By Kristin Marand, Winnipeg Free Press
Manitoba boasts a diverse trade portfolio around the world, including agricultural commodities, a strong manufacturing sector and natural resources. With a central location in North America and access to reliable transportation networks, many industries thrive here: in 2023, the value of Manitoba’s exports rose five per cent, reaching approximately $16 billion.
While the majority of these exports were to our neighbours down south — Manitoba’s exports to the U.S. last year accounted for 72 per cent of total exports from the province — other top destinations for Manitoba goods include China, Japan and Mexico.
Known for our rich farmland, Manitoba produces about 10 per cent of Canada’s agricultural products. Agricultural goods such as wheat, pork, canola oil and frozen vegetables are some of the province’s top exports, along with agricultural machinery, buses, pharmaceuticals and energy products. Our province is also the largest aerospace manufacturing centre in Western Canada and the third largest in the country for exports.
Manitoban exporters also have the benefit of access to 16 trade agreements with more than 50 countries around the world, notably CUSMA (the Canada-United-States-Mexico Agreement, reinforcing economic ties within North America), CETA (the Canada-European Union Comprehensive Economic and Trade Agreement be-tween Canada and Europe) and CPTPP (the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, a free trade agreement between Canada and Australia, Brunei Darussalam, Chile, Japan, Malaysia, Mexico, Peru, New Zealand, Singapore and Vietnam).
The provincial government has pledged to focus a new trade strategy on attracting investment, increasing export of products or services abroad and increasing Manitoba’s overall presence on the global trade landscape. In October, the government announced $500,000 in new funding for export support programming to help small and medium-sized Manitoba companies begin exporting or enhance their exporting activities into new markets beyond the province.
We talked with three experts about initiatives to enhance trade, diversify export markets and foster economic growth while navigating the potential of protectionism.
MBiz asked each expert: What can you tell us about …
STRATEGIC INITIATIVES TO ENHANCE TRADE?
Jamie Moses, minister of Economic Development, Investment, Trade and Natural Resources: [his portfolio at the time of this interview; in mid-November Moses became minister of Business, Mining, Trade, and Job Creation]
Our government is constantly working to ensure our programs suit the needs of Manitoba companies looking to grow. The Export Support Program provides financial assistance to small and medium businesses to assist them with market expansion activities outside of Manitoba.
The Manitoba government is currently developing a comprehensive trade and investment strategy to maximize international relationships, create employment and bolster the economy. Our government will be hosting a series of roundtable discussions across the province to build this strategy alongside key partners.
The Premier’s Business and Jobs Council established the Subcommittee on Trade with the U.S., comprised of industry leaders. The subcommittee provides recommendations on strengthening Manitoba’s trade and investment relationship with the U.S., focusing on sup-porting Manitoba exporters and enhancing U.S. engagement.
André Brin, CEO, World Trade Centre Winnipeg:
We look forward to working with the province on a trade strategy, to helping inform that process and be part of those discussions. Part of our strategy is that we want businesses interested in trade or wanting to export to know about the World Trade Centre and how we can help.
The other piece is that we want to increase the trade expertise in Manitoba. We’re looking at partnering with and becoming a delivery partner for international trade training to help trade professionals increase their expertise and bring that value to their own company or a company they’re working for. That should help businesses and organizations understand the opportunities and challenges.
Alexandre Côté, regional director of the Trade Commissioner Service for Manitoba and Saskatchewan, Global Affairs Canada: In more than 160 cities worldwide, the Trade Commissioner Service (TCS) helps Canadian businesses of all sizes expand globally and succeed on the world stage. Our trade experts help businesses plan their global expansion, assess their potential for success in specific markets, connect with potential customers and partners and resolve business problems in foreign countries. In addition, we offer funding and support programs to help businesses and organizations pursue new opportunities abroad, connect with foreign partners and at-tract foreign investment.
We also organize trade missions, provide support and facilitate business-to-business meetings at trade events in Canada and overseas. We also offer tailored support to businesses owned by members of inclusive trade groups such as women, Indigenous Peoples, Black and other racialized entrepreneurs, members of 2SLGBTQI+ communities and youth.
HOW TO DIVERSIFY EXPORT MARKETS?
André Brin: There are two ways to diversify: diversifying which markets we go to and diversifying from a product standpoint, and they’re both interrelated. We have a diversified economy already. We have a competitive advantage in agriculture and manufacturing because of our location in transportation and logistics.
Our job is to assist companies in growing from a scale standpoint. As a supporting organization, we provide as much information and data as possible to help inform them when it comes time to decide. Due diligence is essential: understanding the product or service you have, what markets need this or don’t have this, and where you would have a competitive advantage. The more data we have, the more it will inform our decisions regarding markets and sectors.
Alexandre Côté: Over the past decade, Manitoba’s exports have grown steadily, driven by increasing global demand for its agricultural and agrifood products. Given the significance of international trade to the province, Manitoban companies need to leverage the support of the different agencies that manage the province’s economic development and international trade portfolio to succeed in global markets. In Manitoba, the TCS works closely with industry partners to identify synergies and fos-ter collaboration, benefiting the province’s economy. Our goal is to enhance efficiency and prevent duplication of efforts. Promoting a Team Manitoba and Team Canada approach is key.
With Canada’s implementation of the Indo-Pacific Strategy, Manitoban companies have a significant opportunity to explore and enter new markets, particularly given the expected growth in the region. The region’s economic dynamism and population growth are driving demand for sectors where Canada and Manitoba excel.
Jamie Moses: Manitoba’s domestic exports went to 161 countries in 2023, which showcases the diversity of the province’s export markets. While a significant percentage of goods were exported to the U.S., the data highlights the opportunities for expanding exports in other foreign mar-kets, especially in the Indo-Pacific region.
By prioritizing trade missions to the region, we are developing these connections for further growth. In April 2024, Manitoba participated in the Team Canada trade missions to Japan and South Korea. The province also attended the Global Affairs Canada Roadshow to Tokyo, Japan, in October 2023 and Mexico in June 2024. As we continue to focus on growth, we remain committed to expanding new opportunities that benefit the Manitoba economy.
FOSTERING ECONOMIC DEVELOPMENT THROUGH TRADE?
Alexandre Côté: We recognize that trade is not “one size fits all.” Global Affairs Canada actively supports groups traditionally under-represented in trade to fully participate and take advantage of opportunities in international trade.
This support includes ensuring that trade agreements reflect their needs, offering customized programs through the TCS and working across government to develop evidence-based policies and programs.
Economic reconciliation is key to fostering economic development in Manitoba. This involves ensuring that Indigenous communities have equitable access to economic development opportunities, the ability to generate long-term revenue, govern resource usage and fully participate in Canada’s domestic and international economy. The top priority for economic reconciliation is further investment in infrastructure within Indigenous communities, as closing the infrastructure gap is essential for economic development.
Additionally, the TCS has undertaken initiatives to enhance Manitoba and Canada’s ability to attract foreign direct investment. Initiatives like this offer numerous advantages to our businesses and give them a competitive edge in international markets.
Jamie Moses: The province is taking a proactive approach to fostering economic development through trade and investment. Our province’s continual support for CentrePort, our economic trade hub and the largest tri-modal inland port in North America, will help it continue to serve as an essential hub for various cargo operations.
Additionally, Manitoba’s investments in the Port of Churchill increase opportunity to link these trade zones and continue expanding global supply chain activities. There is so much potential in linking Manitoba to global trade markets. Right in the heart of the continent, Manitoba is an ideal place for companies engaged in global supply chain activities.
We are developing a comprehensive trade and investment strategy to address challenges impacting Manitoba businesses and improve competitiveness. The strategy will enable Manitoba to expand its international relationships, seize new commercial opportunities and build on its competitive advantages, all while creating good jobs and boosting the economy.
André Brin: We want to be collaborative and an outstanding partner. We have access to a global network. The World Trade Centre Winnipeg is one of 316 World Trade Centers in 88 countries. We can leverage that network for exporting trade and potentially in other areas, whether foreign investment attraction, talent attraction or tourism.
For instance, next year’s World Trade Center Association global business forum is in Marseille, France, in April 2025. We will have a Manitoba delegation there, and we’ll be able to leverage our access to the World Trade Center network to create opportunities and connections for businesses that want to export or are looking to France and Europe and others as partners. We want to continue activating that network and those types of opportunities to make sure people understand that this work is accessible and available to our entire ecosystem.
THE POTENTIAL IMPACT OF U.S. PROTECTIONISM ON MANITOBA BUSINESSES?
Jamie Moses: The United States accounts for 75.8 per cent of Manitoba’s domestic exports. We continue to leverage our connections in the U.S. to reinforce the importance of Manitoba and Canada as a partner to counter the trend towards protectionism. Trade protectionist actions in the U.S. such as Buy America, voluntary country-of-origin labelling and the Softwood Lumber Agreement continue to be irritants and run contrary to building strong trade relations.
Manitoba will continue to focus on reinforcing our relationship with the U.S. and positioning Manitoba as a key economic partner. We also continue to work with key stakeholders in the agriculture and pork industries to continue advocating for the hardworking producers in Manitoba. A recent trade mission to Washington, D.C., sought to strengthen the trade and investment ties with this important market.
André Brin: It’s something that everyone needs to follow and consider. Protectionism is not only in the U.S.; other markets are also like that. Canada is the fourth largest importer from the U.S., so they need our business. It’s cheaper to get their product and services to us because we’re geographically close, and we’re close from a cultural standpoint. With the U.S., from a political stand-point, diplomatic channels have to continue being nurtured.
From a Manitoba standpoint, we have states that are right along the border, states that know us more and probably need us more. So we need to nurture those relationships. In addition to the border states, we need to consider those U.S. states along the trade corridor and along that railway to Mexico and nurture those relationships.
Alexandre Côté: Manitoba maintains strong trade relations with the U.S. Manitoba supplies states like Wisconsin with hydroelectric power through multi-billion-dollar arrangements, is home to critical minerals vital to U.S. economic sectors and hosts numerous U.S. companies in agriculture, aerospace, mining and manufacturing.
However, if the U.S. were to adopt increasingly protectionist policies, Manitoban businesses could face significant challenges. Such policies might include tariffs, import quotas or other non-tariff trade barriers to reduce market access.
These barriers could create market uncertainty, leading to supply chain disruptions, job market issues, reduced demand and investment uncertainty, all of which pose threats to Manitoban companies operating in the U.S.
Canada maintains diplomatic missions across the U.S. to ensure its voice is heard and employs trade policy analysts in Ottawa to understand and help address the impacts of trade decisions. It is essential to recognize that no two nations are more interdependent for their mutual prosperity and economic security than the United States and Canada. The U.S. needs Manitoba! ■
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