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View Rob Merrifield Profile
CPC (AB)
View Rob Merrifield Profile
2014-04-02 14:16 [p.4171]
Mr. Speaker, last week, our government approved four long-term liquefied natural gas export licenses. These approvals are important to Canada's economy as we seek to diversify our energy markets. Canada, by the way, is the fifth largest producer of natural gas in the world.
The International Energy Agency predicts that the world's energy demands will increase some 33% between now and the year 2035. This is great news for all Canadians, as the Conference Board of Canada estimates that the natural gas sector has the potential to create 131,000 new jobs every year between 2012 and 2035 across Canada. This is especially good news for ridings such as Yellowhead, as we predict tremendous growth in our economy due to the opening up of the Duvernay gas field.
I am proud of our government's leadership on responsible resource development as we work to protect the environment and grow the environment from coast to coast to coast.
View Rob Merrifield Profile
CPC (AB)
Mr. Speaker, it is a privilege and a pleasure for me to stand and speak to this important piece of legislation.
I just came from chairing the international trade committee. It is a pleasure for me to serve in that capacity. When it comes to trade, it is absolutely imperative that I explain to Canadians just how important trade is to Canada.
One out of every five jobs is created because of trade. Sixty-three per cent of our GDP is represented by trade, and we have accomplished that because of trade agreements.
The trade file started with NAFTA. NAFTA has been in existence for almost 17 years. What has happened in that time period? Jobs have gone up by 23%, meaning there are 40 million net new jobs in North America because of NAFTA. Trade has tripled, and has quadrupled with one of our partners.
Opposition members argue against free trade agreements. It really puzzles me that they let the Jordan free trade agreement go through on a voice vote; it was as if their union people were not watching. It is absolutely amazing to me that they could agree with the Jordan free trade agreement and then stand in the House and give some of the arguments that I have heard recently against the Panama free trade agreement. I will talk about that in a few minutes.
I want to give one quick example about NAFTA. We heard arguments that when NAFTA came in, the wine industry in Canada would be absolutely destroyed. It would cease to exist. All those arguments were presented on the floor of the House, and they were argued vigorously.
Can members guess what happened? Canada's wine exports amounted to $1.8 billion. From all the various countries—Argentina, Australia, France, Italy, Spain—we imported $800 million in wine, so our exports doubled our imports. What a great success story, and all because of international trade. That is something my hon. colleagues should keep in mind.
What have we been doing as a country? We have signed nine different free trade agreements: Colombia, Honduras, Jordan, Peru, the European Free Trade Association members, and Panama, the one we are dealing with today.
What are we pursuing? We are pursuing an economic free trade agreement with Europe. We just heard testimony less than an hour ago in committee from our chief negotiator, who indicated how well that is going. We expect to have the final draft by the end of the year.
Why is that important? It is important because it is the most comprehensive free trade agreement between any two nations anywhere in the world. It will supposedly be at end of text by the end of the year. It is exciting to see how well that is going, and I compliment the negotiators on that free trade agreement.
What does that agreement mean to Canada? It means $1,000 per family per year. That is a fair amount. That is $12 billion coming into Canada every year because of the economic free trade agreement with Europe.
We are also working aggressively on another free trade agreement, in this case with Japan. The benefits to Canada would be $9 billion. As well, there is India, Brazil, Thailand.
Just a few minutes ago we heard that we are in the TPP, which, as of yesterday, is a group of 10 countries on the Pacific rim that will work on a comprehensive free trade agreement in that group.
What about China? Last year we imported $44.5 billion from China. It imported $13.2 billion from us. To equalize the trade benefit from China and to balance the trade would be a $30 billion benefit. It could be just an act of goodwill by China.
We are very excited about accelerating trade and about our opportunities with these growing countries that are in need of the products we produce and the resources, industries and intelligence we have here in Canada to offer them.
What are the elements of the Canada-Panama agreement? We trade cross-border services, telecommunications, investment, financial services, government procurement and so on.
It is important to sign this agreement and get on with it. The bill reached third reading in the last Parliament. It is important because the United States, Chile, Taiwan and Singapore already have an agreement with Panama.
What would bilateral trade with Panama mean? In 2011, trade was $235 million. We imported about $144 million in products such as metals, gold, fruit, machinery, fish and seafood products. We exported about $111 million in products such as machinery, meat, aerospace products, vegetables and so. Signing this kind of agreement would provide a great opportunity for our corporations and our country.
It is very important to understand the opportunities that lay themselves before us under this agreement on the procurement side. In Panama it is projected there will be $28.9 billion U.S. worth of infrastructure projects over the coming years. One of the largest is the Panama Canal, which is a $5.3 billion expansion and a great opportunity for Canadian corporations with regard to not only that but also ports, roads, bridges and airports, with respect to procurement.
It is important to understand that the tariffs on our agricultural products are rather intense. They go from 13.4% right up to 260% for some of our agricultural products. Imagine what the elimination of those could do with respect to exporting frozen potatoes, pulses, pork, malt barley and other products such as beef, hogs and so on. When it comes to the non-agricultural goods, the tariffs are anywhere from 6.2% right up to 81% on many of those, such as materials, equipment, industrial and electrical machinery, paper products, vehicles and so on. We can see that the potential for this is great.
The resistance I hear from the opposition members is rather interesting because they have talked about labour problems, human rights problems and environmental concerns. There is a corporate social responsibility that has been agreed to by Canadian corporations when we get into this piece of legislation. It very much encompasses environmental protection, human rights, labour relations, corporate governance, transparency, community relations, peace and security, and anti-corruption measures. Therefore, the opposition members are really blowing smoke when they say that the legislation does not include any of this. It is very important that it is there and that we sign this agreement so that Canadian companies would be able to capitalize on these kinds of opportunities.
The corporate social responsibility part of this agreement is very important. It is something that has not been talked about an awful lot here but is something that is very important. With respect to the side agreements on labour and the environment, I have heard opposition members ask why they are not encompassed within the body of the agreement. It is no different than with Jordan, for which they had no problem with standing in this House. Well, actually they did not stand; they just sat there on a voice vote and let it go unanimously at third reading. It is off to the Senate and will be passed very soon we hope. There is no difference here with respect to that, so I do not know how, in their own thinking, they can support one and not the other.
In testimony at committee we heard the most outrageous circumstances on human rights happening in some of the factories in Jordan. The members of the opposition who are on the committee heard the same testimony. There are two approaches that can be taken when we look at a free trade agreement. We can either say that unless that country comes up to Canadian standards we will disengage or just check out because there is no point, which will send a message that we would not do business with anyone who does not come up to our standards. The other approach is to engage that country as much as possible, improve its standard of living and give Canadian businesses as well as the corporations in those other countries opportunities that would help them along, so that we both win. That is the approach this government is using.
The most hypocritical position I have ever seen in this House on the trade file is the opposition members supporting Jordan but not supporting Panama, Colombia and others. It is really beyond anything I have seen. Clearly, it is something that has to be addressed when we challenge the opposition members to come on side and sign the agreement. If they say they are pro-trade then they should do it. The excuses I have heard are absolutely not excuses but rather blind ideology that hurts Canadian businesses and Canada as a country.
Canada is a wonderful country. It is the greatest country in the world, according to the IMF, the OECD and Forbes magazine. We have created 760,000 net new jobs since the bottom of the recession. We have done that by lowering taxes and giving Canadian corporations the opportunity to actually develop and move their goods and services into international trade opportunities around the world. As a government, we will continue to do that. Why? That is what Canadians expect us to do.
The NDP would like to raise taxes to get out of this recession. We believe we should grow our country. That is the way to win, and we will continue to do that.
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