Ottawa plans to spend more than a half-billion dollars to fix supply chain issues, but experts say it falls far short of the kind of comprehensive strategy needed to address longstanding problems.
Last week's federal budget commits $603 million over five years to support transportation network upgrades such as port or rail expansions on top of the $4.2 billion allocated to the National Trade Corridors Fund since 2017.
Ottawa last year announced a national infrastructure assessment that aims to lay out a long-term vision and boost co-ordination among infrastructure owners and funders over the next three decades.The extra money laid out in the budget is sure to help. But on top of more cash, what's needed most is a cohesive approach to the overall flow of goods into and out of the country, says Carlo Dade, director of the Canada West Foundation's trade and investment centre.
Billions more are also needed to strengthen road and rail networks against extreme weather like the atmospheric rivers that washed out transport links in British Columbia last year, says John Gradek, a McGill University lecturer specializing in supply chains. “It was river bed erosion from flooding that carved out these spaces ... so you were literally building on flood plains,” Gradek said. Calling the corridors "risky territory," he said hefty infrastructure overhauls would involve topographical reviews followed by new routes.
Reducing congestion in major cities, increasing access to ports and addressing labour shortages would all mark crucial steps toward smoother goods transport, a puzzle that requires action by multiple levels of government and draws on areas ranging from public transit to skills training and immigration.
"Private sector companies provided data, they sat down for interviews, the report's put out — and it was immediately shelved by the government," Dade said.
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