Export Development Program (Core). Canada is a trading nation with extensive integration into global supply chains and many sectors of the economy are oriented toward export sales. British Columbia has a similar profile and has benefited from proximity to fast-growing Asian markets over the last decade. From 2001 to 2011 the share of BC commodity exports to the United States fell from 70% to 43% while China increased from 2% to 15% and South Korea from 2% to 8%. Japan increased slightly from 13% to 14%. Natural resources are the province’s main commodity exports, although the mix of products has shifted considerably in the last decade. Wood products declined from 32% to 17% of the total while coal increased from 5% to 22%. The Comox Valley is no longer a significant producer of natural resource commodities so export opportunities are more likely to be found in agrifood products (which have maintained 8% of provincial commodity exports in the last decade) or high- value services such as those produced by the growing number of independent technology workers in the Comox Valley who are employed remotely or as contractors for large companies elsewhere, including internationally. Encouraging Comox Valley companies to expand their sales into export markets creates economic benefits for not just the exporting company but more broadly in the regional economy. Exporting companies tend to have higher-value production, partly because accessing larger markets allows for economies of scale in production. It also allows companies to target niche markets with more specialized, higher-value products that would not find a sufficient market in the local area. (And as noted in Section 2.1, exporting companies have been shown to have higher labour productivity than non-exporting companies). By moving into higher-value production, exporting companies tend to invest more in machinery and equipment and productivity-boosting technologies and therefore require more skilled workers that are paid higher wages. Expansion of exporting is therefore an effective strategy for the Comox Valley to realize gains in average employment incomes. These positive economic outcomes can be realized by exporting within Canada and British Columbia, but the focus of most senior government programs to help companies are understandably focused on international exporting. Alignment with Regional Plans RGS Goal 3: Achieve a sustainable, resilient and dynamic local economy that supports businesses and the region's entrepreneurial spirit. Pr...
