Levelling the playing field: a Northern Ontario perspective.

• Author: Crupi, Franco
• Position: Guest column

Competition for foreign direct Investment is fierce. Most recently, Thunder Bay lost an Australian manufacturer to Houston, Texas. The Community Economic Development Commission spent approximately three years working with this group.

This isn't the first or last time Thunder Bay will lose manufacturers to other economic development jurisdictions.

I had dinner with the company's CEO and plant manager when they first landed in Thunder Bay. They loved what they saw. They related to our wilderness and the outdoor opportunities. They liked the Canadian system and our way of life, as it was similar to theirs in Australia. They found many commonalities that would have made transition easy; real-estate costs were reasonable, distance to market was not an issue, and they could set up shop pretty much anywhere.

You would think there was a good match. So why did they go, what were they offered? Municipalities in Texas have the authority to abate local valorem taxes on real and personal property for up to 10 years and other goodies.

As an economic development professional and local business owner operating in both domestic and foreign markets, I have seen how business is done at home and elsewhere.

Over this period I have also seen my colleagues challenged and frustrated when it came to attracting foreign investment to Northern Ontario.

Unless the investor is tied to a specific endowment or resource found in the region or tied to a unique local market condition, many who have explored Northern Ontario have opted to locate elsewhere.

Looking at the marketing materials that economic development entities produce, in many cases you will be impressed.

Most meet the province's investment readiness test criteria. The marketing information showcases the best of our communities, what we enjoy and why we value living in these communities.

So why aren't there more inquiries? Most economic development officers do pretty much what it takes to keep the foreign investor's interest. "We hook them, but can't land them."

I bring this up not to criticize but to stimulate thought, create awareness and identify problems with the hope of finding solutions.

Municipalities create and fund economic development entities, which in general terms have mandates that encompass sustainable growth, economic diversification, economic revitalization, job creation, business expansion and retention, and investment attraction.

In doing so, they send out their people to do their job but...