Helping Canadian Businesses Export Farther, Faster
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To educate interested stakeholders on the role of EDC and the activities it undertakes in promoting and facilitating international trade. • The role and mandate of EDC • How we support the private sector and facilitate trade • Recent activity and success • Future plans
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Helping Canadian Businesses Export Farther, Faster
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- 12. North America $60.8B (58.3%) Asia-Pacific $16.5B (15.8%) Europe $13.9B (13.3%) South / Central America $7.7B (7.4%) Africa / Middle East $5.2B (5%) % = percentage of EDC’s total business facilitated MOSCOW RUSSIA 17 OFFICES ACROSS CANADA MONTERREY MEXICO MEXICO CITY MEXICO BOGOTÁ COLOMBIA LIMA PERU SANTIAGO CHILE ISTANBUL TURKEY LONDON UNITED KINGDOM DÜSSELDORF GERMANY RIO DE JANEIRO BRAZIL SÃO PAULO BRAZIL JOHANNESBURG SOUTH AFRICA MUMBAI INDIA DUBAI UAE NEW DELHI INDIA SINGAPORE SHANGHAI CHINA BEIJING CHINA JAKARTA INDONESIA
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Notes de l'éditeur
- Canada is a nation built on trade. We were exporting fish and fur long before Confederation. The share of exporting in our economy has continued to rise steadily over the decades, and the rate of growth is expected to increase.
- Trade is vitally important to Canada’s economy, our living standards and the prosperity of our nation. In 2015, we facilitated $104 billion in business, contributing $66.6 billion to the GDP and supporting 530,839 jobs across Canada. It would be difficult to imagine a world without trade for most Canadians.
- And while trade has never been more important to the health of our economy, it will become even more significant in the years ahead. If we’re going to continue to prosper as a country, we’re going to have to continue to grow our exporting industry. And there is a lot of room for growth.
- Between 2001 and 2014, our exporting grew at less than half the rate of the global average. And with only 3.6% of our businesses currently exporting, we have a lot of work to do.
- Why don’t we export more? We have many exporting challenges to overcome that are unique to Canada. We are located near the United States, which is an advantage as it’s an extremely large market. However, the United States are also extremely competitive, and Canada must compete with virtually every other market in the world to do business there. We do well in the United States, but that business is hard won. Canada is also geographically isolated from every other market in the world, making trade with other international countries more difficult.
- Our businesses also have a general tendency to be risk averse and many lack confidence when it comes to building an exporting business. And finally, there are barriers to financing – exporting can be risky, and financial institutions tend to be very cautious about supporting some exporters.
- When we ask businesses why they don’t export, or why they don’t export more, the reasons they give us are generally concerned with the need for more market information, mitigating risks, making connections and financing. The good news is that EDC is here to help overcome all of these hurdles.
- EDC helps all businesses all over the country, both big and small, although we focus on small to medium enterprises. That includes businesses from different sectors of all industries.
- We support those businesses throughout the entire exporting journey. That includes helping businesses that are ready to export to start, and helping occasional and established exporters expand into new markets all over the world. Let’s take a closer look at just who EDC is, and how we support Canadian exporting.
- EDC was established with a mandate to support and develop Canada’s export trade. EDC is a Crown Corporation that is self-sustaining and operates based on commercial principles. In the last few years, we’ve paid over $1.5 billion in dividends to the Canadian government.
- EDC has offices and representatives located across Canada and around the world.
- There is an ecosystem of organizations that help exporters in Canada. They each have specific roles they play, and share others. EDC helps exporting businesses with insurance, bonding, investing in operations abroad and setting up affiliates. Along with the Trade Commission Service (TCS) they can also offer market knowledge, making connections with partners and prospects, and help guiding you through government programs. TCS also provides more in-depth market intelligence. Both BCD and EDC can help with financing and finding international contacts. BDC also provides marketing and business planning and consulting. The Canadian Commercial Corporation manages contracts with international governments, plus they provide general support such as export planning, financing and support going to market. EDC can help you get started and figure out which organization is best suited to your needs.
- We work in partnership with both public sector institutions and private sector financial institutions.
- Delivering value for our customers also involves carrying out business in a socially responsible manner. We believe that good business – adopting and embracing the principles of corporate social responsibility – is good for business.
- How does EDC help businesses export?
- Our products and services are aligned with the challenges that Canadian exporters face. They are designed to help exporters overcome hurdles, reduce risk and expand their global business.
- Our services include providing market knowledge, information on global country risks and making international connections with prospects and partners.
- Our products include a wide range of insurances, credit and bonding, and financing, including direct lending and buyer financing. These are available directly or in partnership with private financial institutions. We all work together.
- EDC has demonstrated consistent growth since we were established in 1944, and that growth continued in 2015. With $104 billion in facilitated business, we contributed $66.6 billion to our GDP.
- Today, we have about 7,300 customers supporting over 700,000 jobs, and we do business in 170 countries. As a self-sustaining organization, we earned a net income of $925 million in 2015. And in the 70 years since we first opened our doors, we’ve facilitated over one trillion dollars in business to Canada.
- EDC had a good year in 2015, but we have plans to do a lot more.
- We are developing new programs that we believe will increase both Canada’s exporting business and our revenues. That includes improving the overall customer experience with EDC, with more helpful information and services available before, during and after the sale. It also includes increasing accessibility through more online services that are available around the clock and across the country. Plus, we are increasing our overall awareness through enhanced marketing efforts to further build our customer base and attract more SMEs.
- Exporting continues to grow in importance both in Canada and around the world. Many new emerging markets such as those in Asia and Latin America are growing quickly, and the rate of technology and innovation has increased global trade exponentially.
- EDC has been the catalyst for Canada’s exporting for many years. And as the growth in exporting continues here and around the world, we are set to continue to expand and enhance this vital engine of our economy.