Challenges in innovation, policy co-ordination and processing
Ottawa-Canada’s agrifood sector is ranked 11th among the G20 countries in a report done for the professional services firm MNP by the Agri-Food Analytics Lab at Dalhousie University.
This first-of-its-kind report evaluated the competitiveness of G20 nations in the global food and beverage sector. The ranking highlights Canada’s strong food security and natural resources while identifying critical areas for improvement to enhance global competitiveness, the Analytics Lab said.
Matt MacDonald, National Leader for Food & Beverage Processing at MNP, said “Canada's ranking reflects its potential, but also the need for urgent action. By focusing on innovation and streamlining regulatory processes, we can transform challenges into opportunities to cement our leadership in the global agri-food sector.”
The report offers critical insights for policymakers, industry leaders, and researchers, MacDonald said. “By addressing the identified gaps, Canada can leverage its strengths to secure a leadership position in global agri-food markets.”
The report places Canada in the Moderate Performance tier and underscores its challenges in innovation, policy coordination and value-added processing. While recognized as one of the most food-secure nations globally, Canada trails behind top-performing countries like the United States, Japan, and Germany due to gaps in its national food strategy, research funding and support for small businesses.
Sylvain Charlebois, Director of the Agri-Food Analytics Lab, said “Canada’s agri-food sector has immense promise, but to climb the rankings, we need to align resources with a clear strategic vision. Innovation, transparency, and investment in our entrepreneurial ecosystem will be key drivers.”
Janet Music, Research Program Coordinator at the Lab, said “Other nations are excelling by fostering collaboration between industry and academia. Canada must embrace similar approaches to address systemic gaps and improve sustainability, competitiveness, and resilience.”
Three key areas for improvement identified in the report are:
-Support for entrepreneurs as small businesses face significant hurdles due to complex regulatory frameworks, reducing their ability to scale and innovate;
-A need for a National Food Strategy because Canada lacks a cohesive food policy, limiting its ability to address food security challenges and capitalize on its agricultural strengths;
-Increased investment in innovation and research and development because the current insufficient investment in research and development hampers advancements in agritech, sustainability, and value-added processing.
The Lab’s report also said that Canada ranks among the highest globally for food security, bolstered by its advanced agricultural technologies and natural resources. Despite a significant agricultural trade surplus, Canada’s exports remain heavily focused on raw materials, missing opportunities to capture greater economic value through processing.
The country’s vast landscape and high transportation costs hinder competitiveness and necessitates investment in infrastructure and supply chain modernization.
To improve its ranking and secure its global influence, the report recommends:
-Supporting small businesses by simplifying regulations and ensuring fair market practices under the new Grocery Code of Conduct;
-Developing and implementing a unified national food strategy;
-Increasing funding for R&D to foster innovation in sustainability and agri-tech.
This news item prepared for National Newswatch