Canadian Plastics

Federal budget helps manufacturing, associations say

The release of a cautious new federal budget has drawn praise from some of Canada’s manufacturing associations.

March 22, 2013   Canadian Plastics

The release of a cautious new federal budget has drawn praise from some of Canada’s manufacturing associations.

From extending the capital cost allowance program through 2018 to unveiling research and commercialization and job creation grants, Canadian Manufacturers and Exporters (CME) president and CEO Jayson Myers heaped praise on the new budget, saying it “sends an important signal” for manufacturing firms across the country. “It positions manufacturing and exporting at the heart of Canada’s Economic Action Plan by focusing on practical steps that will enhance competitiveness, productivity, innovation and business growth,” Myers said in statement following the budget’s release.

While not new, the capital inputs program affords Canadian manufacturers $1.4 billion in tax relief on upgrades and equipment over the extension period. That program, coupled with $1.8 billion over six years for workforce training grants, $1 billion over five years for aerospace development, $200 million over five years for a new advanced manufacturing fund in Ontario and $92 million over two years for forestry innovation, could provide an estimated $4.5-billion in benefits for manufacturing and exporting firms in the coming years, according to CME.

“The budget recognizes the importance of manufacturing and exporting for each and every Canadian, as an anchor of high-value, high-paying jobs in all parts of the country and across all sectors of the economy,” Myers said.

The Canadian Association of Moldmakers (CAMM), meanwhile, was pleased to see the federal budget put a strong focus on skilled trades with the announcement of the Canada Jobs Grant, which aims to ease the growing shortage of skilled labor in Canada. The new grant could provide upwards of $15,000 per person to train workers, whether new or existing hires.

Employers would be required to provide funding under the program, as well as the province or territory, while the federal government would chip in up to $5,000. “Manufacturing and skilled trades are critical to the Canadian economy,” said David Palmer, chairman of Windsor, Ont.-based CAMM. “We welcome the government’s focus on attracting more young people and newcomers to the trades. By putting a strong focus on skilled trades training and development we hope to see more workers join our industry.”


Print this page

Related Stories

Leave a Reply

Your email address will not be published. Required fields are marked *

*