GOVERNMENT ORDERS

SUPPLY

ALLOTTED DAY-HERITAGE CANADA

That this House denounce the use of public funds squandered on propaganda activities sponsored by Heritage Canada, such as the Canada Information Office and

the One Million Flags Operation, at a time when cuts unprecedented in the history of Canada have been imposed on cultural institutions in Canada and Quebec.

The purpose of this motion is to denounce the use of public funds squandered on propaganda activities sponsored by Heritage Canada, such as the Canada Information office and the One Million Flags operation, and other operations we will detail later, at a time when cuts unprecedented in the history of Canada have been imposed on all cultural institutions in Canada and Quebec.

Today, February 17, is Flag Day. This may be a proud day, a day that may mean something to Canadians in general, but I must add in the same breath that February 17, a day set aside for celebrating the Canadian flag, is a sad day for Quebec.

I would like to remind the House of the origins of the federal government's determination to use public funds to fight openly and specifically Quebec's legitimate and democratic aspiration to statehood. You will recall that, in one of his books, Pierre Elliott Trudeau stated that an effective way of defeating Quebec nationalists was to fight them with Canadian nationalism, regardless of the cost.

Today, we will demonstrate not only to this House but also to Quebecers and Canadians that, ever since this policy was established by Pierre Elliott Trudeau's Liberals, this government has been obsessed with spending as much energy, resources and money as necessary to fight Quebec.

May I remind you that this institution is publicly funded. Part of these public funds, the $30 billion collected in taxes every year in this country, comes from Quebec and is used to fight Quebec's democratic aspiration to statehood.

Today, February 17, Canadian Flag Day, we must recognize that the heritage minister's One Million Flags operation, which will cost taxpayers in Canada and Quebec in excess of $15 million, is the continuation of Trudeau's idea of spending endless money on fighting Quebec and its march toward sovereignty.

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Today, February 17, is Flag Day in Canada, but it is a sad day in Quebec. Remember what happened a year ago in Hull, during the Flag Day celebration. The event was tarnished by an incident during which the Prime Minister grabbed a protester by the throat. It became uglier when the Deputy Prime Minister and Minister of Canadian Heritage immediately reacted by saying the protester was obviously a separatist, when in fact everyone realized in the hours that followed that the man was simply protesting against poverty in this country, against poverty generated by this government.

But the Deputy Prime Minister, this champion of propaganda, immediately said during a scrum that it was a separatist who had been protesting and who was grabbed by the throat by the Prime Minister.

These were unfunded accusations by the Deputy Prime Minister, who was guided by her state of mind, which is to constantly try to incriminate Quebec sovereignists, when everyone in this country knows that Quebec's evolution and march toward sovereignty is taking place through a democratic process and with respect for the rules of democracy.

Today, February 17, is also a sad day for Quebec because of the patriation of the Constitution, in 1982, which took place in spite of a motion passed by the National Assembly, asking that the Constitution not be patriated unilaterally.

The Liberals of the time, led by Pierre Elliott Trudeau, ignored the Quebec institution called the National Assembly and unilaterally patriated the Constitution, thus confirming, much to the pleasure of the federal Liberals, that, for once in Canada's history, they had bumped Quebecers out of the picture, no longer recognizing them as a founding people. The Quebec culture no longer existed, a culture which represents the essence of the people of Quebec, through its creators, artists, writers and film producers. Indeed, with that decision, the federal Liberals denied the existence of the people of Quebec and their culture.

From now on, according to this government, the people of Quebec will simply be a big cultural community within an English Canada. The government wants to turn the people of Quebec into a big cultural community within an English Canada.

Quebec's culture is sad today because artistic and creative criteria have taken a back seat to the political criteria of this government. Today, this policy of propaganda, which is designed to stamp out Quebec's culture and its aspirations to sovereignty, is now solidly entrenched in all departments, including the Department of Foreign Affairs, which just last week approved a policy for international cultural distribution that requires artistic works to be demonstrably in favour of Canada's national unity.

The heritage minister has obviously been instructed to concentrate on the Canadian national identity, and to stamp out Quebec's national identity. This is the mission of Heritage Canada, and we are going to show today how public funds are being used for

propaganda purposes. All departments, the entire machinery of government is taking part in this propaganda exercise.

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The result is a sad day for cultural industries and for creators and artists who must work for Canadian unity if they want their projects to reach a larger audience. If they want to reach an audience in Canada, in Quebec as well as abroad, they must first now meet the essential criterion set by this government, by the federal Liberals, the political criterion of promoting Canadian unity, to the detriment of their own creations, of their own works.

We have denounced this government for interfering in Quebec's areas of jurisdiction, particularly manpower training, but also culture and communications. There was the very recent example where this government, specifically the Prime Minister and the Deputy Prime Minister, actually told journalists that they were not doing a good job in their coverage of the referendum.

This government actually told journalists that they were not promoting Canadian unity in their coverage of the referendum. This is a government that is becoming increasingly totalitarian, calling to mind the Trudeau era with its emphasis on controlling content, controlling those who work in the field of artistic creation, those who shape our identity. Those who work in the print and communications media are being criticized for not working to build Canadian identity.

In this connection, I will refer to a quote from La Presse of November 14, 1995: ``The accusations against the CBC arise out of the convictions of a number of the Liberal leading lights, federal Liberal leading lights, including the Prime Minister himself, if we are to believe this weekend's statements, that the public broadcaster did not fulfil its duty during the referendum campaign and has actively harmed the federalist cause''.

This government has reached the stage of wanting to control the media, of wanting to tell the media what it must say on Canadian unity. We are not going to follow suit, for all Quebecers have built their democracy on clear rules of the game, under which all parties have a right to express themselves regardless of their position or their option.

This government is accusing the CBC, which it claims was mandated to promote conviction and national unity. The Prime Minister went on to say: ``Obviously this is not one of its concerns; I saw something else this evening when I was watching television''. The Prime Minister is concerned that his option be reflected by ``his'' Radio-Canada and ``his'' CBC, for his government had just stated that it was the owner.

Following along with that argument, creators, artists and cultural industries are called upon to serve Canadian unity. They are called to serve the government's political ideology, convictions and political objectives, and not their own creations, which are essential to our society.

Mr. Chrétien stated that evening of November 14, in the context of the Commonwealth Summit being held in Auckland, New Zealand, that ``the CBC, whose mandate it is to promote national unity, has not fulfilled its role''.

When the Prime Minister of a country accuses the press of not supporting his political option, no more need be said. In this, we must acknowledge that the government is consistent with itself, and is continuing the legacy of Trudeau.

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The government is pushing the political criteria that from now on are supposed to guide the whole government apparatus, all those useless investments. In future, its support for culture, its domestic and foreign policies will be based essentially on political criteria. We just saw this with the policy announced by the Minister of Foreign Affairs.

Today, I found it very depressing to read an article by Stéphane Baillargeon in Le Devoir. This journalist wrote: ``Today, political and not artistic criteria are applied to the support given by the federal Department of Foreign Affairs to Canadian artists on tour abroad. Requests for grants will from now on be examined on the basis of the ability to promote respect for Canadian sovereignty and Canadian unity and to present Canada as a bilingual country consisting of various cultures''.

That is this government's new policy: to promote, both outside and inside the country, a Canadian cultural policy in an English-speaking country where there is room for other cultural communities. What this government is trying to do is make Quebec and its culture one of the many cultural communities in this English Canada.

The Minister of Human Resources Development suggests in his statement that only Canada can own and preserve French and Quebec culture. May I remind the minister that the situation of francophones across Canada is such that year after year, the Commissioner of Official Languages has found there is ongoing assimilation? Francophones in Canada are constantly being assimilated, and the government would have us believe, in the kind of statements made by the Minister of Human Resources Development, that Canada is saving the French fact and French culture in Quebec. Not so: Quebec creators and artists are the ones who are doing that in Quebec.

I would like to first show you how much this government has been spending on propaganda activities alone since 1994 and then tell you about the cuts it has made in our cultural industries.

During this period, the government spent as much as $98 million on programs to celebrate the 30th anniversary of the Canadian flag. There was $1.1 million for advertising billboards. Remember those billboards, all 600 of them? Coincidentally, 300 were put up in Quebec and the remaining 300 across the rest of Canada. That is how this government targets its propaganda.

UN 50th anniversary celebrations: $1.8 million; Heritage Minutes: $2.2 million; tourism promotion: $15 million; the One Million Voices campaign, Fédération des communautés francophones: $500,000; National Capital Commission: $3 million; Canadian unity: $4 million; Canadian passports: $25,000; federal government services, television advertising: $5 million; Operation Unity: $11 million; Council for Canadian Unity: $8.4 million; Canada Information Office: $19.5 million; Operation One Million Flags: more than $15 million; Operation Unity: $5 million; Word given, Word kept: $600,000; Services included: $400,000; Take it to Heart: $550,000, that is more than half a million; and the latest addition Attractions Canada: $1.5 million, for a grand total of $98 million.

Nearly $100 million was spent on propaganda. Meanwhile, what is this government doing? It is literally putting the axe to cultural industries, including major industries and institutions in Canada and Quebec, namely the CBC, Telefilm Canada and the National Film Board.

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This government, which is investing close to $100 million for propaganda purposes, made drastic cuts affecting the broadcasters themselves, those who promote our culture and help build our national identity, and also the artists and creators who reflect our own identity.

This government is talking out of both sides of its mouth. In its red book, it claims that these are important institutions, that a stable financial process must be established, and that the Conservatives were wrong to target this industry. However, once they took office, the Liberals changed their tune. What did they do? They systematically cut. The CBC lost 4,000 jobs and $14 million in an unprecedented series of cuts, while the National Film Board suffered a cut of $20 million.

In conclusion, the official opposition declares that February 17, 1997, Canada Flag Day, is a sad day for Quebecers. It is a sad day because Canada is represented by a Liberal government that speaks out of both sides of its mouth, first promising to support and to develop the very essence of our identity, namely our culture, and then, once in office, cutting and systematically eliminating all the tools for these cultural institutions, by reducing budgets.

During the next election, the Bloc Quebecois will fight this government in Quebec, this government that speaks out of both sides of its mouth. The election will allow all Bloc Quebecois members to come back here to protect Quebec's interests.

Mr. Mac Harb (Ottawa Centre, Lib.): Mr. Speaker, today is a very happy day for myself and for all Canadians in this country. As you know, the majority of Canadians, including those living in Quebec and those living outside the country, are aware that we live in the best country in the world. We are not the only ones to feel this way. The United Nations has determined, on several occasions, that Canada was the best country in the world in which to live, work and raise a family.

I am still prouder to be an elected member of this Parliament on the government side under the direction of a Prime Minister who comes from the very fine province of Quebec. This Prime Minister is working, not only with his colleagues on this side of the House, but also with all Canadians, to ensure that we have a flexible, dynamic federation which responds to the needs of the Canadian public today and in the future.

I do not see why my colleague is attacking the government and its approach to Canadian federation, attempting to drive a wedge between Canadians in Quebec and Canadians in other provinces and in the entire country, when in Europe, France, Italy, Spain, England and Germany have joined together in a confederation to establish a system of European unity in order to address the economic and political problems, not only of Europe, but of the world as a whole.

My colleague ought to keep in mind that today, the whole world over, peoples are joining with one another, approaching one another, and that there is now a unity which makes it possible for the problems of poverty, unemployment and uncertainty which exist in certain countries to be addressed.

As my colleague is well aware, the time has come for us to all join forces to work at addressing the needs and problems of the Canadian people.

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My colleague is doing nothing toward progress in this area when he attempts to create division and when he attempts to divert attention, to get things changed, to deprive us of the time required to attack unemployment. He knows that the priority of Quebecers is a government which will address the problem of unemployment, a government which will foster economic development, one that is truly interested in their needs.

This government, up to and including the Prime Minister, has adopted resolutions here in this House of Commons to protect Quebec's needs, which include culture, the division of power, and manpower. We know that culture is a provincial matter. This includes Quebec. It has the right to decide what kind of educational system it wants to have.

The same thing goes for manpower, immigration, health, the environment and transportation. If we look at all the things a province needs to truly decide what is best for its people, the provinces, including Quebec, have that authority. They are capable of determining what is best.

Finally, I would like to ask a question of my colleague. Does he not agree with the fact that the French culture in Quebec, in North America and everywhere in the world, will be better protected within a confederation which encompasses all of Canada than outside that confederation?

Mr. Leroux (Richmond-Wolfe): Mr. Speaker, first I would like to thank the hon. member for his comments. I sense a deeply held conviction in what he said. I think the hon. member defends his point of view very well and is a skilful defender of the Liberal government's policy. However, we are miles apart.

I would like to remind him of a number of positions taken by his own government. First of all, there is the matter of the European model, the unity of international trade, free trade within a geographical area. May I remind the hon. member that Quebec has been a determined proponent of free trade? It supported free trade. And who was against free trade? The Prime Minister and the Liberal Party, the hon. member's party.

The hon. member need not hold up the European market and the common market as examples. In Quebec we know all about opening up markets. North-south trade with the United States is worth more than $34 billion, while trade with the other Canadian provinces is worth about the same. I may remind the hon. member that it was his party that opposed free trade.

Second, I may remind him that the European Union is a union of countries and that this is what Quebec wants, to be a country and enrich the continent with a francophone country.

In the Americas there are important, flourishing cultures: English Canadian, American, Spanish and Portuguese cultures. We simply want to add a French speaking country to the Americas, and thus add to these riches. Furthermore, we are offering an economic partnership to a partner and friend we have known for a long time, Canada.

This is an example of our open attitude to English Canada: we ask it to be a partner, once Quebecers have voted in favour of becoming a country and a nation, and this union will come in the form of agreements.

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On the other hand, I would like to remind the member of his own ministerial responsibilities. When this government was elected, there were over one million unemployed in this country, which he calls the finest country in the world, in the G-7. When the Liberals were elected, there were one million unemployed. They said they were going to fight unemployment. There were also more than one million children living in poverty. The Liberals said this situation was untenable. They said they were going to fight poverty.

And, today, what do we see? We are heading toward elections. We have over one million unemployed. We now have a million and a half children living in poverty in this country. Through you, Mr. Speaker, I remind the member who has just said that Canada is the finest country in the world that his government has created the situation we are in today through its budget choices.

I would point out that, instead of investing in jobs and fighting poverty, this government has decided to siphon off $5 billion a year from the unemployment insurance fund. This money belongs to employees and employers and not the government. Year after year, the government dipped into people's pockets.

Tomorrow, the Minister of Finance will probably brag that he achieved his objectives in the fight against the deficit. He reached them by dipping into people's pockets rather than by giving money back to them, as they were entitled to expect, for job creation. He is responsible for the poverty related tragedies in Canadian and Quebec society. That is how things stand and you are going to have to swallow that, because we will be reminding you of it throughout the election campaign. We will not let you forget your track record and your fine promises in the red book, which you dropped as soon as you got elected.

[English]

Hon. Hedy Fry (Secretary of State (Multiculturalism)(Status of Women), Lib.): Mr. Speaker, I am pleased to rise in the House today to address the opposition motion concerning the many activities of this government, activities which my colleague across the way has just called propaganda. In his impassioned speech he talked about the money that should have been spent on child poverty and money that should be spent on so many things Canadians need but is being spent on what our hon. colleague considers to be propaganda.

Propaganda? The cost to the Quebec taxpayers for the referendum as quoted by Quebec's chief electoral officer was $63.5 million. Let us talk about where that money could have gone. Let us talk about propaganda. Let us talk about spending about $5 million to promote pre-referendum votes. I do not want to continue in this vein but it is absolutely clear to me that when we talk about propaganda, what we are talking about here is hypocrisy.

When this government took office in 1993 our focus was twofold. At the forefront was our resolve to move ahead on a jobs

and growth agenda. Inextricably connected to that goal was our commitment to strengthen Canadian identity and Canadian unity. Today we remain committed to those things. The difference between then and now is the remarkable progress we have made in meeting those commitments. The proof of that progress is found in Canada's strengthened economy, in all of Canada working together, in the number of jobs created and in the strong sense of Canadian identity.

In this important work we will continue a longstanding Canadian tradition, a tradition of creating links across this vast land, a tradition of creating links between the diverse and scattered communities of Canadians, people of all backgrounds who share one thing, that they are proud to call themselves Canadians.

Canada's unique characteristics have shaped our destiny and interests. For example, Canada's huge land mass, our relatively small and scattered population with its bilingual and multicultural composition and our close proximity to the United States are forces that have combined to make us who we are.

Over the years these forces have created in us a strong need to connect with one another across vast distances and challenging landscapes, across diverse cultures and different languages. Canadians have responded to that need and in responding, we have created the ability to become the world's great communicators.

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Early on, this need to connect was expressed through physical transportation links such as the sea to sea to sea water routes of Canada's First Nations peoples and the voyageurs, or connecting the east and west coasts with the railway and much later, the cross-country link of the TransCanada Highway. More recently came the communications links such as Canada's sophisticated telephone, cable and broadcasting systems, and most recently as the first country in the world to connect itself through the information highway and the Internet.

For Canadians this need to connect with one another has its pinnacle in the connections we have among ourselves as a people; in our hearts, in our spirits as Canadians and our shared sense of common values that have made us a great nation. As a government we recognize ultimately that is what will keep Canada united, strong and growing: our shared sense of Canadian identity and our sense of pride in belonging to what is still for the fourth year running, the best country in the world in which to live.

We recognize that culture occupies a unique place in that sense of Canadian identity. Canadian culture underpins both our identity and our economy. We know that a healthy and growing Canadian cultural sector is one of the most powerful tools and ways we can promote unity and jobs. We recognize that Canadian cultural identity is at the core of our destiny and our strength as a country and as a united but diverse people.

Consider the economic impact alone of Canada's cultural sector. In 1993-94 the total cultural sector contributed directly and indirectly $42.8 billion to the Canadian economy. That amounts to 6.9 per cent of the gross domestic product, 1.2 million jobs and 9.3 per cent of the workforce, more than the construction industry, more than the transportation or agricultural sectors. This is why the Government of Canada has taken measures to strengthen both Canadian identity and Canadian culture. These initiatives include but are not limited to the Canadian Information Office and the one in a million flag challenge.

The fact that hon. members in this House chose to see such important Canada strengthening activities as propaganda activities says more about their weak sense of commitment to Canada than it does about this government's work. Nevertheless I will respond to the motion of the hon. member for Richmond-Wolfe by highlighting the accomplishments of this government in creating initiatives that bolster Canadian identity and strengthen Canadian unity while improving the economy and creating more jobs and opportunities for Canadians. They are inseparable.

Only two days ago on February 15 Canadians celebrated the 32nd anniversary of our flag. The red and white flag with the maple leaf is known throughout the world in every country as signifying the greatest country in the world. On Friday in my city of Vancouver we walked with the largest Canadian flag in the world. There were hundreds of people holding on to the edges of the flag as we walked down the street in the glorious Vancouver rain to show our pride in our country. This government is committed to enhancing pride in Canada and promoting a sense of belonging and shared values.

It is one symbol that wherever they go in the world Canadians wear on their sleeves, their hearts, their backpacks. In fact, I have it on good information that a young person travelling in Europe can pay as much as $200 on the black market to buy a small Canadian flag. It is being bought by people who are not Canadians but by young people who want to sew it on to their sleeves and their backpacks so people will believe that they are Canadians. That wonderful red and white flag with the maple leaf.

As a government we recognize our responsibility to enhance a sense of pride and belonging among Canadians through a heightened awareness of our symbols, our traditions, our achievements. That flag is recognized around the world and it is not just that other people want to wear it. The question is: Why do people want to wear our flag? They want to wear our flag because of the values it represents, values of freedom, democracy, respect, tolerance, compassion and understanding. It represents people who have learned to find peaceful resolution to conflict, the peacekeepers of the world.

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That is why people want to wear our flag. The flag also also represents the pride and citizenship of Canada as well as the qualities that make us such a great country in which to live.

The one in a million flag challenge is helping Canadians to wave the flag higher and stronger not only around the world but within our country. It is important that we take our flag when we leave Canada and within Canada celebrate it. It has been a great success. There are now more flags flying across Canada than in the history of this country. That is testimony to the depth of the pride that Canadians feel for this country. It is moving to see Canadians everywhere hoisting the flag higher and waving it with pride. As Canadians there is no better time than now to open our hearts and express the pride and love we feel and share for this great country and the glorious red and white maple leaf.

Just as Canadians have shown an ever growing pride in our flag, Canadians across the country are also showing that they want to know more about our country, more about the people living in other parts of this vast land. I have noted that the need to connect is something which is almost second nature, historically a tradition among Canadians.

The mission of the Canada information office is to facilitate the process by creating links among Canadians from sea to sea to sea, from coast to coast, across mountains and prairies. As we cross the country we realize how much we know and do not know about each other. The things which make us great are the things which also make us different.

The CIO provides up to date accurate information about the development of the Canadian federation, the history of Canada, the role the government plays in meeting its nation building objectives. That is what we are doing, building a nation. To fulfil these goals the CIO lends a hand to all Canadians who want to know. We work to establish partnerships with and among Canadians.

It is difficult for me to understand how a member of the House of Commons could object to a mechanism that ensures the flow of accurate, factual information about Canada, information sharing that has as its goal the promotion of all of Canada, all of Canadian identity and a mutual understanding among the people of this country.

The government is deeply and enthusiastically proud of its initiative to promote Canada's richness, its diversity, its heritage and its multi-faceted stories. What better work could we do for and with Canadians than to inform them about their country, about the different regions, about the different peoples.

We are proud of the work the CIO is doing. I would like to discuss some additional government initiatives that we are working on to strengthen Canadian identity and unity while improving the economy and creating jobs for Canadians.

Over the past four years the government has worked hard to ensure that the Canadian broadcasting system remains the best in the world.

[Translation]

Broadcasting is a powerful tool for building national unity and economic strength. It is a powerful tool for strengthening our social fabric, and our individual and collective empowerment. It is a powerful tool for strenghthening our shared sense of Canadian identity and our international success.

[English]

Canada's broadcasters give Canadians a reflection of ourselves, a sounding board, a window on our neighbours, whether they are on the other side of town or whether they live on the other side of the country. Let me give a few of the most basic facts about the economic impact of Canadian broadcasting.

The Canadian film and television production industry generates $2.7 billion in production activity, which includes $800 million in production revenues. Today there are more than 700 large and small film and television production companies with profits of over $60 million, sustaining 72,000 Canadian jobs, and giving us a sense of who we are. This is a sector worth supporting and encouraging, from an economic perspective, from a Canadian identity perspective and from a job perspective. This is what we are doing.

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In response to the report of the mandate review committee, which Mr. Pierre Juneau chaired, the Minister of Canadian Heritage announced last September the creation of the Canada television and cable production fund. The report has called for more distinct Canadian content in this time of expanding viewer choice.

The $200 million a year fund is fulfilling that need by ensuring a greater sense of Canadian presence on Canadian television screens.

The fund results from a partnership between the private sector cable production fund and Telefilm Canada's television production programs. The response to the fund has been positive, especially from Canada's private broadcasters. They know firsthand how hard it is fund the cost of producing high quality Canadian programs.

[Translation]

It costs around $1 million to produce one hour of Canadian drama.

[English]

In one hour it takes us that amount to produce one hour of Canadian broadcasting. We recognize that if we are going to prove that we are committed to our Canadian identity in our broadcasting we must put our money where our mouth is. The $200 million fund for broadcasting and production is doing exactly that.

It has been remarkably successful. To date, 140 projects have benefited from a total budget of $269 million, of which $69 million came from the Canada television and cable production fund. Those are amazing results from a fund that was launched only a few months ago.

We estimate that in the future the production fund's annual $200 million investment will lever over $700 million worth of Canadian production. That should mean as many as 10,000 new jobs to the broadcasting industry, a sector that already employs over 60,000 Canadians. It is growing at a rate of 14 per cent a year.

What about radio? I was weaned on Canadian radio even when I did not live in Canada. Today I listen to Canadian radio across this country. For almost half the life of this country, radio has been the principal source of self-discovery and self-expression for Canadians. It is our 24 hour electronic town hall to which 99 per cent of Canadians have access. The average Canadian spends 20 hours a week listening to Canadian radio and the vast majority of that time is spent listening to privately operated Canadian broadcasters. That also includes public radio, the CBC.

The CBC is a vibrant core. It keeps us in touch with one another wherever we live in this big country. This government is committed to ensuring that CBC radio's unique voice continues to be heard from coast to coast in both official languages.

That is why again last week the Minister of Canadian Heritage acted to support public radio in two ways. First, the minister announced $10 million in additional annual funding for both English and French language CBC radio services starting April 1, 1997.

The minister also announced that the government has guaranteed stable funding for the CBC for five years starting April 1, 1998. That is good news for radio and good news for Canadian culture.

What I am saying is that in fact sustaining Canada's identity, its heritage and its culture is not just one thing. It is not simply the million flags. It is not simply the CIO. It is not simply the Canadian film industry. It is also the Canadian television industry, the Canadian radio industry and the Canadian publishing industry. The market share of Canadian authored books has risen from 5 per cent to 25 per cent since 1970. Exports of Canadian books are up by 151 per cent over the last five years.

In Canada we have literature in which we can take pride. We have internationally recognized talented and creative writers. We have publishers who want to make sure that Canadian stories are told. We recognize the consistent record of excellence in Canada in both English and French language literature and book publishing. As a government, we recognize that the climate of extreme challenge and change that faces authors, publishers and distributors of books must be dealt with.

The changing economic environment, the need to reduce government deficits, technological change, changes in the marketplace, we know that all of these factors will threaten Canada's publishing sector. In the face of these challenges, both short and long term, we have taken measures to ensure that publishers will enjoy a more stable fiscal environment and can continue to contribute to the vitality of our cultural sector.

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That, again, is why the Minister of Canadian Heritage recently injected $5 million into her department book publishing industry development program.

Another area that we need to talk about in this ongoing saga of publishing is the voice of the Canadian magazine industry, which has faced many obstacles. We are working hard to ensure that the Canadian case is defended vigorously in the WTO.

Last year has seen many changes. The Copyright Act, Bill C-32, marking the important step in moving forward and updating the rights of creators, will significantly improve the status of the cultural sector.

It evolved as a result of talks with Canadians from coast to coast and of listening to what they had to say. It has brought about fairness and integrity that Canadians embrace. It updates the Copyright Act, which is integral to the jobs and growth agenda that is our priority.

Canada's cultural sector is dynamic and rich with future promise. The role of the Government of Canada is to support, in every way we can and with every single strategy we can, with multiple strategies indeed, the culture of Canada.

The sound recording industry, the music industry, is a complex one but we have taken measures to bolster its growth. The minister made this decision in a response to the March 1996 recommendation of the task force on the future of the Canadian music industry that funding levels for her department sound recording program be boosted in the next fiscal year.

This government is committed to continuing to address all the recommendations in the recording sector of Canada's industry. The money we will put in is an investment in our cultural industries. Our museums are well known. They are very important parts that tell us who we are as Canadians.

We must support and strengthen the culture which underpins Canada's identity and which strengthens our economy. To support the culture of this country, we must support its soul.

As we approach the next millennium, we would be wise to use every means at our disposal to do so. We will use partnerships. With the cultural sector using the $30 billion that it pumps into Canada's economy, it will account for nearly-

The Deputy Speaker: I am sorry, the time of the hon. secretary of state has expired. Questions and comments.

[Translation]

Mr. Jean-Guy Chrétien (Frontenac, BQ): Mr. Speaker, I would like to congratulate my hon. colleague from Richmond-Wolfe for the motion he tabled this morning. Part of this motion reads as follows:

That the House denounce the use of public funds squandered on propaganda activities sponsored by Heritage Canada, such as the Canada Information Office and the One Million Flags Operation-

Could the hon. member for Vancouver Centre tell me if there is any other country in the world that spends as much to buy the love of its inhabitants, its people?

When I visit my relatives in the U.S. and we attend sporting events, when the time comes to stand up and sing the national anthem, it is clear that my nephews, Canadians who have been living in the U.S. for several years, love the country where they now live. They are proud of it, because in the U.S. everyone is treated with respect.

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Unfortunately, it is not the same here. I will point out to my hon. colleague from Vancouver Centre that, after the union, in 1841, when Upper and Lower Canada were joined, not only were both communities amalgamated, but so were their respective debts. Quebec, which was not heavily in debt but whose infrastructure was minimal, joined with Upper Canada, Ontario, whose debt was 12 times higher, but whose infrastructure-roads, ports, railroads-was highly developed. The total amount of the debts was split equally between the two.

From day one, equality between the two founding nations was trampled on. The people of Quebec have almost constantly been neglected in this federation.

Take industrial development in the automotive industry for instance. The automobile assembly plant in Sainte-Thérèse is the only one in Quebec, while there are dozens of these plants in Ontario. Why is that? Mere coincidence, you say. Hardly. Pride in one's country cannot be bought with flags.

I was listening to Robert Gillet's radio show where, under the alias of Bob Sweater, he phoned the 1-800 number to order flags for free. He ordered enough flags for all the cottages along the St. Lawrence River. You fell for it and became the laughing stock of Quebecers with your million flags.

Indeed, the hon. member for Vancouver Centre can rest assured that Quebecers' love will not be bought with flags. Just as the love of a spouse cannot be bought, neither can love for one's country. As far as we, Quebecers, are concerned, our country is Quebec and two, three or even four million flags cannot change the fact that Quebec will always be our country.

[English]

Ms. Fry: Mr. Speaker, I want to respond again to the propaganda comment that is being made.

Buying freedom. I agree with the hon. member that freedom cannot be bought. But one has to ask oneself about the 1995 Quebec referendum that cost Quebecers $63.5 million, or the pre-referendum public consultations that cost the Government of Quebec $5 million, or the premier's office committing $2 million to the Conseil de la souveraineté in Quebec to promote a yes vote, and the international affairs department signing a $1.2 million advertising campaign with Marketel, is it along those same lines? I wonder. Do these work together? Are they the same thing? Is this buying pride? Is this buying freedom?

It should be known with respect to the Canada Information Office which is being considered to be a propaganda tool that similar offices exist in countries such as Belgium, the United Kingdom, Germany, France, The Netherlands and Denmark.

The one in a million flag campaign has been the most popular campaign in the history of this country. It is interesting to say that a group of people flew flags from that campaign on their chalets as a joke. I am here to say that the maple leaf with its two red stripes on either side, that red and white flag is not considered by any country of the world to be a joke. It is considered to be a proud symbol of a country the world looks to for peace, for humanity, for justice and compassion.

(1305 )

Flying flags on our homes is not a joke. It is a symbol of pride in our country, regardless of what others would call it.

Mr. Jim Abbott (Kootenay East, Ref.): Mr. Speaker, the debate today is rather interesting.

It is my considered opinion that the heritage minister is a walking, or I should say, a flying disaster. The minister envisions

herself as a unity minister but cannot even maintain unity in her own cabinet on issues which surround her portfolio.

For example the defence minister supports a Reform position that would maintain funding for CBC radio, Newsworld and RDI, but would privatize CBC television and CBC stereo. He is clearly offside with her on that issue.

The industry minister and his ministry are understandably very upset with the last minute disjointed amendments to Bill C-32, an act to amend the Copyright Act, which destroyed the process of developing a thoughtful, balanced copyright law. After destroying the committee process, she presented a dog's dinner of disjointed amendments that will create a problem of great magnitude rather than solve the conflict.

The international trade minister appears to be going bald from pulling out his hair when she stumbles forward with frivolous comments about cultural exports totalling $1.4 billion a year because she is jeopardizing Canada-U.S. trade relations. Serenity in Canada's exports of $1 billion a day is threatened by her intemperate, illogical rants about Canadian culture.

I have in hand a letter from the Minister of Transport dated November 21. It should be noted that I also have department statistics which show that as of November 18 there had been 2,237 flags issued to his constituency against the provincial average of 2,500. In the November 21 letter, three days after those numbers came out, he went to great lengths to say that flags appeared to be held up. What he was really getting at was he wanted to be able to make the following comment.

I quote from the Minister of Transport's letter to the Canada flag challenge program: ``I am writing to you to inform you that any flags distributed to my constituents may be done so under the signature and mailing privilege of my colleague, the Canadian heritage minister, under whose jurisdiction the program falls, or any other way you see fit. I do not believe that it is appropriate for myself or my staff to be directly involved''. Clearly, on the issue we are debating today, the transport minister was going out of his way to distance himself from the frivolousness that surrounds this entire issue which was developed by the heritage minister.

To make my case that she is a loose cannon and a walking disaster in her heritage portfolio, here is what she has actually done with this extremely expensive flag program at a cost of $15.5 million. Unfortunately, she has unwittingly proved that there are two solitudes in Canada and manufactured patriotism by flag waving does not close the gap.

I have figures indicating the number of flags ordered by riding throughout Canada. The question is: Why are these statistics divided into ridings by the Canadian heritage department? There must be something there. Let us take a look at it.

For those of us who may not be aware, flags ordered in Liberal members' ridings were sent out through their offices. That is right. The members' frank or mailing privileges were used. Of course, there is a tidy list of individuals who ordered flags which no doubt will prove to be quite useful in the upcoming election. The heritage minister in a debate with me in the House made the statement: ``The flag is not Liberal. The flag is Canadian''.

As proof that she is taking a hypocritical position, let us look at the details. An average of 2,000 flags per riding were ordered in every province across Canada, excluding Quebec. However, the following ridings had a considerably higher number of flags ordered. What is the similarity among these ridings? They are held by Liberal members. I would suggest that these members were encouraged to ensure these numbers in order that the minister could meet her one million flag mark.

(1310 )

For example, 8,000 flags were given to the riding of the minister of fisheries; 8,000 flags to Brian Tobin's former riding; 6,406 flags to the riding of the minister of francophonie; and 8,440 to Lanark-Carleton. In contrast, to show how these members pushed so hard on this program, the heritage minister's own riding only ordered 2,847.

The real telling numbers are in Quebec. With 25 per cent of the population, that province only accounted for 11 per cent of the flags ordered. The average number ordered in Quebec ridings was only 400. Again I note the following numbers of flags ordered by the ridings of Liberal members in Quebec against an average of only 400 flags per riding in that province: Hull-Aylmer, 2,944; Pierrefonds; 3,075; Gatineau-La Lièvre, 3,338; Gatineau, 3,000. This clearly establishes that Quebec Liberal members were aggressively spreading as many Canadian flags around as possible in a vain attempt to get the numbers up in Quebec.

What did all this cost and how much planning was there? At the outset the minister clearly and specifically stated that without donations the program would cost $6 million. Her press secretary, Duncan Dee, again confirmed the cost would be between $6 million and $7 million. Now the minister has applied her own mathematical skills to this program, which has cost the taxpayer $15.5 million. According to this minister, she has actually saved us $8 million because there was some wild and orchestrated speculation this past summer that the program would cost $23 million.

In summary, the program announced on February 14, 1996 according to the minister would generate patriotism, drive Canadian unity and would be funded by donations. Instead we have a

program which has had little consequence in the province of Quebec and has cost all Canadians $15.5 million. Remember, the minister originally said that it would cost $6 million but because it cost $8 million less than the wild speculation, she says she is under budget when she comes in at only $15.5 million. We can only hope the Prime Minister will not make her the Minister of Finance.

Included in that cost is another tidy little contract for the minister's former campaign manager, a senior partner at Thornley Fallis, Inc., who is not doing too badly. Since Thornley's benefactor was made Minister of Canadian Heritage, it would seem he has obtained five contracts from the Liberal government.

The minister claims to have reached her goal of one million flags. How was this attained? As I reflected on earlier, with the assistance of her Liberal colleagues. I have received calls and letters from many Canadians who never ordered the flags they received. In many cases they received two, three and even four flags. A Montreal Le Devoir reporter indicated in a story that his offices received seven unsolicited flags, again not ordered. The reporter promptly stuck them in the bottom drawer of his desk. So we ask, what effect are these flags at Le Devoir? An anonymous source in the minister's office contacted me and said that they were instructed to invent names and addresses to get the flags out so the minister could reach her goal.

I ask members of this House, did they see a great flurry of flags this past weekend, which would have demonstrated the tremendous success of this program? How successful? Students in Halifax who have seen the Liberal government gouge $4 billion from the CHST which includes funding for post-secondary education showed their contempt for this wasteful spending by ordering 750 free flags which flew from their windows in protest. This was the most significant flurry of flags that anybody could see this weekend.

All of this falls into the same category as the minister's ill thought Canadian Information Office which when announced was supposed to cost us only $20 million. Using the same mathematics, one can only assume we are going to get dinged for considerably more when the government's term is over. What are we getting for this? Not even a free flag.

I remind the House that the office is not accountable to Parliament. It is not accountable to access to information requests; they are blocked by cabinet order. Employees of that office are considered to be exempt staff which means the minister once again can stuff in as many Liberals as she can dig up and put their services to work for her own partisan purposes. The minister said the CIO would not duplicate any other government service already in place. However, what about Reference Canada within the industry department and all the other information offices run by each department? Further, a minister is responsible for intergovernmental affairs. Does his department not respond to requests for information?

(1315)

The minister clearly stated that the office was not aimed at the separatists in Quebec. In her July 9 press release she said ``Canadians made it clear that they are proud of their country and want to know more about each other-the office will bring measures to help Canadians to understand each other and build a stronger Canada''.

She denied very vehemently that it was aimed at separatists at that time. However, only two months later the minister admitted to a reporter ``the federal government has a duty to respond to the propaganda which the Quebec government spread during last year's referendum campaign''. Which is the truth, her position on July 9 or her position two months later because the two things are mutually exclusive.

Only in Canada could we have members of Parliament who come to dismantle our great, magnificent nation. While I share the minister's concern about the seeds of disunity that the Bloc Quebecois and other separatists are spreading in the province of Quebec, she does not have clue one as to what it will take to focus Canadians on what it means to be Canadian.

Her office has set up a web site, for example, at the CIO office. Not surprisingly Quebecers are ignoring the information office web site in the same proportion as they ignore the minister's ill-thought out expensive flag program.

Let me now remind members of the enormous pride we, as Canadians, all Canadians, feel when we have such enormously successful winning athletes standing on the podium at the Olympic ceremonies, athletes such as Silken Lauman, Donovan Bailey, Karen Magnussen, Sylvie Frechette and Canada's special Olympians at Collingwood, Ontario. Does this not instil a greater pride in our country than a bunch of flags filtered through Liberal MPs offices at the expense of the Canadian taxpayers to the tune of $15.5 million?

On August 30, 1996 the minister insisted that the budget is sufficient to cover the costs and that she will not have to cut other programs to come up with the funds. She should tell that to the amateur athletes whose living funds are being eroded today by the heritage ministry. These are the athletes who grow to become Canada's athletes at home and abroad. Can patriotic Canadians afford to buy flags? You bet they can. Could athletes make use of the $15.5 million for incidentals like track shoes and food? I guess so.

Why did this minister blow the $15.5 million on this program when our athletes are starving to death? As part of the $414 million slashed and bled from the CBC, CBC radio, which is supported by the majority of Canadians, took a $30 million hit. With unbelievable massive cynicism last week this minister has now restored $10 million to CBC radio. The net loss to CBC radio, $20 million. The point is she is blowing away the same amount of money as she has

slashed from CBC radio and she is spending it on the Canadian Information Office.

As a consequence I move the following amendment to the Bloc motion.

I move:

That the motion be amended by deleting all the words after the words ``Heritage Canada'' and substituting the following therefor:

``such as the $20 million spent on Canada Information Office and the $15.5 million spent on the One Million Flags Operation at a time when cuts unprecedented in the history of Canada have been imposed on cultural institutions such as CBC Radio and direct funding to amateur sports''.

(1320 )

Mr. Abbott: Mr. Speaker, the point of my speech is very simple and straightforward. Patriotism cannot be manufactured.

Contrary to the ideas the Liberals have, that if it is not done by the government, somehow it is not worthwhile and it is not going to happen, the point of my speech is this. Canadian culture is what Canadians do. Canadian culture is what Canadians are. We are proud of our nation. We are proud not only of the magnificence of our nation and the bounty of its resources but we are particularly proud of its people.

We do not have to be told that we are different to someone else. We do not have to feel inferior to anyone else. Canadians are the greatest people in the world. They are industrious. They are forthright.

It bothers me so much when we run into a situation that unless somehow the government gets involved, the government mandates, the government controls, the government funds, the government over arches everything, somehow we cannot be Canadian.

The approach of the heritage minister to everything, whether it is the Canadian copyright law, or the Canadian content rules that she was musing about over the weekend with respect to the CRTC, or where we should be going as far as CBC or even the importation of books into Canada, I find absolutely appalling that this minister is so shortsighted that she cannot see the greatness of our people and the greatness of our nation right in front of her face.

[Translation]

Mrs. Madeleine Dalphond-Guiral (Laval-Centre, BQ): Mr. Speaker, it is with sadness that I rise today because, in this great and extraordinary country called Canada, we have to condemn the use of public funds made by this government, which has earmarked money for propaganda activities that essentially seek to discredit the people of Quebec.

The Information Canada office, the one million flag operation, all these schemes are ways of telling Quebecers: ``You are wrong to feel like a people, to feel like a nation''.

I want to thank the Reform Party member for specifying the amounts involved. We all know these figures, but we can never repeat them often enough.

Tomorrow, the Minister of Finance will deliver his budget speech. Chances are the budget will be soft on Canadians. Since this government came to office in 1993, budgets have been harsh. The government did not hesitate to make drastic cuts, which primarily affect the poor and the needy, and which force provincial governments to cut health and social programs.

Culture has not been spared either. Cultural institutions of which Canada can be proud, and to which Quebec can deservedly claim to have contributed, such as the CBC, Telefilm and the National Film Board, have been the target of incredible cuts.

(1325)

These institutions played a major role in the expression of my culture. In Quebec, Radio-Canada has been a tool to make people aware of the fact that French is a rich and dynamic language, as well as an original way of stating our identity.

When Prime Minister Trudeau came to office, he had something against Radio-Canada. He never hid the fact that, if he had had his way, he would have closed that institution. Since 1993, one can feel that the current Liberal government would very much like to fulfil the former Prime Minister's wish, as evidenced by the cuts made to cultural programs by the heritage department.

There have been a few heritage ministers since 1993. The most recent, the Deputy Prime Minister, is probably the most flamboyant. Without the slightest hesitation, she is diverting funds set aside for culture with a capital C towards purely propaganda activities. These are activities promoting Canadian unity and culture, multiculturalism. In other words, culture in Canada has only one face, only one colour-it must be Canadian.

You will have no trouble understanding that I am opposed to this state of affairs, because it is my contention, and the very great majority of Quebecers would agree with me, that my culture is the culture of Quebec. It is not better than Canadian culture, but it is different, and we are staunch advocates of this right to be different. Our understanding of the decisions made by the heritage minister is that what she is setting out to do is to take away our right to express this difference.

There are many examples. There was even one recently. We learned that the Department of Foreign Affairs has new criteria for awarding grants to artists. The determining factors will no longer

be talent, creativity and originality, but ultimately the colour of the flag artists prefer. If you prefer the maple leaf, you will get your grant; if the fleur de lis means more to you, forget it.

This means that the current image of culture outside Canada will gradually fade, because unfortunately there are many Quebec artists who identify with the Quebec culture and are not afraid to say so, even if it may mean the loss of grants. It is all vaguely reminiscent of the good old days in the USSR when artistic merit was measured by an artist's promotion of the values of the unitary state, by his adulation of the government's achievements. This is not, I think, what culture is.

Culture is the expression of a people, of its identity, of its difference. For as long as French survives in Quebec, for as long as the people of Quebec see the French language as the best means of giving expression to their identity, I am sorry, but we will speak of a nation of Quebecers.

(1330)

Since it was elected, this government has made major cuts in the cultural sector. It is very interesting to read what the red book has to say, although in few months it will be more than obsolete. In the red book the Liberal Party set out to promote culture and condemn the nasty Conservatives who dared to make savage cuts.

On page 88, it says, and I quote: ``Spending cuts to the Canadian Broadcasting Corporation, the Canada Council, the National Film Board, Telefilm Canada and other institutions illustrate the Tories' failure to appreciate the importance of cultural development''. And also: ``A Liberal government will help Canadian books, films and sound recordings to increase their share of the domestic market. We will also take measures to enable Canadian producers of cultural products to export their work to international markets. Finally, a Liberal government will be committed to stable multiyear financing for national cultural institutions such as the Canada Council and the CBC''. It took a long time to achieve stable multiyear financing. And before we get there, there will be more cutbacks amounting to tens of millions of dollars.

Since 1993, the Liberals slashed the CBC's budget by a third, for a total of $414 million in cuts, resulting in 4,000 lay-offs, including 1,300 at the French network. Similarly, Telefilm Canada suffered funding cuts totalling $46 million; at the Canada Council, it was $12 million; at the NAC, the National Arts Centre, $5 million, and at the National Film Board, $27 million. Once you start cutting, you can go on. It is easy. You get used to it.

Last week we heard the Minister of Canadian Heritage, who is still Deputy Prime Minister of this country, promise stable financing for the CBC. After more than three years of cuts, promising stable financing means that the CBC will be left with a downsized, inadequate budget, especially in the French television and radio sector, which are underfinanced compared with the English network.

However, francophones are wizards. They do wonders with reduced budgets. In other words, this government rewards the competence of artists and producers by cutting funding. All this is probably planned in advance.

But just the same, some crazy things have happened. They cut funding, and then they established an office called the CIO, or BIC in French. At home, Bic is a wonderful little village in Quebec on the shores of the St. Lawrence, with magnificent views. It is really beautiful countryside. So, obviously, calling the centre the BIC, Bureau d'information du Canada, is a bit disturbing, but we will let it go.

Extraordinary things came out of all this. There was, for example, the One Million Flags Operation. My impression, however, when I looked at my Christmas cards this year, was that things were not going as well as they might, because there were Christmas cards where an entire family was dressed in a Canadian flag. Now that is quite extraordinary.

(1335)

It seems there were flags alright, when they were trying to colour Quebec red and white. It seems that only 10 per cent of the flags ended up in Quebec, compared to 40 per cent in Ontario. So 50 per cent of the operation took place in central Canada, except that I must say I saw few flags displayed in Quebec. I did not see any in the towns and villages. Perhaps I am colour blind.

They are doing other things too. They are setting up sweepstakes. Lotteries are in fashion. They are preparing Attractions Canada questionnaires. It seems to me that if you are proud of your country, you do not need this sort of incentive. Being proud of one's country, loving one's country, comes naturally.

When a government feels obliged to invest huge amounts to force people to love their country, we know it is not going to work. You cannot force people to love, and Quebecers cannot be forced to appear to love, because loving involves being treated with respect. And we can see from all that goes on with Heritage Canada that respect is not the watchword in this government's treatment of Quebec.

I had the opportunity to see the figures for federal spending since December 1994, that is, a few months prior to the referendum campaign. The figure is nearly $100 million, which is a lot of money. I am no economist, but I recall our asking for Tokamak, a high tech industry, the sum of $8 million, which was out of the question. Yet, $100 million was allocated to propaganda before the referendum and immediately after.

More than $1 million was spent on the Canadian flag 30th anniversary celebrations. I wonder how much France spent to mark the anniversary of its flag. It may be worth asking our researchers to look into that.

An amount of $1,843,000 was spent for the UN's 50th anniversary; for the ``Heritage Minutes''-I do not go to the movies often, but I remember seeing one or two on the big screen, but putting anything on the big screen is expensive: $2,220,000.

Tourism promotion for Canadians: $15 million. That is incredible. I have the figures right here; I can read them, even without my glasses. The ``One Million Voices'' campaign-they must have sung quite loud because it cost $500,000. And that went in fact to the Fédération des communautés francophones et acadienne.

Canadian identity alone, in terms of subsidies not identified within Heritage Canada, cost $3 million. There is the Canadian passport promotion. Is it not just incredible to be promoting the Canadian passports? Passports are used less and less. In Europe today, people can travel freely, but here the passport is being promoted. It is a well known fact that Canadians travel extensively around the world; therefore a small amount of $25,000 was allocated to promoting the Canadian passport. You realize that there are single parent families with two and three children that do not earn that much in a whole year.

On federal government services, $5 million was spent. For Operation Unity: $11 million. And the list goes on, with $23 million here and $600,000 there. This all adds up to nearly $100 million.

I believe the government should think again. Tomorrow is budget day. We cannot really tell what the finance minister's budget will contain, but one thing is for sure: in this country, culture will continue to have a strongly partisan connotation to it. I must say that it is a shame that propaganda takes precedence over respect.

(1440)

I hope that, by the year 2000, ours friends across the way will have learned to view Quebec in an honest, respectful and realistic way.

I think there is nothing wrong with being naive; it allows us to keep hoping. I tell you that my hope is alive. We should never lose hope.

Mr. Patrick Gagnon (Bonaventure-Îles-de-la-Madeleine, Lib.): Mr. Speaker, I listened very carefully to the hon. member's speech.

The member sort of criticized, again, Canada and its proud and well-known institutions, which have worked hard to promote and to preserve the French fact, in Quebec and across the country.

I find it strange that, when numbers are mentioned, particularly by Bloc Quebecois members, there is a tendency to exaggerate. I would like the hon. member to explain something. As she knows, Quebec accounts for close to 25 per cent of the country's population, 24.9 per cent to be precise, and pays 22 per cent of federal taxes. However, in the case of certain federal institutions, such as the National Film Board, we note that 73.9 per cent of the NFB's budget is spent in Quebec.

In the case of Telefilm Canada, which was used to edit a number of well-known Quebec films, close to 62.9 per cent of the budget was spent in Quebec, including 43 per cent on French language films. Again, Quebec currently accounts for 25 per cent of Canada's population.

As for the CBC, I agree with the hon. member that cuts were made. However, cuts are not unique to Canada. Indeed, major cuts were made to Radio-Québec and to community radio stations in various regions of the province. We could also mention the various cuts made in other countries. It is a fact that the media world is undergoing drastic changes as we are about to begin a new century.

I am looking at the figures for the CBC, and I agree that cuts were made. The corporation had a budget of $918 million, of which close to 40 per cent, or $367,280,000, was allocated to its French network, Radio-Canada. So, based on the proportion of the overall population living in Quebec, the province is actually getting close to $140 million more than it should.

I find it strange and I wonder if, in this post-referendum context for us, which is probably a pre-referendum context for the Bloc Quebecois, the hon. member could tell us where Quebec would find that money, should it achieve sovereignty.

Mrs. Dalphond-Guiral: Mr. Speaker, the member asks how will we come up with this money once Quebec is independent.

You know, it has nothing to do with chance, if I may rely on the figures given by my colleague, the member for Bonaventure-Îles-de-la-Madeleine, when he says that the NFB spent 73 per cent of its budget in Quebec, it is very simple. It is because the creativity is in Quebec, that is all.

What is the mainstay of Canadian culture right now? The mainstay of Canadian culture is the dynamism of the culture of Quebec.

Let no one think that money has been allocated to the NFB or Telefilm Canada out of the goodness of anyone's heart. That is not the case. It is because of our ability to turn to exceptional account the money given to our creators.

It is my view that, the day Quebecers take charge of their own affairs, become their own masters, our culture will have all the means to find its full expression, without being subject to the dictates of people who claim to have money, because they have forgotten that the money they have actually comes from the voters, from the taxpayers.

(1345)

My colleague was saying that we represented almost 25 per cent, or a bit less, of the population, but as far as I know, we pay the same taxes as the rest of Canada. So he was worried about how we would manage. I can reassure him immediately. I think that our future will be on a level with our ability, our determination and our respect for ourselves and for our neighbours in Canada.

[English]

Ms. Beth Phinney (Hamilton Mountain, Lib.): Mr. Speaker, I will be sharing my time with the member for Haldimand-Norfolk.

I am pleased to rise in the House to address the opposition motion today and in particular I want to remind the House of the accomplishments of this government in supporting Canada's publishing industry and its progress in the field of copyright reform.

Our government and our Prime Minister are deeply committed to supporting Canadian culture and promoting Canadian content. In partnership with leaders in the arts and culture in Canada, the Minister of Canadian Heritage is developing a cohesive vision for the real and sustainable support to culture in this country. Today I would like to highlight some of our accomplishments to date.

This government wants to ensure the continued development of the Canadian publishing industry. By directly assisting this sector and by implementing structural policy measures we are making sure that Canadian publishing remains an important agent of cultural expression.

The Canadian poet Hector de Saint-Denys Garneau once said that writers burst the boundaries of the globe. Our books and magazines connect us, first to deeper parts of ourselves, then to each other and finally to our sense of place. In turn, they reflect Canada back to the world.

Canadians want to read Canadian books and they are doing so. Recent market research shows that Canadians are reading more than ever and that most of them are reading Canadian writers. Eighty per cent of these works are published by Canadian owned firms.

The successes read like a hit parade of Canadian writers. Many are household names, remarkable talents, such as Robertson Davies, Michel Tremblay, W.P. Kinsella, Anne Hébert, Marie-Claire Blais, Emile Nelligan, Margaret Atwood, Michael Ondaatje, Gabriel Roy and Robinson Mistry, to name only a few.

Our writers are helping to forge a place for Canadian literature as a world class art form. It is being translated into dozens of languages, studied in some 40 countries and recognized internationally by being awarded some of the highest honours and awards. For example, Antoine Maillet has been the recipient of the most prestigious French language literary award, the prix Goncourt. Michael Ondaatje won the Booker prize, Great Britain's most prestigious literary award.

Canadian magazines are another essential form of our cultural expression from news and opinion magazines like L'Actualité and Maclean's to health magazines like Santé and children's magazines like Chickadee. Our magazine industry is essential to our sense of who we are as Canadians.

Canada has over 1,400 magazines. They provide employment for nearly 6,000 Canadians and bear witness to the fact that our publishers, editors, art directors and writers are among the finest in the world. Through the book publishing development program, the Government of Canada is providing $15.8 million in direct financial assistance to over 180 Canadian publishers in 1996-97. As well, over $6 million was provided to support the marketing of books in Canada and to promote the export of Canadian books abroad.

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The Government of Canada helps the Canadian publishing sector and Canadian authored books to achieve their considerable success. The Canadian market share of Canadian authored books has risen from 5 per cent in 1970 to 25 per cent today. In the last five years export sales of Canadian books have tripled.

Our commitment is stronger than ever. During the summer of 1996, the government worked with book publishers to study options to improve the financial health of Canadian owned publishing firms. The result of this study is fueling a three point publishing strategy, including short term funding assistance to stabilize the industry, a feasibility study for creating a publishers loan guarantee program and other long term measures to stabilize the financing environment for publishers.

Recently the Minister of Canadian Heritage provided our publishers with an additional $5 million to bolster direct financial assistance to the sector for 1996-97. The periodical industry has received both direct assistance and support through structural policy measures.

Canadians are reading more Canadian magazines than ever before. In 1961 about 25 per cent of magazines circulating in this country were Canadian. By 1992 that had increased to almost 68 per cent. We want to keep this kind of growth in Canada's vital cultural industries. The book and the periodical publishing sector in Canada plays a pivotal role in telling us about ourselves, about Canadian places, events and issues. Our enormous successes in this sector at home and abroad are dependent upon industries with strong foundations in the domestic market. The government is working with members of the publishing community to strengthen it. That is partnership in action, working for Canadian culture and identity.

An area relating to the publishing sector and directly affecting it is that of copyright. Among the initiatives of the government is its work in copyright reform. For several years Canadians have awaited amendments to the Copyright Act, important changes that would update the legislation and help the cultural sector to meet the challenges of the information age.

Bill C-32, an act to amend the Copyright Act, will soon receive third reading in the House. In the early 1980s the Liberal government of the day produced a comprehensive document, the Applebaum-Hebert report, which called for the reform of copyright legislation. In the years that followed, the Conservative government failed to act to update copyright legislation. We are remedying that situation by making sure that Bill C-32 passes into law.

As a member of the heritage committee I work closely with Canadian authors and publishers to ensure that Bill C-32 addresses the concerns of both groups. The bill as amended by the heritage committee effectively balances the interests of the publishers, authors and consumers of copyright material. Bill C-32 will help ensure that Canadian authors will be compensated for the unauthorized use of their works.

An amendment I proposed will ensure that users will have access to unpublished documents in archives while providing protection for authors who do not wish to have their papers copied. The bill will also ensure that Canadian publishers with exclusive distribution agreements will be protected from parallel importation.

I receive many calls from Hamilton book sellers expressing concern about the limits on parallel importation. I was able to assure them that amendments were made to the copyright bill that will ensure that book sellers have timely access to special orders.

This government has listened to Canadians. We have taken the measures to move ahead on such long sought after legislation as Bill C-32. We recognize that if there is any matter that Canadians hold dear, it is Canadian culture. By bringing Bill C-32 before the House we have made a significant contribution to the vitality of Canada's cultural sector. By protecting the legitimate right of Canada's creators who are the source of our cultural vitality, we are ensuring the continued vitality of Canada's cultural sector.

In 1993 the Liberal government pledged its commitment to support Canadian culture through concrete support and by the establishment of relevant policies and legislation. We are proud of our accomplishments and we stand by our commitment to complete the work we have begun.

(1355)

Mr. Jim Abbott (Kootenay East, Ref.): Mr. Speaker, I wonder if the member could help me understand something about just one of the many aspects of Bill C-32. I am thinking of the blank tape levy.

With the blank tape levy where people are going to be charged so many cents, which we talked about in committee, 35 or 40 cents a tape, it is going to raise $12 million which supposedly will be distributed to artists. Could the member help me understand how this encourages Canadian artists, considering that the vast majority of the music being copied is an American product. The money is going to be distributed in small part to the Canadian artists.

This is actually simply encouraging two things, number one a trade battle with the U.S. where it says ``if you are collecting $12 million and the product that you are copying is an American product, we demand to have our fair share of that''. Therefore we once again have the Liberals instigating a trade battle with the U.S. much like with Sports Illustrated.

Second, could she explain to this House, indeed to Canadians, how this will actually encourage more work by or for Canadian artists, if it is not what I have always called it, simply a tax on tapes.

Ms. Phinney: Mr. Speaker, it is hard to give a brief answer to that question, but maybe I could come back and finish it after question period. Would that be all right?

The Speaker: My colleague, if you would rather wait and give a fuller answer after question period, that would be fine with me. With that, the hon. member for Kootenay East will get an answer to his question and we will be able to begin Statements by Members.

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