Nova Scotia's Ocean Sector Doubles Value in Last Decade
ECONOMIC DEVELOPMENT--Nova Scotia's Ocean Sector Doubles Value in Last Decade
The ocean industries are contributing almost double the amount to the Nova Scotia economy as they did in 1996, according to a new study from the provincial and federal governments and the Nova Scotia Fisheries Sector Council.
The study, entitled Economic Value of the Nova Scotia Ocean Sector, analyses key economic indicators between 1996 and 2001 to measure the importance of sea-based industries to the province's economy.
"If there ever was any doubt about the benefits Nova Scotia has traditionally reaped from the sea, this study shows conclusively how fundamental the ocean industries are to the competitiveness of our economy," Economic Development Minister Ernest Fage said today, April 11.
The study, conducted by Gardner Pinfold Consulting Economists Ltd., finds that, by 2001, the ocean industries had direct contributions of $2.62 billion to Nova Scotia's economy, up from the $1.37 billion in direct contributions measured in 1996. This accounts for about 10 per cent of Nova Scotia's gross domestic product (GDP). When spin-off industries are added to the mix, the contributions total about $4.08 billion, or just over 15 per cent of the province's GDP.
The ocean sector includes such industries as fish and aquaculture harvesting/processing, offshore oil and gas, ports and shipping, shipbuilding and boat building, marine technologies, ocean- related tourism, transportation, and research and government services.
"Nova Scotians attach immeasurable historic and cultural value to the surrounding ocean," said federal Fisheries and Oceans Minister Geoff Regan. "This report provides important insights into its economic importance to the province."
Employment as a result of the industry was large and fairly stable during the measurement period. With the equivalent of just over 30,000 direct full-time jobs in 2001, the ocean sector accounts for about seven per cent of total provincial employment. When spin-off industry effects are included, the job numbers rise to more than 58,000 or just under 14 per cent.
Nova Scotia's relative share of sales and employment in the regional ocean economy is also strong. The provincial ocean economy accounts for 25 per cent of the total value of production and just over 37 per cent of employment for ocean industries in the Atlantic region, which includes Quebec.
Offshore oil and gas and the fishing industry (including both fishing and processing) lead the ocean-related contributions to the province's GDP. They account for a combined total of 60.8 per cent of Nova Scotia's ocean GDP.
Offshore oil and gas leads the activity in terms of GDP impact by the ocean industries. The sector ranks fifth in employment and household-income impact.
The fishing industry (harvesting and processing) ranks second in GDP impact, but the importance of the fishing industry to Nova Scotia is clear: it leads all other sectors in employment.
The Department of National Defence ranks third overall in terms of GDP impact, second when the impact is measured by employment, and first when measured by income. The role of the military is prominent in Nova Scotia. The province is home to Canada's largest base, CFB Halifax.
Information contained in the study allows government to identify and focus on areas of potential growth and will help in the development of coastal and ocean policy as well as the management of coastal and ocean resources. The study was jointly funded by Fisheries and Oceans Canada, Nova Scotia Office of Economic Development, Nova Scotia Fisheries Sector Council, Atlantic Canada Opportunities Agency, Nova Scotia Department of Agriculture and Fisheries, Industry Canada, Nova Scotia Department of Energy, Environment Canada and the Nova Scotia Department of Finance.
The study is available on the website at http://www.gov.ns.ca/econ/publications/oceanresources/ .