Agriculture committee  Thank you, Mr. Chair. Again, I'll let Mr. Dennis speak to those specifics. I would say from my observations—and I have been following this quite closely since I joined the Grain Commission in January—I am reinforced in my belief that the stakeholders in the agriculture sector and particularly the grain industry recognize that everyone has to work for the good of the industry if it's to be successful, starting with producers, including grain companies, including the Canadian Wheat Board, including the Canadian Grain Commission.

Agriculture committee  All the stakeholders are working together. I think we've contacted the provinces on other issues, but I'm not sure if they've been included in the KVD issue. It really doesn't fall within their jurisdiction. But we've had no negative response from the provinces.

Agriculture committee  We would expect the market will determine more accurately where wheat breeders will be concentrating their efforts. We have some evidence that Canadian breeders have been trying to register some non-KVD varieties outside of Canada simply because there was no possibility of registering them within Canada.

Agriculture committee  I'll put this question to my colleague, Mr. Stuart, who has lived through all of that.

Agriculture committee  Mr. Chair, I'm not sure if the question was directed at me, but I'll take the first stab at it.

Agriculture committee  Sure, I'll take the first stab at it. There is always moral hazard. As I mentioned, you'll never eliminate 100% of the risk, whether it's in the dairy sector, the grain sector, or the social services sector, I suppose, although I'm not an expert to comment on that. There has been growing pressure among many in the agriculture sectors--including dairy, by the way--calling for the removal of KVD because they want access to higher-yielding feed wheats that may not be visually distinguishable from milling wheats.

Agriculture committee  Thank you. I'm happy to respond. First of all, I don't believe you'll ever come to the point where you have eliminated 100% of the risk. We've not done that with ineligible varieties, but we have managed that risk so it has not impeded Canada's reputation for producing reliable product, and so the buyer is getting what they expect when their commodity or their grain is unloaded.

Agriculture committee  I think I'll ask Mr. Dennis--because he worked on the committee--if he would respond to how that issue was dealt with.

Agriculture committee  The Grain Commission is not in a position to answer that one. We don't focus on the economics of the grain industry; we focus on regulation and assuring grain quality. But in response to your comments on the advertising, I should mention that we advertised extensively throughout our prairie region, where the KVD issue is relevant.

Agriculture committee  Thank you, Mr. Chair. First of all, on the varietal identification technology, there is technology in place right now that can distinguish varieties. However, it's not low-cost technology. It's not elevator-driveway technology. The challenge for the industry is to provide that affordable technology that can be located at the initial delivery points.

Agriculture committee  Thank you, Mr. Chair. It's a pleasure to be back before the committee. I think I made an offer the last time I was here that we'd be pleased to return and that if there were particular issues that needed to be discussed I would also bring experts. I've done that this morning.

Agriculture committee  Can I say thank you?

Agriculture committee  I want to thank the committee for asking me to appear. I feel very honoured that you would take a couple of hours out of a very busy schedule to hear about my appointment to, and the work of, the Canadian Grain Commission. I wish you well in your future deliberations.

Agriculture committee  My appointment was not made on the basis of my relationship with the minister. It was based on the qualifications that I was required to have, and I have a list of them here. Quite frankly, I think I rate pretty highly on all those qualifications. It was on that basis that I agreed to put my name forward for the position, and I at no point in the process sensed that I was receiving any special attention, nor were any shortcuts taken.

Agriculture committee  If the chairman will indulge me, let me give you an illustration. I hope this is a relevant illustration, and if it isn't, I apologize. If I purchase an automobile in one province and want to move it to another province, it has to undergo an inspection, as a rule, to ensure that it's safe.