VANCOUVER, Nov. 15, 2011 /CNW/ - British Columbia's exports are forecast
to grow 13 per cent in 2012, the highest rate of growth among all
provinces, according to a Global Export Forecast by Export Development
"Continued strong demand from China and rapidly-growing Asian economies
will benefit British Columbia's export sector, which will expand at
double-digit pace again in 2012," said Peter Hall, Chief Economist for
EDC. "Exports to Asia now represent over 40% of the province's exports,
and are expanding in excess of 25% this year."
Hall was in Vancouver today to share his forecast with EDC customers,
the fourth stop on a 10-city cross-Canada tour.
"Weaker commodity prices won't be enough to restrain export growth in
2012," added Mr. Hall. Higher shipments of coal, copper and wood
products will spur the province's three main export industries. Lumber
shipments will benefit from a reawakening of US homebuilding.
The province's international exports are led by three key industries:
Forestry, accounting for 20 per cent of the province's total exports;
Energy, accounting for 20 per cent; and
Industrial Goods, accounting for 16 per cent.
British Columbia's forestry exports are forecast to grow by an
impressive 26 per cent in 2012.
"The resurgence in U.S. housing starts has delayed the rebound in B.C.'s
wood product exports until 2012. However, exports to the Chinese
market have doubled again in 2011 and will expand at a double-digit
pace next year. With the planned construction of 8 million social
housing units in China in 2012, and the beginnings of a U.S. housing
rebound, the province's forestry exports should see a substantial boost
British Columbia's exports of energy are forecast to ease to 10 per cent
growth in 2012 after an expected 32 per cent increase in 2011, driven
by higher prices for coal and increased natural gas output from the
Montney shale gas field.
"Demand from Japan, Canada's traditional top coal export market, should
strengthen in 2012 as reconstruction efforts get underway. Coal exports
will also benefit in the longer term from greater production capacity
and new mining developments already underway."
"With a number of mining projects at various stages of development or
expansion, exports of industrial goods from B.C. should expand 2 per
cent next year, falling well short of the 18 per cent surge in 2011."
Canadian exports of goods and services are forecast to rise 11 per cent
in 2011 and 7 per cent in 2012. Nationally, economic growth is expected
to rise 2.3 per cent in 2011 and 2.4 per cent in 2012. EDC is
forecasting global growth of 3.7 per cent in 2011 and 4.3 per cent in
EDC's semi-annual Global Export Forecast addresses the latest global
export conditions including perspectives on interest rates, exchange
rates as well as export strategies to help Canadian companies minimize
risk. It also analyzes a range of risks for which exporters should be
prepared. EDC's Global Export Forecast is available at http://www.edc.ca/gef.
B-Roll footage of Peter Hall's forecast comments available at: http://Exportwise.ca/listvideo_en.
EDC is Canada's export credit agency, offering innovative commercial
solutions to help Canadian exporters and investors expand their
international business. EDC's knowledge and partnerships are used by
more than 8,200 Canadian companies and their global customers in up to
200 markets worldwide each year. EDC is financially self-sustaining and
a recognized leader in financial reporting and economic analysis.
SOURCE Export Development Canada
For further information:
Export Development Canada