The Ontario Food Cluster advantage
for global trade and investment
April 2015
Ontario Food Cluster
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The Ontario Food Cluster is among the three largest
food and beverage processing jurisdictions in North
America – and is the largest in Canada
Ontario has a global reputation for food quality,
processing methods, and safety standards
The Ontario Food Cluster offers rapid access to trade
and investment opportunities throughout the
province’s agri-food and beverage sector
We guide business to the Ontario regions that provide
the best opportunities for agri-food success
Our job is to make your job easier
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Welcome to the Ontario Food Cluster
A two-hour flight from
most major U.S. cities
Zoom in on the Ontario Food Cluster
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Welcome to the Ontario Food Cluster
The Ontario Food Cluster
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Eleven regional, city and
community members
Three provincial and federal
government partners
Countless benefits to
locating a business in
Ontario
www.ontariofoodcluster.com
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Welcome to the Ontario Food Cluster
A compelling opportunity for the
global agri-food sector
• Due to the North American Free Trade Agreement
(NAFTA), Ontario enjoys access to over 460 million
consumers and a combined GDP of $18.7 trillion
across Canada, Mexico and the U.S.
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When CETA comes into force in 2016, almost 94
percent of EU agricultural tariff lines will be duty-free
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Manufacturing revenues from the Ontario agri-food
industry currently total $36.9 billion from 3,200
companies
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Welcome to the Ontario Food Cluster
Our people story – Ontario’s #1 employer
is the agriculture and agri-sector
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110,000 people in Ontario work directly in agri-food
processing, and the agriculture, agri-food and
beverage sector is one of Ontario’s top employers
with 740,000 jobs
• Researchers and innovators are at work in 55
university and college programs from 25 institutions
concentrating on agriculture, food science,
nutritional science and culinary arts
• Canada’s R&D tax incentive program is one of the
most generous in the world
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Welcome to the Ontario Food Cluster
Ontario is the largest provincial economy
in Canada – an aggressive trading nation
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More than $1.9 billion worth of
goods cross the Canada-US border
every day
Ontario has an export-oriented
business culture: agri-food exports
total $11.86 billion
Canada’s business operating costs
are second lowest in the G-7 and
five percent lower than those in the
U.S., according to KPMG
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Welcome to the Ontario Food Cluster
Ontario’s top agri-food exports
Top agri-food exports, Ontario 2014 ($ millions)
Baked goods (bread, pastry etc.)
Soya beans
Food preparations
Sweet biscuits
Sugar confectionary without cocoa
Pork cuts, fresh / chilled
Waffles and wafers
Mixes and doughs
957.0
861.4
382.7
350.0
326.1
320.9
305.0
292.7
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Welcome to the Ontario Food Cluster
Ontario is Canada’s “business province”
and has a strong entrepreneurial culture
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It takes only one procedure and five days to register a
company
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The combined federal-provincial statutory general
corporate income tax rate is an average of 26 percent,
well below comparable rates in most other G-7
countries and more than 13 percentage points below
the United States
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A 2013 KPMG study indicates that Canada’s corporate
income-tax rate has decreased more rapidly than that
of any other country
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Welcome to the Ontario Food Cluster
Canada has stellar economic
fundamentals and is a G7 leader
Soundness of banks
ranking by World
Economic Forum
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World’s soundest banking
system six years in a row
One of a handful of nations with
Triple-A credit rating
Tax credits can reduce after tax
cost of $100 in R&D spending
to less than $41
Among the lowest tax rates on
new business investment in G7
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Welcome to the Ontario Food Cluster
Zero-tariff approach to food processing
and manufacturing inputs attracts FDI
Inward FDI into Canadian
food processing industry
from Statistics Canada
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Tariff-free-zone for all
manufacturing inputs,
machinery and equipment
50% per year straight-line
depreciation for food
manufacturing and processing
equipment
Adds up to rapid profitability on
new Canadian operations and
steady increases in FDI
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Welcome to the Ontario Food Cluster
Ontario’s agri-food sector strategic
R&D and tax incentive programs
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Agriculture and Agri-Food Canada’s Growing Forward 2
program enhances the competitiveness of agri-food
sectors. A federal-provincial-territorial initiative, it is a $3
billion initiative provided between 2013 to 2018
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Investing in Business Innovation is a FedDev Ontario
initiative that boosts private sector investment in start-up
businesses to accelerate the development of new products,
processes and practices and brings them to market.
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See more government incentive programs at
www.ontariofoodcluster.com/incentives
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Welcome to the Ontario Food Cluster
Consider Ontario’s agri-food
R&D advantages
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Lowest costs in G7 for R&D intensive sectors, with up to a
10.7% advantage over the U.S.
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55 agri-food-specific university and college programs
Commitment to
labour force &
research expertise
from Common
University Data
Ontario
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Welcome to the Ontario Food Cluster
Dedicated agri-food research and labour
development institutes and networks
The Ontario Food Cluster fosters a collaborative, innovation
approach throughout the agri-food sector
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University of Guelph
University of Toronto
McMaster University (Hamilton)
Ryerson University
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Conestoga College, Institute of
Western University (London)
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Canadian Research Institute for Food Safety
Programs in Food Safety, Nutrition and
NSF International-Guelph Food Technology
Centre
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Greenhouse and Processing Crops
Research Centre (Essex County)
Laurier University (Brantford)
Soy 20/20
Centre for Nutritional Modeling
Regulatory Affairs
University of Waterloo
Food Processing Technology
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Food Institute
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Many more
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Welcome to the Ontario Food Cluster
Ontario offers excellent location
and attitude for doing global business
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Ontario Food Cluster communities are within a two
hour or less drive of the U.S. border
Recent multi-billion dollar investments in port, rail,
road and air transport offer supply chain efficiencies
One in five Canadians has a mother
tongue other than English or French
Asian and European languages spoken extensively
Canada leads the G7 for the administration of justice
and for offering equal opportunities to individuals
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Welcome to the Ontario Food Cluster
Ontario residents share in
Canada’s excellent quality of life
Number of entrepreneurs
as percentage of working
population from OECD
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Among highest number of
entrepreneurs in working
population
Clean air, water and land
Cultural diversity within a
tolerant society
Many recreation options
Publicly-funded healthcare
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Welcome to the Ontario Food Cluster
Fast-track immigration process
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Responsive to agri-food business expansion
Uncapped number of work permits available to
foreign workers
Fast, straightforward process for intra-company
transfers
Special programs to help
recruit R&D talent
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Welcome to the Ontario Food Cluster
Are you hungry yet?
The Ontario Food Cluster welcomes you!
Join 3,200 globally recognized agri-food companies including:
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General Mills Canada
H.J. Heinz Company of Canada Ltd.
Royal Canin Canada
Dr. Oetker Canada
Kraft Canada Inc.
George Weston Ltd.
Maple Leaf Foods
Kellogg Canada
Cargill Canada
Purdy Fisheries
Saputo Inc.
Unilever
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Dare Foods
McCain Foods
Parmalat Canada
Horizon Milling G.P.
Wing’s Food Products
Grissin Bon
Ferrero Canada Ltd. / Ltée
ConAgra Foods Inc.
Vincor Canada
Solis Mexican Foods Inc.
Clovermead Bees and Honey
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Welcome to the Ontario Food Cluster
Get to know us at:
www.ontariofoodcluster.com
• Greater Toronto
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• Southwestern Ontario
Marketing Alliance
City of Hamilton
City of London
Windsor-Essex
City of Guelph
City of Brantford
Sarnia-Lambton
County of Elgin
County of Middlesex
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Marketing Alliance (SOMA)
Ontario East Economic
Development
Ontario Ministry of
Agriculture, Food and
Rural Affairs
Dept of Foreign Affairs
Trade and Development
Agriculture and
Agri-Food Canada
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Welcome to the Ontario Food Cluster
The Ontario Food Cluster advantage
for global trade and investment
April 2015