February 20, 2014 – A new report from the Greater Oshawa Chamber of Commerce and the Ontario Chamber of Commerce released today reveals that Ontario’s Ring of Fire, the mineral resource-rich region in the James Bay Lowlands, will generate up to $9.4 billion in new economic activity over the first 10 years of operation and sustain 5,500 jobs annually.
According to the study, Beneath the Surface: Uncovering the Economic Potential of Ontario’s Ring of Fire, the mining development could generate more than $25 billion across numerous sectors in Ontario by 2047, including $550 million for the province’s manufacturing sector and $300 million for support activities related to mining.
Though the mineral-rich Ring of Fire is in the remote Northern Ontario wilderness, Durham Region could gain business and jobs when it’s developed.
“In 2012 the Durham Economic Prosperity Committee (DEPC) recognized the Ring of Fire as having the potential to reposition Durham’s lagging industrial sector and had Dr. Christine Kaszycki, Assistant Deputy Minister, Ring of Fire Secretariat, Ministry of Northern Development and Mines give the delegates an overview at the DEPC conference,” says Bob Malcolmson, CEO of the Greater Oshawa Chamber of Commerce. “It most definitely could translate into opportunities for economic development associated in areas of mining, processing, and transportation infrastructure and energy for Durham businesses.”
“Our study makes it clear that the short- and long-term economic impacts of the Ring of Fire extend far beyond mining,” says Allan O’Dette, President and CEO of the Ontario Chamber of Commerce. “It’s time to broaden the Ring of Fire conversation to include all of Ontario, including Oshawa.”
The study shows that the Ring of Fire will generate significant revenue for governments, to the tune of $1.95 billion within 10 years of its development. The authors call on the provincial and federal governments to design and fund a plan to address inadequate transportation infrastructure in the Ring of Fire, which is cited as a significant barrier to the development.
“This could be the catalyst Durham Region and Ontario needs,” adds Malcolmson.
Additional highlights from study include:
- Within the first 10 years of its development, the Ring of Fire will:
generate up to $9.4 billion in Gross Domestic Product (GDP)
generate up to $110 million in support activities to mining
generate up to $210 million in the manufacturing sector
sustain up to 5,500 jobs annually (full time equivalents)
generate nearly $2 billion in government revenue, divided between the federal, provincial, and municipal governments. - Within the first 32 years of its development, the Ring of Fire will generate more than $25 billion in economic activity across numerous sectors in Ontario, of which mining is just one:
$2.7 billion in revenues for the financial services sector
$1.2 billion for the wholesale and retail trade sectors
$600 million for the manufacturing sector
$500 million for utilities sector
$110 million in support activities to mining
Click here to download the report: Beneath the Surface: Uncovering the Economic Potential of Ontario’s Ring of Fire.
