NATIONAL SUPPLY CHAIN STRATEGY
LOCATION: National/TRAN
Issue/Source: Supply Chains
Date: January 10, 2023
Suggested Responses
- The Government of Canada has been working closely with industry and other supply chain partners to find solutions and ease congestion.
- The Government of Canada recognizes that measures taken to address supply chains must consider the important role of transportation. This is why we continue to make important strategic investments through the National Trade Corridors Fund (NTCF) to ease congestion and bottlenecks, while enhancing trade hubs and gateways to make it easier for Canadian businesses to get their products to consumers around the world.
- A National Supply Chain Task Force was created last year to provide recommendations on short and long-term actions to improve the fluidity and reliability of our supply chains. The Task Force’s Final Report was submitted to the Minister of Transport in October.
- The recent Fall Economic Statement highlighted immediate actions the Government of Canada will take that align with the Task Force’s findings. These include:
- Investing in critical transportation infrastructure;
- Launching a Supply Chains Regulatory Review;
- Modernizing cargo and clearance inspection practices;
- Exploring ways to bolster protection and remedies for shippers and service providers due to service disruptions; and
- Improving data reporting and monitoring.
- The Government remains committed to bringing forward a National Supply Chain Strategy. Further details are to be announced in Budget 2023.
IF PRESSED
Collaboration with Industry Partners
- The National Supply Chain Task Force undertook extensive consultations with industry, which informed its Final Report.
- Transport Canada recognizes the importance of ensuring the National Supply Chain Strategy supports other ongoing efforts. It is intended to complement measures the Government is already taking, including a series of roundtables and consultations, pandemic recovery, and collaborative efforts with the U.S. Supply Chain Disruptions Task Force.
Strategic Invesments
- Transport Canada will continue to invest in projects that reduce bottlenecks and capacity constraints to help strengthen our supply chains while building smarter and more resilient against our changing climate.
- The Department has also been investing in developing digital solutions for transportation infrastructure, and working with industry to find new ways to drive for efficiency and fluidity in our supply chains.
BACKGROUND INFORMATION
- The transportation sector is essential to the success of the Canadian economy. It serves as an integral component of supply chain flow that functions as the backbone of domestic and international trade.
- The National Trade Corridor Fund (NTCF) is helping to ease bottlenecks and congestion in Canada’s transportation system, while enhancing trade hubs and gateways so Canadian businesses can get their goods to consumers around the world. With the additional funding provided in Budget 2022, the program has been allocated more than $4.6 billion since its launch in 2017.
- Significant investments are being made under the NTCF, with $3.7 billion in funding for 182 projects across the country committed to date. It has also supported projects that both strengthen Canada's digital infrastructure and enhance the efficiency and reliability of our transportation supply chains.
- The National Supply Chain Task Force was co-Chaired by Louise Yako and Jean Gattuso. Its Final Report included potential actions that could be pursued, in the short- and long-term, to address both chronic and acute supply chain congestion and inefficiency issues. The Final Report will help inform the development of a National Supply Chain Strategy.
- The Fall Economic Statement (FES), issued in November 2022, provided an overview of actions taken to alleviate supply chain pressures, with an acknowledgement that more information will follow in Budget 2023 in the form of a National Supply Chain Strategy.
- Actions related to supply chains highlighted in the FES include:
- Moving forward with Budget 2022 commitments to invest in critical transportation infrastructure, support industry-driven digitization of supply chains, and make supply chains more competitive by continuing to cut unnecessary red tape;
- Launching a Supply Chains Regulatory Review to consider further regulatory changes that could improve the efficiency and resiliency of Canada’s supply chains;
- Modernizing cargo and clearance inspection practices;
- Streamlining operating policies and regulatory practices that impact the flow of goods through our international gateways;
- Exploring ways to bolster protection and remedies for shippers and service providers due to service disruptions; and,
- Improving data reporting and monitoring.