CADSI Calls for a Defence Industrial Strategy to Optimize Job Creation in Canada

(Ottawa, ON – March 10, 2010) - Tim Page, President of the Canadian Association of Defence and Security Industries (CADSI), today released a Report on Military Procurement focused on providing concrete steps to improve Canada’s military procurement process. In the report, commissioned by the federal Ministers of Industry, National Defence and Public Works and Government Services Canada, CADSI calls on the Government to urgently adopt a series of recommendations to enable effective spending on defence at a time when every dollar counts.

The CADSI report makes a clear and direct connection between defence spending and the Canadian economy. Its recommendations call for the creation of a defence industrial strategy, improvements to the procurement process and governance issues. If and when adopted, these recommendations would improve program delivery, government efficiency and stimulate high-value jobs, technology innovation, export opportunities and wealth creation in Canada.

The report provides clear proposals to get Canadian troops the right equipment they need while creating high-value jobs in Canada and building domestic industrial capability and capacity for the future. The recommendations also serve to strengthen Canadian security and sovereignty, while ensuring better outcomes and greater efficiencies in the procurement process.

In last week’s Throne Speech and Budget the Government included elements that were positive for Canadian sovereignty and national security including a commitment to a national shipbuilding strategy, investments in Arctic surveillance, satellite technology and R&D capacity, and improvements to airport security and air cargo inspection.

However, CADSI expected to see a much closer relationship made between spending on defence and its impact on the domestic economy and jobs for Canadians as a key element in the Government’s fiscal plan. As a strategic blueprint of Canadian Forces’ requirements over the next 20 years, Canada’s defence and security industries believe that the Canada First Defence Strategy (CFDS) needs to be aligned, and integrated with, an industrial strategy that “connects the dots” to the economic advantages it can produce. CADSI members believe that it is not just about how much money there is to spend, it is about what the Government intends to do to reduce costs associated with defence procurements and to optimize the benefit to Canada’s economy from the dollars available.

The cost of inaction on these issues is high for both the Canadian Forces and the Canadian economy. CADSI believes that all of its recommendations are inter-related and achievable and looks forward to working with the Government as it considers the report it commissioned.
The report may be downloaded from the CADSI website at www.defenceandsecurity.ca.

CADSI (Canadian Association of Defence and Security Industries) represents over 800 companies which collectively employ 90,000 Canadians and generate over $10 billion in annual sales to defence and security customers in Canada and abroad.

CADSI's Military Procurement Report

Executive Summary
& Main Report
(English or French version) 

Consultation Summary

International Research