John Horton MCDERMID

MCDERMID, The Hon. John Horton, P.C., F.R.I.

Personal Data

Party
Progressive Conservative
Constituency
Brampton (Ontario)
Birth Date
March 17, 1940
Website
http://en.wikipedia.org/wiki/John_McDermid
PARLINFO
http://www.parl.gc.ca/parlinfo/Files/Parliamentarian.aspx?Item=71c118d7-3cce-4efc-865f-821d79ecc257&Language=E&Section=ALL
Profession
marketing manager, public relations officer, radio announcer, television announcer

Parliamentary Career

May 22, 1979 - December 14, 1979
PC
  Brampton--Georgetown (Ontario)
February 18, 1980 - July 9, 1984
PC
  Brampton--Georgetown (Ontario)
September 4, 1984 - October 1, 1988
PC
  Brampton--Georgetown (Ontario)
  • Parliamentary Secretary to the Minister of Energy, Mines and Resources (November 1, 1984 - October 14, 1986)
  • Parliamentary Secretary to the Minister for International Trade (October 15, 1986 - September 15, 1988)
  • Minister of State (Housing) (September 15, 1988 - January 29, 1989)
  • Minister of State (International Trade) (September 15, 1988 - January 29, 1989)
November 21, 1988 - September 8, 1993
PC
  Brampton (Ontario)
  • Minister of State (Housing) (September 15, 1988 - January 29, 1989)
  • Minister of State (International Trade) (September 15, 1988 - January 29, 1989)
  • Minister of State (Privatization and Regulatory Affairs) (January 30, 1989 - February 25, 1991)
  • Minister of State (Finance and Privatization) (February 26, 1991 - June 24, 1993)
  • Minister of State (Housing) (March 15, 1991 - April 20, 1991)

Most Recent Speeches (Page 1 of 1002)


June 7, 1993

Mr. McDermid:

Well, here is the opposition. Their answer to every financial problem in the country is helicopters. That is rather interesting. That is their answer to every financial question. What they do not talk about are the 42,000 jobs that the helicopter program is producing in this country. They forget that and they do not tell that to the people of Canada.

Topic:   ORAL QUESTION PERIOD
Subtopic:   INFRASTRUCTURE
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June 7, 1993

Hon. John McDermid (Minister of State (Finance and Privatization)):

Mr. Speaker, I am pleased to rise to speak on third reading of Bill C-122. I shall be brief.

Bill C-122 is important legislation that contains the long awaited textile tariff reductions. The bill will have the effect of amending the Customs Tariff so as to implement, as of January 1, 1993, the textile tariff reductions announced in the government's December 2 economic and fiscal statement.

This is not a new initiative. In 1988 the government announced that it would be reducing Canadian textile tariffs to levels comparable with those of Canada's industrialized trading partners, particularly the United States.

For years Canadian textile tariffs have been significantly higher than those of other industrialized countries. For example, United States textile tariffs are on average one-third lower than Canadian textile tariffs.

These high Canadian textile tariff rates have imposed additional costs on all downstream users of textiles, particularly the apparel and furniture industries. This has affected both the international and domestic competitiveness of our textile-using industries and increased costs to Canadian consumers.

In February 1989 the government asked the Canadian International Hade Tribunal to provide advice on how Canada's textile tariffs could best be brought into line with those of other industrialized nations in order to

June 7, 1993

Government Orders

maintain the competitiveness of the Canadian apparel industry and other downstream users of textile products.

The Canadian International Trade Tribunal held extensive public hearings on this matter. In 1990 it recommended that Canada's textile tariffs be reduced by moving to a simpler tariff structure involving maximum rates of 5 per cent for fibres, 10 per cent for yarns and 16 per cent for fabrics.

This would reduce Canadian rates from an average of 8 per cent, 13 per cent and 18 per cent to 25 per cent respectively. The tribunal also recommended that tariff rates on certain specially constructed textiles be reduced by one-third.

The tribunal proposed that the textile tariff reduction be phased in over nine years once the results of the Uruguay round of multilateral trade negotiations were known, but not later than 1991.

The recommendations of the Canadian International Trade Tribunal would reduce Canadian textile tariffs by just over one-quarter. This would leave most products with slightly more tariff protection than their United States counterparts and significantly more than those in the European Economic Community or Japan.

The tribunal concluded that its recommendations would generate over-all benefits for the Canadian economy by reducing costs to textile-using industries and consumers. In turn the tribunal concluded that its proposal would have a relatively minor impact on the textile industry and that the industry would successfully adjust to the reductions.

Over the past 20 years the primary textile industry has invested very heavily in its modernization and rationalization. As a result, the industry has recorded impressive productivity gains.

Following receipt of the Canadian International Trade Tribunal's report on textile tariffs the government carefully studied it in detail and concluded that the interests of all parties had been fully considered.

In July 1990 the government expressed its support for the general direction of these proposals. It announced that it would act on the tribunal's recommendations within the framework of decisions to be taken by the Uruguay round of multilateral trade negotiations. Accordingly, with this in mind the textile and apparel industries began to make appropriate adjustments.

It is a little later than 1991 but Bill C-122 contains legislative amendments to implement the tribunal's recommendations effective January 1, 1993. Of course the Uruguay negotiations are still ongoing. It is hoped they will arrive at a conclusion this year, however we had hoped that for the last couple of years and it has not happened. That has nothing to do with the negotiations on textiles but everything to do with the negotiations on agricultural matters.

Bill C-122 is going to implement the tribunal's recommendations with the following modifications. First, to compensate for the delay in its implementation the tariff reductions are being phased out at a rate of 1.5 percentage points annually rather than the 1 percentage point per year that was recommended by the tribunal.

Second, to further simplify the tariff structure all textile fibres, yams and fabrics are being treated in the same manner. All, excluding speciality fabrics, are being reduced to maximum rates of 5 per cent, 10 per cent and 16 per cent respectively.

Finally, in keeping with our international obligations, margins of tariff preference are being maintained for Australia and New Zealand for six tariff items in which there is significant trade from these countries.

In concluding my remarks I would like to re-emphasize the importance of Bill C-122.

Topic:   GOVERNMENT ORDERS
Subtopic:   CUSTOMS TARIFF
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June 7, 1993

Mr. McDermid:

Mr. Speaker, the hon. member rightfully pointed out that there has been a reduction in employment in the industry.

As I mentioned in my remarks and as the industry itself has acknowledged, rationalization has had to go on. Modem equipment and far more productive operations have come into play. We have seen some very positive results. We have gone through a recession, there is no question about that. We have lost employment to that and we have lost some employment to rationalization.

One of the things I think we should point out to the Canadian public just to make a balanced presentation to them is that exports of apparels are up some 60 per cent since the free trade agreement came in. The Canadian producers of apparel found markets in the United States during the free trade agreement and have done very well with sales. With these changes and reductions in tariffs, it will make them even more competitive. I just wanted to get that on record.

I understand the hon. member's concern about manufacturing jobs and so on and he is right. There has been a reduction, but there has also been an increased productivity, very impressive by the way, in the industry. At the same time, there have been greater exports to the

United States which during a recessionary period have been very significant.

Topic:   GOVERNMENT ORDERS
Subtopic:   CUSTOMS TARIFF
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June 7, 1993

Mr. McDermid:

It looks like a test pattern.

Topic:   GOVERNMENT ORDERS
Subtopic:   CUSTOMS TARIFF
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June 7, 1993

Mr. McDermid:

I have my Canadian suit on. It was made in Hamilton by Cambridge. I will give it a little plug today. Wait until you see the tie of my colleague across the way from Eglinton-Lawrence, Mr. Speaker.

Topic:   GOVERNMENT ORDERS
Subtopic:   CUSTOMS TARIFF
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