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<html> <head> <meta name="Generator" content="Corel WordPerfect 8"> <title>MR. MARCHI - ADDRESS AT THE PEARSON-SHOYAMA INSTITUTE - VANCOUVER, BRITISH COLUMBIA</title> </head> <body text="#000000" link="#0000ff" vlink="#551a8b" alink="#ff0000" bgcolor="#c0c0c0"> 97/54 CHECK AGAINST DELIVERY NOTES FOR AN ADDRESS BY THE HONOURABLE SERGIO MARCHI, MINISTER FOR INTERNATIONAL TRADE, AT THE PEARSON-SHOYAMA INSTITUTE VANCOUVER, British Columbia November 20, 1997 This document is also available on the Department's Internet site: http://www.dfait-maeci.gc.ca It is a real pleasure to join you here at the Pearson-Shoyama Institute -- an institute whose very name speaks to our heritage as a Pacific nation and to our proud place on the world stage. This evening, I would like to share a few thoughts with you on what might be called Canada's "hidden assets." These assets are our multicultural society, our vibrant small and medium-sized businesses, our strong network of trade associations and our dynamic female entrepreneurs. You know, sometimes when we talk about multiculturalism, it can be divisive. As the son of immigrants, I've never seen it that way. And as Minister for International Trade, I can tell you that our multicultural society constitutes an enormous competitive advantage in today's globalized economy. Canadians have ties to every corner of the globe, and there are very few countries indeed that can look to Canada and not see their own reflection. This provides an important edge over our competitors: people tend to trade with countries they feel comfortable with, whose languages they speak, and with cultures they understand. Here in Vancouver, some of the strongest ties are with our neighbours in the Pacific Rim. This means that we already have a built-in network of contacts, family ties and associations from which we can build commercial relationships. We have people who know the countries of the region, understand the way business is done there and appreciate the opportunities there. Most countries simply don't have this head start. So while our multicultural asset is one we often overlook, it is not one we should ever underrate. Another one of our strengths is our small and medium-sized businesses. They are among the most dynamic, creative and innovative enterprises in the country, and they are the backbone of our economy. The vast majority of jobs in Canada are created by smaller businesses. You have probably heard it said that Canada is a trading nation -- and that is certainly true: 40 percent of our GDP [gross domestic product] is generated by trade, and one in three jobs in this country depends on our ability to sell our goods and services abroad. But while Canada is a trading nation, we are not a nation of traders. Relatively few companies are responsible for most of the exporting we do. In fact, 50 large companies account for about half of everything we export. What I think we need to do is release the energy of smaller companies onto world markets. We need to get more of them exporting and looking abroad for opportunities. Right now, only about 10 percent of these companies are selling outside Canada. By expanding the base to include more and more of our smaller companies, we can multiply our opportunities, create more jobs and build a more secure future for our children. It was very encouraging to see that more than half the participants in last January's Team Canada trade mission were from small and medium-sized companies -- up from about a third on previous missions. In fact, of the 73 business deals signed in Korea alone, more than two thirds were signed by these smaller players. They recognized that opportunities did not exist just for the "big guys"; that the ability to be innovative and adapt quickly -- which is characteristic of so many of these smaller companies -- is a highly valued asset in international markets. They came to realize that many large companies, both here and abroad, are looking to form partnerships with smaller companies in order to tap into their entrepreneurial talents or special skills. They saw that there were markets they could penetrate, services they could provide, needs they could meet and that they didn't need a large corporate structure beneath them in order to do it. To encourage more of these small and medium-sized companies to consider exporting, we have launched a number of programs and a whole range of services designed to meet their particular needs. Let me mention just a few: Together with Industry Canada, we have established International Trade Centres in cities across the country. There's one right here in Vancouver. These centres provide one-stop shopping, so small business people can find out, at one time and in one place, about all the trade services, including export counselling, that are available to them from all levels of government. One of the most important -- and encouraging -- things for any would-be exporters to know is that someone, somewhere, wants to buy what they have to sell. We have created a huge database called WIN Exports, which helps to match what Canadians have to sell with what others around the world want to buy. When you register your business with WIN Exports, our trade commissioners around the world can be on the lookout for potential customers for you. They can act as "matchmakers" and put you in touch with the right people in the right markets. We have also brought all our existing trade promotion services under one umbrella called "Team Canada Inc," which builds on the spirit and the success of the Team Canada trade missions. And we have established a senior business advisory group, to be chaired by Lynton Wilson of BCE, to advise Team Canada Inc on all aspects of trade promotion and policy. One aspect of Team Canada Inc is the creation of "ExportSource." This is a new Internet site that contains all the information small and medium-sized businesses could want on exporting. No more running from department to department -- just a click of a button, seven days a week, 24 hours a day. We are also changing how our trade commissioners are deployed. At the moment, only about half of them are working outside the country. We want to reassign those commissioners so that 70 percent of them are working outside Canada by 2006. By placing more of them on the ground, we will be able to maximize their effectiveness for small businesses. Finally, we have created a special unit at the Department of Foreign Affairs and International Trade devoted exclusively to the export needs of small and medium-sized businesses. This reflects the importance we attach to this sector and demonstrates our commitment to helping it succeed. These are just a few of a whole host of programs and services available to smaller businesses. The bottom line is that we want to be partners in your success, and we will bend over backwards to make sure that you get the help and support you need to take your product or service abroad. Another one of Canada's hidden assets is our vast network of trade associations. These provide a vital link between governments and the private sector -- a link that helps us help their members. Some associations are grouped around common interests or particular industries. These associations are invaluable sources of information and provide a focal point for discussing different categories of issues. Some associations are organized around cultural links, providing all of us with insights into the opportunities and obstacles in different regions of the world. These organizations are doing really impressive work to promote trade and investment with these various regions and are becoming an ever more important part of our international trade strategy. We need to continue to redefine their role so that they are more closely allied with our businesses and embassies abroad. And we need to expand the links among the groups themselves. In particular, more needs to be done to connect some of the larger trade associations, such as the Alliance of Manufacturers and Exporters, with the smaller ethnic business associations. My department stands ready to facilitate these linkages in any way we can. By joining together as partners, we can achieve far more than we could alone. The last "hidden asset" is certainly not the least: Canada's women entrepreneurs. You know, Charlotte Whitton, the former mayor of Ottawa, said something once that I've always remembered. She said, "For a woman to get half as much credit as a man, she has to work twice as hard and be twice as smart." "Fortunately," she added, "that isn't difficult." We still have a long way to go to fully engage our female business leaders, but we are making progress and realizing the benefits. One third of Canadian firms are now owned or operated by women. These companies are providing jobs for nearly two million Canadians. In fact, women CEOs are creating jobs at a rate four times the national average. This is a track record we cannot ignore because it is bringing benefits we cannot forgo. The success rate of women entrepreneurs is nearly twice that of men -- strong evidence that Charlotte Whitton was right all along! Nor is this boom in women-led firms restricted to Canada. In Southeast Asia, women will soon constitute half of all entrepreneurs. So we simply must do a better job of providing women entrepreneurs with the tools they need for export success. Tools such as access to capital, technology, information and markets. Women-run businesses also have unique needs, such as better daycare facilities for single-mother entrepreneurs. This is not just a matter of fairness. I believe it is a matter of survival. In an increasingly competitive and challenging world, no nation can hope to realize its full potential if it denies itself the brain power and the entrepreneurial talent of half its population. As Canada pursues the goal of doubling the number of companies exporting by the year 2000, women entrepreneurs must play an increasingly prominent role. In fact, they will be a key to our success. Just last week it was my privilege to lead the first Canadian Businesswomen's International Trade Mission to Washington, D.C. This initiative involved more than 120 women from across Canada. Some of them are leading companies that are just starting to think about exporting, while others are already successfully exporting. This was a wonderful opportunity to develop business opportunities, create networks and make contacts with key government officials. This four-day mission not only helped women reach their export objectives, but it also helped to heighten awareness of their importance to the Canadian economy. Even more, the mission showed that women entrepreneurs, having helped build their families and their communities, can also play a unique role in promoting national unity through their network of business contacts across the country. This is an impressive reality that we should all support and promote. As we embark on the task of making women entrepreneurs true partners in expanding trade around the world, we know that there will be challenges to overcome and attitudes to be changed. But overcome them we must and overcome them we will. I began by describing Canada's multicultural society, small and medium-sized businesses, trade associations and female entrepreneurs as "hidden assets." Perhaps they should more appropriately be called "secret weapons" in the contest for global markets! In the months that lie ahead, they will continue to break down old barriers and open up new opportunities. They will continue to be dynamic components of our international trade picture. And they will continue to reach out to old friends and new customers around the globe. Ten years ago, the idea of Canada being an international trading powerhouse was unimaginable. Today, it is unstoppable. But there are more markets to be won, more companies to involve, more women to include. I believe that with the assets we have, our future will be brighter than we can imagine. Let us develop those assets wisely and let us build that future together. Thank you. </body> </html>

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