David Rosenberg: How the economy could capitalize on a “buy Canadians” craze

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At the same time, spending increased on things like alcoholic beverages and tobacco (4%) and equipment for sports, camping and outdoor recreation (5%). If you can’t go to the Caribbean, why not camp out or visit cottage country and bring your own booze?

Indeed, the demand for real estate in Canada chalets has increased over the summer, according to local realtors, in part due to the growth in the number of city dwellers working remotely as well as vacationers seeking accommodation. ‘a local alternative to international travel.

This change could potentially benefit boutique hotels in more off-the-beaten-path locations as well as spas, both of which are potential alternatives to long and expensive trips. August is the most popular travel month in Canada, so it will be worth revisiting the numbers in the fall (since the data is a few months behind) to see how these spending trends play out.

The second area that could benefit from support for local spending is agriculture.

In January, the Canadian government laid the groundwork for a Buy Canadian promotional campaign for agricultural products to be launched over the next five years. The campaign follows waves of protectionist trade action from the United States and provides $ 25 million to rename Agriculture Canada and the Canadian Food Inspection Agency (in addition to placing stickers on products manufactured in Canada to raise public awareness).

This is an area where import substitution is possible and where many Canadians have expressed an interest in shopping locally, due to trade actions on the one hand and concerns about global warming on the other. Agriculture, fishing and intermediate food products accounted for 2.7% of Canadian imports ($ 17.2 billion) in the first quarter of 2020 and, remember, this figure is subtracted from total GDP, so that replacing Canadian-made products with imports would also help increase GDP. .

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