Increasing CBSA Support to Ports: The Fastest and Most Efficient Way to Build the Strongest Economy in the G7

A new study prepared by Aviseo Conseil for the Chamber of Marine Commerce (CMC) has revealed that expanding Canada Border Services Agency (CBSA) container clearance services to six ports along the Great Lakes–St. Lawrence Seaway system would create tens of millions of dollars in regional economic development opportunities across Canada, generate significant new tax revenues, and see all federal investment fully recouped in a matter of months.

The study, “Unlocking the Potential of the Great Lakes–St. Lawrence Seaway System,” evaluated the economic, environmental, and supply chain benefits of enhancing CBSA services at marine facilities located in Quebec City, Hamilton, Valleyfield, Windsor, Goderich, and Picton.

Currently, the CBSA only provides marine container inspection services at five Canadian ports: Halifax, Saint John, Montreal, Prince Rupert, and Vancouver, which limits supply chain strength and economic development. The report finds that enabling inland ports to process containers would relieve pressure on high-traffic hubs, improve trade efficiency, and enhance Canada’s economic resilience.

Summary of Key Findings from the Study:

Economic Impact of Making all Six Ports Under Study “Ports of First Arrival” that can Receive and Scan Foreign Containers Entering Canada:

• $132.4 million in additional annual business income across Ontario and Quebec.
• $79.1 million in additional federal tax revenue.
• Federal investment recovered rapidly in terms of economic benefits.

Specific Benefits Generated at Each Port Studied:

Port of Quebec:

• $59M in additional annual business income
• The addition of a port that can receive fully loaded vessels
• Significant reductions in CO2 emissions from trucks

Hamilton Container Terminal (Hamilton Oshawa Port Authority & Hamilton Container Terminal Inc.):

• $10.5M in additional business income
• $27.6M in logistics savings
• 930,000 fewer truck kilometers annually

Port of Valleyfield:

• $5.84M in new business income;
• More capacity to safely handle hazardous material
• Supports Canada’s Critical Mineral Strategy

Port of Windsor:

• $25.9M in new business income
• Supports EV battery manufacturing
• Reduces per-container transport costs by up to $3,000.

Picton Terminals:

• $26.4M in added business income
• Tens of thousands of truck trips eliminated

Port of Goderich:

• $4.8M in added business income
• Creates a new trade corridor between Chicago and Goderich.

Overall, the study concludes that enhancing CBSA services aligns with federal priorities such as economic competitiveness, climate action, trade diversification, and infrastructure efficiency. It also supports regional equity by connecting inland communities to global markets.

“We now have clear information that proves the significant economic benefits that could be realized if the CBSA were to evolve from being gatekeeper to becoming a facilitator of trade,” said Maguessa Morel-Laforce, Director of Government and Stakeholder Relations at the Chamber of Marine Commerce. “Clearly, if the Government of Canada wants to realize its ambition to build the strongest economy in the G7, they would provide CBSA support to more ports on the Great Lakes and St. Lawrence Seaway. Doing so would create tens of millions of dollars in benefits across provinces while paying back any investment almost immediately.”

Key Facts

• In July of 2023, an independent study by Martin Associates was released, confirming the tremendous importance of marine shipping on the Great Lakes and St. Lawrence Seaway and coastal and arctic regions to the North American economy. The study revealed that the industry:
  • made a total annual contribution of $66.1 Billion CAD (or $ 50.9B USD – note: 2022 dollars) in economic activity across North America,
  • supported almost 360,000 jobs across the continent, and
  • generated $30.2 Billion CAD (or $23 Billion USD – 2022 dollars) in wages and $12.8 billion CAD (or $9.8 Billion USD – 2022 dollars) in taxes.

• Aviseo Conseil is a Quebec-based economic consultancy with a mission to advance strategic initiatives that support sustainable economic development.