Marine industry | Before passing the breaking point

Strengthening Canada’s supply chain requires a strong partnership with the private sector.

Posted at 11:00 a.m.

Isabelle Pelletier

Isabelle Pelletier
Co-Executive Director of the Canadian Maritime Coalition

Rob MacKay-Dunn

Rob MacKay-Dunn
Co-Director General of the Canadian Maritime Coalition

From the unloading or loading of goods at Canadian ports until they arrive at your home or your international customers, countless men and women work every day to meet the thousand and one challenges to get there. Recently, we have all realized how interconnected and fragile our supply chain is; she’s at a breaking point.

These are the findings of the final report of the National Supply Chain Task Force.

Prolonged rail barricades, labor disruptions, extreme weather events and heightened geopolitical uncertainty add to the already numerous challenges. Fixing our supply chain requires a leaner, more efficient and more growth-friendly approach.

On the eve of changes to the governance and regulations of Canadian ports, the presence of the private sector of the maritime industry at the negotiating table is essential.

The Canadian Maritime Coalition represents around 100 companies in 14 ports and 5 provinces.

Every day of the year, 24 hours a day, our members liaise between Canada and the rest of the world. Every day, more than 790 million goods are transacted from coast to coast and across the St. Lawrence via our members.

Easily applicable solutions

The federal government must first overhaul the current management and oversight system.

Currently, at least 23 public organizations and ministries have decision-making power. This siled approach lacks the agility needed to manage the risk of unintended consequences of government interventions and increases costs.

We need fewer and smarter regulations to support Canadian operators.

To ensure the resilience of our ports, certain policies that impede trade must be eliminated and governance must be modernized.

The private sector of the maritime industry is part of the solution and we want to work on this in partnership with the government.

A recent InterVISTAS Economic Impact Study confirmed that the private sector of Canada’s marine industry plays a crucial role in the Canadian economy. Our members contribute $4.3 billion to the national GDP annually, economic output is over $8.5 billion, and more than 213,000 jobs at Canada’s ports are directly dependent on the activities of Coalition members. We play a key role in ensuring that essential imported products reach Canadians and that Canadian exports reach the world.

The task force recommended the creation of a Supply Chain Office (BCA) to manage the supply chain. This would be an important step in the right direction, provided that the BCA does not simply become a layer of bureaucracy or additional control. It must have clear decision-making authority in the various ministries, be able to solve problems in real time and ensure the participation of the private sector from the start. It must inevitably include an office devoted to the maritime sector.

Bottlenecks

Second, the federal government must increase infrastructure investment in ports, marine terminals, inland terminals and railways, prioritizing projects that address bottlenecks and build capacity in times of point. By accelerating these partnerships with the private sector, Ottawa can leverage the significant investments that Canadian taxpayers have made in their national transportation system.

Third, we must collectively address skill shortages in the skilled trades through training and development programs. By partnering with the private sector, unions, provinces and trade schools, we can collectively improve skills and development, as well as train the next generation of marine industry leaders. In 2022, Coalition members invested over $48 million in training and professional development and recruited over 800 longshoremen to meet the current and projected needs of Canadian ports.

As government seeks to optimize and maximize supply chain efficiency and reliability, it is crucial not only to listen to our voice, but also to leverage our experience, expertise and from our perspective of the real world. It’s the only way to ensure that we remain globally competitive. From coast to coast, we deliver the goods to Canadians. Day after day.


source site-58