Issue
Alberta’s economy is heavily reliant on international trade, yet global economic shifts, emerging markets, and increasing competition have underscored the need to strengthen the province’s trade presence and investment attraction strategies. Without enhanced support for exporters and targeted international missions, Alberta risks losing its competitive edge in global markets, leading to missed opportunities for economic growth, diversification, and job creation.
Background
Alberta’s economic prosperity is deeply intertwined with its ability to compete effectively in the global market. In 2022, the province’s international exports totaled approximately $130 billion, with critical sectors such as energy, agriculture, and technology driving this growth. These industries not only bolster Alberta’s economy but also position it as a vital player in Canada’s overall trade portfolio. Alberta’s international exports are measured in terms of their value in Canadian dollars. As a result, changes in the price of commodities like crude oil and wheat can cause large swings in the data, and last year’s results are no exception. At $175 billion, total merchandise exports in 2023 were the second highest on record and 27% higher than two years earlier in 2021. However, due to softer prices, the annual tally was 15% lower than in 2022, when it hit a record high of $205 billion.
Recommendations
That the Government of Alberta:
- Expand export support programs by increasing funding for market intelligence, export training, and financial assistance for small and medium-sized enterprises (SMEs). Modernize a centralized online portal to provide new exporters with guidance and resources.
- Enhance international trade missions by targeting emerging markets in Asia, South America, and Africa, focusing on clean energy, agri-tech, and digital innovation.
- Attract more foreign investment by offering incentives in renewable energy and advanced manufacturing.
