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Opinion

The federal government wants Canadians to eat bugs.

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10 minute read

A few (very few) media outlets have picked up on this recent news release from the Canadian Taxpayers Federation regarding the human consumption of.. Bugs!

Yuck right? Well don’t panic. They’re not quite ready to swap your bowl of Count Chocula for cocoa-flavoured crickets just yet. However it does appear the Liberal government is hoping to put bugs on your menu. The article from the CTF is included below so I urge you to read on because it’s really interesting (and for those with a queasy stomach, just a tad disturbing).

But before you do that, a couple of observations.

First. This is NOT another win for the annoying conspiracy theory people. Sure they may have been spouting off about forcing us to eat bugs, but that doesn’t make this a classic conspiracy theory.

When it comes to conspiracy theories, most of us have always concluded there are just two types of people. There are the KOOKS. And then there are the people who do their best to avoid the kooks.  Let’s call the first group the Flat Earthers, and the second group, Everyone Else (or the Rest of Us if you please).

Flat Earthers use evidence no one can verify to draw ridiculous conclusions and make strange accusations. Governments insisting we eat bugs may sound like a ridiculous conclusion formed by evidence no one can verify, but it turns out this is not the case at all.

Why is it that “The Liberal Government Wants Us To Eat Bugs” is not a ‘classic’ conspiracy theory?

Well it’s because of the words ‘conspiracy’ and ‘theory’.  They just don’t apply.

The Oxford Dictionary defines conspiracy as “a secret plan by a group of people to do something harmful or illegal.”  For one thing there’s nothing illegal about adding bugs to our diet. We’ve never had to make a law about it.  Politicians like getting elected, and so it never occurred to them to force bugs onto our plates. Sure you’ll see them flipping pancakes and picking hot dogs off a bbq, but that’s about as ‘harmful’ as they’re willing to get. So there’s nothing illegal and nothing harmful going on. That leaves the part about being a secret.

To prove this isn’t a secret I’m afraid I’m going to have to put 2 and 2 together because we have to talk about the World Economic Forum. They might not be shouting it from the mountaintops, but the World Economic Forum isn’t hiding the fact they’d like us to replace meat protein with bugs. It’s only a secret if you’ve never taken the time to read “Why we need to give insects the role they deserve in our food systems“, or “5 reasons why eating insects could reduce climate change“.

You might think our trusted sources of information would look into this because food is something their readers tend to eat almost every day. Sometimes more than once. They might not even have to go to Davos to check it out. News reporters bump into Deputy PM Chrystia Freeland in the hallways on Parliament Hill all the time. Chrystia Freeland is on the World Economic Forum Board of Trustees If you click the link you can see her there, third person down on the right. If Deputy PM Freeland doesn’t know where to find these articles on the WEF website, as a Board of Trustee member she’ll know who to ask. So this certainly isn’t illegal or particularly harmful, and it’s only a secret to those who don’t read these things or have these things read to them by the information sources we’ve always trusted. The Liberal government might not talk about sharing goals with the WEF every day, but when Canada’s Deputy PM is on the WEF’s Board of Trustees let’s just say it would be odd to think they’re at odds.

The other word in play here is “theory”.  When it comes to “conspiracy theory”, the word theory means “theoretical”, as in a theory, but not really happening. Again with the Oxford, second meaning applies here, “that could possibly exist, happen or be true, although this is unlikely”.

One could make a weak argument that Canada’s Deputy PM only goes to Davos to exchange stories with the rich and famous about how ridiculously hard it is to drive the speed limit in Alberta. One ‘theory’ is that she had to make it all the way back to Ottawa in an EV before it got cold. Regardless. Canada’s Deputy PM is a member of the WEF Board of Trustees. So although it could be a coincidence, it is not a theory that the federal government is funding bug – food research.  As you’ll see below, the liberals are paying companies to ” promote the consumption of “roasted crickets” or “cricket powder” mixed-in with your morning bowl of cereal. ”

The fact the WEF has been talking about this for years now, the fact our Deputy Prime Minister is on the WEF Board of Trustees, and the fact the federal government is now funding  research meant to change Canadians from people who stomp on bugs into people who chomp on bugs.. Well that pretty much takes the theoretical part right out of it.

Now that you’re hungry for more, here is the news release from a new trusted information source, the CTF.


By Ryan Thorpe of the Canadian Taxpayers Federation

Taste the crunch: cricket corporate welfare cost $420K

Bon apétit.

The federal government spent $420,023 since 2018 subsidizing companies that turn crickets into human food.

“Canadians are struggling as inflation pushes up grocery bills, but subsidizing snacks made out of bugs doesn’t sound like the right solution for taxpayers,” said Franco Terrazzano, CTF Federal Director. “If Prime Minister Justin Trudeau wants to take a bite out of crunchy crickets, he can do it without taking a bite out of taxpayers’ wallets.”

The Canadian Taxpayers Federation gathered the list of cricket corporate welfare deals by reviewing the federal government’s proactive disclosure of grants and contributions.

On two separate occasions, the feds cut cheques to a Montreal-based company called NAAK Inc., for a combined cost to taxpayers of $171,695.

The co-founders of NAAK were “introduced … to the benefits of adding insects to (their) diet” by a friend and describe their mission as “democratizing insect consumption.”

NAAK specializes in “cricket energy bars,” but a portion of its corporate welfare money was earmarked for developing other cricket products, including “steaks, sausages and falafels.”

NAAK is one of five companies producing crickets for human consumption that have received corporate welfare deals from the feds in recent years.

Table: Corporate welfare deals, 2018-2022

Company

Number of subsidies

Total cost of subsidies

NAAK Inc.

2

$171,695

Entologik Inc.

2

$88,979

Prairie Cricket Farms

2

$78,349

Gaia Protein

1

$42,000

Casa Bonita Foods

1

$39,000

Casa Bonita Foods wants to “manufacture high protein snacks made with cricket flour,” while Prairie Cricket Farms promotes the consumption of “roasted crickets” or “cricket powder” mixed-in with your morning bowl of cereal.

The founder of Entologik claims insects are the “protein of the future” and wants to grow the company into “the largest producers and processor of edible insects in Canada.”

“The feds are having their ‘let them eat crickets’ moment,” Terrazzano said. “If someone can sell crickets as food, we wish them the best of luck, but taxpayers shouldn’t be paying for it.”

An additional $8.7 million in subsidies went to Aspire Food Group, which operates a cricket processing plant in London, Ont. In total, the company received four separate handouts.

While the company is primarily geared toward pet food production, its owner said about 10 per cent of its business uses crickets for human food.

After 15 years as a TV reporter with Global and CBC and as news director of RDTV in Red Deer, Duane set out on his own 2008 as a visual storyteller. During this period, he became fascinated with a burgeoning online world and how it could better serve local communities. This fascination led to Todayville, launched in 2016.

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Automotive

The EV ‘Bloodbath’ Arrives Early

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From the Daily Caller News Foundation

By David Blackmon

 

Ever since March 16, when presidential candidate Donald Trump created a controversy by predicting President Joe Biden’s efforts to force Americans to convert their lives to electric-vehicle (EV) lifestyles would end in a “bloodbath” for the U.S. auto industry, the industry’s own disastrous results have consistently proven him accurate.

The latest example came this week when Ford Motor Company reported that it had somehow managed to lose $132,000 per unit sold during Q1 2024 in its Model e EV division. The disastrous first quarter results follow the equally disastrous results for 2023, when the company said it lost $4.7 billion in Model e for the full 12-month period.

While the company has remained profitable overall thanks to strong demand for its legacy internal combustion SUV, pickup, and heavy vehicle models, the string of major losses in its EV line led the company to announce a shift in strategic vision in early April. Ford CEO Jim Farley said then that the company would delay the introduction of additional planned all-electric models and scale back production of current models like the F-150 Lightning pickup while refocusing efforts on introducing new hybrid models across its business line.

General Motors reported it had good overall Q1 results, but they were based on strong sales of its gas-powered SUV and truck models, not its EVs. GM is so gun-shy about reporting EV-specific results that it doesn’t break them out in its quarterly reports, so there is no way of knowing what the real bottom line amounts to from that part of the business. This is possibly a practice Ford should consider adopting.

After reporting its own disappointing Q1 results in which adjusted earnings collapsed by 48% and deliveries dropped by 20% from the previous quarter, Tesla announced it is laying off 10 percent of its global workforce, including 2,688 employees at its Austin plant, where its vaunted Cybertruck is manufactured. Since its introduction in November, the Cybertruck has been beset by buyer complaints ranging from breakdowns within minutes after taking delivery, to its $3,000 camping tent feature failing to deploy, to an incident in which one buyer complained his vehicle shut down for 5 hours after he failed to put the truck in “carwash mode” before running it through a local car wash.

Meanwhile, international auto rental company Hertz is now fire selling its own fleet of Teslas and other EV models in its efforts to salvage a little final value from what is turning out to be a disastrous EV gamble. In a giant fit of green virtue-signaling, the company invested whole hog into the Biden subsidy program in 2021 with a mass purchase of as many as 100,000 Teslas and 50,000 Polestar models, only to find that customer demand for renting electric cars was as tepid as demand to buy them outright. For its troubles, Hertz reported it had lost $392 million during Q1, attributing $195 million of the loss to its EV struggles. Hertz’s share price plummeted by about 20% on April 25, and was down by 55% for the year.

If all this financial carnage does not yet constitute a “bloodbath” for the U.S. EV sector, it is difficult to imagine what would. But wait: It really isn’t all that hard to imagine at all, is it? When he used that term back in March, Trump was referring not just to the ruinous Biden subsidy program, but also to plans by China to establish an EV-manufacturing beachhead in Mexico, from which it would be able to flood the U.S. market with its cheap but high-quality electric models. That would definitely cause an already disastrous domestic EV market to get even worse, wouldn’t it?

The bottom line here is that it is becoming obvious even to ardent EV fans that US consumer demand for EVs has reached a peak long before the industry and government expected it would.

It’s a bit of a perfect storm, one that rent-seeking company executives and obliging policymakers brought upon themselves. Given that this outcome was highly predictable, with so many warning that it was in fact inevitable, a reckoning from investors and corporate boards and voters will soon come due. It could become a bloodbath of its own, and perhaps it should.

David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.

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Business

Honda deal latest episode of corporate welfare in Ontario

Published on

From the Fraser Institute

By Jake Fuss and Tegan Hill

If Honda, Volkswagen and Stellantis are unwilling to build their EV battery plants in Ontario without corporate welfare, that sends a strong signal that those projects make little economic sense.

On Thursday, the Trudeau and Ford governments announced they will dole out an estimated $5 billion in corporate welfare to Honda so the auto giant can build an electric vehicle (EV) battery plant and manufacture EVs in Ontario. This is the third such deal in Ontario, following similar corporate welfare handouts to Volkswagen ($13.2 billion) and Stellantis ($15.0 billion). Like the previous two deals, the Honda deal comes at a significant cost to taxpayers and will almost certainly fail to create widespread economic benefits for Ontarians.

The Trudeau and Ford governments finalized the Honda deal after more than a year of negotiations, with both governments promising direct incentives and tax credits. Of course, this isn’t free money. Taxpayers in Ontario and the rest of Canada will pay for this corporate welfare through their taxes.

Unfortunately, corporate welfare is nothing new. Governments in Canada have a long history of picking their favoured firms or industries and using a wide range of subsidies and other incentives to benefit those firms or industries selected for preferential treatment.

According to a recent study, the federal government spent $84.6 billion (adjusted for inflation) on business subsidies from 2007 to 2019 (the last pre-COVID year). Over the same period, provincial and local governments spent another $302.9 billion on business subsidies for their favoured firms and industries. (Notably, the study excludes other forms of government support such as loan guarantees, direct investments and regulatory privileges, so the total cost of corporate welfare during this period is actually much higher.)

Of course, when announcing the Honda deal, the Trudeau and Ford governments attempted to sell this latest example of corporate welfare as a way to create jobs. In reality, however, there’s little to no empirical evidence that corporate welfare creates jobs (on net) or produces widespread economic benefits.

Instead, these governments are simply picking winners and losers, shifting jobs and investment away from other firms and industries and circumventing the preferences of consumers and investors. If Honda, Volkswagen and Stellantis are unwilling to build their EV battery plants in Ontario without corporate welfare, that sends a strong signal that those projects make little economic sense.

Unfortunately, the Trudeau and Ford governments believe they know better than investors and entrepreneurs, so they’re using taxpayer money to allocate scarce resources—including labour—to their favoured projects and industries. Again, corporate welfare actually hinders economic growth, which Ontario and Canada desperately need, and often fails to produce jobs that would not otherwise have been created, while also requiring financial support from taxpayers.

It’s only a matter of time before other automakers ask for similar handouts from Ontario and the federal government. Indeed, after Volkswagen secured billions in federal subsidies, Stellantis stopped construction of an EV battery plant in Windsor until it received similar subsidies from the Trudeau government. Call it copycat corporate welfare.

Government handouts to corporations do not pave the path to economic success in Canada. To help foster widespread prosperity, governments should help create an environment where all businesses can succeed, rather than picking winners and losers on the backs of taxpayers.

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