Mr. Speaker, the question posed to the Minister for International Trade was prompted by concerns expressed from a number of agricultural organizations that Bill C-57, an act to implement the World Trade Organization, was deficient and needed to be amended.
My question focused on one area of concern, namely the issue of tariff levels and supplemental quotas on supply managed commodities. However, there are concerns in other areas as well: clauses referring to the Western Grain Transportation Act and comparisons to the United States implementation legislation.
There is absolutely no question in my mind that the U.S. implementing legislation has more teeth in it and retains a greater degree of political control.
On November 28 the minister responded to my question concerning the issues of tariff levels and supplemental quotas on supply managed commodities by stating that amendments to the Customs Tariff Act, et cetera, would be introduced "if necessary".
The minister did not respond to my satisfaction or to the industry's satisfaction by either stating that there was no cause for concern or that given these concerns legislation to amend the act would be forthcoming.
According to a paper prepared for the standing committee on agriculture by the research branch of the Library of Parliament on Bill C-57, the issue of supplemental quotas was outlined as follows, and I quote: "Even though this clause 109 of C-57 may appear necessary to allow additional imports in the case of emergencies, it is not clear what the tariff would be on those supplemental imports".
The research document continued further by stating that: "It has been mentioned that artificial shortages can be created that would necessitate supplemental imports that could displace domestic products permanently. So far officials have not been able to give an appropriate answer on the level of the tariffs affecting the supplemental imports".
In testimony before the international trade committee, the Canadian Federation of Agriculture echoed those concerns as well.
This point must be addressed. As I said in previous debates, a situation could occur in which a processor shorted the demand. For example, in hatcheries the hatcheries control the purchase of the breeder birds so it is not difficult for them to plan to be short and need supplementals.
As a result of shorting needs, they demand supplementals. The manufacturer would apply for same and would be granted tariff free supplemental import permits and that would go a long way to breaking the supply management system.
The question remains why has the minister not introduced the appropriate amendments to the Customs Tariffs Act to address the concerns expressed. My grave concern as well is that if these amendments are not encompassed in legislation and are just encompassed in regulation it becomes very easy for some minister down the road who does not support supply management to the extent that this government does to allow that little weakening in terms of the legislation to see the supply management system destroyed over time.
The only other point I want to make and question the minister on is that Bill C-57 contains no provisions to ensure that exporters of grain have any warning with respect to when the cap on volume or the cap on expenditures under the WGTA and the new requirements of the GATT will be reached. This result could be that commitments and sales made by the Canadian Wheat
Board at a set price could well be negatively impacted if the caps are attained prior to the movement of grain involved.
How will this issue be addressed and what would be the impact on the marketing of the Canadian Wheat Board, its ability to market at top dollar and access supplies? I raise those questions to the minister out of a deeply felt concern.