The food and beverage manufacturing industry is an important industry in Canada. It is the largest manufacturing industry in Canada in terms of value of productions and shipment. The industry is worth $92.9 billion. This industry employs 290,000 people. It accounts for approx. 2% of the national gross domestic product (GDP). This industry has grown approx. 0.2 % per year since 2007. This industry supplies 75% of all processed foods in Canada. It is the largest buyer of agriculture production using about 35% of its output.
The food and beverage manufacturing industry is the largest manufacturing industry in most provinces and is important to the economies of all provinces. Ontario and Quebec supply most of the products with approx. 63% of …show more content…
Free trade agreements provides increased sales and market share. This provides economic growth for the food and beverage industry. Free trade agreements also create more jobs in the industry. Free trade agreements increases the demand for a product; this creates new jobs, because more manufacturing jobs will be needed in order to supply the higher demand.
Free trade agreements also affect Canada 's Food and beverage manufacturing industry in a negative way. The food and beverage industry loses out on value added opportunities by sending raw materials to other countries. A free trade agreement can greatly benefit other industries in which have a comparative advantage; this could potentially leave the food and beverage industry undeveloped. This makes it hard for the industry to compete against more economically developed competitors.
The impact of the advantages and disadvantages of free trade agreements are on a larger scale when there are more countries involved in a free trade agreement. The impact has a relatively smaller magnitude when the trade agreement involves only one country, example: Canada European Free Trade Association, it includes many …show more content…
One issue is global warming. A big factor of global warming is green house gasses. Green house gasses are emitted from factories or manufacturing plants from the ignition of fossil fuels. When factories burn fossil fuels, they release Carbon Dioxide or CO2 in to the atmosphere. CO2 traps- heat, this is a problem that large manufacturing facilities create. This affects the whole planet. This could potentially become a problem for the industry. With global warming the supply of raw materials for the food industry may become scarce, large companies may not be able to produce processed food products
The food and beverage manufacturing industry is the largest manufacturing industry in most provinces and is important to the economies of all provinces. Ontario and Quebec supply most of the products with approx. 63% of …show more content…
Free trade agreements provides increased sales and market share. This provides economic growth for the food and beverage industry. Free trade agreements also create more jobs in the industry. Free trade agreements increases the demand for a product; this creates new jobs, because more manufacturing jobs will be needed in order to supply the higher demand.
Free trade agreements also affect Canada 's Food and beverage manufacturing industry in a negative way. The food and beverage industry loses out on value added opportunities by sending raw materials to other countries. A free trade agreement can greatly benefit other industries in which have a comparative advantage; this could potentially leave the food and beverage industry undeveloped. This makes it hard for the industry to compete against more economically developed competitors.
The impact of the advantages and disadvantages of free trade agreements are on a larger scale when there are more countries involved in a free trade agreement. The impact has a relatively smaller magnitude when the trade agreement involves only one country, example: Canada European Free Trade Association, it includes many …show more content…
One issue is global warming. A big factor of global warming is green house gasses. Green house gasses are emitted from factories or manufacturing plants from the ignition of fossil fuels. When factories burn fossil fuels, they release Carbon Dioxide or CO2 in to the atmosphere. CO2 traps- heat, this is a problem that large manufacturing facilities create. This affects the whole planet. This could potentially become a problem for the industry. With global warming the supply of raw materials for the food industry may become scarce, large companies may not be able to produce processed food products