Growing exports, fostering innovation and ensuring a strong workforce in the ag manufacturing sector essential for Canada’s economic recovery
Thursday, November 19, 2020
“Our sector produces the highest quality and most sought-out equipment in the world,” says AMC president Donna Boyd. “Canada's agricultural equipment manufacturing sector is a key contributor to economic recovery and growth.”
Canadian agricultural manufacturers, the majority of which are SMEs, export more than $2.3 billion a year in agricultural implements to 154 countries. Access to export markets remains integral to a trade-oriented country like Canada. Navigating shifting global trade currents successfully to expand export opportunities, diversify markets and reduce reciprocal tariffs on the widest possible basis is essential for recovery.
Additionally, innovation in the agricultural sector is crucial to addressing many of the challenges Canadians face, especially in a post-pandemic economy — from climate change to food production. Support for Canada's agricultural equipment manufacturers are key to facing these challenges. In order to foster more Canadian innovation in the agricultural manufacturing sector,
AMC recommends the following:
- Extend the Capital Cost Allowance deduction on manufacturing equipment;
- Update the Copyright Act to reflect today's technology; and
- Improve the portion of carbon tax revenues being rebated to SMEs in provinces where the federal carbon tax regime applies.
Finally, having a skilled workforce is key to recovery and future economic growth. Making gains in this area will require federal government leadership on a combination of measures and initiatives focusing on co-op training, engagement with post-secondary institutions and possible incentives to foster “workforce mobility” and encourage young people to seek careers in agricultural manufacturing.
“Our members are ready and capable of strengthening and expanding Canada's innovative economic capacity as we recover and rebuild from the pandemic,” says Boyd. “It is imperative for the federal government to carefully balance its priorities that will help manufacturers redouble their efforts to achieve long-term, sustainable economic growth – both for the domestic and export markets.”
ABOUT AGRICULTURAL MANUFACTURERS OF CANADA
The Agricultural Manufacturers of Canada (AMC) is a national, member-driven organization dedicated to sustaining a strong, viable and highly respected Canadian agricultural manufacturing industry. With over 250 members, our mission is to foster and promote the growth and development of the agricultural equipment manufacturing industry in Canada.
FOR MORE INFORMATION
Donna Boyd, President, AMC