Navigating transportation supply chain challenges in Canada

As I reflect on the complexities of our transportation systems in Canada, it’s clear that most Canadians have felt the impacts of disrupted supply chains. Some goods either became harder to find or rose in cost because our supply chains lacked resilience. Businesses have also had to cope with fluctuating expenses, and unpredictable and uncertain delivery schedules because of the absence of end-to-end supply chain visibility. In recent years, our supply chains have faced unprecedented shocks. These shocks revealed vulnerabilities in the global supply network. They added stress to Canada’s trade and transportation systems—systems that already faced rising impacts and threats from a changing climate. It’s clear to me that efficient and reliable supply chains make life more affordable for Canadians, and make our exports more competitive. So, this is what we need to work towards for economic security, and to maintain our reputation as a dependable trading partner. We need made-in-Canada solutions to relieve the stress on our nation's supply chains. Reducing supply chain vulnerabilities Canadians deserve a transportation supply chain system that reliably delivers goods and supports our economy. Last year, the minister of transport established the National Supply Chain Task Force to provide recommendations on actions Canada could take to improve the fluidity, efficiency and resiliency of our national transportation supply chain. Budget 2023 highlighted investments to further strengthen Canada’s transportation supply chains in advance of the release of a National Supply Chain Strategy. As part of the investments proposed in the 2023 federal budget, the Government of Canada is establishing a National Supply Chain Office to work with private and public sector partners to drive coordinated actions to improve resilience to disruptions and increase overall efficiency across supply chains. The budget also proposed developing a long-term roadmap to better plan and coordinate Canada’s transportation infrastructure by collaborating with industry, provinces, territories and Indigenous Peoples. We are also working collaboratively on digitalizing elements of the supply chain to increase the visibility of supply chain projects and reduce congestion. This bottom-up approach will help make Canada’s transportation supply chains more resilient, efficient and fluid. At the same time, we recognize the leadership role the Government of Canada can play in enabling end-to-end supply chain visibility by making operational and performance data from individual operators available for the benefit of everyone in the supply chain, while ensuring it is protected and used appropriately. By doing so, businesses that invest in their digital maturity will be able to make better decisions about transportation and logistics to become more efficient and more competitive. Investing in critical transportation infrastructure Canada’s trade corridors keep our economy moving. From ports, to airports, to railways and highways, they’re the backbone of the supply chains that bring goods to us when we need them, and let our businesses move their products. That’s why the Government of Canada has committed over $2.7-billion since 2017 to increase our trade corridor capacity through the National Trade Corridors Fund. This fund has supported more than 120 transportation supply chain projects across the country. These investments are crucial for ensuring our supply chains can meet the needs of Canadians, and stand up to disruptions from climate change and global events. Investing in digital infrastructure But improving physical infrastructure is not the only path to economic growth. We also need digital solutions in order to be more efficient, and to relieve congestion in key corridors. The Government of Canada can help here, too. In fact, we’ve allocated $136.3-million for the Advancing Industry-Driven Digitalization of Canada's Supply Chain Initiative. This initiative aims to develop digital solutions and optimize Canada’s supply chains in collaboration with industry. What will those digital solutions look like? How can we get everyone involved in supply chains to make better decisions to reduce bottlenecks before they cause problems? I can’t wait to see what innovative solutions will emerge from this initiative. By better leveraging digital solutions, congestion gets reduced, infrastructure becomes more resilient to disruptions, and goods can be exported more efficiently and reliably. Looking forward Looking ahead, Canadians can rest assured that we’re working diligently to address inflation, enhance global competitiveness, facilitate more efficient trade, and strengthen Canada’s transportation supply chains. These made-in-Canada solutions will help address the supply chain disruptions that have impacted Canadians. They will foster better collaboration between governments and partners to get ahead of supply chain bottlenecks. They will allow more targeted investments in our transportation infrastructure. And they will lay the groundwork for a national strategy to reliably keep goods moving and Canada’s trade thriving. We need solutions that will bring long-term reliability and resilience to our supply chains, for generations to come. Liberal MP Vance Badawey has represented the riding of Niagara Centre, Ont., since 2015. He currently serves as the parliamentary secretary to the minister of transport. The Hill Times