2008-2009 Resolution: Manitoba – Canada’s Gateway To Global Trade

Preamble: Manitoba’s social and economic development has always been linked to trade, transportation and distribution;

Trade accounts for 64% of Manitoba’s GDP and sustains over 200,000 trade related jobs; Winnipeg, the Capital Region and Manitoba’s prominent central geographic location within North America enable Manitoba to be Canada’s national east-west transportation and trade hub, the eastern hub of a Western Canada Transportation System (WCTS), the northern gateway for the Mid-Continent Trade Corridor and a port of entry for polar transportation link through the Port of Churchill.

Winnipeg, the Capital Region and Manitoba have other clear advantages – well-established, in place and mature multi-modal transportation assets – rail, air, marine and road. This infrastructure provides a tremendous base of multi-modal and logistics capabilities as a critically strategic trade and transportation location for Canada.

Resolution: That the government of Manitoba embrace fully the principles of the Mayor’s Trade Council Report and the Manitoba International Gateway Strategy (MIGS) and immediately enlist public and private sector leaders to accomplish development of a Strategy to position Manitoba to become Canada’s Gateway to Global Trade.

Resolution Report:

MCC Advocacy(additions since last report are in italics):

 May 21, 2008: An MCC ‘Inside the Chamber’ Web Story entitled “IT HAPPENED AT THE AGM: PART 3 – MCC Announces Resolutions For 2008-2009″ provided access to each and every Resolution passed at the AGM. Notice of this story was circulated through the MCC e-Omnibus which is sent to all MCC members, Media and Government.

May 21, 2008: An MCC ‘Inside the Chamber’ Web Story entitled “IT HAPPENED AT THE AGM: PART 8 – Chair of Mayor’s Trade Council Addresses MCC” reproduced the speech of Chris Lorenc, Chair of the Winnipeg Mayor’s Trade Council and President of the Manitoba Heavy Construction Association, which explained the importance of this Resolution. The web article also reproduced the Resolution.  Notice of this story was circulated through the MCC e-Omnibus which is sent to all MCC members, Media and Government.

June 4, 2008: For the first time ever the MCC made available its handbook on ‘Policies & Resolutions’ which contains Resolutions in one handy format. An MCC ‘Inside the Chamber’ Web Story entitled “MCC Releases Policy Handbook” announced this initiative. Notice of this story was circulated through the MCC e-Omnibus which is sent to all MCC members, Media and Government.

June 6, 2008: Resolution books were sent to every MLA and every Member of Parliament that hails from Manitoba. The following had this Resolution specifically drawn to their attention with a detailed letter setting out the background to this issue, Government initiatives (where applicable), and an argument for the Resolution:

  • Premier
  • Minister of Infrastructure & Transportation
  • Minister of Competitiveness, Training & Trade

June 10, 2008: The Premier and the Premier’s Economic Advisory Council (PEAC) support the ideas set in this Resolution and accordingly have set up a committee of key stakeholders to discuss cooperation and action. The MCC is part of that Committee which held its first meeting on this date. There was indeed considerable consensus and a subcommittee was created to determine the next steps to make this vision a reality.

August 7, 2008: Attended a sub-committee meeting of the Inland Port Committee.

August 18, 2008: Attended a meeting of the Inland Port Committee.

September 2, 2008: Attended a meeting of the Inland Port Committee.

September 10, 2008: Attended the media conference announcing CentrePort.

September 20, 2008: Posted a video of the media conference on MCC TV.

September 26, 2008: Notice of the MCCTV feature was circulated through the MCC e-Omnibus which is sent to all MCC members, Media and Government.

September 29, 2008: The MCC participated in a meeting of the steering committee for CentrePort and Michael Fine, International Trade and DFAIT Representative, whose responsibilities include the Asia-Pacific Gateway Projects, inland ports and global economic centres.  He talked about the trend towards third-party-logistics, an arrangement where businesses are utilizing partnerships to enhance their supply chains. For example, computer companies are not only using UPS to deliver their computers, UPS has set up a computer repair centre and will actually address any problems the computers have rather than shipping them back to the original computer company. CentrePort will need to keep an eye out for these potential entities/partnerships.  

September 30, 2008: The MCC participated in a meeting with the Assiniboia Chamber of Commerce, Diane Gray from the Manitoba Government, and Barry Rempel of the Winnipeg Airports Authority. The Assiniboia Chamber has been instrumental in this issue, for example, they presented a Resolution to the MCC AGM in relation to it, and it was productive to share ideas and develop a commitment to continue to work together on the next steps.       

October 2, 2008: Wrote to the sponsoring chambering in relation to this matter.

October 20, 2008: The 2008 third quarter edition of the Focus mentioned this Resolution in its report on the MCC AGM. As well, a guest column by Art DeFehr, President and CEO of Palliser Furniture Ltd.; Co-Chair of the Manitoba International Gateway Council; and Strategic Advisor for the Asia-Pacific Gateway and Corridor Initiative, discussed this issue. The Focus magazine goes out to 10,000 businesses and community leaders across Manitoba.

November 6, 2008: Wrote to the provincial government supporting the PTH 75 Reconstruction and Rehabilitation Project that the Department of Infrastructure and Transportation was submitting to the federal government for consideration as a priority for funding under the Gateways and Border Crossings Fund.

As the Minister of Infrastructure and Transportation advised in a letter to the MCC:

The proposed PTH 75 Reconstruction and Rehabilitation Project is comprised of improvements to seven sections of PTH 75 to improve the efficiency and safety of traffic served; and to facilitate the role of PTH 75 as a vital connector between the Emerson border point and the Winnipeg gateway for international trade flows. ….In total, the proposed improvements encompass 57% of the length of PTH 75.

The overall project will improve traffic safety, capacity and efficiency, enhance trade flows and support Manitoba’s International Gateway Strategy that is designed to integrate road, rail, air, and marine and inland port resources to position Manitoba and Winnipeg as a competitive multi-modal international distribution gateway to the global economy.

February 26, 2009: This Resolution was featured in the MCC’s Pre-Budget submission to the Government of Manitoba. The submission was posted on the MCC website and was circulated through the MCC e-Omnibus which is sent to all MCC members, Media and Government.

 Developments (additions since last report are in italics):

August 14, 2008: The Minister of Infrastructure and Transportation wrote to the MCC on this issue, stating as follows:

Manitoba is in complete agreement with the Chambers on the principle of the ‘Gateway to Global Trade’ resolution. Just a few weeks ago, under our Manitoba International Gateway Strategy (MIGS), Premier Doer personally called upon the business community to partner with the Province in the development of the inland port concept. This innovative facility would build on our exiting transportation strengths and infrastructure to further establish Manitoba as Canada’s major global trade and distribution hub.  

….

I appreciate the tremendous working relationship that exists between my Department and the Manitoba Chambers of Commerce. The valuable input of your members gives us an important insight into the concerns, ideas and aspirations of Manitoba communities that are often crucial in many aspects of our activities. I look forward to having an opportunity to discuss these issues with you in the near future and invite you to contact my office at your convenience to schedule a meeting.

September 10, 2008: A News Release from the Government of Manitoba entitled “Province Introduces Legislation Which Would Create Inland Port Corporation” included the following:

The Manitoba government has introduced legislation that would create CentrePort Canada, a private-sector focused corporation that would develop and promote Manitoba’s inland port and would build on the province’s well-established network of air, rail, sea and trucking route, Premier Gary Doer said today.

….  

The CentrePort Canada Act would:

  • establish CentrePort Canada Inc., a non-share capital corporation with a mandate to operate Manitoba’s inland port, attract and co-ordinate business investment in the inland port area and market the port;
  • designate 20,000 acres of land in the vicinity of the James Armstrong Richardson International Airport for the inland port to serve as a transportation, trade, manufacturing, distribution, warehousing and logistics centre;
  • support the fast-tracking of investment and economic development decisions based upon a single, comprehensive transportation, infrastructure and land-use plan for the inland port area;
  • mandate CentrePort Canada to develop a business plan and a budget for self-sustaining operations;
  • establish the governance of the corporation, which would feature a 15-member board nominated primarily from the private sector;
  • develop the inland port area in consultation with landowners, nearby community members as well as port users; and
  • protect the 24-hour operation of the Richardson International Airport.

….

Transportation and Infrastructure Minister Ron Lemieux, who introduced the bill, said work is already underway on a number of initiatives that support Manitoba’s inland port including:

  • Provincial legislation was recently introduced to allow tax increment financing to be used to support development of the inland port.
  • $85 million in federal-provincial funding was announced last week for improvements to PTH 75, Manitoba’s key trade route to the south. PTH 75 supported $14.4 billion in Canada-U.S. trade last year via the Emerson Border crossing, the busiest on the prairies.
  • $68 million in federal-provincial funding for the partial twinning of PR 221/Inkster Boulevard, a route that is central to the inland port and a priority for the business community.
  • The Richardson International Airport is undergoing further expansion. The airport is the only unrestricted, 24-hour airport on the prairies and supports Canada’s largest collection of air cargo handlers.
  • $68 million for upgrades to the Hudson Bay rail line and the port of Churchill including $48 million from the federal and provincial governments and $20 million from the Hudson Bay Rail Company.
  • $55 million in federal-provincial funding for an interchange and rail grade separation where the two Asia Pacific Corridors meet in Manitoba, at the junction of the Trans-Canada Highway and PTH 16.

The 20,000 acres of the inland port are within the City of Winnipeg and the rural municipality of Rosser and lie south and east of the Perimeter Highway, west of Route 90, Oak Point Highway and King Edward Street, and north of Silver Avenue, Sturgeon Road and Saskatchewan Avenue.

September 11, 2008: The Winnipeg Free Press included a column entitled “Heart of the Continent: Election offers opportunity to push inland port” by Chris Lorenc, president of the Manitoba Heavy Construction Association and chairman of the Mayor Katz’s trade council.

September 17, 2008: The Winnipeg Sun featured a column by Chuck Davidson, WCC Vice President of Policy and Communications, entitled “Huge chance for ‘Peg Inland port would bring growth, investment, jobs”.

September 19, 2008: The Winnipeg Chamber of Commerce and Province of Manitoba today announced $80,000 for a private sector-led initiative to identify and attract new business investment to Manitoba’s inland port.

The goal of the chamber’s new Business Call program will be to seek out and act on the expertise of local CEOs who work in organizations or are connected to industries most likely to be interested in locating to the province’s inland port.

Business Call will connect with Manitoba business leaders to identify and pursue viable prospects for new investment, business relocation and business expansion, both on a local and international level. It will also gather industry information that will help inform future decisions. The program is receiving $50,000 from the province and $30,000 from the chamber.

The news release accompanying the announcement also reiterated the advantages of Manitoba’s inland port:

  • The James Armstrong Richardson International Airport, which is undergoing further expansion, operates unrestricted 24 hours a day and is first in Canada in the number of dedicated cargo freighters operating through it.
  • The border crossing south of Winnipeg at Emerson is the top-ranked border crossing on the prairies, processing $14.4 billion in trade traffic annually. This key trade route to the United States and Mexico is being upgraded with $85 million in federal-provincial funding for PTH 75.
  • Winnipeg is the only location between the west coast and central Ontario where the key lines of Canada’s two major railways, CN and CPR, intersect. Both railways maintain extensive intermodal yards in Winnipeg. CN, CPR and Burlington Northern Santa Fe Railroad provide direct access to southern markets.
  • Manitoba has the only deep-sea port in mid-Canada, the port of Churchill, located at the northern tip of the mid-continent trade corridor, which runs south to the U.S. and Mexico. Manitoba is also linked to the Asia Pacific Gateway via Prince Rupert to the west and through Thunder Bay to the east.
  • The province has introduced legislation to allow tax increment financing to be used to support development of the inland port.

September 25, 2008: A Winnipeg Free Press article by Martin Cash entitled “Turning an idea into reality: Customers needed for inland port success” drew attention to this issue.

September 26, 2008: The Minister of Competitiveness, Training and Trade wrote to the Manitoba Chambers. The Minister’s remarks included the following:

CentrePort Canada will leverage Manitobans’ existing transport assets and capabilities, and will bring new investments in transportation infrastructure, manufacturing and distribution facilities. Some of these investments are well underway and include: the new terminal and improvements to the Richardson International Airport, significant new updates to road and rail infrastructure, as well as expansions for Greyhound Canada and a new state-of-the-art postal facility.

We are thankful to the Chambers and Manitoba’s business community, and other community leaders for being part of the effort to build Manitoba’s inland port. We look forward to continuing to implement our shared vision to fully realize the promise of these investments.

November 1 to 7, 2008: The MCC participated in a mission to China that also included the Premiers of Canada as well as other private sector representatives. One focus of the mission will be selling the province’s new inland port, CentrePort Canada, to Chinese businesses and investors. 

December 22, 2008: The first-ever board of directors for CentrePort Canada Inc. was announced. CentrePort Canada is a private-sector focused corporation that will operate and market Manitoba’s inland port as well as attract and co-ordinate business investment.

Created in October by provincial legislation, CentrePort Canada’s inaugural board members are Kerry Hawkins (chair), Art Mauro (vice-chair), Maureen Prendiville, David Fung, Chris Lorenc, Gord Peters, Joan Hardy, Don Streuber, Bob Silver, Tom Payne, Barry Rempel, Robert Ziegler, Eugene Kostyra and Ryan Craig.

The MCC was one of the originations asked to nominate an appointee to the Board. 

January 27, 2009: The Minister of Infrastructure and Transportation participated in the MCC Speaker Series and made CentrePort the focus of his comments.   

January 27, 2009: The Federal Budget specifically mentioned CentrePort as an infrastructure priority. The Budget elaborated as follows:

Given current economic circumstances, Canadian governments are actively looking at ways to accelerate the roll-out of anticipated infrastructure projects. Governments have worked together and successfully identified a number of major projects that can be expedited over the next two construction seasons. Funding for those projects will come from the Building Canada Fund. Projects cost-shared with provincial and territorial governments…

 Current Status (additions since last report are in italics):

January 28, 2009: The MCC will post on its website the PowerPoint of the Minster’s January 27, 2009 presentation on CentrePort. The MCC will continue to work with the Inland Port Committee and support this project. As well, the progress on Provincial Highway 6 (see Resolution entitled “Linking Manitoba Regions for Continued Growth”) helps the concept of an Inland Port. Finally, the MCC has been invited to work with Destination Winnipeg on the 2009 Connect USA/Canada Economic Summit, an event that will help forge important links for CentrePort.

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