Montague, Prince Edward Island – Canada's recent Fall Economic Statement 2018 showed that the Government's plan is working: more Canadians are employed, wages are growing, and middle class Canadians have more money to save, invest and grow the economy. The Government of Canada knows that Canadian farmers and food processors are key drivers of the Canadian economy. The Statement is the next step in our plan, where we are supporting Canada's competitiveness so that Canadian agriculture and agri-food businesses can grow and create more good, middle class jobs.
Federal Agriculture and Agri-Food Minister, Lawrence MacAulay, was in Montague, Prince Edward Island, to highlight the Fall Economic Statement 2018, which provides an update to Canadians on investments and results already delivered by the Government, and lays out the next steps in the Government's plan to grow the economy by investing in middle class jobs.
In the Statement, there were a number of measures that will help Canada's agriculture and agri-food sectors grow, innovate and prosper. These measures include important tax and investment incentives that will drive business growth and increase the competitiveness of Canadian agriculture and agri-food businesses.
Under the new measures, manufacturers and food processors will be able to immediately write off the cost of capital investments like machinery or equipment – including clean technology. And under the new Accelerated Investment Incentive, manufacturers, food processors – and farmers – will be able to write off a larger portion of the depreciation in the year an investment is made. For purchases of buildings, machinery or equipment, the deduction in the first year is up to three times the amount under the previous rules.
The Statement includes a $25 million investment over the next five years to expand support for agriculture and food exporters. This investment includes $12 million over five years for Agriculture and Agri-Food Canada to access new markets for agriculture and agri-food exports as part of the implementation of an Export Diversification Strategy. An additional $11 million over five years is being provided to the Canadian Food Inspection Agency to support market access.
The Government of Canada is also investing an additional $13.6 million over three years to improve transportation data, which will support the movement of all goods, including agricultural products.
Broad measures will be undertaken as well to make sure Canada's regulations are as innovative and efficient as possible, helping businesses to stay on the competitive edge and grow.
In addition, to accelerate support for business innovation, the Government of Canada is providing a further $800 million over five years to the Strategic Innovation Fund, which will support innovative investments across the country in all economic sectors.
Source : Government of Canada