February 15, 1979

LIB

Alastair William Gillespie (Minister of Energy, Mines and Resources; Minister of State for Science and Technology)

Liberal

Hon. Alastair Gillespie (Minister of Energy, Mines and Resources and Minister of State for Science and Technology):

Mr. Speaker, Petroleos de Venezuela, the national oil company of Venezuela, indicated that it would like to do business with Petro-Canada. Indeed, they have entered into joint arrangements with respect to research and development on heavy oil. Also, they have had some discussions with respect to oil shipments. It is possible-I do not want to say more than that at the present time-that Petro-Canada may be able to obtain a shipment directly from Venezuela. The hon. member must recognize that at the present time Venezuelan production is committed fully.

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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NDP

John Edward Broadbent

New Democratic Party

Mr. Broadbent:

Mr. Speaker, if Venezuelan production is committed fully, I should like to know how the minister expects to make up the shortfall with Venezuelan oil.

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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?

Donald Stovel Macdonald

Miss MacDonald:

That is right.

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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NDP

John Edward Broadbent

New Democratic Party

Mr. Broadbent:

Considering Imperial Oil is reducing its allocation to its Canadian subsidiary by 25 per cent, Gulf by 20 per cent, BP by 45 per cent, Petrofina by 35 per cent, and the government is so proud, or has been in the past, of these multinationals having control of our oil resources, will the

February 15, 1979

minister now give assurances that it is government policy to do in Canada what has been done in many other nations, that is, to make a publicly-owned and controlled oil company, Petro-Canada, the principal firm in that industry in this country?

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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?

Some hon. Members:

Hear, hear!

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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LIB

Alastair William Gillespie (Minister of Energy, Mines and Resources; Minister of State for Science and Technology)

Liberal

Mr. Gillespie:

Mr. Speaker, measures have been taken already by Petro-Canada to provide for the security of Canada and Canadians through the arrangements which I have indicated already vis-a-vis Venezuela. There have been discussions respecting crude oil purchases. I have indicated there may not be any crude oil available at the present time. Also, I have indicated to the House that Petro-Canada has been pursuing actively a contract with Pemex, the Mexican national oil company, for exactly the same purposes, obtaining a secure source of oil for Canadians of 100,000 barrels a day. That

100,000 barrels a day is equivalent to the production Canada has been drawing historically from Iran.

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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PC

Steve Eugene Paproski

Progressive Conservative

Mr. Paproski:

That is three years down the line.

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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LIB

Alastair William Gillespie (Minister of Energy, Mines and Resources; Minister of State for Science and Technology)

Liberal

Mr. Gillespie:

I am not suggesting that would be available to Canada right away, but I have suggested the negotiations with Pemex have been moving forward very well and we can expect to receive some oil from Mexico this year.

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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NDP

John Edward Broadbent

New Democratic Party

Mr. Broadbent:

Mr. Speaker, on the question of assurance of supply the minister has just given the case away. He has continued to express his pious hope, with no hardrock guarantees, that Canadians on the east coast will be able to get the oil they will need in the future. He has just given the case away.

I should like to ask him a question with regard to price. Since we are not getting an assurance of supply, will he now assure Canadians that his good friends, the multinationals who are shortchanging us in respect of supply, will not in the next few weeks and months double or in any way significantly change the price they are charging Canadians for this oil to which they are entitled?

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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LIB

Alastair William Gillespie (Minister of Energy, Mines and Resources; Minister of State for Science and Technology)

Liberal

Mr. Gillespie:

Mr. Speaker, some of the producing nations have already changed the price. OPEC announced an increase of 5 per cent at the beginning of this year, and there is another one to come very shortly at the end of the first quarter. Some of them have already indicated that the extra volumes they are presently lifting to make up for the Iranian shortage will go at higher prices. There may well be higher prices worldwide, but those higher prices are not manufactured or created by trading companies or multinationals; they are higher prices created by producing countries, and there is nothing Canada can do about that.

As to the possibility of profiteering by multionational corporations or trading companies, I have already indicated to the watchdog committee of the Economic Council, CSIP, that we will be asking it to investigate any situation which comes to our notice, or any reasonable allegation of profiteering.

Oral Questions

Topic:   ORAL QUESTION PERIOD
Subtopic:   SUGGESTION PETRO-CANADA PURCHASE VENEZUELAN OIL
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AGRICULTURE

SC

Joseph Adrien Henri Lambert

Social Credit

Mr. Adrien Lambert (Bellechasse):

Mr. Speaker, my question is directed to the Minister of Agriculture.

According to a news item published in the newspaper La Presse today, it would seem that the incidence of salmonellosis in the Levis-Bellechasse area is such as to constitute a threat of epidemic, and 150 to 300 dairy herds representing 15,000 dairy cows could be affected. Can the minister tell the House whether he has been advised of the matter and, if so, what steps have been taken by his department to prevent such an epidemic?

Topic:   ORAL QUESTION PERIOD
Subtopic:   AGRICULTURE
Sub-subtopic:   MEASURES TAKEN TO CURB SALMONELLOSIS EPIDEMIC IN LEVIS-BELLECHASSE, QUEBEC
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LIB

Eugene Whelan (Minister of Agriculture)

Liberal

Hon. E. F. Whelan (Minister of Agriculture):

Yes, Mr. Speaker, we are very much aware of this. Over a period of time our inspectors have run incubation tests on feed, etc., in our laboratories in Calgary. They have confirmed the fact, in the laboratories in the province of Quebec where they have also run some of these tests, that this salmonella problem has come from the feed supplied to these people in Quebec by one of the large feed companies. Both laboratories came to the same conclusion.

There is no danger to anyone drinking the milk, as long as it is pasteurized. Anyone who consumes milk in its raw state would be taking the risk of getting salmonellosis. It is a very serious thing, and it affects approximately 10,000 to 15,000 head of cattle in that part of the province of Quebec. This is something that should not have happened, but it is something that has happened. We are very concerned that this should ever happen in the feed industry to the extent it has here, and particularly to such a developed company which is known worldwide for its efficiency.

I do not know what more we can do at this time, Mr. Speaker. We are putting new feed supplies into that area, and they are trying to decontaminate-

Topic:   ORAL QUESTION PERIOD
Subtopic:   AGRICULTURE
Sub-subtopic:   MEASURES TAKEN TO CURB SALMONELLOSIS EPIDEMIC IN LEVIS-BELLECHASSE, QUEBEC
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?

An hon. Member:

Oh, oh!

Topic:   ORAL QUESTION PERIOD
Subtopic:   AGRICULTURE
Sub-subtopic:   MEASURES TAKEN TO CURB SALMONELLOSIS EPIDEMIC IN LEVIS-BELLECHASSE, QUEBEC
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LIB

Eugene Whelan (Minister of Agriculture)

Liberal

Mr. Whelan:

-the committee, and perhaps the hon. member. Mr. Speaker, I think that the member who is yelling may have something, but I do not know what it is at the present time.

Topic:   ORAL QUESTION PERIOD
Subtopic:   AGRICULTURE
Sub-subtopic:   MEASURES TAKEN TO CURB SALMONELLOSIS EPIDEMIC IN LEVIS-BELLECHASSE, QUEBEC
Permalink
?

Some hon. Members:

Oh, oh!

Topic:   ORAL QUESTION PERIOD
Subtopic:   AGRICULTURE
Sub-subtopic:   MEASURES TAKEN TO CURB SALMONELLOSIS EPIDEMIC IN LEVIS-BELLECHASSE, QUEBEC
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INQUIRY WHETHER FEED QUALITY LABORATORY WILL BE ESTABLISHED IN EASTERN CANADA

SC

Joseph Adrien Henri Lambert

Social Credit

Mr. Adrien Lambert (Bellechasse):

Mr. Speaker, on a supplementary. According to the same news item, the general director of the inspection service of the Quebec agriculture department believes that the federal government is to blame

February 15, 1979

Oral Questions

for not having enough inspectors to ensure adequate supervision, and having to send samples to the laboratory in Calgary which naturally reduces the efficiency of what supervision there is.

Can the minister tell the House whether he plans to set up a laboratory in eastern Canada located near those producers or near the feed mills to reduce the time span between shipping out the samples for analysis, and obtaining the results?

Topic:   ORAL QUESTION PERIOD
Subtopic:   INQUIRY WHETHER FEED QUALITY LABORATORY WILL BE ESTABLISHED IN EASTERN CANADA
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LIB

Eugene Whelan (Minister of Agriculture)

Liberal

Hon. E. F. Whelan (Minister of Agriculture):

Mr. Speaker, the hon. member should probably know that we decontaminate the material that is used in this feed program, and that it comes from the province of Manitoba. It is not just coming from the province of Quebec: it is associated with a wide, wide area in Canada; that is the area from which the problem arises and we cannot inspect every little batch of feed that is being used-there is no way we can do that. The feed companies have that responsibility.

The suppliers should have a sense of responsibility in relation to good hygiene practices in order to make sure these inputs to the feed program, or feed rations, are handled in a much better fashion. We have one of the best records in the world for controlling animal health and feed inspection. If we had more money, we could have inspectors running up and down the road, as is the case in some socialist countries, getting in everybody's hair; but we depend on society itself for a certain amount of efficiency.

[ Translation]

Topic:   ORAL QUESTION PERIOD
Subtopic:   INQUIRY WHETHER FEED QUALITY LABORATORY WILL BE ESTABLISHED IN EASTERN CANADA
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SC

Joseph Adrien Henri Lambert

Social Credit

Mr. Lambert (Bellechasse):

Mr. Speaker, can the minister tell the House whether the multinational Purina will compensate the breeders for their losses? If not, will the federal government make an inquiry in order to protect our dairy industry, our dairy producers, and avoid aggravating the beef supply situation in our country?

Topic:   ORAL QUESTION PERIOD
Subtopic:   INQUIRY WHETHER FEED QUALITY LABORATORY WILL BE ESTABLISHED IN EASTERN CANADA
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February 15, 1979