Many conversations in Parliament and around kitchen tables across the country have been focused, rightly, on the cost of living. Rising inflation, and the supply chain woes that have helped fuel that climb, have captured the attention of Canadians and political leaders alike. As we navigate these uncertain times, Canada's ports continue to act as engines of the Canadian economy.However, to tackle evolving challenges, the federal government must offer the tools needed for Canada's supply chains to be ready for tomorrow and beyond. The government's National Supply Chain Task Force recently tabled its final report outlining a list of recommendations. Canada's port authorities were pleased to see the sector's input reflected in many of the recommendations.With the recent announcement that the Ports Modernization Review is now complete after four years of work, the Minister of Transport has committed to tabling legislation to modernize ports through updates to the Canada Marine Act. Canada's ports hope to see several issues addressed that will ensure we meet our shared goals of supply chain optimization and building a strong economy:
- Financial Flexibility– The borrowing rules for Canadian ports have been in place for decades and pose important obstacles for obtaining private investment. The recent task force report recognized this, calling for greater authority, financial flexibility and autonomy for ports, and noting that $110 billion in investments will be needed at Canada's seaports over the next 50 years.
- Port Capacity and Inland Ports – As consumer habits change and Canada diversifies and expands its trading relationships, Canada's ports need to grow as well to meet Canada's growing infrastructure needs. However, as with the process for requesting changes to borrowing limits, the current process for buying and selling land also requires changes. The current process is long and tedious, which makes infrastructure expansion difficult and hinders the ability of Canada's ports to adapt to changing conditions, both here and abroad, which impact their operations and capacity.
- National Trade Corridor Fund (NTCF) – The NTCF has committed nearly $1 billion in funding at Canada's ports, and in Budget 2022 earlier this year the federal government announced $450 million more over five years in NTCF funding to support supply chains. As the task force's report made clear, the funds from this program have been critical for making the necessary infrastructure improvements to adapt to changing supply chain dynamics. We echo calls to make the fund a permanent program to tackle modern day supply chain challenges, as much more investments will be required in the coming decades.