NEWS RELEASE

October 23, 2002                                                                                                   For Immediate Release

CANADIAN WHEAT BOARD UNFAIRLY PENALIZING PRAIRIE FARMERS

OTTAWA – Today in the House of Commons Garry Breitkreuz, MP for Yorkton-Melville, asked the Minister responsible for the Canadian Wheat Board (CWB) why he is unfairly penalizing Prairie grain farmers.  Here’s the exchange between Breitkreuz and Ralph Goodale, the Minister Responsible for the Canadian Wheat Board:

Mr. Garry Breitkreuz (Yorkton—Melville, Canadian Alliance): Mr. Speaker, the minister responsible for the Canadian Wheat Board has been notified of alleged illegal activities at the Canadian Wheat Board in regard to licensing costs.  Legislation clearly prohibits the Canadian Wheat Board from paying all export licensing costs out of the wheat sales of western Canadian farmers yet the board has done it anyway.   How long has the minister known that this is happening and why has he not corrected the problem?

Hon. Ralph Goodale (Minister of Public Works and Government Services, Minister responsible for the Canadian Wheat Board and Federal Interlocutor for Métis and Non-Status Indians, Lib.): Mr. Speaker, the hon. gentleman alleges that I have been informed of something. Quite frankly I have not been informed of it. If there are facts to be discovered here I will find them out and I will take the appropriate action, but he should make no allegation that I have not acted upon information that has been known to me because it has not been.

Mr. Garry Breitkreuz (Yorkton—Melville, Canadian Alliance): Mr. Speaker, the minister should read his mail.   The Canadian Wheat Board Act states that the minister may direct the corporation with respect to the manner in which any of its operations shall be conducted. So clearly the minister has a responsibility for licensing.  In addition to this, the buyback that farmers are forced to go through does not have a legislative requirement. This has become like an extra fee for Prairie farmers only. Ontario and Quebec do not have to buy their grain back in order to export or process it.  Why will the minister not correct this problem as well?

 Hon. Ralph Goodale (Minister of Public Works and Government Services, Minister responsible for the Canadian Wheat Board and Federal Interlocutor for Métis and Non-Status Indians, Lib.): Mr. Speaker, this is a matter that falls within the purview of the management of the Canadian Wheat Board. That management is responsible to the directors of the Canadian Wheat Board and the directors are two-thirds elected directly by western Canadian farmers.  As long as I have been minister I have never given the Canadian Wheat Board a direction. I believe its authority should rest with farmers.

 

Outside the Prairies there is no provision, according to the Canadian Wheat Board Act, for licensing costs to be paid out of farmers’ pooling accounts.  They should be paid for by the federal government.   “The Chairman of the CWB admitted to the Standing Committee on Agriculture and Agri-Food on June 7, 2001, that licensing fees come out of the General Pooling Account.  Yet Section 7(3) of the CWB Act clearly states that any licencing costs should “be paid out of moneys provided by Parliament.”  This action by the Board is unjust and unfair in its treatment of Western Farmers,” said Breitkreuz.

“The Board’s secrecy has already created a mistrust of the CWB in the minds of Prairie farmers.  Now we see that the Board is using the hard-earned money of western farmers to help pay for the export licence fees for farmers in Ontario and Quebec.  Yet Prairie farmers can’t even dream of getting hold of an export licence.  How is this in the best interests of Prairie farmers?  Why should they help subsidize the licencing costs for the rest of Canada?” asked Breitkreuz.

“The practices of the Wheat Board may have gone on for a long time, but that doesn’t mean that they are right,” concluded Breitkreuz.

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