>> Steve: CANADA ALREADY PLAYS A CRITICAL ROLE IN MEETING GLOBAL DEMAND FOR FOOD.
AS THE CLIMATE CRISIS PLAYS OUT AND THE WORLD'S POPULATION GROWS, THAT NEED IS EXPECTED TO
RAMP UP AS WELL.
A NEW REPORT SAYS THAT PRESENTS A REAL OPPORTUNITY.
NOT ONLY COULD CANADA EXPAND ITS MARKETS, BUT WE CAN ALSO DO IT WHILE BOOSTING AGRICULTURAL
YIELDS AND REDUCING THE CARBON FOOTPRINT OF FARMING.
JOHN STACKHOUSE IS ONE OF THE AUTHORS OF THAT REPORT, A JOINT EFFORT INCIDENTALLY BY RBC, THE
BCG CENTRE FOR CANADA'S FUTURE AND THE ARRELL FOOD INSTITUTE AT THE UNIVERSITY OF GUELPH.
JOHN IS A SENIOR VP IN THE OFFICE OF THE CEO AT RBC.
AND HE JOINS US NOW.
IT'S GREAT TO HAVE YOU BACK IN THAT CHAIR.
>> John: GREAT TO SEE YOU, STEVE.
>> Steve: OKAY.
THE NEXT GREEN REVOLUTION.
THAT IS A REFERENCE TO WHAT?
>> WELL, SOME OF THE VIEWERS MAY REMEMBER THE FIRST GREEN REVOLUTION IN THE 1950S AND
'60s WHEN AGRICULTURE WAS TRANSFORMED GLOBALLY AND WE DEVELOPED ALL SORTS OF
TECHNOLOGIES THAT ALLOWED US TO PRODUCE A LOT MORE FOOD AND THAT HAS HELPED FEED THE WORLD,
STAVED OFF A LOT OF STARVATION IN MANY PARTS OF THE WORLD.
WE NEED AN EQUAL GREEN REVOLUTION THIS TIME, BUT THE GREEN IS ON CLIMATE.
CANADIANS PROBABLY DON'T APPRECIATE THAT ROUGHLY 10% OF OUR NATIONAL EMISSIONS COME FROM
AGRICULTURE.
WHEN YOU FACTOR IN THE WHOLE SUPPLY CHAIN, WHAT IT TAKES FOR FERTILIZER, WHAT IT TAKES FOR
DIESEL TO GET THAT FOOD TO YOUR DOOR, IT CAN RUN UP TO 20%.
IF WE WANT TO GET TO NET ZERO WE HAVE TO ADDRESS AGRICULTURAL EMISSIONS.
THERE'S A BONUS TO THIS AS WELL BECAUSE AGRICULTURE CAN BE A CARBON SINK.
WE CAN ABSORB GREENHOUSE GAS EMISSIONS IN THE SOIL, AND WE HAVE A SOIL BASE IN THIS COUNTRY
THAT IS ALMOST UNEQUALED IN THE WORLD AND WE HAVE TO PUT THAT TO WORK AS A NATURAL ASSET AND
REWARD FARMERS AS THE LAND STEWARDS FOR CAPTURING THAT CARBON.
THAT'S GOING TO BE CRITICAL FOR US TO GET TO NET ZERO.
NOW, ALL OF THIS WAS TRUE TWO YEARS AGO, FIVE YEARS AGO, TEN YEARS AGO.
WHAT HAS CHANGED PROFOUNDLY IS WHAT HAPPENED IN THE WORLD LAST YEAR WITH THE UKRAINE WAR WHICH
IN OUR VIEW WAS NOT A ONE-OFF.
WE ARE GOING TO CONTINUE TO SEE GEOPOLITICAL AND GEOECONOMIC DISRUPTIONS THAT WILL AFFECT
COMMODITIES TRADE, THAT WILL AFFECT THE PRICE OF OIL AND GAS, THE PRICE OF FOOD FOR MANY YEARS
TO COME, AND THAT CREATES AN ADDITIONAL IMPERATIVE FOR CANADA AS A MAJOR EXPORTER OF FOOD TO
THE WORLD, TO PRODUCE A LOT MORE FOOD, TO PRODUCE IT MORE SUSTAINABLY, AND TO GET IT TO
THE PARTS OF THE WORLD THAT ARE NOT GOING TO BE ABLE TO RELY ON PRODUCERS LIKE RUSSIA, AS THEY
MIGHT HAVE IN YEARS PAST.
>> Steve: OKAY.
A TON TO UNPACK THERE.
SO LET'S START TO DO THAT.
IF THE MISSION IS TO REDUCE THAT 10 OR 20 PERCENT TO ZERO, HOW WELL ARE WE DOING AT THAT
MISSION SO FAR?
>> WE'RE LIKE IN A LOT OF SECTORS KIND OF MOVING ALONG VERY SLOWLY AND WE NEED TO
ACCELERATE THAT IF WE'RE GOING TO GET THOSE HUNDRED OR SO MEGATONNES OUT OF OUR CARBON
FOOTPRINT OF 720 DOWN TO 50, DOWN TO ZERO.
NOW, FORTUNATELY, WE HAVE THE TECHNOLOGIES.
WE KNOW WHAT TO DO, BUT WE'VE GOT TO SCALE IT.
WE HAVE THE TECHNOLOGIES TO CAPTURE MORE CARBON IN THE SOIL.
WE HAVE THE TECHNOLOGIES TO MANAGE LIVESTOCK BETTER, AND WE CAN GET INTO METHANE EMISSIONS.
BUT CANADA CAN BE A LEADER IN THIS.
SO IT'S NOT JUST ABOUT PRODUCING MORE FOOD WITH FEWER EMISSIONS FOR THE WORLD.
THAT'S KIND OF JOB 1 HERE.
THERE'S ALSO AN OPPORTUNITY TO DEVELOP THE TECHNOLOGIES, CREATE A KIND OF SILICON VALLEY OF
AGRICULTURE TECHNOLOGY OR AG TECH AS IT'S CALLED IN PLACES LIKE GUELPH, IN PLACES LIKE
CALGARY, AND EXPORT THESE TECHNOLOGIES AS THE REST OF THE WORLD TRIES TO FIGURE OUT ALSO
HOW TO PRODUCE MORE FOOD WITH FEWER EMISSIONS.
>> Steve: AS YOU LOOK AT THE AMOUNT OF FOOD THAT WE ARE PRODUCING TODAY AND THE NEED FOR
WHATEVER AMOUNT THAT IS, TAKE US 30 YEARS DOWN THE ROAD.
TAKE US ALMOST TO THE YEAR 2050.
WHAT'S THE DIFFERENCE GOING TO BE BETWEEN WHAT WE'RE DOING TODAY AND WHAT WE'LL NEED IN
2050.
>> WE'RE NOT GOING TO BE PRODUCING RADICALLY DIFFERENT FOODS, WE'RE NOT TALKING ABOUT
FRANKEN-FOODS, FOR INSTANCE, WE'LL PRODUCE A LOT OF CANOLA, A LOT OF BEEF, A LOT OF DAIRY
PRODUCTS, BUT WE'LL BE PRODUCING THEM DIFFERENTLY AND SELLING THEM TO DIFFERENT MARKETS IN THE
WORLD.
YOU DON'T EVEN NEED TO GO 25 YEARS OUT.
WE ESTIMATE AT RBC THAT CANADA WILL NEED TO EXPORT 25% MORE FOOD BY THE YEAR 2030.
THAT'S A MASSIVE INCREASE IN EXPORTS.
THAT'S ACTUALLY A BENEFIT FOR ALL OF CANADA BECAUSE THAT HELPS THE CANADIAN DOLLAR, HELPS OUR
BALANCE OF PAYMENTS AND BALANCE OF TRADE IN THE WORLD.
SO AGRICULTURE IS AND WILL CONTINUE TO BE A KEY ECONOMIC ENGINE OF THE COUNTRY.
BUT WE NEED TO BRING THIS CLIMATE-SMART THINKING TO ALL PARTS OF AGRICULTURE, HOW WE
PRODUCE EGGS, HOW WE PRODUCE POTATOES IS NOT ONLY GOING TO BE IMPORTANT TO CANADA'S FOOTPRINT.
WE'RE SEEING INCREASING DEMAND IN OTHER MARKETS, AND THAT INCLUDES THE UNITED STATES, FOR
CLIMATE-SMART FOOD PRODUCTS, AND AGAIN AN OPPORTUNITY FOR CANADA TO BE AT THE FOREFRONT OF THIS
REVOLUTION.
>> Steve: I WONDER HOW TOUGH IT IS TO GET PEOPLE TO START THINKING MORE CLIMATE-SMART WHEN
THE FACT OF THE MATTER IS -- WHAT IS IT NOW?
80 TO 90 PERCENT OF US LIVE IN CITIES.
I'M CONVINCED A LOT OF PEOPLE WATCHING THIS OR LISTENING TO THIS HAVE NEVER BEEN TO A FARM
IN THEIR LIVES, AND LET YOU'RE LOOKING FOR TRANSFORMATION IN A SECTOR WE DON'T THINK THAT MUCH
ABOUT.
DISCUSS.
>> ABSOLUTELY.
WE TAKE FOOD FOR GRANTED AND THAT'S AT OUR PERIL.
IT'S AMAZING TO GO OUT TO FARMS NOW.
THEY ARE THE MOST SOPHISTICATED TECH OPERATIONS I GET TO SEE ANYWHERE.
YOU GO TO A DAIRY FARM AND THE FIRST THING YOU WILL SEE IS ROBOTS.
I SPENT A LOT OF TIME ON DAIRY FARMS IN SOUTHWESTERN ONTARIO.
YOU SIT WITH THE FARMERS IN THEIR LIVING ROOM AS THEY CONTROL THE ROBOTS ON THEIR TV
IN THE LIVING ROOM, FLIPPING FROM NETFLIX TO THIS, AND THEN THEY GO OUT TO THE BARN AND DO
THE HARD WORK OF FARMERS.
BUT IT IS VERY MUCH A TECH-BASED DATA-DRIVEN OPERATION NOW.
SO THAT'S A GREAT CANADIAN ADVANTAGE BECAUSE WE CAN BE TECH LEADERS IN THE WORLD.
THAT CAN ALSO BE A CONSUMER ADVANTAGE BECAUSE THAT CAN DRIVE DOWN PRICES, THAT KIND OF TECH
INNOVATION IS WHAT DRIVES DOWN PRICES IN ALL SECTORS AS WE -- AS WE KNOW.
BUT WE AS CONSUMERS NEED TO APPRECIATE ALL THAT GOES INTO THE PRODUCTION OF FOOD, AND, YOU
KNOW, WE'RE ALL FEELING AND SEEING THE INCREASES IN FOOD PRICES, AND THAT WILL MODERATE,
WE BELIEVE.
BUT IT'S AN INDICATION OF SOME OF THE CHALLENGES OUT THERE.
WE'RE NOT GOING TO MAKE THIS TRANSITION EASILY.
AND WE'RE NOT GOING TO MAKE IT EASILY IF WE DON'T INVEST MORE IN FARMERS.
WE HAVE TO THINK ABOUT COLLECTIVELY ABOUT THE ECONOMICS OF FARMING.
IT'S REALLY STILL VERY TOUGH TO MAKE A LIVING AS A FARMER, EVEN IF YOU'VE GOT THOUSANDS OF
HECTARES.
IT'S TOUGH TO GET BY.
YOU MIGHT HAVE A COMMODITY SPIKE ONE YEAR BUT IT'S GOING TO COME DOWN THE NEXT YEAR AND YOU STILL
HAVE ALL YOUR BILLS TO PAY.
SO AS A COUNTRY, WE'RE LOOKING FOR WAYS AND POLICY IDEAS TO INVEST MORE IN FARMERS,
PARTICULARLY TO REWARD THEM FOR THAT STEWARDING OF THE LAND THAT I MENTIONED EARLIER.
FARMERS, WE BELIEVE, CAN CAPTURE 30 TO 40 MEGATONNES OF CARBON.
THAT'S ALMOST ON PAR WITH WHAT THE OILSANDS PRODUCES.
IT COMES OUT OF THE OILSANDS, GO BACK INTO SOIL.
HOW DO WE INCENTIVIZE FARMERS, REWARD THEM FOR CAPTURING THE SOIL.
>> Steve: WHO IS THE WE THAT NEEDS TO INCENTIVIZE THEM.
>> WE COLLECTIVELY AS A COUNTRY.
>> Steve: GOVERNMENTS, BUSINESSES.
>> AND MARKETS.
BECAUSE THERE ARE THROUGH OFFSET AND WHAT ARE CALLED IN-SET MODELS, THERE ARE A LOT OF
COMPANIES AND A LOT OF INVESTORS WHO WANT TO REWARD FARMERS FOR DOING THAT, AND THIS IS ALREADY
UNDERWAY IN ALBERTA, IN MANITOBA.
THERE'S INTERESTING WORK BEING DONE BY BIG COMPANIES LIKE McCAIN'S, THEY'RE WORKING WITH
POTATO FARMERS SO YOU CAN GET NET ZERO FRENCH FRIES, OR WITH NUTRIEN, A BIG FERTILIZER
PRODUCER, TO REWARD FARMERS TO CHANGE THEIR PRACTICES THROUGH THINGS LIKE TILLAGE, GOING TO NO
TILL, FOR INSTANCE, SO THEY CAPTURE MORE OF THOSE GREENHOUSE GASES IN THEIR SOIL AND GET
COMPENSATED FOR IT.
WE'RE ESTIMATING IN OUR RBC RESEARCH THAT THERE'S PROBABLY BETWEEN 2 TO 4 BILLION DOLLARS A
YEAR AVAILABLE IN THE MARKET TO INVEST IN FARMERS.
SO THAT COMES FROM THE MARKET, COMES FROM COMPANIES AND INVESTORS WHO ARE LOOKING FOR,
AS I SAY, OFFSETS TO TRANSFER THAT TO FARMERS TO CARE FOR THEIR LAND MORE SMARTLY, USE NEW
TECHNOLOGIES, BUT HAVE THAT CAPITAL, THAT MONEY IN THE BANK TO PAY FOR THOSE TOOLS AND TO
FOLLOW THOSE PRACTICES.
>> Steve: LET'S TALK DISRUPTION.
ONE MAN-MADE, ONE NOT SO MUCH.
LET'S START WITH MAN-MADE.
UKRAINE.
WHAT HAS THAT DONE TO EVERYTHING WE'VE BEEN TALKING ABOUT?
>> HUGE SPIKE, AS WE ALL KNOW, IN COMMODITY PRICES, FOOD PARTICULARLY.
THAT HAS STARTED TO MODERATE AND WE BELIEVE WILL CONTINUE TO MODERATE THROUGH 2023.
INFLATION WILL COME DOWN, INCLUDING FOR FOOD.
BUT WE ARE GOING TO SEE MORE DISRUPTIONS LIKE THIS.
THE FREE FLOW OF GOODS AND FOODSTUFFS IN THE WORLD IS NOT GOING TO BE AS SMOOTH OVER THE
NEXT 25 YEARS, FRANKLY, AS IT WAS OVER THE LAST 25 YEARS.
THIS IS ALL PART OF DEGLOBALIZATION OR REGLOBALIZATION, DEPENDING ON
YOUR POINT OF VIEW.
SO GAME ON FOR CANADA, AS A MAJOR PRODUCER, NUMBER 1, NUMBER 2, NUMBER 3 PRODUCER IN A WHOLE
RANGE OF FOOD PRODUCTS.
THERE'S GOING TO BE MORE DEMAND FOR WHAT WE PRODUCE.
I GOT TO MEET WITH A JAPANESE BUSINESS DELEGATION LAST FALL THAT HAD COME TO CANADA WHO SAY:
HERE'S WHAT WE NEED OVER THE NEXT 25 YEARS.
AMAZING HOW THE JAPANESE THINK.
HERE'S OUR SHOPPING LIST.
THIS IS HOW MUCH CANOLA WE'RE GOING TO NEED OVER THE NEXT 25 YEARS.
WE REALLY LIKE CANADA AS A CANOLA PRODUCER.
YOU MAKE GREAT CANOLA.
YOU'RE RELIABLE.
WE LIKE YOU AS A COUNTRY.
WE'RE NOT SO SURE HOW RELIABLE YOU ARE AS A TRADING PARTNER.
YOUR PORTS ARE A BIT MESSY.
YOUR ROADS, YOUR RAIL LINES, YOU'RE NOT AS SOPHISTICATED AS WE'D LIKE TO SEE.
SO WE WANT TO HEAR ABOUT YOUR PLANS FOR THE NEXT 10, 25 YEARS IN TERMS OF INFRASTRUCTURE.
>> Steve: AND DO WE HAVE ANY?
>> SO WE CAN COUNT ON YOU AS A 25-YEAR SHOPPER FOR CANOLA, FOR PORK.
THEY WANT A LOT OF CANADIAN PORK AS WELL.
NO, WE DON'T.
AND THIS IS A CHRONIC CANADIAN CHALLENGE.
WE HAVE LOTS OF GOOD POLICIES IN PLACE, FOOD INVESTMENTS IN PLACE, BUT NOWHERE NEAR AS
AMBITIOUS AND AS FOCUSED AS WE NEED TO BE TO SAY TO THE WORLD, BUT ALSO TO OURSELVES: HERE'S
WHAT OUR INFRASTRUCTURE PLAN IS FOR THE NEXT 25 YEARS AND YOU KNOW -- THIS TIME WE'RE GOING TO
STICK TO IT BECAUSE WE'RE ALSO SEEN IN THE WORLD AS NOT ALWAYS RELIABLE.
WE SAY WE'RE GOING TO BUILD THIS.
AND AS WE ALL KNOW, SOMETIMES IT TAKES LONGER IN CANADA THAN WE SAY IT WILL.
THE WORLD KNOWS THAT.
WE'VE GOT TO UP OUR GAME IN TERMS OF HITTING OUR COMMITMENTS.
>> Steve: WE KNOW ABOUT THAT ALL TOO WELL IN THIS NEIGHBOURHOOD BECAUSE 100 YARDS
NORTH OF US RIGHT NOW IS AN LRT THAT SHOULD HAVE BEEN OPEN BY NOW AND IS GOING TO BE BILLIONS
OVER BUDGET BY THE TIME IT'S DONE, IF IT'S EVER DONE.
ANYWAY, I'M ON A TANGENT.
THE OTHER THING, THE OTHER DISRUPTIVE THING I WANTED TO TALK ABOUT WAS WEATHER-RELATED
EVENTS, WHAT'S HAPPENING IN CALIFORNIA RIGHT NOW, QUITE FRIGHTENING WHAT'S GOING ON.
HOW MUCH OF THIS IS A PART OF THE STORY YOU'RE TALKING ABOUT.
>> THIS IS PART OF THE NEW NORMAL AND IN FACT THE JAPANESE REFERENCED THAT AS WELL.
CLIMATE RESILIENT INFRASTRUCTURE IS A GROWING CONCERN.
SO THEY SEE WHAT HAPPENED WITH THE FLOODS IN B.C. LAST YEAR AND HOW THAT DISRUPTED TRADE, AND
THEY SAY, WE'RE NOT SURE WE CAN RELY ENTIRELY ON A SINGLE PRODUCER BECAUSE IF YOU'RE HIT
BY A CLIMATE EVENT, BY A WEATHER EVENT, AND THAT MEANS A SHIPMENT OF CANOLA IS NOT GOING TO GET TO
US, THAT'S GOING TO CAUSE HAVOC IN OUR MARKET.
SO GIVE US A BIT MORE CERTAINTY THAT YOU'RE NOT ONLY GOING TO INVEST IN INFRASTRUCTURE BUT
YOU'RE GOING TO HAVE WHAT'S CALLED CLIMATE RESILIENT INFRASTRUCTURE.
THIS IS A NEW CHALLENGE FOR CANADA BUT ONE THAT WE KNOW IS HERE AND IT IS GOING TO GROW.
SO WHEN WE'RE BUILDING -- AND IT'S TRUE FOR LRTs AS WELL, THAT WHEN WE'RE BUILDING RAIL
LINES, WHICH WE'RE NOT BUILDING SUFFICIENTLY OR EXPANDING OUR PORTS, IT'S NOT GOING TO BE THE
PORT OF YESTERYEAR THAT WE'RE GOING TO NEED, THE PORT OF THE FUTURE IS GOING TO BE DIGITALLY
ENABLED BUT IT'S ALSO GOT TO BE CLIMATE RESILIENT BECAUSE IT'S GOING TO BE HIT BY HURRICANES,
BY WEATHER DISRUPTION.
FARMERS ARE ALSO GETTING USED TO THIS AND NO FARMER NEEDS TO BE TOLD ABOUT HOW CHALLENGING AND
UNPREDICTABLE WEATHER IS.
THEY KNOW THAT BEFORE THE REST OF US DO.
BUT THAT ALSO IS A NEW NORMAL FOR FARMERS.
IT'S GOING TO BE HARDER TO PREDICT WHAT WEATHER IS GOING TO BE LIKE NEXT YEAR OR THE YEAR
AFTER AND THEREFORE HARDER TO MANAGE YOUR CROPS THROUGH THIS.
IT COMES BACK TO THOSE ECONOMIC INCENTIVES.
SO HOW DO WE CONTINUE TO REWARD FARMERS FOR WHAT ARE CALLED CLIMATE-SMART PRACTICES, SO THEY
ARE BEING REWARDED NOT ONLY FOR WHAT THEY'RE PRODUCING BUT ALSO FOR WHAT THEY'RE PRESERVING.
>> Steve: HOW DOES THAT LOOK?
IS THAT A TAX CODE CHANGE OR WHAT?
>> NO, IT'S AN OFFSET AND IN-SET MODEL SO THAT COMPANIES -- >> Steve: YOU TALKED ABOUT
THAT.
BUT BEYOND THAT, IS THERE SOMETHING THE REST OF US CAN BE DOING TO INCENT THIS BETTER
BEHAVIOUR?
>> IF YOU'RE AN INVESTOR, LOOK FOR WAYS TO INVEST IN THIS.
BUT IF YOU'RE A CONSUMER, WHICH WE ALL ARE, THINK ABOUT WHAT YOU'RE CONSUMING FOOD-WISE.
THINK ABOUT WHERE YOUR FOOD IS COMING FROM.
SPEND A BIT OF TIME, SPEND A MINUTE UNDERSTANDING, WHETHER IT'S A QR CODE OR LOOKING AT THE
LABEL, WHERE DID YOUR FOOD COME FROM?
IS IT CLIMATE SMART?
INCREASINGLY YOU WILL KNOW THE EMISSIONS OF YOUR FOOD.
SO WHEN YOU GET A BOX OF CEREAL OR A DOZEN EGGS, YOU'LL BE ABLE TO SEE ON THE LABEL WHAT THE
FOOTPRINT IS.
AND AS CLIMATE-SMART CONSUMERS, THEN WE'LL ALL BE ABLE TO COLLECTIVELY LET THE MARKET DO
WHAT IT DOES VERY WELL WHICH IS SEND SIGNALS TO THE PRODUCERS THAT THEY WILL BE REWARDED FOR
THOSE CLIMATE-SMART PRACTICES.
>> Steve: THAT SOUNDS LIKE A WORTHY AND VALUABLE THING TO DO.
IS IT A LUXURY PEOPLE WILL WANT TO CONSIDER WHEN INFLATION IS AT 5, 6, 7 PERCENT?
>> THAT'S A PRESSING QUESTION.
LET'S NOT BE NAIVE.
PEOPLE ARE PRESSED IN THE POCKETBOOK, AND WHEN THEY ARE PRESSED, THEY TEND TO THINK
PRIMARILY AND EXCLUSIVELY OFTEN ABOUT THE ECONOMIC CONSIDERATIONS, THE PRICE OF
SOMETHING.
SUSTAINABILITY IS A NICE TO HAVE OR A LUXURY, AS YOU SAY.
BUT SUSTAINABILITY ALSO NEEDS TO DRIVE INNOVATION, DRIVE THOSE TECHNOLOGIES THAT WE TALKED
ABOUT, THAT IS ACTUALLY GOING TO REDUCE THE PRICES.
THOSE ROBOTIC MILKERS ON DAIRY FARMS THAT I MENTIONED.
THOSE CAN DRIVE DOWN THE PRICE OF MILK.
TECHNOLOGIES IN FERTILIZER.
WE NEED TO REDUCE THE AMOUNT OF EMISSIONS THAT COME FROM FERTILIZER.
FERTILIZER COMPANIES ARE WORKING ON THIS.
EVERY FARMER KNOWS THAT THEY PAY FAR TOO MUCH OR SPEND FAR TOO MUCH ON FERTILIZER.
THEY'D ALL LIKE TO CUT THEIR FERTILIZER BILL.
WELL, THESE TECHNOLOGIES, THESE INNOVATIONS THAT CANADIAN COMPANIES CAN LEAD, ARE GOING TO
REDUCE THE AMOUNT OF MONEY THAT FARMERS NEED TO SPEND ON THOSE INPUTS.
THAT WILL LEAD TO LOWER PRICES FOR CONSUMERS.
>> Steve: OKAY.
IN OUR LAST FEW MINUTES HERE, YOU'VE DONE THIS REPORT.
YOU'VE DONE A LOT OF RESEARCH.
YOU'VE PUT SOME IDEAS OUT THERE.
WHERE DO YOU WANT TO SEE IT GO NOW?
>> WE NEED CANADIANS AND CANADIAN GOVERNMENTS TO SEE AGRICULTURE AS A CRITICAL
STRATEGIC OPPORTUNITY FOR THE COUNTRY.
WE'RE CALLING THIS CANADA'S MOONSHOT.
HOW DOES CANADA PRODUCE 25% MORE FOOD THIS DECADE WITH 25 TO 30 PERCENT FEWER EMISSIONS?
WE HAVE THE TECHNOLOGY.
WE HAVE THE BRAIN POWER OUT THERE TO DO IT.
WE NEED THE FEDERAL AND PROVINCIAL GOVERNMENTS TO WORK TOGETHER A LOT MORE AMBITIOUSLY
THAN THEY ARE.
WE NEED THE PRIVATE SECTOR, GREAT INNOVATORS RIGHT THROUGH THE FOOD SYSTEM TO COME TOGETHER
TO FOCUS ON THIS MOONSHOT THAT NOT ONLY IS GOING TO BE ESSENTIAL TO CANADA GETTING TO
NET ZERO, IT'S ACTUALLY GOING TO BE A GREAT EXPORT TO THE WORLD BECAUSE ALL SORTS OF COUNTRIES
OUT THERE ARE ALSO TRYING TO FIGURE THIS OUT.
IF WE FIGURE IT OUT FIRST, WE'RE GOING TO BE SELLING THOSE TECHNOLOGIES, SELLING THAT
KNOW-HOW, TO THE WORLD.
>> Steve: IS IT A PROBLEM, JOHN, AND I HOPE I'M NOT TELLING TALES OUT OF SCHOOL HERE, BUT
THE AGRICULTURE MINISTER IN THE PROVINCIAL CABINET, IN THE FEDERAL CABINET, TENDS NOT TO BE
ONE OF THE MORE SENIOR MINISTERS IN THOSE CABINETS.
HOW BIG A PROBLEM IS THAT?
>> IT'S A FASCINATING BUT VERY BIG PROBLEM.
AGRICULTURE IS NOT SEEN AS ECONOMIC STRATEGY, AND THIS IS SOMETHING THAT RBC IS TRYING TO
STRESS FAR AND WIDE.
AGRICULTURE IS ONE OF IF NOT THE MOST STRATEGICALLY IMPORTANT SECTORS IN THE ECONOMY.
IT CREATES ALL SORTS OF JOBS.
IT'S ESSENTIAL TO EXPORTS.
IT ACTUALLY IS A THREAD OF NATIONAL UNITY THAT WE TAKE FOR GRANTED BECAUSE AGRICULTURE IS
EVERYWHERE IN THE COUNTRY.
SO HOW DO WE SEE AGRICULTURE AND FOOD SYSTEMS MORE BROADLY AS AN ECONOMIC OPPORTUNITY, THE WAY WE
LOOK AT ELECTRIC VEHICLES, FOR INSTANCE, THE WAY WE LOOK AT BATTERIES.
WE ARE GOING TO BE INVESTING, RIGHTLY SO, BILLIONS OF DOLLARS COLLECTIVELY, TENS OF BILLIONS
OF DOLLARS IN THE TRANSITION OF OTHER SECTORS, LIKE VEHICLES, LIKE OIL AND GAS.
WE NEED TO MAKE THE SAME COMMITMENT TO AGRICULTURE.
NOT AS SOME SORT OF SUBSIDY TO FARMERS BUT AS A WAY OF REIMAGINING THIS SECTOR FOR THE
NEXT QUARTER CENTURY AS AN ECONOMIC LEADER FOR THE COUNTRY.
>> Steve: THAT'S JOHN STACKHOUSE, SENIOR VP IN THE OFFICE OF THE CEO AT THE ROYAL
BANK OF CANADA, RBC I GUESS THEY CALL IT NOW, TRYING TO LEAD THE NEXT GREEN REVOLUTION.
JOHN, AS ALWAYS, GREAT TO HAVE YOU HERE AT TVO.
>> A PLEASURE, STEVE.
THANK YOU.