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Canada’s Premiers call for First Ministers’ meeting on infrastructure, endorse Canada Trade Infrastructure Plan

July 13, 2023

Stefanson thanked for leadership

Winnipeg – Canada’s premiers have unanimously joined the call for a strategic, long-term trade corridor investment plan, issuing a communique from their July 12, 2023, endorsing the principles of the proposed Canada Trade Infrastructure Plan (CTIP).

CTIP was advocated for by a group of leading national associations, including the Business Council of Canada, Canada West Foundation, Canadian Chamber of Commerce, Canadian Construction Association, Civil Infrastructure Council Corp. and Western Canada Roadbuilders & Heavy Construction Association. It is supported, as well, by Canadian Manufacturers and Exporters.

The plan was first presented Jan. 19, 2023, to Manitoba Premier Heather Stefanson, who agreed to champion the push for CTIP, to see it endorsed by all premiers at the Council of the Federation (CoF) meeting July 10-12, which she chaired.

“We are entirely grateful for Premier Stefanson’s leadership on this issue critical to Canada’s economic future,” said Chris Lorenc, President & CEO of MHCA and WCR&HCA. “The need for a national trade corridor strategy has been apparent for years and the CoF commitment to carry the plan forward is a huge step to making it a reality.”

Since Stefanson agreed to bring the strategy to CoF, CTIP and/or its principles have gained support from:

April 11, 2023, memorandum of understanding signed by Alberta, Saskatchewan and Manitoba, which endorsed investment in trade corridors
June 15, 2023, Premiers Council of the Federation letter to Prime Minister Trudeau, endorsing investment in infrastructure and specifically trade infrastructure
June 27, 2023, Western Premiers & Territorial Leaders Communique, which endorsed investment in trade corridors

The endorsements culminated in the July 12 communique, in which the “Premiers call upon the Prime Minister to convene a First Ministers’ Meeting dedicated to the linked priorities of competitiveness and strategic infrastructure.” All business organizations advocating CTIP were named in the communique, an unprecedented endorsement.

“Trade corridor infrastructure is critical to enhance and secure the vital supply chains, transportation networks, and market access needed to maximize our economic potential and prosperity. Premiers endorse the principles set out in the Canada Trade Infrastructure Plan,” the communique read.

CTIP calls for collaboration between governments and the private sector to create a strategy

to identify a national trade network
adopt criteria for prioritizing infrastructure for investment, including the project’s return to GDP
line up, over 20 to 30 years in advance, projects for investment.

The intent is to anticipate and capitalize on growing global trade markets by building a network that ensures our trade corridors are reliable, fluid and have capacity to move goods to and from markets domestically, continentally and globally.

The business association group issued a news release at the same time as the communique, following a breakfast they hosted earlier in the day that was attended by the premiers of Ontario, Manitoba, Alberta, British Columbia, Yukon and Nunavut.

Stefanson, speaking at the breakfast, stressed the need for investment on trade infrastructure – rail, highway, air, port and marine assets – to ensure that Canada is competitive in global trade markets. She said it is apparent Canada has work to do on its supply-chain reliability and capacity, noting the importance of the revenues returned from trade.

“We are very encouraged by the premiers’ endorsement of CTIP, which has been carefully thought out through decades of discussion and research by our associations collectively and individually,” said Lorenc.

CTIP calls for a trade infrastructure investment strategy based on the “building blocks” recommended within the Canada West Foundation report From Shovel Ready to Shovel Worthy (May, 2022).

The report underscores the damage done to Canada’s reputation as a reliable trade partner due to lack of a collaborative, visionary strategy and investment plan. A World Economic Forum 2019 survey put Canada 32^nd – behind Azerbaijan – in its global ranking of the quality of trade transportation infrastructure. The same survey in 2009 ranked Canada 10^th.

Further, a 2021 analysis by the European Court of Auditors, comparing how Australia, Canada, the EU, Switzerland and the United States manage large transport infrastructure projects, found only Canada lacks coherent, institutionalized long-term coordination and planning.

A report by the Canadian Centre for Economic Analysis (2022) said Canada’s approach to infrastructure funding is sporadic, lacking strategic focus and long-term outlook. This “volatile” approach to funding – peaks and valleys of investment – has come at considerable cost to job creation, incomes, returns to the GDP and, therefore, revenue growth to governments, the CANCEA report says.

The groups advocating for CTIP will continue the work to gather support, meeting with federal officials and office holders, pressing for inclusion in the 2024-25 budget of funding to launch collaboration with the provinces and private sector toward a strategy.