Mr. Speaker, I rise today to share with members the details of the labour cooperation agreement that was negotiated in parallel with the Canada-Colombia free trade deal. Trade is the engine of economic growth around the world and Canada is a nation that derives its wealth from exports.
In 2008 the free trade agreement was signed between Canada and Colombia. When this bill is implemented, Canadian businesses and exporters will gain unprecedented open access to Colombia. We are not alone in our efforts.
The European Free Trade Association consisting of Norway, Iceland, Switzerland and Liechtenstein has concluded free trade negotiations with Colombia, and so has the United States. The economic opportunities in Colombia are significant. This is an emerging market of 44 million people and an economy that is growing. Forecasts suggest that 4.7% growth in Colombia's GDP will occur over the next five years.
In 2009 two-way merchandise trade between Canada and Colombia totalled more than $1.3 billion with hundreds of Canadian companies doing business with Colombia. It is also an investment destination for over 50 Canadian companies, principally in mining, oil exploration and manufacturing, sectors that are vital to Canadian prosperity and innovation.
As the Prime Minister noted earlier this year in his address to the World Economic Forum, we need to embrace enlightened sovereignty in the context of international trade. He said:
Notions rooted in a narrow view of sovereignty and national self-interest must be reconsidered. We cannot do business as though for one to have more, another must have less.
In other words we need to grow and prosper together. That is the Canadian way of doing business and it is an idea that is worth bringing to international markets.
I would like to speak briefly about how this new agreement will be of benefit to citizens of both countries. Here in Canada, many of our citizens have been dealing with hardship caused by the global economic recession. Now there are many encouraging signs that a sustained recovery is underway and that is thanks to our sound financial system, our resilient private sector, and of course our government's decisive response through the economic action plan.
It is important that the Government of Canada and its citizens continue to stay focused on improving the economy and to do this we need to create opportunity by investing in long-term growth and competitiveness. However, it is just not enough to do this in a manner that only benefits Canadians. We take our international leadership obligations seriously and we want to help improve the lives of those with whom we do business.
Not only is trade responsible for generating much of the world's economic wealth, it also has lifted many people around the world out of poverty and despair. Under the terms of this agreement both parties are committed to ensuring that their laws respect the International Labour Organization's 1998 Declaration on Fundamental Principles and Rights at Work.
This means that both countries are committed to ensuring that their laws respect basic values including: the right to freedom of association, the right to collective bargaining, the abolition of child labour, the elimination of forced or compulsory labour, and the elimination of discrimination in the workplace.
However, the labour cooperation agreement that we have reached with Colombia does not stop there. To further protect the rights of workers we are also committed to ensuring acceptable protections for occupational health and safety and minimum employment standards such as minimum wage and hours of work.
Finally, the agreement helps to ensure that migrant workers receive the same legal protection as nationals with respect to working conditions. This labour cooperation agreement demonstrates that Canada is eager to share the values it cherishes with those who it engages as business partners.
It is worth noting that what we have achieved with this new agreement is part of a wider set of objectives that our government has established for engaging with other countries in the Americas.
In addition to building increased trade and investment linkages, we see to strengthen and promote our fundamental values of freedom, democracy and human rights.
I would like to take a moment now and address, specifically, the matter of human rights and of how this agreement will help to concretely make a difference in the lives of citizens of Colombia.
Progress on human rights will not happen by shunning Colombia. We need to engage it as a trading partner so we can talk about how to improve the lives of its citizens, and this is the right course of action.
Over the past four decades, Canada's development assistance program has invested $355 million in Colombia, with a pronounced focus on human rights. Over the last three years alone, we have provided $32 million in development assistance to Colombia. We are one of the largest supporters of the work of the Organization of American States to support peace and demobilize paramilitary forces in Colombia.
Our global peace and security fund is helping to promote peace, protect victims rights and strengthen Colombia's judicial system. Canada also enjoys a frank and open dialogue with Colombia's government at the most senior levels.
Engaging with foreign governments that have made significant gains in improving human rights is the most effective way to secure progress and development. We are committed to working with Colombia to ensure it is able to meet the obligations of the new agreement. To complement this agreement, Canada is providing Colombia with $1 million in labour-related technical assistance funding.
It would be a mistake for Canada to turn its back on Colombia and its people. To do so would risk undermining the will Colombia has shown with improving its track record on security and human rights. The labour provisions negotiated in the context of this FTA are some of the most comprehensive and robust ever negotiated by Canada with any of its trade partners.
The labour cooperation agreement commits both countries to enforce their domestic labour laws and to respect internationally recognized core labour standards.
It creates institutions and mechanisms for intergovernmental consultations and joint activities, as well as for independent evaluations and dispute settlement. Citizens can submit complaints to Canada and Colombia concerning any of the obligations found in the agreement.
It also sets out clearly that there are some very real financial consequences for those who fail to respect the obligations in this agreement, with penalties up to $15 million annually. These penalties will accrue in a special cooperation fund. This fund was negotiated to ensure the proper resources were available to improve fundamental human rights in the case where one partner was not living up to the obligations under the agreement.
This fund cannot be used without Canada's approval, ensuring that these key labour issues will be addressed in the most efficient and effective manner. Labour unions and other associations have called for those measures, and we have delivered.
The NDP has falsely claimed that this and other free trade agreements will allow foreign companies to commit serious crimes and to only pay a fine, and this could not be further from the truth. We expect that every country we sign a free trade agreement with will uphold the rule of law including prosecuting those who murder activists and trade unionists.
However, we also recognize that certain criminal acts are part of a larger campaign to undermine fundamental human rights. That is why we negotiated the establishment of this cooperation fund to ensure proper resources exist to tackle systemic challenges to fundamental human rights.
This is an important year for Canadian economic leadership on the world stage. Canada is hosting the meeting of G8 leaders as well as the G20 summit in June 2010. Engaging with foreign governments that have made significant gains in improving human rights is the most effective way to secure progress and development.
