Parliamentary Secretary Ménard highlights launch of new Small Business Procurement Program measures to modernize federal contracting and boost access for Canadian businesses

MONTRÉAL, July 7, 2026 /CNW/ - Small businesses are the backbone of Canada's economy, driving innovation, creating good jobs and strengthening communities across the country. That's why the Government of Canada is taking concrete steps to ensure they have better access to federal opportunities.

Marie-Gabrielle Ménard, Parliamentary Secretary to the Minister of Women and Gender Equality and Secretary of State (Small Business and Tourism), on behalf of the Honourable Joël Lightbound, Minister of Government Transformation, Public Works and Procurement and Quebec Lieutenant, and the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, highlighted a new set of targeted simplification measures that respond directly to concerns raised by small businesses about the complexity, cost and time required to participate in federal procurement.

In launching the first series of measures under the new Small Business Procurement Program (SBPP), the Government of Canada will work to remove long-standing barriers that have made federal contracting difficult for smaller firms and to ensure they are better positioned to compete for and win government work. These changes will modernize procurement processes, improve access to opportunities for small businesses and ensure these businesses can play a stronger role in delivering federal priorities while supporting jobs, innovation and a more resilient Canadian economy.

In concert with the SBBP, Innovation, Science and Economic Development Canada (ISED) will leverage the Innovative Solutions Canada (ISC) program, which will help connect federal departments with Canadian firms to develop, test and commercialize their innovative technologies.

The ISC program will create an innovation pathway into federal procurement to support innovation-focused procurement opportunities for Canadian small businesses and help the government meet its operational needs. Bolstered by $79.9 million in funding over five years, the ISC will help Canadian innovators develop, test and validate new technologies by providing opportunities to work directly with the federal government as a first customer. It will also expand support for Canadian small businesses to participate in federal procurement, making it easier for them to secure contracts, demonstrate their products at scale and build the track record needed to access new domestic and international markets.

Measures announced today respond to feedback from small businesses seeking to work with the federal government and are designed to remove barriers and create a more accessible, predictable and efficient procurement experience.

Building on Public Services and Procurement Canada's procurement modernization initiatives introduced in 2017, the SBPP and the ISC program will reduce complexity, shorten bid preparation times, improve the ability of Canadian small businesses to compete successfully for federal contracts, and support the government's Buy Canadian Policy.

By giving more Canadian small businesses a fair shot at federal contracts, these measures will help unlock growth and create good jobs across the country. They will strengthen Canada's industrial base by building more resilient domestic supply chains and ensuring that government purchasing power is working harder to support Canadian businesses and communities. At a time when Canada is focused on building a stronger economy, these measures will help more entrepreneurs turn opportunity into growth and success.

Quotes

"Small businesses are central to Canada's economy, and today's launch of the first measures under the Buy Canadian Small Business Procurement Program is a real turning point. We are simplifying procurement, reducing barriers and expanding access so more Canadian firms can compete for and deliver federal contracts. This is about using government purchasing power to actively support Canadian growth and Canadian jobs."
– The Honourable Joël Lightbound, Minister of Government Transformation, Public Works and Procurement and Quebec Lieutenant

"Canadian small businesses are the engine of our economy, creating well-paying jobs and supporting critical industries across the country. By expanding Buy Canadian measures and investing through Innovative Solutions Canada, we are helping Canadian small and medium-sized enterprises compete for federal contracts, create well-paying jobs and grow here at home. As we build a stronger, more resilient economy, we are ensuring taxpayer dollars are invested strategically to support Canadian workers, businesses and industries."
– The Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions

"The launch of the Small Business Procurement Program is an important step for Canadian entrepreneurs and small businesses. By reducing barriers and making it easier to compete for federal contracts, these new measures will help more businesses access opportunities to grow, create good jobs and strengthen their communities. At the same time, they will help build stronger domestic supply chains and ensure more federal procurement supports Canadian businesses and Canadian workers."
– The Honourable Rechie Valdez, Minister of Women and Gender Equality and Secretary of State (Small Business and Tourism)

"Canada's small businesses are the backbone of our economy and the heart of our communities. By making it easier for small businesses to compete for federal contracts, we are helping them grow, create good jobs, and bring more Canadian innovation into the work of government. These measures are about giving small businesses a fair shot and making federal procurement work better for them."
– Marie-Gabrielle Ménard, Parliamentary Secretary to the Minister of Women and Gender Equality and Secretary of State (Small Business and Tourism)

Quick facts

• The Prime Minister announced the Buy Canadian Policy in September 2025 to protect and strengthen Canadian industries.
• The Government of Canada began implementing the Buy Canadian Policy in December 2025 to prioritize Canadian suppliers, materials and content in federal procurement.
• The federal government purchases more than $37 billion in goods, services and construction each year. As of June 2, 2026, just a couple of months after its implementation, the Buy Canadian Policy has already applied to a portfolio of solicitations valued at over $3 billion, with $721 million in contracts awarded to date.
• Small and medium-sized enterprises (SMEs) represent about 47.2% of private-sector gross domestic product (GDP) and employ 63.6% of the private-sector workforce. The Small Business Procurement Program (SBPP) aims to increase SME participation in federal procurement and make it easier to navigate the federal procurement system.
• The Procura Chatbot was launched in April 2026 to help suppliers locate general information about the procurement process and about how to do business with the Government of Canada. The enhanced chatbot provides a larger information database while simplifying access to basic procurement information.
• Budget 2025 announced $9.4 million over five years, starting in 2026–2027, and $2 million ongoing, for Public Services and Procurement Canada to develop and continuously improve the digital tools that will support the implementation of the SBPP under the Buy Canadian Procurement Policy Framework.
• Budget 2025 also announced $79.9 million over five years, starting in 2026–2027, for Innovation, Science and Economic Development Canada (ISED) to position Innovative Solutions Canada (ISC) to support the SBPP by awarding pilot contracts to small businesses, including for emerging technologies, and by awarding scaled procurement contracts for successful innovations through the program's existing processes, including its Pathway to Commercialization.
• ISC is an existing government-wide innovation program led by ISED that connects federal departments and agencies with Canadian companies, including SMEs, and their innovative technologies. ISC supports Buy Canadian objectives by increasing the availability and maturity of Canadian-developed solutions and connecting these innovations with public sector organizations for validation and procurement.

Related products

• Simplifying federal procurement for Canadian small businesses

Associated links

• Buy Canadian Policy
• Selling to the federal government: Buy Canadian
• Government of Canada implements Buy Canadian Policy to strengthen Canada's economy and support homegrown industries
• Buy Canadian – Backgrounder
• Spring Economic Update 2026

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SOURCE Innovation, Science and Economic Development Canada

Contacts: Erin Quevillon, Press Secretary, Office of the Minister of Women and Gender Equality and Secretary of State (Small Business and Tourism), [email protected]; Media Relations, Innovation, Science and Economic Development Canada, [email protected]