Industry feeds Ontario’s economy

Sept. 17, 2012,
Cambridge, Ont. – The Alliance of Ontario Food Processors released
their Economic Impact Report, showing a five-year increase in the value of the
sector’s goods. 

In a time when traditional Ontario manufacturing industries
are facing decline, a new report released by the Alliance of Ontario Food
Processors (AOFP) and completed by the independent firm of MNP LLP, details
food and beverage processing sales of $39 billion in 2010, representing an
annual rate of increase of 2 per cent per year since 2005. 

In a comparative analysis with the “motor vehicle
manufacturing” and “electrical equipment, appliance, and component
manufacturing,” from 2005 to 2010, the food and beverage processing sector’s
value of shipments increased while the other sectors saw significant
decline. 

“The food and beverage processing industry has not only
survived, but thrived, during the economic downturn of the last several years,”
said Craig Richardson, president of AOFP in a news release.  “Ontario has
long looked to the automotive industry to fuel the provincial economy, but it
is clear that food and beverage processing is the economic engine that drives
it.”

The food and beverage processing sector employs over 126,000
Ontarians. With close to 3000 establishments across the province, in both rural
and urban communities, its impact touches every corner of the province. The
overall economic contribution to Ontario is estimated at $67 billion
annually. 

“Ontario’s food sector has been a lynchpin of the Ontario
and Canadian economy,” said Michael McCain, president and CEO of Maple Leaf
Foods and member of Ontario’s Jobs and Prosperity Council in a news release.
“The tremendous growth of our industry has set the precedent for important new
investments that are fuelling jobs and innovation in Ontario and prominent
recognition on the world stage for delivering highly sought-after, delicious
products.”

Based on the results of this report, AOFP believes that
continued and increased investment from both the provincial and federal
governments will show solid return on investment for Ontario taxpayers. 
“Our industry has a proven track record of investment and growth,” said Steve
Peters, executive director of AOFP in a press statement.  “We will be
telling our story of success. This industry is far more than a little
engine that could.  It is the engine that can and does and will continue
to drive our economy.  We look forward to working with our government to
ensure that our sector and the province as a whole continues to thrive.”