Madam Speaker, it is a pleasure to stand to speak today to the debate on this group of motions put forward.
I think it is very timely that we take into consideration actually a group of motions, because that is exactly what Reformers are trying to do. They are trying to lump in a whole bunch of issues, cloud the entire issue so that they do not understand it and they are hoping and praying that nobody else will.
Categorically their attempts have failed to confuse those who do not support the wheat board. They have failed to confuse those who would try to follow in those particular paths.
We heard from the member for Calgary West who asked this House to support a great Canadian institution by basically rendering it immobile and ineffective through their motions. However, this House will not do that. This House will protect a great Canadian institution for the benefit of producers whom it serves, and that is exactly what we intend to do.
Several members of the Reform Party suggested in this House that what really will happen here is that this Canadian Wheat Board as being an instrument of the federal government, as they declare, will actually be under sanction, particularly under threat by international forces, by international trade tribunals because it is an overly effective trade mechanism for the farmers of western Canada. That has basically been the allegation on the floor, that the Canadian Wheat Board will be under threat by foreign players because it is too effective an instrument in terms of international trade. It has an unfair trading advantage.
Put this into perspective. We have heard from the hon. members opposite that the Canadian Wheat Board is an ineffective organization, that it does not work in the collective best interests of farmers. Yet these same members say that the Canadian Wheat Board will be under attack by international interest because it is too effective a competitor in the international marketplace. That just does not seem to make sense, quite frankly.
I think the hon. member for Calgary West probably spent a little too much time down in the United States of America following Mr. Newt Gingrich's bandwagon, and I think he knows exactly what I am talking about. When he starts to defend the United States of America's ability to come in and try to dismantle a great Canadian institution, probably for its benefit and not for the benefit of western Canadian farmers, I am a little suspicious of that. I wonder exactly what is the intent. Quite frankly, I think the Canadian Wheat Board has to be strengthened and should be strengthened, which is what Bill C-4 is about to do.
The official opposition and a number of groups that oppose Bill C-4 have said that the federal government has ignored the Western Grain Marketing Panel and its recommendations. They have accused the government of not listening to the panel that was selected. This is clearly not the case. I would like to indicate the extent to which Bill C-4 reflects the recommendations of the Western Grain Marketing Panel.
Many aspects of the bill, such as those providing more flexibility payment options for farmers, would allow the Canadian Wheat Board and its client producers to do many things it cannot do today. However, the decisions to implement or not to implement these services would rest where it should, with the farmer controlled board of directors.
With respect to the panel's specific recommendations regarding the Canadian Wheat Board, the first recommendation was that the amendments should accommodate restructuring the governance of the Canadian Wheat Board in accordance with a number of specific guidelines.
Certainly Bill C-4 would restructure the Canadian Wheat Board from being a crown corporation with five appointed commissioners only, to a mixed enterprise where farmers would control the majority of the board of directors. I will get to that a little more when I talk about the specific recommendations of this panel.
The panel's second recommendation was to permit the Canadian Wheat Board to make cash purchases. That is in Bill C-4.
The third recommendation as to permit the Canadian Wheat Board to make payments to farmers for grain storage and for carrying costs. That is in Bill C-4.
The fourth recommendation was to allow deliveries to farmer owned condo storage without regard to the delivery quotas or contracts. That is in Bill C-4.
The fifth recommendation was to permit the Canadian Wheat Board to purchase grain from other than an elevator rail car or from other origins. That is in Bill C-4.
The sixth recommendation was to allow for pool accounts to be terminated or paid out at any time following closure of that pool. That is in Bill C-4.
The seventh recommendation was to allow for the assignment of negotiable producer certificates. That is in Bill C-4.
The eighth recommendation was to clarify the board's authority to utilize risk management tools including futures and auctions in dealing with the farmers and customers. That is in Bill C-4.
The recommendations that deal with the powers of the Canadian Wheat Board that came from the Western Grain Marketing Panel are all contained in Bill C-4.
The panel recommended that the Canadian Wheat Board should be governed by a board of directors of not less than 11 and not more than 15 elected and appointed members. It went on to recommend that the board should be composed of a majority of farmers, a minimum of three representatives from the trade and a minimum of two representatives from the federal government.
Bill C-4 follows that recommendation very closely. There would be 15 directors with a two-thirds majority elected by farmers. There is no requirement in Bill C-4 that the trade be represented on the board of directors as a number of groups have expressed concern about individuals with financial interests in the grain trade being on the board. The government would appoint five directors from within the industry, the financial sector, academia or other backgrounds.
Another recommendation of the panel on governance was that there should be a modern corporate structure under which a chief executive officer would be hired and would be responsible for the overall operations of the Canadian Wheat Board, reporting to the board through its chairperson. This recommendation has been largely fulfilled in Bill C-4. There would be a chief executive officer responsible for overall operations. There would be a chairperson of the board. The one difference is that the chief executive officer would be a member of the board itself.
Another recommendation from the panel was to ensure a rapid and smooth transition to the new governance structure. The panel recommended that the first members of the board of directors should be appointed.
This recommendation was in Bill C-72, but when that bill did not pass it was decided that, in order to live up to the commitment to have the board of directors with elected members in place by the end of 1998, Bill C-4 could dispense with the interim board of fully appointed members. That change in Bill C-4 has been well received.
Another recommendation was that the Canadian Wheat Board advisory committee should continue to function until all farmer members of the board are elected. In Bill C-4 the Canadian Wheat Board advisory committee would continue until its term is up, which is expected to be the same time as the new members of the board of directors will be ready to take office.
Finally, there was a recommendation that a mechanism be established which makes it possible for the Canadian Wheat Board to begin development of a capital base. Bill C-4 goes part way in that direction in that there is a provision for a contingency fund that is limited to three uses. It could not be used to make investments in facilities, but the contingency fund partly goes in the direction of this recommendation.
If we look objectively at the 13 recommendations that were made by the panel with respect to the Canadian Wheat Board, Bill C-4 in many cases follows them exactly. In other cases it follows them quite closely.
Bill C-4 is the mechanism for farmers to decide themselves through whom they elect to the board of directors, or in some cases through a vote of farmers, to what extent wheat and barley would covered under the Canadian Wheat Board or in an open market system with or without the participation of the Canadian Wheat Board. As well there is a provision in the bill that provides a process for farmers to add oats, canola, flax and rye to the jurisdiction of the wheat board with or without export control provisions.
Let me just summarize. With respect to the organization and operational tools of the Canadian Wheat Board, Bill C-4 follows very closely the recommendations of the Western Grain Marketing Panel.
Let it never be said in the House that the government does not listen to advice given by producers and those who are interested in the Canadian wheat industry.