Once the free trade agreement is ratified, our trade commissioners will ensure that companies, in particular small and medium-sized enterprises, are aware of how they can benefit from the agreement and fully take advantage of greater stability, transparency, and protection in the Honduran market.

In addition to opening doors for Canadian companies and building our trade relationships, Canada is also committed to supporting Honduras in other ways. Canada and Honduras established diplomatic relations in 1961 and have a broad and diverse relationship driven by a wide range of links and collaboration, from political dialogue and commercial exchanges to people-to-people ties, as well as long-standing and substantial Canadian development co-operation.

We maintain an open dialogue with the Government of Honduras, as we believe that engagement, not isolationism, is the best way for us to help Honduras meet its challenges.

Thanks to these actions under our government's free trade leadership, Canada's workers, businesses, and exporters now have preferred access and a real competitive edge in more markets around the world than at any other time in our history.

[The Deputy Speaker, NDP, Joe Comartin]

Order.

It being 6:15 p.m., pursuant to order made Thursday, March 6, it is my duty to interrupt the proceedings and put forthwith every question necessary to dispose of the second reading stage of the bill now before the House.

The question is on the motion.

Is it the pleasure of the House to adopt the motion?

[Some hon. members]

Agreed.

No.

[The Deputy Speaker, NDP, Joe Comartin]

All those in favour of the motion will please say yea.

[Some hon. members]

Yea.

[The Deputy Speaker, NDP, Joe Comartin]

All those opposed will please say nay.

[Some hon. members]

Nay.

[The Deputy Speaker, NDP, Joe Comartin]

In my opinion the yeas have it.

And five or more members having risen:

Call in the members.

(The House divided on the motion, which was agreed to on the following division:)

Vote #93

[The Speaker, Conservative, Andrew Scheer]

I declare the motion carried. Accordingly, the bill stands referred to the Standing Committee on International Trade.

(Bill read the second time and referred to a committee)