Canadian Resource Opportunities
Perrin Beatty, President and CEO of the Canadian Chamber of Commerce, recently produced a report on Canada’s resource obligations and opportunities. With the ongoing war in Ukraine, global supply lines have been shaken up and many natural resources are becoming more difficult to source. This has driven gas and energy prices to some of the highest prices in decades. As the winter season approaches, the lack of gas availability means that many Europeans will struggle to heat their homes as the temperatures drop. Similarly, in Canada and the United States, inflation continues to be a major issue as the global economy remains unstable.
Beatty went on to state that Canada is uniquely positioned to be a stabilizing force in the global economy through the use of our natural resources which includes energy, critical minerals, and agriculture. As the gap in energy production left by Russia is felt across Europe, desire for Canadian energy and agriculture is growing exponentially. Beatty goes on to say that during his visit to Germany in June, he saw just how badly Europe wants and needs those goods that Canada can provide.
The barriers to these exports, as stated by Beatty, exist almost entirely at home in Canada, and the lack of action is due to poor regulation on major projects for exporting. Beatty believes that barriers such as fertilizer limits and crop input regulations are preventing Canada from reaching their full potential on goods that are available for export. This also extends to Canada’s infrastructure as the rail capacity remains limited and access to ports across the country is slowed. Another potential barrier is municipalities that insist on building outwards rather than upwards which results in developments on land that was once used for agriculture, which again reduces the agricultural production capabilities of the country. If these changes can be made within the country, Canada will be able to fulfill its duty of being a natural resource powerhouse.