Tb the Honourable HENRY P. BELL-IRVING, D.S.O., O.B.E., ED. Lieutenant-Governor of British Columbia MAY IT PLEASE YOUR HONOUR: I beg to submit the Report of the Ministry of Economic Development for the" fiscal year ended March 31, 1978. DON PHILLIPS Minister of Economic Development. To the Honourable DON PHILLIPS, Minister of Economic Development, Victoria, British Columbia SIR: I have the honour to submit herewith the Report of the Ministry of Economic Development for the fiscal year ended March 31, 1978. A. L. PEEL Deputy Minister of TABLE OF CONTENTS Page No. 1. BUSINESS & INDUSTRIAL DEVELOPMENT BRANCH 3 TRADE AND INDUSTRY DIVISION 4 SMALL BUSINESS ASSISTANCE DIVISION 8 INDUSTRIAL LOCATIONS DIVISION 10 2. POLICY PLANNING AND RESEARCH BRANCH 11 POLICY PLANNING DIVISION 12 ECONOMIC ANALYSIS DIVISION 13 FINANCIAL ANALYSIS AND PROGRAM IMPLEMENTATION DIVISION IS SPECIAL PROJECTS DIVISION 17 CENTRAL STATISTICS BUREAU 18 TRADE AND TARIFF ANALYSIS UNIT 19 WOMEN'S ECONOMIC RIGHTS DIVISION 3. EUROPEAN ECONOMIC ADVISER 4. GRANTS 20 21 22 5. STAFF COMPLEMENT 23 6. ORGANIZATION CHART 23 7. PUBLICATIONS 25 Left to Mr. Fred Spoke, General Manager of the 1 Vancouver, Economic Development Ministt Phillips and the Right Honourable Roy Jt President of the Commission of Ew Communities seen together during a tour Vancouver Harbour fac 1 BUSINESS AND INDUSTRIAL DEVELOPMENT BRANCH Objective The objective of the BUSINESS AND INDUSTRIAL DEVELOPMENT BRANCH is to promote strength, growth and diversity in the B.C. business community through the development of new export markets, the addition of new investment and new industries, the expansion of existing operations and the servicing of small business. The Branch is composed of three Divisions: Trade and Industry; Small Business Assistance, and Industrial Locations Division. t* TRADE AND INDUSTRY DIVISION Objective The TRADE AND INDUSTRY DIVISION has the capability to pursue two major objectives: to increase the production and export of British Columbia goods and services and to attract and encourage new investment into the province, In order to accomplish these objectives the Division completed a number of specific projects that included trade missions, trade shows, industrial development seminars and a series of export assistance programs. In addition, officers of the Division visited 2,000 companies throughout the Province and held 1,800 interviews in the Vancouver office with business people seeking advice and help. During the year the Division handled in excess of 1,000 incoming telephone calls per month. Export Assistance Programs The Division is responsible for the implementation of four programs designed to assist individual British Columbia manufacturers explore new export markets. During the year, 166 B.C. companies took advantage of the Market Development, Incoming Buyers, and Trade Show Assistance programs. In addition, approximately 100 British Columbia companies participated in the Trade Mission program. This year a total of 16 trade missions visited almost every major market in the world. The trade missions sponsored by the Ministry were as follows: Food Products Fishing and Marine Eguipment Construction Products Fabricated Metal Products Forestry Equipment Forest Products Construction Products Lumber/Manufactured Wood Products High Technology Equipment Miscellaneous Products Construction Equipment/Products Consulting Engineers Fish Products Forestry Equipment Construction Industries Fishing Equipment Trade Missions South East Asia South East Asia Middle East West Germany South East Asia Japan Korea Western Europe Australia Ottawa Central America Washington, DC Western Europe West Africa Middle East South America Trade Shows The Division's exhibit was on display at the Construction Equipment Show held at the Pacific National Exhibition in November 1977. The Division also participated in the following shows: Hostex Show in Toronto in June 1977 was a national exhibition aimed at the hotel and catering trade. This year marked the first time that a large contingent of B.C. manufacturers and suppliers exhibited together in a common display sponsored by the Ministry. Western Manufacturers' Opportunity Show was organized by the four western provinces to promote inter-regional trade between the manufacturers of industrial materials and components. Seventeen B.C. companies attended the Edmonton Show in September 1977. World Fishing Exhibition was held in Halifax in August 1977. Nine B.C. manufacturers of commercial fishing boat equipment participated. In addition, Ministry personnel staffed an information booth where numerous enquiries were received concerning West Coast fish products and marine equipment. South East Asia Sawmill Show was held in Manila in November 1977. A British Columbia display featured photographs and information on 20 local firms involved in the design and manufacture of logging, sawmilling, plywood and waferboard equipment. Gift Shows were held in Seattle in August 1977 and Toronto in February 1978. A total of 30 British Columbia giftware manufacturers attended the Shows, exhibiting such products as high quality jade and ivory sculptures. Seattle Book Show. In September 1977 a one day exhibit of B.C. published books was jointly sponsored by the Ministry of Economic Development and the Seattle office of the Canadian Consulate. Twenty-two B.C. publishers were the only exhibitors in this mini-show, which drew over 150 buyers from the U.S. Pacific Northwest. Apparel Shows held in Toronto in March 1977 and Montreal in February 1978 drew 12 British Columbia participants from the fashion industry. On display were a wide range of styles from leisure suits and sportswear to the latest in business and formal suits for both men and women. Business Development Seminars Trade: Over 1,000 company representatives attended a series of trade-oriented seminars co-sponsored by the Ministry of Economic Development and the Federal Department of Industry, Trade and Commerce. These seminars, which were part of Enterprise Canada 77, were held in Vancouver, Victoria, Kelowna, Kamloops, Trail and Prince Rupert, Opportunities for trading in Latin America, the European Economic Community, Japan and the U.S. were among the subjects included for discussion, Business Development: A series of seminars on Investment Opportunities in British Columbia were held during the year in Toronto, Phoenix, Los Angeles, San Francisco, Seattle and Portland. More than 350 companies attended these seminars. Offset Projects: The Division has been active in maximizing British Columbia participation in offset agreements negotiated between Canada and the suppliers of Leopard Tanks, Long Range Patrol Aircraft and new Fighter Aircraft. "Offset" refers to the concept where in order to offset major purchases made outside Canada, foreign suppliers agree to purchase their other company requirements in Canada, To promote this concept, a series of opportunity briefings were held for B.C. industries. Representatives from such companies as Northrop, Lockheed, and Krauss-Maffei were on hand to identify the types of Canadian goods and services they could purchase to satisfy the production requirements of their own manufacturing activities and those of their sub-contractors. Special Projects Pacific Rim Specialist: During 1977 the Ministry's Pacific Rim Specialist met with over 300 British Columbia companies either to tell them about specific opportunities in the Pacific Rim Market or to identify how he could help them sell their products in those markets. Six solo visits were major capital projects with business opportunities for British Columbia companies. He was also associated with three Ministry trade missions into the area. Alaska Highway Pipeline Project: In September 1977 Canada and the U.S. formally signed an agreement to build the northern natural gas pipeline. In order to identify key opportunities for B.C. suppliers the Ministry hired a special consultant to be "our man on the pipeline". The consultant will also assist B.C. companies understand the procurement procedures of the pipeline companies, and their requirements for goods and services. Results The Ministry's support to British Columbia exporters resulted in $90 million of increased exports during 1977; the equivalent of 2,500 jobs. Some of the successful export contracts included: • Homexpo Canada Ltd. (a consortium of B.C. pre-fabricated housing manufacturers) sold $25 million worth of pre-fabricated housing into Saudi Arabia. • Seaboard Lumber Sales Co. Ltd, sold plywood to West Germany valued at $1 million. The sale was a direct result of the Leopard Tank Offset Program, • Sales of B.C. kiln dried SPF (spruce, pine, fir) lumber valued at $10 million were concluded with the Middle East. • Sales of British Columbia food and other consumer products in Australia are now worth $10 million per year. • As a result of two years development work undertaken by the Division, sales of winter herring have been concluded with Western European Markets. It is estimated that these sales could reach $25 million per year. SMALL BUSINESS ASSISTANCE DIVISION Objective The role of the SMALL BUSINESS ASSISTANCE DIVISION is to improve the stability and assist in the orderly startup and development of individual small businesses and thereby strengthen the small business sector of the community. Management Development Through the support and promotion of small business training and education, seminars/ workshops, speaking engagements, and counselling, the Division is striving to increase the knowledge and develop the skills of small business owners and managers throughout the Province, Emphasis is directed to the practical rather than the theoretical aspects of business operation. Seminar/workshop subjects covered advertising and business promotion, sales forecasting and cash flow, financing and the availability of government assistance programs. For example, the cash flow seminar explains to business people how to estimate the amount of money that will have to be borrowed to finance day to day operations. During 1977 the Division conducted and participated in 34 seminar/workshops which attracted 770 participants comprised of actual or aspiring business people. Business advisers also spoke at secondary schools, colleges, business associations, trade conferences and other business and education functions. The Small Business Education Subsidization Program helped defray the costs of 87 business courses and assisted in the advertising and promotion of 293 others. Business Development Business advisers work with owner/operators counselling in the startup, expansion and operation of individual business enterprises. They diagnose, analyze, and solve small business problems and advise on marketing and financing. Working out of the Division's headquarters in the Ministry's Vancouver office, the business advisers responded in 1977 to some 4,500 requests for assistance and replied to a similar number of general business information enquiries. Information Services Business information is made available through publication of appropriate business aids, bulletins and newsletters. Advisers direct business people to other sources of information if appropriate. Community Calls Visits are made to communities throughout the Province on a regular basis working with chartered banks, the Federal Business Development Bank, government agencies, ^GareRMAingfMCp Chambers of Commerce, and individual businesses. These visits, which are known as "transfers of office", are designed to provide a counselling service for businesses outside the immediate Vancouver area. In 1977, 65 such visits were made to 38 communities. This represented 364 calls outside of the Lower Mainland and Southern Vancouver Island. Technical Assistance Twenty-five B.C. companies were assisted by the Ministry's Technical Assistance Program to hire outside consultants to carry out research and studies for business improvement. The Ministry also used a portion of the technical assistance funds to conduct studies or support the activities of nine particular industry sectors. As an example the craft industry was surveyed, research done and the resulting information included in the Ministry's new Crafts Directory. The directory is being made available to crafts people throughout the Province. Assistance to Small Enterprise Program Since the program's inception in November 1977, until March 31, 1978, over 1,000 general enquiries were received. This in turn generated 118 specific applications for financial assistance. From these applications 33 small manufacturing or processing companies have had loans approved to assist them in purchasing manufacturing equipment, to erect or buy buildings or to carry out leasehold improvements. The total amount of loans made was $623,000 with the average size of loan being $18,880. The staff of the INDUSTRIAL LOCATIONS DIVISION provides guidance and assistance to Regional Districts and local governments throughout the Province, helping them improve the climate for the business and industrial development within their jurisdiction. Assistance is also provided in coordinating these development projects with provincial government ministries and agencies. In July 1977 the Industrial Development Subsidiary Agreement (IDSA) was signed between the Province of British Columbia and the Federal Government, One section of this agreement provides for Regional Districts, outside Victoria and the Lower Mainland, to take further responsibility for the economic development of the region and apply for financial assistance in setting up an office for an Economic Development Commissioner. During the latter part of 1977 meetings were held with Regional Districts, business and industrial development groups and local government representatives to explain the program and give guidance in submitting applications for funding. Communication has also been maintained with a large number of communities through a program designed to help communities organize and improve their own economic well being. This program ranges from documenting detailed information on industrial facilities in the community, to coordinating their plans with government ministries and agencies, and guidance, discussions and negotiations with potential industrial developers. In all cases, the objective is to improve lines of communication, coordinate activities, and cut government red tape. Other important activities involved participating actively with other ministries or government agencies leading to recommendations affecting policy and legislative changes related to community development. 2 POLICY PLANNING AND RESEARCH BRANCH Objective The objective of the POLICY PLANNING AND RESEARCH BRANCH is to coordinate overall policy development, undertake economic and financial analysis and collect and tabulate statistical data. In this role the Branch formulates economic development strategies for the government, and helps coordinate the activities of other ministries and agencies in matters affecting the economic development of the province. The Branch is composed of seven Divisions: Policy Planning, Economic Analysis, Financial Analysis and Program Implementation, Special Projects, Central Statistics Bureau, Trade and Tariff Analysis Unit and Women's Economic Rights. Economic Development Minister Don Phillips, Mel Smith, Deputy Minister in the Premier's Office, Dr. Jim Rae, Assistant Deputy Minister of Economic Development and Premier Bill Bennett during the First Ministers' Conference in Ottawa. POLICY PLANNING DIVISION Objective The objective of the POLICY PLANNING DIVISION is to develop an overall economic strategy, or policy framework, for the Province. Within the overall policy framework the Division develops and evaluates alternative substrategies for major policy areas, specific policy proposals and investment projects appropriate to the economic development of British Columbia. The Operation of the Division The staff of the Policy Planning Division serve as project managers for the required policy work. The Division utilizes the expertise of other Divisions and Ministries in addition to providing guidance on policy development priorities consistent with the economic strategy and objectives. Since the Division's role is primarily advisory, there is heavy emphasis on preparing clear, understandable presentations to Cabinet on alternative strategies and policies. Policy advice is normally based on frequent complex technical studies and considerable effort is required to ensure that the options put forward are readily understood by decision-makers. Main Policy Areas Federal/Provincial Policy Issues — The Division coordinated the preparation of the documents "Towards an Economic Strategy for Canada" tabled by Premier Bennett at the First Ministers' Conference in February 1978. Work continues toward the development of British Columbia positions on a broad range of national policy issues and on means of ensuring that the Province's views are incorporated in the framing of such policies. Positions developed on federal government policies are based on analysis regarding the kinds of measures, falling within federal jurisdiction, that are required to support the Province's own economic strategy and objectives. Industry Strategy — Part of the Division's work on economic strategy is devoted to the development of an industrial strategy for the Province. This work requires considerable coordination of work with Divisions such as Trade and Tariff Analysis. It is essentially concerned with identifying and priorizing industrial development opportunities and adjustments likely to arise as a result of changing domestic and international market conditions, domestic and international policy changes, and emerging economic circumstances within British Columbia. Sector Policies — The Division also undertook policy developmental work specific to certain sectors of the British Columbia economy. Policy analysis covered such areas as the Government's role in the funding and provision of roads primarily constructed to access resources; pipeline policy; energy policy; and evaluation of policies and approaches to the development of various natural resources sectors. Prominent among sectors where considerable policy advice was generated were coal development and the forest sector. With regard to coal, extensive analysis was undertaken on developmental alternatives in both the northeastern and southeastern parts of the Province. Studies dealt with evaluation of the coal resource, market analysis, transportation and infrastructural alternatives. In terms of the forest sector, the Division participated on the British Columbia Forest Policy Advisory Committee in its review of forest policy and the disposition of timber rights in the Province. Primary Divisional responsibility was to analyze the financial and economic impacts of the recommendations contained in the Pearse Royal Commission Report and the new forestry legislation Related policies such as the taxation of private forest land and the British Columbia Logging Tax were also analyzed. ECONOMIC ANALYSIS DIVISION Objective The objective of the ECONOMIC ANALYSIS DIVISION is to analyze, interpret and record the sectoral, regional and international forces affecting the provincial economy. The assessment and understanding of the provincial economy requires an intimate appreciation of its parts. These include not only the major resource and industrial sectors that form the backbone of the economy but also the system of regional economies contained in British Columbia and the role of international and interprovincial trade. These various parts, sectoral, regional and international are analyzed individually, then assembled to form an economic blueprint. s*£" ■ ■ 1 m > /J* * Activities Improvement in the economic performance of the Province is a major objective of the government. The Economic Analysis Division is seeking to contribute to this aim through constant analysis and study of certain key aspects of the economy. These include: productivity, cost competitiveness of industry, problems of the economy, past and present economic performance, long term development prospects, unemployment and provincial taxation. From these and other economic activities the Province's economic development strategy can be kept current, relevant and dynamic. During the year the market potential (foreign and domestic) for a wide range of commodities was explored, using both statistical and survey approaches. A variety of economic studies were underway or completed by the Division in 1977. These included an econometric modeling of the British Columbia energy sector, an analysis of the Province's strategy with respect to the Alcan Pipeline, non-ferrous metal market analyses, land use studies, the Regional Index of British Columbia, taxation and land tenure studies. Background Papers/Briefing Notes During 1977 the Division prepared a number of background papers and briefing notes for ministers and government officials. They included: • Premier's European Mission • Visit by Republic of Korea Ambassador Byung Ki Han • Visit by German Chancellor Helmut Schmidt • Visit by Roy Jenkins, European Economic Communities • B.C. Ministerial Mission to Japan and Korea FINANCIAL ANALYSIS AND PROGRAM IMPLEMENTATION DIVISION Objective The objective of the FINANCIAL ANALYSIS AND PROGRAM IMPLEMENTATION DIVISION is to perform analyses and provide information of a financial, accounting, and taxation nature in response to requests from government ministries and agencies. It also implements and coordinates inter-governmental and joint government- industry programs, particularly relating to financial management aspects. Activities Project Appraisal and Evaluation: The Division is responsible for financial appraisals of private and public sector project proposals so as to determine overall viability and impact; preparation of cash flow projections and financial implications of government initiatives; evaluation of projects, briefs, and requests from other ministries and agencies. Recent activity included capital and operating cost development and analyses for joint North-East coal proposals. Provision of Information of an Accounting, Financial and Economic Nature: The Division provides financial research and analysis as input in the preparation of Cabinet documents prepared at the Minister's request by virtue of his role as Chairman of the Cabinet committees responsible for Economic Development and Coal, Further, the Division provides advice and counsel on a broad range of financial, investment and taxation matters. Special Studies: Special studies of an accounting, taxation, or financial nature are undertaken by the Division, This year the Division, jointly with the Ministry of Consumer and Corporate Affairs, directed an intensive analysis of capital markets in British Columbia. Premier Bill Bennett, Prime Minister Pierre Trudeau and Justice Minister Ron Basford witness the signing of the Industrial Development Subsidiary Agreement on July 8, 1977 following a news conference in Vancouver. Looking on from left to right are - British Columbia Economic Development Minister Don Phillips, British Columbia Agriculture Minister Jim Hewitt, Federal Minister of Regional Economic Expansion Marcel Lessard and Minister of Program Development: The Division has a direct responsibility for the drafting and negotiation of proposed Federal- Provincial cost-sharing agreements under the terms of the General Development Agreement. These agreements involve not only the Ministry of Economic Development, but also the Ministry of Agriculture (Agriculture & Rural Development Sub-Agreement). During 1977 the Division was responsible for or assisted in the execution of the following agreements: • Industrial Development Sub-Agreement (IDSA) (Executed July 8, 1977.) — A $110 million joint B.C.-Canada Industrial Development Sub-Agreement which will encourage greater sectoral and spatial diversification of economic activity in the Province. • Agriculture and Rural Development Sub-Agreement (ARDSA) (Executed July 8, 1977.) — A $60 million joint B.C.-Canada program to promote more efficient and economic development of rural lands in the Province. • Special ARDA (Executed May 18, 1977.) — A DREE funded program to assist native people in rural areas. • Amendment to extend the N.E. Coal Sub-Agreement to 1980. Program Implementation: The Division is responsible for delivery of various industrial development and business assistance programs, and in 1977 these included: • Implementation of the Coal Planning Sub-Agreement (signed in January 1977, providing for the cost-sharing of studies related to North-East coal.) • Implementation of the Fort Nelson Sewer and Water Sub-Agreement (jointly with Department of Regional Economic Expansion.) • Budgeting and financial planning aspects of the Co-operative Overseas Market Development Program. (Sponsored jointly by Economic Development; the Department of Industry, Trade and Commerce; and the Council of Forest Industries of British Columbia.) • Representation of the Ministry on the Management Committee for the N.W. Rail Agreement, ARDSA, and Special ARDA. • Implementation of the IDSA program; jointly with the Business and Industrial Development Branch. • The Director also serves as the Provincial member of the Secretariat to the Federal- Provincial Industrial Development Committee for IDSA. Foreign Investment: The Foreign Investment Review Act, a Federal Statute, provides for the consultation of provinces likely to be affected by an investment proposal subject to review under the Act. The Division was responsible for review of foreign investment proposals, and for recommending to the Minister and Cabinet a provincial position which, once approved, is forwarded to the Federal Agency. During the year, 103 such cases were handled. In addition, the Division performed research on overall investment levels and requirements and closely monitored the Federal Agency to ensure that the Province's economic interests were respected. The Division also participated in investment seminars held in Los Angeles, San Francisco and Seattle. Over 160 American company representatives attended these seminars. SPECIAL PROJECTS DIVISION Objective The objective of the SPECIAL PROJECTS DIVISION is to plan, coordinate and direct Ministerial operations associated with special development projects in the mineral, forest and other natural resource fields; in resource processing; in manufacturing; and in related areas. It also provides close liaison with other branches in the Ministry, other government ministries, consultants and business organizations in order to develop concepts and coordinate activities to produce specific economic development objectives for British Columbia, In addition, the Division is responsible for the preparation of the Ministry's economic publications including the Monthly Bulletin of Business Activity, the Annual Review and Outlook, as well as other sectoral and regional publications. Activities • Conducted, along with the Financial Analysis Division, a two-phased analysis of capital markets in British Columbia and the financing of industrial development. • Commenced a joint study with Energy, Mines and Resources, Ottawa, of the feasibility of processing deep sea ocean nodules at a B.C. location. • Currently conducting a feasibility analysis of establishing a zinc smelter complex at a B.C. coastal location. • Completed Ocean Industry Study, designed to provide information for assessment of opportunities for development. • Director served as council member of the Canada West Foundation and participated in March conference to explore alternatives towards developing a more effective federal system for Canada. • Division co-ordinated metric conversion activities of the Ministry along with the Business and Industrial Development Branch. CENTRAL STATISTICS BUREAU Objective The objective of the CENTRAL STATISTICS BUREAU is to satisfy the requirements of govern ment, business, and the public for statistical information and forecasts on the economic and social characteristics of the Province and its regions, through the utilization of existing data sources and the development of new statistical programs. Also the Bureau accesses administrative data for statistical purposes, and provides technical statistical advice and services to government Ministries. Activities The British Columbia Statistics Act was proclaimed in late 1977 and creates within the Ministry a Bureau which will be able to compile and access data not previously available to Government. This activity can now be undertaken by the Bureau because of the confidentiality safeguards inherent in the Act. The Act also provides for access to data collected by Statistics Canada; enables the setting of standards for data quality; and provides for coordination of statistical activity of the government. The coordination of questionnaire mailing, for example, should help reduce duplication and red tape. The number and complexity of enquiries received by the Bureau increased from the previous year. In order to service this demand, increased utilization was made of computer systems for both retrieval and processing of data. The Bureau also continued to expand its inventory of data available in microfilm and published form. Through the use of personnel with expertise in theoretical and applied statistics, a relatively greater proportion of the Bureau's activities was directed to providing technical advice and consultation to users both within and outside the government. Special Projects • Continued to develop and update a set of economic accounts for British Columbia which provide detailed information on the structure of the provincial economy and major sectors. • Provided statistical material to government members and senior public servants for use in various federal-provincial conferences and meetings, including extensive data inputs to the provincial government group working on the National Economic Strategy. • Continued to develop and test various computer models for analysis and study of the potential for coal development in northeast British Columbia. • Developed a financial simulation model of the pulp and paper industry. • Developed an on-line, interactive computer system for the retrieval and assembly of 1976 Census data. • Examined financial and investment flows for the major sectors of the British Columbia economy. Undertook preliminary work on developing domestic sectors of the provincial financial flow accounts. • Prepared and updated forecasts of the British Columbia economy; laid the groundwork for developing a forecast model of the provincial economy. • Examined Crown land holdings for the possibility of developing an information base for potential industrial and commercial locations. • Developed a preliminary version of a composite leading indicator of the British Columbia economy. • Developed and compiled data on federal and provincial government spending, revenue, deficit, borrowing and debt. Federal-Provincial Liaison Extensive consultations were held with Statistics Canada, on a wide range of statistical topics including: census data, household statistics, administrative records, manufacturing and primary industries, merchandising, construction, prices, labor, transportation and communications, provincial accounts, and standards and classifications. TRADE AND TARIFF ANALYSIS UNIT The primary objective of the TRADE AND TARIFF ANALYSIS UNIT is to assess and to recommend Provincial commercial policy positions to foster the achievement of the Province's economic development objectives. Much of the Unit's immediate focus has been on the developments in the intermediate trade negotiations under the General Agreement on Tariffs and Trade (GATT). General and specific Provincial GATT policy positions have been formulated to ensure that British Columbia's interests are reflected in the Canadian GATT bargaining strategy. Concurrently, the unit has undertaken analysis of other Federal trade policies that adversely affect British Columbia consumer and producer interests. Prominent examples include the clothing and footwear quotas and the recent intervention by the British Columbia Government before the Anti-dumping Tribunal on Wide Flanged Steel on behalf of industrial users in the Province, esearch Program With the anticipated resolution of the negotiations at the July Summit of the major western countries in Bonn, the Unit has undertaken an evaluation of the likely impact of the trade barrier reductions on both British Columbia producers and consumers. A major element of this analysis is an appraisal of the inter-regional impact of the negotiated Canadian tariff reductions, and an assessment of Canada's success in obtaining export access. The purpose of this analysis is to identify export opportunities which will emerge over the next decade, to assess the impact of the evolving international commercial policy environment upon the cost- competitiveness of British Columbia industries, and to recommend policies which will promote industrial adaptation to exploit the potential gains from freer trade. Federal-Provincial GATT Consultations ig the past year the Unit has maintained a ;tant liaison with the Federal GATT negotia- ;. This has included detailing the specific ariff and non-tariff barrier reductions that the ■'rovince sees as necessary to conclude a successful negotiation. The Province has also defined Canadian trade barrier reductions that will assist competitive industrial production and will yield substantial consumer benefits. The Unit has continued to cooperate with dtoba in preparing a "Western" position on common trade policy requirements. Two documents were released at the recent Western Premiers' Conference at Yorkton, Saskatchewan. They are: 1, The Non-tariff Barrier Codes in the Multilateral Trade Negotiations; 2. Western Trade Objectives, Intensive negotiations on international codes to regulate non-tariff barriers to trade will continue in Geneva into the spring of 1979. The non-tariff barrier codes involve many issues under Provincial jurisdiction and are becoming increasingly important to achieving meaningful trade liberalization. It will be necessary to monitor the negotiations on international non-tariff barriers and to identify the implications for British Columbia. During 1977 the Unit became actively involved in appraising Canadian commercial policies outside the realm of GATT. The Province has intervened on behalf of its producer and consumer interests where Federal policies have been found to be contrary to British Columbia's interests. Prominent examples of this include the use of quotas on imports or voluntary export restrictions in the clothing and footwear sectors. The Unit is in the process of estimating the cost of these programs and is examining alternatives to this type of industry support which will facilitate longer-term adjustment. The Unit recently intervened on behalf of the Province's industrial consumers of wide flanged steel before the Anti-dumping Tribunal. The case was the first in which a provincial government had intervened. The British Columbia submission documented the traditional reliance upon offshore suppliers and indicated the disruption of normal regional trade patterns and loss of employment in British Columbia that would result from the imposition of dumping duties. The case served to focus attention on the potential negative impacts that the application of national commercial regulations have upon the diverse economic regions in Canada. As a result of British Columbia's representations, the Federal Government has granted some relief to the British Columbia wide flanged steel consumers by temporarily exempting the Province from the extra duties levied in other regions as a result of the Tribunal's decision. The temporary exemption is in effect pending final resolution of the whole issue. Objective The objective of the WOMEN'S ECONOMIC RIGHTS DIVISION is to examine, plan and recommend on all issues affecting the economic rights, economic development and socioeconomic status of women in British Columbia. The Division worked within the framework of this mandate to ensure that all economic development projects of the Ministry offered equivalent benefits to women and men. Staff from the" Division concentrated much of their attention on policy review and participation in policy making committees. Much of this work area involved review or development of terms of reference of development studies along with review of socio-economic impact of economic development on areas and communities, and identified target groups within those areas and communities. Division personnel participated in impact reviews of coal and pipeline development and were responsible for developing studies on Women in Mining and Labour Turnover and Community Stability. Activities Business Workshops — A series of business workshops co-sponsored by community groups or women's organizations was coordinated by the Division to provide information and guidance to women interested in starting a business of their own. Most of these workshops were held in the north of the Province to satisfy a growing demand from craftspeople attempting to make or making a full-time living from crafts, The Division also made available three papers entitled Making a Living from Crafts, A Market Handbook, and Bookkeeping for Craftspeople to further encourage the growth of crafts as a small business. Resource Centre — The Division served as a resource centre for many individuals and groups in British Columbia. It is estimated that over 200 requests for information and statistical data were processed in 1977. These requests encompassed requests for survey design assistance, acceptance and forwarding briefs from women's organizations, providing resource persons for workshops, putting together LEAP proposals, providing research material on employment outreach schemes for native Indians, providing assistance in planning a university outreach "Women in Management" course, as well as answering requests from many individual women in the Province. In 1977 Division staff attended conferences and participated in conference seminars dealing with Women and Economic Development, Canadian Research Institute for the Advancement of Women, Canada West Conference and the Canadian Institute of Planners biennial meeting. Federal/Provincial Co-operation — The Co-ordinator of the Division acted as a provincial delegate to a federal/provincial/territorial meeting on the status of women held in Ottawa in February 1978. The purpose of this meeting was to design and develop outlines for policy papers on such subjects as Women in the Development Process and Women in the Economy aimed at providing a base for both national and provincial action plans to promote equality of opportunity for Canadian people. EUROPEAN ECONOMIC ADVISER Objective In May 1977, Mr. Lance Howey was appointed to the position of European Economic Adviser to work out of British Columbia House, London. Mr. Howey's many years of experience in senior federal trade positions and as the person responsible for implementing the Canada-EEC Trade Agreement give him a unique background for this responsibility. His appointment reflects British Columbia's increasing involvement in international economic affairs. Mr, Howey has economic, industrial investment, and trade promotion responsibilities. The top priority of the EUROPEAN ECONOMIC ADVISER is to inform the Minister of Economic Development on the issues and progress in the GATT negotiations in Geneva and on economic and trade developments in the European Economic Community that may present opportunities for British Columbia. He also calls on European industrialists, bankers, and their trade associations to stimulate increased participation in British Columbia development. The current GATT negotiations involve many questions of provincial jurisdiction and concern which could have a major impact on business development in the Province, Mr. Howey has maintained regular and close contacts with Canada's negotiation team, our foreign trade representatives in Europe, the GATT Secretariat and others close to the negotiations to ensure that the British Columbia Government was well briefed on the issues as they developed. He also advised our negotiators and trade representatives of provincial priorities and the impact which decisions could have on the B.C. Economy. One of Mr. Howey's first tasks was the preparation for and European coordination of the Premier's Mission to Europe in the fall of 1977. The response of European business and government officials to this mission was excellent and Mr. Howey has been welcomed and encouraged in his follow-up calls on the many businessmen who met the Premier and his Ministers. The main areas of interest are participation in the development of our coal and mineral resources and the possibilities of joint ventures with Canadians in the production and servicing of the machinery, equipment and supplies used by our resource industries. Mr. Howey advised and assisted European officials in the planning of European Economic Community missions to Canada which included Mr. Roy Jenkins' successful visit to British Columbia in March, From his strategic vantage spot in London, Mr. Howey has been able to provide invaluable assistance and intelligence to the Trade and Industry Division in planning and conducting its European trade development activities. In some instances Mr, Howey accompanied provincial mission members on their visits to European trade fairs and markets. In carrying out his responsibility to promote trade, Mr. Howey alerted both the businessmen and government of British Columbia of developments in Europe which could have provided opportunities for new investments and increased trade between British Columbia and Europe. He also advised European business representatives on business and economic matters in British Columbia and Canada. The Ministry of Economic Development provided in its 1977/78 estimates for a number of grants and other financial contributions to support the following specific activities: Cooperative Overseas Market ■IsTZw rnOMUyTi 1 hnfClillllJ lis program, jointly financed by the Ministry, the Federal Department of Industry, Trade and Commerce, and the B.C. Council of Forest Industries, was established to promote the development of new overseas markets for B.C. lumber and plywood products. In spite of slack markets around the world the COMDP promotional and market development initiatives continued to make inroads into overseas markets; these activities were supported in part by the lower Canadian dollar. The Program continued to promote the Canadian Wood Frame Housing methods in Japan. The Research Council is a provincial institute located adjacent to the University of British Columbia, Vancouver. The Council works closely with industry and government and maintains cooperative relationships with other research facilities. The grant funded a number of projects during the year; for example it was used to establish a technical information service for use by industry and government. A portion of the grant funded an "action research" program, a problem-solving technique used successfully on one occasion to reduce labour turnover in areas removed from urban centres. The funds were also used to improve the Ocean Engineering Centre, a facility for testing models of ships and offshore structures. $30,00( The Ministry contributes a grant to this non-prom society whose broad objective is the representation and realization of Western Canada within Confederation. The Ministry has an elected representative to the Foundation, Several studies have been completed by the Foundation. One such study is called: Alternatives Towards the Development of an Effective Federal System for Canada. The Foundation also held a major conference on confederation in Banff in March 1978. unior Achievement $15,00C The Junior Achievement Program is des to introduce students to the workings of 1 enterprise. This grant is used to fund awards for students showing the most imagination and enterprise in their mini-business ventures. The grant is indicative of the Government's recognition of the important role played by the tganization. jj MINISTRY OF ECONOMIC DEVELOPMENT O STAFF COMPLEMENT Employed Vacancies Total March 31, 1977 87 27 114 March 31, 1978 103 41 144 DISTRIBUTION Victoria Minister's office 7 General Administration 22 Policy Planning and Research 78 Vancouver Business and Industrial Development 36 London 1 TOTAL 144 6 MINISTRY OF ECONOMIC DEVELOPMENT ORGANIZATION CHART MINISTER - EXECUTIVE ASSISTANT I B.C.D.C. H B.C. RAIL i i B.C. RESEARCH 1 DEPUTY MINISTER EUROPEAN ECONOMIC ADVISER' POLICY ADMINI 3TRATION BUSINES SAND PLANNING AND INDUSTRIAL ANDRE SEARCH INFORMATION DEVELC PMENT POL PLA ICY NNING ECON ANAL OMIC fSIS FINA ANAI MCIAL jYSIS :.-\h ANA FF LYSIS SPE PRC 3IAL JECTS CEN7 STATI BURE RAL STICS AU WOM ECON RICH! ENS OMIC S TRAE AND INDU E 3TRY SMAL BUSIN ASSISr L ESS fANCE INDUS LOCA1 DIVISI TRIAL IONS ON THHDE nnDinousTHv BULLETin Ministry of MtH) Cokmbto Economic Development ESTABLISHING A BUSINESS IN BRITISH COLUMBIA i,t*vltt\lH Vi tH.lSIAIM».VA.\t»«*:f.I'I_»TWI.V,» report 1976
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Report of the Ministry of Economic Develop;ment for the fiscal year ended March 31, 1978 British Columbia. Legislative Assembly [1982]
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Title | Report of the Ministry of Economic Develop;ment for the fiscal year ended March 31, 1978 |
Creator |
British Columbia. Legislative Assembly |
Publisher | Victoria, BC : Government Printer |
Date Issued | [1982] |
Genre |
Legislative proceedings |
Type |
Text |
FileFormat | application/pdf |
Language | English |
Identifier | J110.L5 S7 1979_V01_08_001_021 |
Collection |
Sessional Papers of the Province of British Columbia |
Source | Original Format: Legislative Assembly of British Columbia. Library. Sessional Papers of the Province of British Columbia |
Date Available | 2019-04-08 |
Provider | Vancouver: University of British Columbia Library |
Rights | Images provided for research and reference use only. For permission to publish, copy or otherwise distribute these images please contact the Legislative Library of British Columbia |
CatalogueRecord | http://resolve.library.ubc.ca/cgi-bin/catsearch?bid=1198198 |
DOI | 10.14288/1.0378777 |
AggregatedSourceRepository | CONTENTdm |
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