Tab 6 - ACOA Business missions

Last Revised: February 1, 2024

ISSUE: ACOA’s Measures to Support Market Diversification and Supply Chain Development

RESPONSE

• The ability of local companies to export their products and services to markets outside of Atlantic Canada and Canada is essential to their growth and their ability to identify new supply chain opportunities.
• Business missions are an important part of short-term market engagement and can include participation in trade missions and/or other international events.
• Since 2015, ACOA has funded 273 business missions, in over 20 countries, for a total commitment value of almost $42 million. The sectors for these missions include, Aerospace and Defence, Energy Innovation (includes clean tech, oil &gas and green energy), Ocean Technologies, Food and Beverage, Seafood, Biosciences, Information and Communication Technologies, Infrastructure and Mining.
• The United States remains the region’s dominant export market, representing 70 % of total export sales in 2022.

BACKGROUND

The ability of local companies to export their products and services to markets outside of Atlantic Canada and Canada is essential to their growth and survival. For many, diversification to other markets outside of the US is also essential as is their ability to identify new supply chain opportunities. Knowing how to access new or grow in existing markets is even more important today as global and economic disruptions increase – including geopolitical conflicts, labour shortages and the net-zero imperative, all of which have underscored the vulnerability of global supply chains and trade ecosystems. In addition, the region’s high concentration of resource-based industries (agriculture and agri-foods; fishing and seafood; mining, oil and gas; refined petroleum; and forestry), coupled with its small internal market, make it particularly vulnerable to these shocks.

Business missions are an important part of short-term market engagement and can include participation in trade missions and/or other international events. Business missions can be incoming or outgoing and can be done in person or virtually as well as being varied in focus with some specific to a sector, market or business theme.

Since 2015, ACOA has supported business mission projects in sectors such as Aerospace and Defence, Energy Innovation (includes clean tech, oil & gas, and green energy), Ocean Technologies, Food and Beverage, Seafood, Biosciences, Information and Communication Technologies, Infrastructure and Mining. Projects supported also included FDI, market development and capacity-building and multi-sector business missions.

The United States remains the region’s dominant export market, representing 70% of total export sales in 2022, down from 76% in 2016 as exporters seek opportunities in other countries. It is expected that companies will become more aware of the opportunities present in other countries with whom Canada has existing and pending free trade agreements and by trade missions that are taking place in strategic high-growth global markets such as the Indo-Pacific region. Since 2015, business trade missions have been supported by ACOA in over 20 countries.

Examples of ACOA’s recent and upcoming supported business missions include but are not limited to:

• Energy - The Smart Grid Innovation Network led a mission of 10 Atlantic Canadian companies and energy sector stakeholders with a total of 12 delegates to the ENLIT Europe Conference and Trade Show in Frankfurt, November 29-December 2, 2022.
• Seafood - The Lobster Council of Canada held export cafes in Taipei, Taiwan, Ho Chi Minh City, Vietnam and Bangkok, Thailand from February 20-28, 2023. Early mission results indicated just over $2.7M in short-term sales and $13M for sales expected in the long-term.
• ICT – Venn Innovation led two fintech related events - Money2020 an in-person event held October 24-27, 2021, in Las Vegas and Fintech Meetup a virtual trade mission held from March 22-24, 2022. Nine companies registered for the Money 2020 component and Fintech Meetup had 6 companies register for the event. Early results indicated that there had been one signed commercial agreement, one strategic partnership confirmed, one partnership agreement in negotiation, another in discussion and two firms each reporting $500,000 in potential sales.

Upcoming Events

Ocean Technology - The Ocean Technology Council of Nova Scotia will develop and implement a range of activities to support up to 24 Atlantic Canadian ocean technology companies as they enter or expand into the Asian market. Activities include Kormarine in South Korea for 2024 (6 companies), Oceans Singapore in April 2024 (10 companies), and a mission to Korea and Japan in October 2024 (8 companies).

Launch Export Atlantic Accelerator’s Educational Trade Mission– Nova Scotia Association of Community Business Development Corporations will lead a pan-Atlantic education mission to Atlanta in May of 2024 that will include pre-mission and educational sessions on doing business in the US, consular services, IP protection, sales strategies, etc., business to business meetings with Canadian government and business organization in market, site tours (incubation, accelerators, research centres, etc.) and follow-up with matchmaker.

Mining – Mining Industry NL will lead Atlantic trade mission for up to 30 companies to the Association of Mineral Exploration Mining Roundup (AME) in Vancouver (January 2024) and the Prospectors and Developers of Canada (PDAC) Convention in Toronto (March 2024).  Project activities include planning and leading an Atlantic Canada Day investment promotion and networking event at PDAC; an Atlantic Canada Networking event at AME Vancouver and an SME supply chain export support program at PDAC.

Since 2015, ACOA has funded 273 business missions for a total commitment value of almost $42 million, 90 of these business missions were funded through ATIGA.

PREPARATION AND APPROVALS

Prepared by: Darlene Boone, IBD Officer, ACOA HO, 902-217-3858
Sector contact: Faith McIntyre, Director General, Programs, 902-940-1417
Sector approval: Daryell Nowlan, Vice-President, Policy, Programs and Communications, 506-851-3805