Hello. Bonjour. Thank you, Ethel, for that kind introduction.
Welcome ladies and gentlemen, friends and honoured guests.
I am very pleased to be here with all of you today. I know my colleague, Minister of State for the Federal Economic Development Agency for Southern Ontario, Gary Goodyear, wished he could be here as well. As you know, FedDev Ontario as it's commonly known, works closely with many of you and does a lot of great work in support of rural communities and communities across southern Ontario.
I'd like to congratulate the Prescott−Russell Community Development Corporation, the United Counties of Prescott and Russell, the Eastern Ontario Training Board, and Groupe Convex Prescott−Russell for gathering such an enthusiastic and dedicated group of community, economic development and rural leaders. I know you have put together an exciting three-day agenda to discuss rural economic development, promising sectors, international business development and partnerships.
Of course, these are all topics that the Government of Canada and FedDev Ontario also have a keen interest in, and today I would like, to demonstrate some of FedDev Ontario's results thus far and to outline the programs and initiatives that are most relevant for all of you, on Minister Goodyear's behalf,
First, let me just start by saying that it's great to be back here at the Clarence−Rockland Arena. I was last here in February on behalf of Minister Goodyear to announce FedDev Ontario's renewal of the Economic Development Initiative, a key economic development initiative for official language minority communities under the Government of Canada's Roadmap for Canada's Official Languages 2013–2018.
This initiative will continue to strengthen innovation, entrepreneurship, partnerships, and diversification of economic activities in Francophone communities across southern Ontario.
I was also pleased to be here back in December 2010 when FedDev Ontario announced a $3-million contribution through the Community Adjustment Fund to build new facilities at the arena, including a community clubhouse which allows residents of Clarence–Rockland to enjoy events and sporting activities.
Ladies and gentlemen, these are just a few examples of how FedDev Ontario's programs and initiatives are geared towards creating economic growth and prosperity in rural communities, just like Rockland across, southern Ontario.
According to the Rural Ontario Institute, Ontario is home to 393 non-metropolitan communities.
The development of these communities is important to the overall economy of Ontario. In 2012, Ontario's rural communities contributed $106 billion in economic output, nearly 20 percent of the province's GDP.
Rural Ontario is home to a growing advanced manufacturing sector and an increasingly diversified retail sector. It is also has a significant share of Ontario's agri-food sector, which currently generates $34 billion in gross domestic product and sustains 740,000 jobs—that is about one in every nine jobs across the province.
And FedDev Ontario recognizes that within each of these sectors, small- and medium-sized enterprises and entrepreneurs play a crucial role in creating economic opportunities.
Yet, SMEs and entrepreneurs in rural and small municipalities in southern Ontario face unique economic challenges.
For example, we know that demographic changes due to an aging workforce and outward migration of youth, is making attracting and retaining skilled workers and investments a challenge for these businesses.
FedDev Ontario is doing its part and has several programs and initiatives tailored to helping rural communities.
They are delivered in collaboration with strategic partners, such as the Community Futures Development Corporations, or as I know many of you say—CFDCs, to ensure investments help SMEs and entrepreneurs in rural communities to access capital and business advisory services, so they can grow and create new jobs.
There are two relevant programs I'd like to mention.
The first is the Community Futures Program. In 2012−13, FedDev Ontario invested $11.3 million through this program. I can tell you that with this funding, CFDCs administered 724 new loans worth approximately $42.6 million, which created, expanded, or maintained 3,937 businesses and organizations in rural southern Ontario. In addition, the CFDCs play a critical role in developing the entrepreneurial and economic development capacity in their service area.
Throughout rural eastern Ontario, CFDCs also deliver the Eastern Ontario Development Program, or EODP, which is the second program I'd like to discuss. This program promotes economic development by supporting projects that will help create a diversified and competitive eastern Ontario regional economy with successful businesses and prosperous communities.
Since 2011, 2,019 EODP projects have been approved for funding representing a federal investment of $26.2 million. These projects have leveraged an additional $67.5 million, and I am pleased that the program has been extended for another five years.
So as you can see, FedDev Ontario is doing a lot to boost rural economic development in southern Ontario.
Since its creation in 2009, FedDev Ontario has committed more than $1.1 billion, resulting in partnerships with more than 5,300 organizations and over $1.5 billion in additional leveraged investments from almost exclusively non-government sources to support businesses, manufacturers, organizations and communities in southern Ontario.
Going forward, the Agency will build upon this foundation with its renewed five years of funding.
Ladies and gentlemen, the four new Southern Ontario Prosperity Initiatives represent a total of more than a half a billion dollars in available funding.
As you are aware, new businesses in Canada have a tough time raising adequate capital and accessing the expertise and connections of the investment community. To help address these issues, the Agency has re-launched the Investing in Business Innovation initiative.
Once a business is up and running, it needs support to take it to the next level. The Investing in Business Growth and Productivity initiative will help businesses to expand facilities, adopt new technologies and processes to improve productivity, and increase capacity to participate in global markets.
While Canada ranks high in innovation and scientific discovery, we are less effective in converting research, new ideas and technologies into products and services that fare well in commercial markets. The Investing in Commercialization Partnerships initiative will support business-led partnerships with post-secondary institutions and not-for-profit organizations focused on developing globally-competitive products and services.
And without stronger communities, it is difficult to attract opportunities for economic growth. The Investing in Regional Diversification initiative encourages not-for-profit organizations to collaborate with the private sector and community partners on projects that will help diversify their regional economies.
In addition to the four Southern Ontario Prosperity Initiatives, Minister Goodyear recently launched the Advanced Manufacturing Fund. A total of $200 million is available over the next five years across all of Ontario for projects that demonstrate product, process, and technological innovation.
The last FedDev Ontario service I'd like to tell you about is Canada Business Ontario. Many of you will already be aware that Canada Business Ontario provides free business information services, including market research, and helps organizations to navigate through suitable government programs.
Ladies and gentlemen, rural Ontario is varied and diverse, encompassing farmland, small towns, manufacturing hubs, natural resources, tourism destinations, social enterprises and a wide variety of small- and medium-sized businesses.
Thank you for the opportunity to discuss economic opportunities for rural Ontario and strategies for developing our rural communities.
This is a great forum for constructive dialogue and partnership development. The connections made here and the best practice sharing over the next three days will contribute to the strengthening of rural Ontario's economy.
I hope you all enjoy all that this week's Summit has to offer and encourage you to visit FedDev Ontario's website or stop by the booth to learn more about the Agency's programming I mentioned and speak to a Canada Business Ontario representative.
I would now like to introduce my colleague, Kevin Sorenson, Minister of State (Finance).
Thank you. Merci.
