Thank you.
My name is Rick Karp. I am president of the Whitehorse Chamber of Commerce. Also here is Stan Thompson, who is the CFO for NorthwesTel, where we're being hosted today, and chair of the Whitehorse Chamber of Commerce.
First we'd like to thank the committee for including the north, and in particular the Yukon, in these consultations. Canada's north, as you heard from Brendan Marshall, is unique and has the potential to be a major contributor to any expansion of trade with the Asia-Pacific market. The Yukon's resource development projects, growth in the tourism sector, and the expanding knowledge and innovation in the cold climate research sector are economic enablers for our economy, allowing value-added sectors to develop, create jobs, and compete. Chinese investors have shown interest in the Yukon's resource and tourism sectors and have invested significantly to this date.
The north, including the Yukon, the Northwest Territories, and Nunavut, possesses vast natural resources such as gold, lead, diamonds, and copper, and many valuable resources that are in demand internationally. We have proven tourism potential; continuous innovation in cold climate research, housing, and waste management; and much more. The Yukon has so much to offer, not only to Canada but also to the Asia-Pacific market and indeed the world.
Safe, well-regulated, and responsible natural resource development is one of the defining features of our Yukon Chamber of Mines. The wealth created by natural resources enables provinces, and in particular many of the untapped resources in the Yukon, to potentially serve as net contributors to Canada's national economy in support of vital services such as health care and education. Our inclusion in the TPP process and increased trade with the Asia-Pacific region would lead to furthering the economic and social development of the north.
The lack of adequate infrastructure is the most significant obstacle to mining development here in the north. Inadequate infrastructure has been the primary barrier to developing some of the most promising mineral discoveries. Greater investment in the necessary infrastructure is needed to help relieve the current financial burden of construction costs placed on mining and resource companies and to unlock the vast potential of Canadian northern communities from mineral and oil and gas deposits in the north.
Canada is doing more business with Asia. According to the Conference Board of Canada, Asia makes up 15% of Canada's international trade, up from 10% in 2003. The Conference Board of Canada points out, however, that our imports have increased faster than our exports, and our market share in the region continues to fall. As well, Canada's foreign investment in Asia has dropped compared to G7 peers. Joining the trans-Pacific partnership discussions has started to reverse this trend.
The Asia-Pacific region has many suitors, and Canada will have to work even harder and smarter to remove trade barriers, create a level playing field, and help companies, especially in the north, to navigate and take advantage of new opportunities.
In order for the resource development, tourism, knowledge, and innovation sectors to reach their potential to increase international trade and become net contributors to Canada, we will need to do more than just sign trade agreements.
Canada needs to establish enhanced funding partnerships and innovative funding models with the private sector, all levels of government, and aboriginal peoples to invest in the transportation and energy infrastructure necessary to promote mining sector growth, to market our tourism sector internationally, and to support our knowledge and innovation sectors with the abilities to commercialize their knowledge and products. Canada requires a coordinating entity or a comprehensive funding facility, which is the key to an actionable territorial northern development strategy. That is the way to stimulate regional economic development and sustainably meet the increasing international demand for Canadian goods and services.
It is necessary to work with territorial and aboriginal governments to better coordinate infrastructure spending by aligning infrastructure planning with community and industry needs as well as with other economic development projects.
We believe that Canada should do the following.
One, take a leading role in concluding and implementing the TPP, and in your negotiations consider all that the north has to offer.
Two, assist northern businesses to develop, to help enable them to compete in the marketplace.
Three, empower CanNor to grow and develop northern SMEs by making a clear commitment to an entrenched SINED program not subject to sporadic renewal.
Four, support initiatives by Yukon College to provide education programs geared to the unique needs of the Yukon population.
Five, assist northerners to develop an infrastructure investment program targeted at the development of roads, reliable high-speed communication networks, and other technologies to open up access to resource discoveries north of the 60th parallel.
Six, in support of sustainable tourism, seed self-funding programs that are designed to return economic benefits in excess of their cost to operate.
Thank you.