Historically, after World War two there has been a shift in the Canada’s Economy Structure and its importance of industries from agriculture during the early settlement years in the 19th- century to the manufacturing industry in the 20th century to the service industry today. Canada is famous as a trading nation. Their stable and growing economy is what allows Canadians to maintain a high living standard. Canada is counted among the top 10 economies of the world along with France, Russia, the United States, Germany, the United Kingdom, Italy, and Japan.
Agreeing to the international rules of trade policy is not only the major step by the Canada’s Economy Structure, but the sealing of the North American Free Trade Agreement (NAFTA) has also been a major step by the Canada’s Economy Structure. Tariffs were introduced on agricultural products, economic growth was affected due to changes in international trade patterns. Let’s look at some of the important industries and their role in shaping the Canada’s Economy Structure.
Most of the cropland of Canada is situated in the Prairie Provinces, as it has adequate rainfall and summer days to provide healthy grain yields. British Columbia and southern Ontario have the most variety of crops along with good yield.
The agriculture industry is very important for the Canadian economy. The industry’s goods include large volumes of food grains for the people of Canada as well as for exporting to other countries, being a part of the global-economy in accordance with the trade deal between the two countries. It even provides raw materials for processing and manufacturing other goods for the retail sales and wholesale industries.
Different types of farming practices are adopted in different parts of Canada. The Prairies grow grain, wheat, oilseeds like canola, and graze cattle. Central and eastern parts of Canada are involved in the growth of many cash crops and livestock. South-Western Ontario is famous for the production of white beans, maize, and soybeans. British Columbia is known for the growth of various vegetables as well as fruits.
Much of Canada’s land is forest cover. This means that forest resources provide raw materials for industries such as lumber, pulp and paper. The West coast is found to be good for the growth of the lumbar due to its climatic conditions.
A large part of the exported goods of Canada is forest resources combined with the products of the fishing and mining industries. Canada leads in pulp and paper exports. It also exports lumber to its bordering nation, the United States. The province of British Columbia, Ontario, as well as the province of Quebec, are famous for their forest resources.
The fishing grounds of Canada are along the coast of the Atlantic ocean as well as the Pacific ocean. Fishing banks are also famous shallow fish hunting grounds. Plankton’s are found in abundance due to the presence of optimum levels of sunlight making these shallow water bodies rich in fish. Such fishing banks can be found in Newfoundland and Labrador.
Native people near fishing grounds depend on the catch for food. However, the overall domestic consumption of food is small enabling Canada to be one of the largest exporters of fish in the world trade. Some important fish caught in the eastern waters include redfish, pollock, flounder, sole, herring, mackerel, tuna, cod, and lobster. Salmon and herring are more famously found near the Pacific coast.
Canada has many mineral reserves and deposits in large rocks collectively called the Canadian Shield. Western Cordillera and the Appalachian mountains are famous for minerals that are metallic in nature. Western parts of Canada are more famous for their coal and petroleum reserves.
Mining for these makes up for a large part of the Canadian GDP. Many areas have seen the building of roads and railways for the transportation of these mineral resources. Canada leads in the mining of uranium, zinc, nickel, potash as well as asbestos, sulphur, cadmium, and titanium. Canada also is one of the major production centres of iron ore, coal, petroleum as well as gold, copper, silver, lead, and many ferroalloys. The Northwestern territories are also known for diamond mining.
Canada experts on much of the mineral production. Mining-related industries also provide jobs for a large portion of the population.
Canada produces a large amount of hydroelectricity. Coal-fueled thermal energy, as well as nuclear energy, are also used to provide electricity to the Canadian citizens and the surplus is exported facilitating global trade. Petroleum demands are met by domestic extraction of petroleum and excess of natural gas and electricity is exported. Oil and gas producing fields are locations in Alberta and uranium and crude oil and coal deposits can sometimes be found in sands.
Manufacturing Industry contributes greatly to the GDP and employs a large number of people. Canada has a modern and efficient iron and steel industry. These produce steel products for manufacturing more durable goods like household appliances, mining equipment and vehicles.
Small manufacturing industries are located throughout the country but they are more concentrated in Quebec City, Windsor, Ontario Detroit and Michigan. The manufacturing industry has seen significant growth. Small manufacturers have also benefited from the free trade agreements.
The finance industry has been flexible in responding to the changes in the global economic trends. The banking system is largely controlled by the federal government of Canada. Stock exchange centres are concentrated in Montreal, the city of Toronto as well as Winnipeg. The Centre Exchange was formed by the combination of the Alberta and Vancouver stock exchange.
Recently, the Canadian dollar, the Loonie, took the economy by a storm when it reached the highest rate, even beating the United States. dollar by a margin. This proves the strength and stability of the Canadian economy. This was mainly supported by the high employment rates of the country but also influenced by various factors. In light of the event, economists pointed out that Canada’s Economy Structure has a very stable and steady growth rate and it will only grow further.
Trade is an indispensable part of the Canadian economy. Canada provided fish, fur, grain, and timber to the global markets in the past. Export of processed, fabricated, and manufactured goods have increased over the years. Now, important exports include automobile parts, machinery and mining equipment, high-tech products, metals that are fabricated, and forestry products, including wood pulp and newsprint.
Canada has also been the primary importer of manufactured goods. These include automobiles and automobile parts and industrial machinery. Some remarkable imports are petroleum, textiles, chemical products, and foods include tropical and subtropical fruits, nuts and vegetables in the winter season..
Even though China’s trade is dominating multilateral trade, Canada maintains strong relationships with other trade giants of the world such as the United States, European Union, the United Kingdom, Mexico, Japan, South Korea, and Germany.
The service industry employs a large part of the population. Tourism is fast growing in Canada. Visitors come from all over the world.
The tourism industry makes indispensable contributions to the GDP. Tourists spend many billion dollars on transportation, accommodations, food as well as recreation and entertainment when they travel in Canada. Business services have also grown significantly, especially in computer applications.
Labour and taxation.
In the year of 1956, the Canadian Labour Congress (CLC) was instituted. It is a national organization of independent trade unions and it represents many of the unionists. The Federal government gives revenue to provinces as well as territories to fund services such as healthcare and education. Subsidies are also provided.
An efficient transportation system was the need of the hour due to the ground economy of Canada. With the development of the manufacturing industry came the need for transportation of primary and secondary goods. Canada now has a well-interconnected network of roads, railways, airways, and waterways.
Virtually every household in Canada has a phone. This led to the fast-paced growth of the Information Technology sector of Canada, particularly in the Ottawa valley, often and famously known as the Silicon Valley. Telecommunication commerce is regulated by their federal telecommunications commission. The country is also globally known for the use of fibre optics.
Canada and China
The two countries namely Canada and China shared a bilateral relationship for a long time. They both have an interest in making the bilateral economic relationship strong through increased two-way trade in goods and services, investment, and cultural exchanges.
Both the Canadian and Chinese economies have stood strong in the face of the global financial crisis leading to the understanding of the benefits of deepening trade and investment ties between the two countries.
Trade barriers have been removed by World Trade Organization. Trade between countries, including the trade of intellectual property, trade in services, commodities, trade surplus, leads to International economic and trade partnerships and relations. Trade negotiations, trade wars, foreign trade, regional trade, and regional trade agreements, international trade issues and negotiation, International free trade, bilateral-trade, preferential trade, free trade areas and treaties, pacts of the trading system leads to trade liberalization, economic partnership, protections, shaping of the trade law, freer trade and globalization of the world economy.
A stable economy along with universal healthcare and quality education are the reasons why millions across the globe immigrate to Canada. You can also live in Canada as a temporary foreign resident or a foreign national with a student visa, tourist visa, travel visa, business visa, work visa, investor visa, immigration visa, or spouse visa. Find out the visa requirements, visa services available, types of visas, how to apply, and if you need a visa.
Apart from citizenship and immigration to Canada, you can also gain permanent residency in Canada through various programs such as the Express Entry Program and the Provincial Nominee Programs designed by the Canadian Government. So do not delay any longer. Find out what pathway is best for you from your Immigration consultant according to the Canadian Immigration Law, and grab the chance to visit Canada today!