Nova Scotia Exports Growing

Nova Scotia is making big progress on the trade front. Statistics Canada data indicate the province's merchandise exports jumped by 8.2 per cent in 1998.

The growth is twice that of the previous two years combined -- of 4.8 per cent -- and well ahead of the national average of 5.1 per cent.

"This increase represents a quarter of a billion dollars in out-of-province sales for Nova Scotia companies," said Manning MacDonald, Minister of Economic Development and Tourism, who announced the export numbers in the legislature today. "That's very important news. Increasing exports is one of our economic priorities in Nova Scotia, and we're making significant progress."

The export growth spans a number of sectors, including pulp and paper, tires, railcars and seafood. Stora Port Hawksbury's new supercalendered paper-making plant drove up out-of-province sales of paper products by a staggering 3,597 per cent, to $76 million. Newsprint exports grew by 17.8 per cent, topping $312 million, while lumber and forest product sales increased by 48 per cent and pulp exports grew 33.6 per cent.

Nova Scotia's largest export product -- truck and bus tires -- grew by 3.8 per cent to reach $328 million, while shipments of passenger car tires fell by 12.4 per cent, to $250 million. Railcar exports jumped by more than 50 per cent in two categories, to $150 million.

Seafood products also did well: foreign sales of frozen scallops grew 21 per cent and lobster exports were up 5.7 per cent.

The province is achieving its greatest success close to home. Last year, 73 per cent of Nova Scotia's exports were to the United States, up from 67 per cent in 1997.

"We're focusing a lot of effort on trade activity at Economic Development and Tourism," said Mr. MacDonald. "We're playing a role in moving those export figures up. Last year we helped more Nova Scotia companies reach more new out-of-province customers than ever before. Many of the companies on our trade missions were first-time exporters. And virtually all of them came home with contracts."

In 1998, Economic Development and Tourism led or participated in 40 trade events, including 11 to the province's priority market, Boston. Those missions generated signed contracts and projected sales of $94 million for Nova Scotia companies, almost half of which, $46 million, came from contracts in New England. Taxpayers' investment in the missions was $579,000.

"The sales from these trade missions are having a direct and immediate impact on the provincial economy," said Mr. MacDonald. "They're creating or protecting 1,300 jobs in the province, and those jobs are generating $6 million in tax revenues. For every dollar we invest in a trade mission, we're getting $12 back for our schools and health care system.

"This year is going to be an even busier one for us on the trade front. Since January alone, our activities have helped to generate more than $30 million in signed or nearly completed contracts for Nova Scotia companies. And we're planning to double the number of missions to New England."