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When the Special Assistance Programme began in 1974, the Canadian fishing industry faced the worst crisis it has known. In the Atlantic groundfish industry, unusually high costs (stemning partly from the energy crisis of 1973), scarce fish, and poor markets had produced heavy losses and forced producers toward bankruptcy. Other sectors of the fishing industry also faced grave problems. To prevent collapse of communities and wide-spread dislocation, the Federal Government authorized emergency aid to the groundfish and other sectors of the fishing industry. After a thorough inquiry into the Canadian fishing industry, the Government approved in 1975 a new and activist fisheries policy, outlined in the public document "Policy for Canada's Commercial Fisheries", The aim was to build a stronger, more stable industry and provide better, more responsive management, with the needs of society and especially of fishermen uppermost.

Foremost among actions undertaken was the achievement of the 200-mile limit. The number of foreign vessels fishing here shrank frum more than 1,500 in 1974 to about 500 in 1977. Foreign ships now pay to fish only according to Canadian rules, for fish the Canadian industry does not use.

Other key actions under the new fisheries policy include application of strict licence control to almost every major fishery,

Because limiting the entry into the fisheries is the best way to conserve

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fish stocks and to raise the fishermens' income.

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"Processors and fishing enterprises should continue submitting cor's and carings data in order that my Department can continue to monitor the economic performance for the best management of Canada's fishery", Mr. Leblanc said.

"With good judgement over the next few years, we can build a better fishery than this country has ever known", Mr. Leblanc said.

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APPENDIX H

PROBABLE ECONOMIC EFFECTS OF TARIFF CHANGES UNDER TITLE I AND TITLE V OF THE TRADE ACT OF 1974 FOR TRADE AGREEMENT DIGEST NOS. 10030, 10035, 10039, 10040, AND 10049, JULY 1975

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