Before the book is closed on the Potash Corp issue, the federal government needs to take steps to inject more transparency into the takeover review process. As it is, the process is opaque with the Canadian public and foreign investors alike kept in the dark.

As we have argued before, Canada has nothing to apologize for in turning down takeover bids by BHP Billiton or other foreign investors when national interests or jobs are at stake.

Mr Stephen Harper Prime Minister after a meeting last weekend with his Australian counterpart Ms Julia Gillard who raised the Potash issue said “It’s important to note that Australia has exactly the same kind of review process for such acquisitions. The fact of the matter is even with this decision Canada has one of the most open investment regimes in the world. Indeed, in the past, we have been the boy scouts of foreign investment.”

But while the review process needs to be tighter, it should also be more open to scrutiny.

The government is not averse to this idea.

Clement last weekend after BHP Billiton formally withdrew its takeover bid said “We recognize that the Investment Canada process could be improved. We could provide greater clarity to Canadians and greater certainty to international investors.”

The government could start by referring Investment Canada to a parliamentary committee for public hearings.

(Sourced from www.thestar.com)