February 18, 1954

HOUSE OF COMMONS DEBATES

OFFICIAL REPORT


BEING THE 96™ SESSION FOR THE PERIOD 1867-1954


VOLUME III, 1953-54 COMPRISING THE PERIOD FROM THE EIGHTEENTH DAY OF FEBRUARY, 1954, TO THE TWENTY-FOURTH DAY OF MARCH, 1954, INCLUSIVE INDEX ISSUED IN A SEPARATE VOLUME EDMOND CLOUTIER, C.M.G., O.A., D.S.P. QUEEN'S PRINTER AND CONTROLLER OP STATIONERY OTTAWA, 1954 HOUSE OF COMMONS


Thursday, February 18, 1954


COMMITTEES OF THE HOUSE


Second report of standing committee on banking and commerce.-Mr. Croll.


CRIMINAL LAW

CONCURRENCE IN FIRST REPORT OF JOINT COMMITTEE


Mr. D. F. Brown (Essex West) presented the first report of the joint committee on capital and corporal punishment and lotteries, and moved that the report be concurred in. Motion agreed to.


CANNED SALMON

RELAXATION OF IMPORT

LIB

Clarence Decatur Howe (Minister of Defence Production; Minister of Trade and Commerce)

Liberal

Right Hon. C. D. Howe (Minister of Trade and Commerce):

I wish to inform the house that the Australian government is undertaking a measure of relaxation in its import restrictions upon canned salmon. This news is important because it signifies the partial reopening of the Australian market to a Canadian export product which has been excluded from there in recent years. Further details on this matter will come from the Australian government.

While the total quantities involved may not be large, this renewed opportunity for trade will undoubtedly be welcomed in British Columbia and elsewhere in Canada as evidence of progress in returning to more normal conditions of world trade. Canned salmon is one of our major export products. Immediately before the war Canada had a market for canned salmon in Australia which amounted to $1J million or $2 million per year. Since then these exports have been much reduced, until in recent years the quantities have become negligible. The Australian decision will, therefore, permit the Canadian industry to return once more to this traditional market.

The house is aware of the fact that the Minister of Finance (Mr. Abbott), accompanied by a delegation of senior officials, attended the commonwealth finance ministers' conference in Sydney, Australia, last month.

Following that conference the Canadian representatives took advantage of the opportunity of discussing trade questions with the Australian government in Canberra.

I desire to extend my vote of thanks to the Minister of Finance.

Topic:   CANNED SALMON
Subtopic:   RELAXATION OF IMPORT
Sub-subtopic:   RESTRICTIONS BY AUSTRALIAN GOVERNMENT
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PC

Howard Charles Green

Progressive Conservative

Mr. Green:

May I ask the minister whether he can tell the house how much salmon is involved in the deal?

Topic:   CANNED SALMON
Subtopic:   RELAXATION OF IMPORT
Sub-subtopic:   RESTRICTIONS BY AUSTRALIAN GOVERNMENT
Permalink
LIB

Clarence Decatur Howe (Minister of Defence Production; Minister of Trade and Commerce)

Liberal

Mr. Howe (Port Arthur):

We were asked by the Australian government not to disclose that information at the moment. It will be released in Australia.

Topic:   CANNED SALMON
Subtopic:   RELAXATION OF IMPORT
Sub-subtopic:   RESTRICTIONS BY AUSTRALIAN GOVERNMENT
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NEW SELLING PRICES AT VANCOUVER, FORT WILLIAM AND CHURCHILL

PC

George Alexander Drew (Leader of the Official Opposition)

Progressive Conservative

Hon. George A. Drew (Leader of the Opposition):

Is it the intention of the Acting Prime Minister to make any announcement today with regard to the reduction in the price of wheat and the particular circumstances in which that reduction has been made?

Topic:   NEW SELLING PRICES AT VANCOUVER, FORT WILLIAM AND CHURCHILL
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LIB

Clarence Decatur Howe (Minister of Defence Production; Minister of Trade and Commerce)

Liberal

Right Hon. C. D. Howe (Minister of Trade and Commerce):

I shall be glad to do so, if

it is the wish of the house. I thought there might be a question asked with respect to the matter, and that I would then make a statement.

The new prices that have been issued do not really represent a lowering of the prices. We have three marketing points. One is Vancouver, another is Fort William-Port Arthur and the third is Churchill. It has been our policy to price our wheat for export the same at all three points. In other words, the price at Vancouver is also the price at which grain is sold at Fort William and at Churchill. Owing to higher rail rates within Canada and lower ocean freight rates outside of Canada, the effect of that policy has been that the comparative Vancouver rate has been very much lower than the Fort William rate. While the port of Vancouver has been working to full capacity-in fact we have even exceeded the record of this time last year in shipments from Vancouver-we have

Wheat

lost business in the east owing to the fact that our selling prices on the east coast were out of line with world markets.

There has been no change in the selling price at Vancouver; there has been a slight increase in the selling price at Churchill, and there has been a reduction in the selling price at Fort William.

I can give the relative figures. These sales are based on United States funds. The Vancouver price today, in United States funds, is $1.92$; at Churchill the new price is $1.94$; and the new price at Fort William is $1.85$. I have here the prices of the various grades. If the hon. members wish me to do so I can put the table on Hansard. I am satisfied that the new pricing is realistic and will allow grain to move in the normal way.

The effect in the country was that while producers in Alberta are being enabled to fill their five-bushel quota, the same privilege has not been afforded to producers in Manitoba and in eastern Saskatchewan. If the

old pricing had been continued, that would have been the effect for a considerable period.

The board has perhaps been a little slow in moving in a situation that was becoming more and more difficult all the time.

Britain has been buying nearly all her wheat basis Vancouver, bringing it through the canal and enjoying a price reduction in London by doing so. This will permit Britain to buy basis Vancouver, Montreal or Halifax and get the same delivered price in the United Kingdom no matter from which port they wish to buy.

I might point out that these prices are the prices of this day. The prices I have given were issued by the board as being good until noon today. Tomorrow's price lists may be different, and if the demand strengthens there is a distinct possibility that prices may be increased. But to have a price at Fort William that is not effective because no wheat is being sold at Fort William is hardly a situation that any member of the house, I think, would wish to have continued. The list of prices is as follows:

Canadian Wheat Board Prices February 17, 1954 (until 1:15 Winnipeg time Feb. 18/54)

I.W.A. - Domestic - Class II Based in Store

Grades- Fort William/Port Arthur Vancouver Churchill

U.S. Can. U.S. Can. U.S. Can.

No. 1 Northern

1.85 S/8 1.79 1.99 5/8 1.86 1.94 5/8 1.88No. 2 Northern

1.81 1/4 1.75 1.88 S/8 1.82 1.90 1/2 1.84No. 3 Northern

1.77 1.71 1.8S 1/4 1.77 1.86 S/8 1.S0No.4 Northern

1.70 7/8 1.65 1.77 1.71 1.80 1/8 1.74No. 5

1.67S/4 1.62 1.67 8/4 1.62No. 6

1.66S/4 1.61 1.66S/4 1.61Feed

1.62 1/2 1.57 1.62 1/2 1.57

Note: These are the second day's prices under the new pricing arrangement. The changes from the previous day are as follows:-

(a) All prices up 1/8 cent, except

(f>) Spread widened 1 cent on No. 3 and 4 Northern basis Vancouver only.

Conversions made at . 96 19/32.

Topic:   NEW SELLING PRICES AT VANCOUVER, FORT WILLIAM AND CHURCHILL
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PC

George Alexander Drew (Leader of the Official Opposition)

Progressive Conservative

Mr. Drew:

Then the new policy, and it is a new policy, is mainly directed toward encouraging the shipping of wheat east from Fort William instead of letting the preponderance of shipments go by Vancouver, as has been the case in recent months. As I understand it, up to January 27, 65 million bushels were shipped from Vancouver and 49 million bushels from the eastern seaboard. This is not so much a question of commercial pricing as a question of seeking to redirect the movement of wheat by the price. Is that not the case?

Topic:   NEW SELLING PRICES AT VANCOUVER, FORT WILLIAM AND CHURCHILL
Permalink
LIB

Clarence Decatur Howe (Minister of Defence Production; Minister of Trade and Commerce)

Liberal

Mr. Howe (Port Arthur):

I would hardly say the purpose is to redirect wheat. It is to equalize the various outlets, to set the prices at these ports in a way that will give the buyer the option of buying from the port which he usually uses, without a price penalty. That is the real situation. I think it will have no effect on the Vancouver movement. In fact the port of Vancouver is booked well through March at the present time. But we are losing business to other countries that the port of Vancouver is incapable of handling, and I think this correction of the price

differential will correct that situation and result in the sale of more Canadian wheat.

Topic:   NEW SELLING PRICES AT VANCOUVER, FORT WILLIAM AND CHURCHILL
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February 18, 1954