Mr. Speaker, I am pleased to speak to this proposed legislation, which would be a major step forward for Canadian grain producers.
Our Conservative government knows that a prosperous farm means a prosperous economy. As others have said, this bill would give farmers in western Canada the same rights that farmers have in my home riding of Simcoe—Grey here in Ontario. They would share the same right to market their grain to a buyer of their choice and to do what is best for their businesses.
There is always a fear of the unknown, but in this case we do know that others who have gone down a very similar path of marketing freedom have had very positive results. I would like to speak to the wheat industry in Ontario as an example of the kinds of opportunities farmers can capture through a voluntary pool.
Ontario wheat producers moved to a voluntary marketing system eight years ago. Some Ontario wheat producers chose to market their crops through the voluntary pool run by Grain Farmers of Ontario. Others chose from a variety of other marketing methods that are right for their businesses. Since moving to marketing freedom, the Ontario wheat industry has been growing steadily over the past decade, topping a million acres last year and bringing more than $300 million to the farm gate. It has become one of the province's largest crop exporters. Last year half of the two million tonne crop was exported, driving over $280 million in sales.
Marketing freedom did not cause the sky to fall in Ontario, as the monopoly supporters would lead us to believe. Contrary to these baseless arguments, Ontario has a dynamic and growing grain industry, the largest this side of the Prairies. In fact, Dr. Terry Daynard, one of the founders of Ontario Corn Producers' Association, said:
...I am glad the Ontario Wheat Board ended single-desk selling years ago, allowing growers like me to market wheat independently.
The Ontario wheat industry shows what can be done when the entire value chain works together to grow market potential. Today, a strong and innovative value-added sector purchases about half the Ontario wheat crop to manufacture high-quality food products for Canadian grocery stores all over the country. Since moving to an open market, Ontario wheat growers have developed a number of exciting value-added opportunities over the past several years.
Several years ago, the former Ontario Wheat Producers Marketing Board, today Grain Farmers of Ontario, launched a wheat initiative fund to directly address opportunities to collaborate with all sector partners around value-added uses of Ontario wheat. This program has been so successful that Grain Farmers of Ontario is now looking for similar opportunities in corn and soy.
As an example, Grain Farmers of Ontario is supplying Ontario's wheat to an Ontario-based company that has become Canada's largest pita bread manufacturer. In my riding of Simcoe—Grey, where agriculture and farming are of incredible importance to many families, it is the hard work of local farmers like Ken Ferguson, who is my local mayor, Fred and Brian Dunlop, and Roger and Bill MacLeod who demonstrate that hard-working commitment is representative of all Canadian wheat farmers.
Under marketing freedom, GFO is still the recognized leader in export market development and there is no reason that a voluntary Canadian Wheat Board could not remain a recognized leader as well.
Of course, a major change like this would have a transition period. Farmers in western Canada recognize this. According to Jody Klassen of Mayerthorpe, Alberta, “There's always opportunity. There's a transition period, but the opportunities are there”.
Everyone agrees that the Ontario industry is seeing increasing levels of collaboration between the GFO and its private trade partners when it comes to issues like export logistics, contracting, trade missions and promotion. With growing world demand and a high-quality product, Ontario farmers are well positioned to capture new opportunities for the years ahead. Our Conservative government thinks wheat and barley farmers in western Canada have a right to these types of opportunities as well.
Wheat and barley growers in western Canada are like any other business people. They want to make the right decisions for their farms. They already decide what to plant and when to harvest. They make marketing decisions on their canola and pulse crops, their peas, lentils, beans, oats and other crops. They want the same marketing freedom for their wheat and barley.
This bill is fundamentally about innovation, freeing our farmers to innovate and grow their businesses. Our government understands that innovation is key to competitiveness. That is why we have invested up to $4 million to help develop new grain and oilseed varieties that are tailored to meet the needs of the marketplace and increase profitability of Canadian farmers.
This research has already resulted in 10 new varieties of soya beans targeted at high-value food markets all across the country. There are others in the pipeline, including new varieties of winter wheat, corn, spring wheat, oat and barley that are higher yielding and more resistant to drought and disease.
The shift in market freedom in Ontario has been good for Ontario grain farmers. In fact, according to Harry Buurma, a farmer from Watford:
In the last 10 years the wheat acreage in Ontario has increased by nearly 50 percent, as further support that the change has been a good thing.
Likewise, we believe that the advent of market freedom will breathe new life into the western Canadian wheat industry as well and open up exciting new opportunities for western grain growers. The removal of the monopoly will allow western Canadian farmers to sell their wheat and barley directly to a processor, including new pasta manufacturers, flour mills and other types of processing plants.
There has been tremendous growth in value-added opportunities in Ontario wheat over the past decade. We have every reason to believe that our western wheat and barley growers have what it takes to succeed in exactly the same way.
The Government of Canada trusts farmers to make their marketing choices based on what is best for their own business. We want to put farmers back in the driver's seat so they can continue to drive the economy. We believe that an open and competitive grain market can include a viable voluntary pooling entity.
We are ready to work with the Canadian Wheat Board to chart the way forward. Marketing freedom has been a cornerstone of our platform since day one. It was part of the throne speech last spring.
I am proud that we delivered on our long-standing promise to western Canadian wheat and barley farmers. Our Conservative government makes commitments and we stick to them.
As the Minister of Agriculture and Agri-Food recently said, “Today we are turning a new page in our nation's history, and Canada and our sector will be better for it.” Exciting new opportunities lie ahead for farmers in western Canada. This important step forward will help ensure that all farmers can position their businesses to capture these opportunities.
The opportunities that exist in this great country are enormous. In the 1800s my family came to this great country. They took the rail to Portage la Prairie, walked another 150 kilometres, set down their roots in Alexander, Manitoba, bought 1,500 acres of farm land and started farming wheat and barley. It was composed of three Leitch farms. My family's farming history is rich there.
That is why I am so passionate about this legislation. It finally provides the market opportunity that my late grandfather and his colleagues all desired.
Canadian farmers feed Canadian families around the world. They deserve the freedom to make their own business decisions. Western Canadian grain farmers, like my late grandfather, deserve the same opportunities and freedoms that the farmers in my riding of Simcoe--Grey in Ontario enjoy. They should be able to choose to whom they sell their grain and when they do it.
I encourage members to support this bill and give it timely passage in the House so that farmers will have the certainty they need to plan their businesses in the coming year. Our government is committed to delivering on our long-standing promise to give western Canadian farmers the marketing freedom they deserve, and we intend to make that happen.