Madam Chair, as we have heard in the House, the European parliament earlier today passed a bill banning the import of seal products by a vote of 550 to 49. Let me state unequivocally that the EU legislative resolution in question is based on misconceptions, bias and prejudice, not fact.
By moving forward on an import ban, the EU is preparing to take what is in fact an illegal trade action. The EU is being driven to shut out a foreign market of seal products by little more than the aesthetics and cultural misunderstandings of its members.
I will be splitting time, Madam Chair, with the member for Bourassa tonight.
This is blatant trade protectionism. The Government of Canada has a responsibility to launch a trade challenge to defend Canadian interests. There is no science, ecological or otherwise, to ban Canadian seal products.
The reality is the seal hunt is sustainable, it is humane and it is economically crucial for thousands of Canadian families in Newfoundland and Labrador, in Quebec and Canada's north. Canada has acted responsibly in managing the seal hunt in a long term and sustainable way.
Annual seal quotas are developed on a basis of a ecosystem approach, which considers a wide range of factors, including ice conditions, climate, and the abundance of seal herds. The fact is the seal hunt is an important part of the ecological balance of these regions. Over the last 30 years, the seal population in Canada has grown from 2 million seals to over 5.5 million seals.
One of the reasons we have had a depletion of cod stocks in Atlantic Canada is the growth of the seal population, which has been astounding. If this EU ban is enacted, it may perversely result in the need to cull the seal herd in order to manage the over population. This result benefits no one, economically or otherwise. It would be the product of short-sighted bad public policy, which fails to recognize the sustainability and balance of Canada's seal hunt.
However, the members of the European parliament, who voted in favour of this resolution to ban seal products, have chosen to ignore the evidence. They have chosen to ignore the science. Instead they have acted in response to public pressure and special interest. They have based their decisions on falsehoods and misinformation.
Canada is a trading nation. We depend on trade for our standard of living. It is ominous that this year, for the first time in 30 years, Canada has entered a trade deficit.
A fundamental responsibility of the Government of Canada is to secure access to international markets for Canadian exporters, including our seal hunters. We know the government has been failing in this regard, with again the first trade deficit in 30 years. Our small open economy needs external trade for prosperity. With a trade deficit, that means Canadians are actually buying more than we are selling now, which is ominous in terms of our long-term prosperity and productivity.
Canadian exports to our largest trading partner, the U.S., have fallen over 20% last year alone. We need to diversify our trading relationships. The fact is the Canadian seal products industry have seen a tremendous downward trend under the Conservative government.
It is crucial to understand just how important the seal hunt is to thousands of Canadian families. Seals have been harvested for food, fuel, shelter and other products for hundreds of years. In Newfoundland and Labrador many remote coastal communities depend on sealing for as much as 35% of their total earned income. Furthermore, all seal pelts undergo processing within Canada, creating employment opportunities at plants across Newfoundland and Labrador and Quebec. The seal hunt has traditionally brought in tens of millions of dollars annually to Canada. It has been a crucial source of income for many Canadians.
Here is where a big part of the problem lies. The seal industry was worth roughly $32 million under the previous Liberal government. Under the Conservative government, we saw it reduced to $4 million last year.
The Conservatives have failed to take effective action to defend this industry against those who would repeat falsehoods and wild accusations to attack it. The Conservative government must defend the interests of the Canadian seal hunt community. It must defend the interests of northern Canada and Newfoundland and Labrador. The government has a responsibility to take the appropriate action right now to ensure that those interests are defended.
This is not against free trade and engagement. In fact, sometimes when we have rules-based free trade agreements, they can help defend the interests in industries like the seal hunt because we have other sectors upon which to leverage to defend the interests of important sectors like the seal hunt. The fact is we can proceed with discussions around an FTA with EU, but at the same time we cannot subordinate the interests of the seal hunt in our efforts to do so.