Mr. Speaker, it is a pleasure to rise today to speak to Bill C-20, the bill respecting the free trade agreement with Honduras.
New Democrats support trade, but we do so in a much more mature and robust way than the government has been doing.
Trade agreements are important. I know them very well, being from Windsor, Ontario, which continues to be the automotive capital of Canada, although the industry has witnessed attrition. I will speak to this quickly because it is relevant to today's debate.
There are winners and losers when trade agreements are implemented. Different sectors of society and industries are affected because the agreements essentially change the rules on how those businesses were developed, invested in, and had their technology, research, and training evolve—all of the things that were important for them to be successful. The rules can change quite extensively under trade agreements.
Canada's auto industry was affected as a result of the North American free trade agreement. We had the auto pact at that time, which was a special trade agreement with the United States. That agreement was challenged and we lost the challenge. We lost that special agreement with the United States, and hence our world ranking with respect to automotive assembly went from second place to eighth place.
A lot of jobs have been lost. A lot of investment has gone south of the border. Many people lost good, solid, value-added income from value-added employment, which allowed them to send their kids to university or college, allowed them to invest for their retirement, and made money available for our health care system and other types of infrastructure. More important, research and development, patent development, and all of those things are affected by free trade agreements coming into effect. The consequences can be severe.
We need to ameliorate the situation. We need a business case so we can protect those sectors, so they can have a fighting chance when the rules change.
There is the potential for attrition with respect to the South Korea trade agreement once it is implemented. The auto industry will suffer once again because some of the tariffs will be phased out. South Korea has non-tariff barriers and those barriers would make it difficult for us to send vehicles over there compared to that country dumping its vehicles into Canada and being more successful.
With respect to the trade agreement with Honduras, we have to look at a couple of fundamental things. New Democrats want to see democracy, environmental protection, and labour standards reflect Canadian values. We can undermine ourselves if countries use the environment as a dumping ground for byproducts or as a shortcut. We have to consider whether we would in fact be encouraging the development of further substandard labour standards. There are some questions around the textile industry in Honduras, for sure.
We also want to look at democracy. Is the country becoming more democratic? I will get into that a bit more later.
Honduras fails on all accounts.
We also have to look at what significant strategic value this trade agreement would have to Canada. The government has focused on central America with a number of different trade agreements, but it has decided on a one-off with Honduras. That is unfortunate because it would reward a regime with questionable behaviour when it comes to a number of things.
We also have to make sure we have a satisfactory proposed agreement. The government has been negotiating agreements with environment and labour side agreements included, but those side agreements are not enforceable and do not have the necessary teeth to make sure we can do something about it.
When we are dealing with a force out there, whether it be a bully or somebody who is committing questionable practices, we know that if we do not take the carrot and stick approach then we are basically leaving ourselves vulnerable. The carrot is the reward. The stick would ensure that we can pull back on parts of the agreement, pull back on certain conditions, and demand certain things that would not normally be available.
When the Conservatives sign these trade agreements, these one-offs like this with questionable countries like Colombia and Panama in particular, we cannot enforce the improvement of conditions.
That is unfortunate, because we see in Honduras that we do have a significant problem with that. Honduras basically has a government right now that came in through a coup. In 2009, there was a coup to topple President Zelaya. It was a military coup, and it then formed its basis on the continued problems that have gone on for decades in Honduras.
Instead of cleaning up and rewarding this situation, we should actually be pushing back. We know that the United States, the European Union, the UN General Assembly, and many Latin American nations all spoke up about the abuse. They talked about the problems in Honduras, whereas Canada made relatively no noise whatsoever.
That is unfortunate, because a partnership is a two-way street. Why would we want to encourage this partnership? Some would argue that is why we have to open these doors and do all these things, but when we do not have the tools or the resources to push back against the abuses, or we do not put benchmarks in place to be reached, then there is no motivation for Honduras to do so. When it has no motivation to do so, it will just move the trade agreements and their benefits especially to an elite class in Honduras in particular.
We know that many NGOs have documented serious human rights abuses, killings, arbitrary detention of thousands of people, severe restrictions on public demonstrations, protests of freedom of expression, and interference of the independence of the judiciary. They are all well established.
We also know there is a lot of drug smuggling that comes through Honduras. Some of it is the worst in the region. In fact, much cocaine goes through Honduras.
Why would we want to partner with a state that is moving illegal drugs, some of which come to North America, great significant amounts, including Canada? It does not make much sense. Why would we not benchmark that the drug effects would be reduced and measured over time as we continue the relationship with regard to free trade? It is unfortunate that we have missed the opportunity to do this. That is why we cannot support the government on this. This is a military government in Honduras, essentially.
It is interesting that, when we look at its ranking, we see that Honduras is currently Canada's 104th export market in terms of its value. We export $38 million and we import $218 million, and we have a deficit. This has been the theme of the government, moving us from a trade surplus to a trade deficit. We have also eliminated our manufacturing surplus exports and now have a manufacturing value-added deficit.
What we are looking at is the natural resources sector benefiting and the value-added jobs disappearing. They do not have to disappear, because Canadians are well trained, well researched, and have good experience in many sectors, but we have to make sure we protect them in the sense of providing the proper export market. Honduras does not rank as a strategic priority for that.
We were talking today in the House of Commons about where the EU deal is. It has disappeared. We do not have the text for it. We have not seen any action with regard to the European Union. At least there would be better options for value-added manufacturing and value-added food products getting out there.
It is important to talk about the government's lack of respect for understanding a comprehensive trade strategy. We are concentrating on these small markets in Central America without any type of strategy overall to improve labour, environment, and the quality of life of the citizens. We should be measuring those, benchmarking them, and demanding that they be improved so Canadians can compete in a fair, responsible, reasonable way.