The four horsepower of the apocalypse. That is very good.
The fact is that we now have Marxism realized. We own the means of production and we did not have to fire a single shot. It is really quite phenomenal what went on today.
We have always cautioned people that unfettered capitalism has no conscience. I do not blame it for that, just like a shark cannot be blamed for having no conscience. It simply swims through the water and gobbles and gobbles because that is what it does.
It is up to us because we have the moral conscience. It is up to people to apply morality to capitalism and that is what we seek to do when these free trade agreements come through. Some of us need to rise up in the spirit of true democracy, contrary to what my colleague implied, that those of us who raise legitimate concerns are somehow less than democratic. We do not respect the unfettered right of the Conservative minority government to enter into free trade agreements without scrutiny, oversight and due diligence by duly elected members of Parliament in this chamber. That would be an affront to democracy, if there were any associated with this.
My Bloc colleague from Rivière-du-Nord pointed out earlier that one of our serious legitimate concerns about this free trade agreement and others is the investor rights that it gives to corporations. The chapter 11 rights were unheard of until they were introduced in the NAFTA agreement. These rights give a corporation nation-state status so it can sue a duly elected government for inconveniencing its ability to commercialize a certain product.
That was horrifying to us. We blew the whistle and sounded the alarm in 1988. We warned people that this was folly and that it would lead to untold complications. I will give one example from a few years ago and example of one that is going on currently involving MMT.
The people of Canada decided that the gasoline additive MMT was too poisonous to be exposed to and that we did not want it put into gasoline in this country. We were sued because this decision interfered with the ability of Ethyl Corporation to sell its product in Canada. It sued Canada for lost opportunity and it won. We paid the corporation for the inconvenience. We had to shell out $13.5 million to Ethyl Corporation because we as a nation decided we did not want MMT in our air supply and in our children's organs.
I will give the House a more recent example. The province of Quebec, quite rightly, wanted to ban the cosmetic nonessential use of pesticides in homes, gardens, schoolyards, on golf courses, et cetera. This was the right thing to do given that we now know that exposure to chemical pesticides can lead to a number of cancers, birth defects and problems in reproductive health. However, believe it or not, Dow Chemical, the manufacturer of many of these chemical pesticides, is now suing the Government of Quebec for having the temerity to do what it thought was right for its citizens.
That is fundamentally wrong on so many levels that I can hardly express them, but this is the very same concept we are now introducing in this free trade agreement with the people of Peru.
The good people of Peru will find themselves stripped of some of their sovereignty to chart their own destiny in a matter so vital and so fundamental as public health. The same investor right clauses can be applied should their democratically elected government decide to curtail the ability of one of the Canadian mining companies operating there or impose stringent standards on the operation of those companies. Those companies can sue because this interfered with their ability to commercialize that product.
That is just one of the concerns that we have that warrants further debate. I regret we are now at the stage of debate on this bill where we do not have the opportunity for further amendment. All I can do is express our dissatisfaction with this and our legitimate concerns.
The NDP, advocating on behalf of workers around the world, has tried to introduce what we call our corporate social responsibility bill, a bill put forward by my former colleague and the former leader of our party, Ed Broadbent. It was taken over by the next leader of our party, the former member for Halifax, Alexa McDonough.
For a decade or more, we have been trying to introduce something that would recognize the problems in the free trade agreement. If we are going to give a charter of rights to businesses and to corporations, then we need to offset those rights with what we call the extension of corporate social responsibility of Canadian companies when acting abroad.
The rules that apply to them when they are within the domestic jurisdiction where they come from should apply to them when they act and operate outside this jurisdiction. That way we would truly be elevating the labour and environmental standards of those other companies with which we trade because we would export not only the business operation, but we would export their modus operandi of how they conduct themselves as well.
These companies should not be able to form and incorporate in this country and then when they conduct themselves abroad, go to the lowest common denominator or standards, health and safety standards, labour standards and environmental standards, that are often far lower than what we would require a company to adhere to in this country.
We noticed when the Canada-Peru free trade agreement was first signed, the president of Peru, Alan Garcia, was optimistic that Canada, having a greater production outcome, would share some of that outcome. He said that Canada had a production output 12 times greater than Peru's and bought $600 billion worth of goods from other countries. He was therefore optimistic that Canada, by virtue of this trade agreement, would add more Peruvian wood, mining products and farming and manufactured products to the list.
At the same time, critics of the current president and the regime spoke out against the free trade agreement and against the president's administration, pointing out that the president's approval ratings had sunk as popular support for his policies continued to vanish. An international commentator said:
The Peruvian government is beginning to unravel as corruption charges and scandals threaten to completely discredit the already unpopular leadership of President Alan García. The minister of Mines and Energy as well as other top energy and state oil officials have been fired in response to allegations of favoring a foreign energy company...in exchange for bribes.
The regime that we are entering into an agreement with is falling apart. I speak now on behalf of the working people in Peru. It could well be that the Peruvian government does not have the mandate to enter into this agreement from the people of Peru any more than this minority Conservative government has the absolute mandate of the people of Canada to enter into this agreement.
We should remind ourselves that it was not long ago that bribery was such a common business practice in international trade, et cetera. Until the mid-1990s, the Government of Canada allowed companies to write off bribes as a tax deduction. This only changed in the mid to late 1990s after Canadians were horrified. The companies pushed back and said that it was the way business was done when they operated abroad. They have to grease the wheels of commerce with bribes and therefore it is a legitimate business expense. Until recently, the Government of Canada accepted this.
Revenue Canada has been under a lot of scrutiny lately with the Oliphant inquiry into the Mulroney-Schreiber Airbus affair. Many of us were horrified at some of the things Revenue Canada deemed to be acceptable. When we pay our taxes diligently, not exactly eagerly, and then the former prime minister of Canada, after not paying taxes for nine years on money he received in a brown paper bag in a hotel room, finally decides to come clean with Revenue Canada and it arbitrarily decides that he only has to pay taxes on 50% of what he failed to declare all those years earlier, the credibility of Revenue Canada comes into question.
I was even more horrified to learn today that the practice was only stopped by Revenue Canada last November. When this whole situation began to surface, Revenue Canada quickly stopped the practice and covered up its tracks.
That does not explain what happened to the former privacy commissioner, George Radwanski, who owned $650,000 in back taxes and 24 hours before he started a job, which paid $250,000 a year, Revenue Canada forgave him all the back taxes on the basis that it was not possible to retrieve.
Those are the kinds of decisions that Revenue Canada makes from time to time. It makes Canadians really question if there is not two tax systems in our country, one for the rich and the connected, someone who has connections with the PMO, and the rest of us.
This free trade agreement is fraught with concerns. We felt obliged to oppose the agreement when it was first introduced. My colleague, the member for Burnaby—New Westminster, at every stage of debate and through the committee stage, made efforts to amend the free trade agreement so it would be in a form of which we could be proud.
Those of us who want fair trade do not object to free trade, as long as it meets those basic tests. We do not want the huge imbalance that exists, an imbalance that would act as a charter of rights for corporations to override the sovereignty of a nation state and completely give them carte blanche to conduct themselves in any way they saw fit without a considered attempt to elevate the standards of conditions in the places where they settle.
My colleague from Rivière-du-Nord said that one of the faults of the bill was that it set guidelines for voluntary compliance, by suggesting these companies should conduct themselves in a certain way will make it so. I am sorry, but we do not buy that. It is just not credible. We should judge people by what they do, not by what they say.
We find ourselves in the middle of an economic downturn. Some people are saying that it is the end of an era of a certain ideology and certain economic policies. Some people are calling for a new Bretton Woods. Some people are calling for a new internationalism, coming out of the ashes of what began as the globalization movement.
The champions of the globalization of capital saw it as a panacea, that all we had to do was increase and improve lines of trade with countries and they would automatically come and be harmonized at some western standards.
That has not been the case at all. These things will not happen by accident. These things will not happen because there has been no collective agreement, which is one of the goals, one of the objectives. When businesses come to governments looking for a licence to operate in a certain way, it is up to us then to inject and insert those secondary objectives into the activities that they have under way. They have one goal and one goal only, and it is the profit motive. There is nothing wrong with that. That is what businesses do. They seek to maximize profits for their shareholders.
We are here with a different mandate, a different set of rules. We are here with different goals. If our goals are to elevate the standards of wages, living conditions and social conditions of fellow workers around the world and if we use these opportunities to achieve those secondary goals and objectives, we can do more than just enable free trade. We can mandate fair trade and then we will realize those noble objectives of elevating the standards of the people with whom we are trading.
What we want for ourselves, we wish for all people. That is one of the founding principles of the party to which I belong. As a socialist and a trade unionist, it is my obligation, every chance we get, to try to elevate those standards of my colleagues around the world, my brothers and sisters in the international labour movement. It is through trade agreements we can achieve those things, but not if we let them slide by in a substandard way like this.