CME: Ontario missed an opportunity to grow the economy and instead grew the deficit
Toronto, March 28, 2018
Canadian Manufacturers & Exporters (CME) is pleased the Ontario government acted some of the priorities of the manufacturing sector in Budget 2018, however we remained concerned with the continued lack of focus on the declining investment competitiveness in the province.
Manufacturing in Ontario is responsible for nearly 30 per cent of all economic activity and employment through its direct operations and related supply chains. It accounts for two-thirds of the provinces exports and nearly 50 per cent of all research and development. Its health and well-being is critical to the province and all communities.
“The Budget’s Good Jobs and Growth Plan has elements critical to economic competitiveness, and follow some of CME’s recommendations around supporting growth and innovation.” said Dennis Darby, President & CEO of CME. ” In particular we were very pleased to see the focus the reinvestment in the Jobs and Prosperity Fund, the creation of the New Economy Fund, along with the proposed changes to research and development supports and skills development,” added Darby.
Darby continued, “While these areas were positive and will be strongly supported, more broad-based measures are needed to restore business confidence and competitiveness in the province. Ontario is not attracting enough investment – the budget itself notes this challenge – and as a result, innovation, growth and productivity in the province are suffering. CME had called on the government to take decisive action to boost investment and growth through four key measures: tax competitiveness, investment supports, energy costs and skills. Unfortunately, little was done to address these challenges and change the tune of the lack of investment competitive we hear from our members.”
“This Budget missed out on an opportunity. Manufacturers around the world and across North America are investing hundreds of billions annually in their people, products and processes,” noted Darby. He continued, “Ontario used to get a major part of this investment, which we no longer secure. CME will continue to put forward our ideas to government which we, and our members, know will help level the playing field with the jurisdictions we compete for investment with,” stated Darby.
ABOUT CANADIAN MANUFACTURERS & EXPORTERS
Since 1871, Canadian Manufacturers & Exporters has been helping manufacturers grow at home and, compete around the world. Our focus is to ensure manufacturers are recognized as engines for growth in the economy, with Canada acknowledged as both a global leader and innovator in advanced manufacturing and a global leader in exporting. CME is a member-driven association that directly represents more than 2,500 leading companies who account for an estimated 82 per cent of manufacturing output and 90 per cent of Canada’s exports.
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