2011 Western Premiers’ Conference

Premiers Looking Outward for Strong and Sustained Prosperity 

YELLOWKNIFE (June 20, 2011) - Western Premiers agreed today in Yellowknife, Northwest Territories, on the importance of ensuring that infrastructure, policy, and regulations support increased trade with Asia and the United States (US) ensuring strong and sustained economic growth for Western Canadians.

The prosperity of Western Canada is closely linked with efficient trade with key markets in the United States and Asia. It is estimated that one in four jobs in Western Canada is directly supported by international exports. Further, nearly half of Western Canada’s gross domestic product is dependent on exports to these markets, which will grow as world demand for Western Canadian goods, services and expertise increases.

Enhancing the Canada-US Economic Relationship

Western Premiers are encouraged by the Canada-US Beyond the Border Working Group and Regulatory Cooperation Council initiatives. Western provinces and territories have long worked to advance concrete border-thinning measures that support economic growth and increase smart border security. Premiers welcome the opportunity to work with the federal government on practical, high-impact changes that will have positive outcomes for border trade and economic growth. Premiers acknowledged the importance of balancing security interests with enhanced trade.

Sustaining and enhancing the Canada-US economic relationship is crucial to the continued prosperity of Western Canada. Exports from Western provinces and territories to the US support about 987,000 Western jobs and represent 71% of the region’s trade. Western provinces and territories account for more than one third of Canadian exports to the US, and ensuring smooth and timely access to the US market continues to be a top priority for Western Premiers.

Premiers emphasized the need for provinces and territories to be full partners in the Beyond the Borders and Regulatory Cooperation Council initiatives and agreed on several key changes, including:

   
• creating a smarter border that focuses limited resources by:    
         
  • eliminating wasteful duplication of inspections; for example, Canada’s carrier manifest system could mirror that of the US;
         
  • reducing permitting bottlenecks; and,
         
  • improving access to trusted traveller programs and developing preclearance processes to alleviate border delays.
     
     

   
• recognizing the equivalence of Canadian and American safety standards for food and agricultural products to reflect the integrated North American agricultural sector. Premiers expressed their ongoing concern with Country of Origin Labelling ;

   
• facilitating access for Western Canada’s energy and forest products; and,

   
• enhancing the efficiency of the border by improving infrastructure, including at key Canada-US gateways and corridors.

Western Premiers also maintain strong relationships with Western Governors and other state and national decision-makers in the US. They committed to partner with the Canadian federal government, regional organizations, (e.g. Pacific Northwest Economic Region, PNWER) and industry stakeholders to develop and advance a smarter, more economically accessible, and safer border for Canadian and American citizens and businesses.

British Columbia Premier Christy Clark will be conveying the messages of Western Premiers to their US couterparts at the upcoming meeting of the Western Governors’ Association.

Harnessing Our Potential in Asia

Asia is home to over half of the world’s population and accounts for a greater share of global economic output than the US and European Union combined. Since 2002, Asian markets have grown by an average of 8.9% per year, compared with 4.9% globally. About two-thirds of Canada’s overall exports to Asia come from Western Canada.

As a trading country, Canada must endeavour to continually expand its international network and trade relationships with established partners and new markets. Asia is a key area for Western growth. As a region, it performed strongly in the recent global recession, and it is quickly becoming a locus of economic power. Canada is ideally situated geographically, economically and culturally to take advantage of these global changes.

Exports to Asia already support over 240,000 jobs in Western Canada, and the region accounts for a rapidly growing 17% of our exports. The dramatic development in Asia is generating a particularly strong demand for food and commodities such as coal, potash, forest products and minerals. Global oil and gas demand is expected to continue to grow as well, creating significant new export opportunities for Western and Northern energy products. Western Canada is ideally situated to meet growing Asian demand with our abundance of energy, food, forest, coal, mineral and fertilizer resources, and related services and technologies.

Premiers also noted that Western Canada is a key gateway for imports from Asia to North American consumer markets, forming a vital link for intercontinental and international trade. To capitalize on these opportunities, the West needs the right tools to move exports to Asia and imports to and through Western Canada. Premiers noted that infrastructure is essential to ensuring that Western Canada takes full advantage of export and import opportunities.

Premiers recognize that the timely development of strategic physical infrastructure and policies necessary to facilitate trade, such as railways, roads, gateways, ports, airports, pipelines and liquid natural gas terminals, are crucial if Canada is to compete successfully in global markets. They agreed to support and encourage the development of viable market options focusing on our competitive advantages.

Western Premiers also reinforced the need for timely approval processes for major infrastructure projects, including those related to commodity production and export.

Western Premiers noted that they intend to underscore for their Council of the Federation colleagues the tremendous opportunities that growing Asian markets represent to the diversification of Canada’s export markets and to the expansion of tourism opportunities in Western Canada.

Open Skies

Western Premiers continued to press the federal government to adopt a true Open Skies policy and pursue agreements with countries of critical trade, tourism and investment importance to western Canada, particularly in Asia and niche markets. Enhancing air access between western Canada and the world will allow businesses to grow and jobs to be created, not only in Western gateways and regional economies, but across Canada.

Western Premiers also continue to encourage the federal government to liberalize existing Air Service Agreements to grant landing rights in Western Canada for partner countries’ carriers. Premiers support increased transparency and the inclusion of airports and key stakeholders as observers during air bilateral negotiations.

Western Premiers recognize that the efficient movement of people and goods between commercial centres in a cost-competitive manner is an increasingly important requirement for success in a globally competitive economy.  Premiers call on the federal government to improve affordability and remove barriers to international access by further reducing reduce airport rents and substantially reducing the fees, charges and taxes related to air travel in order to help enhance the competitiveness of Canada’s aviation industry and economy as a whole. All Canadians would benefit from being able to move goods, services and people more cost-efficiently.