AgriFood Economic Strategy Table Propelling the Sector Forward

Agri-Food Economic Strategy Table: Propelling the Sector Forward February 2019

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How it all started • Government of Canada created six Economic Strategy Tables (EST) to support innovation in potential high-growth sectors. • Agri-food sector was one of the six Tables, recognizing it as a key driver economic growth in Canada. • 15 members representing all parts of value chain from primary agriculture production to food processing and fish, seafood, and aquaculture • The Tables were tasked to: • set ambitious growth targets; • identify sector-specific challenges and “bottlenecks”; • bring forward bold ideas; and • develop an action plan to achieve these goals. 4

Agri-Food EST Recommendations • Regulations: Rank in the top 10 among OECD countries for ease of regulatory burden by 2025. • Infrastructure: Rank in the top 10 among OECD countries in the World Bank infrastructure Index by 2025. Also, have 100% broadband coverage. • Labour and Skills: Reduce job vacancy in primary agriculture to 4% and food manufacturing to 2. 2% by 2025. Increase female representation in food processing industry management to 50% by 2025. 5

Agri-Food EST Recommendations Market Diversification • Proposal: Develop and diversify Canada’s agri-food markets. • Target: Canada will achieve $85 billion in exports and $140 billion in domestic sales by 2025. 6

Agri-Food EST Recommendations Innovation • Proposal: Invest in innovation and boost competitiveness through increased automation and digitization. • Targets: • Canada will increase its food industry capital expenditures per dollar of sales by 50% by 2025. • Canada will double its food industry private-sector R&D expenditures by 2025. 7

Cross-Table Recommendations 10

Taking Action: Fall Economic Statement Regulations Market Diversification Infrastructure Innovation and Investment • Inclusion of economic growth into regulators’ mandates • Creation of Advisory Committee on Regulatory Competitiveness • Development of Centre for Regulatory Innovation • Early deliverables from Agri-food Regulatory Review • Launch of Export Diversification Strategy, including more Trade Commissioners and exporter support • $25 M/5 years for market diversification in Agriculture • Includes specific funding for work on international standard-setting bodies • Acceleration of funding in National Trade Corridors Fund • Additional funding ($13. 6 M/3 years) for Multimodal Integrated Passenger-Freight Information System • Immediate write-off of cost of machinery and equipment for manufacturing or processing of goods and for clean energy equipment; accelerated capital cost allowance for all businesses • Additional $800 M to Strategic Innovation Fund with a subsequent announcement for an agri-food-specific challenge 9

Next Steps • The Economic Strategy Tables are calling on industry and governments to work together, to be ambitious and innovative, and to “think big”. • The Government is continuing to review the recommendations in the final report and identify opportunities to act. • Industry has a key role in putting its efforts towards working to achieve the vision outlined by the Table. 10

“The best way to predict the future is to create it. ” -- Abraham Lincoln 11