Strategic Context

Opportunities and Challenges

Agriculture and Food Sectors

British Columbia’s agriculture and food sectors are diverse. More than 200 commodities are produced on the land and some 30 species of fish, shellfish and marine plants are harvested or raised in B.C. waters. The food system is an important contributor to the B.C. economy, with nearly $23 billion in consumer sales and more than 282,000 jobs supported. In addition, the Province has over 2,400 food processing businesses as part of the food system.

Opportunities

Economic contribution: Agricultural activity occurs in every community in British Columbia, providing a stabilizing influence on local economies. The diversity of the agriculture and food sectors provides many opportunities for innovation, value-added processing and marketing, and growth at the local and provincial level.

Size and scale: The sector’s small-sized food businesses in British Columbia enable the food system to be more responsive and adaptable to changes in the marketplace. Continued industry efforts to diversify into higher-value products and new niche markets, supported by government improving market access, is a strength of the B.C. industry.

Regulatory reform: The Province’s shift to outcome-based regulations enables innovation and provides industry greater flexibility in responding to regulatory requirements that safeguard the public interest. New policy and governance mechanisms in the regulated marketing commodity sectors can assist with greater food safety, and increase flexibility and market responsiveness.

Challenges

Global markets for agricultural and food products are highly competitive: B.C.’s agriculture and seafood industries compete in international markets where competitors with similar or lower cost structures enjoy greater economies of scale and create downward pressures on food commodity prices. Some competitors, including those in Europe, the United States and Japan, receive large government subsidies. B.C.’s access to markets is limited by trade barriers and non-trade barriers, such as product quality requirements. The higher value of the Canadian dollar is expected to continue to have a detrimental impact on exports, particularly in B.C.’s export-dependent seafood and greenhouse horticulture industries.

Innovation within the agriculture and food sectors: In the long-term, productivity gains and competitiveness depend on continued investments in innovation in the agriculture and food sectors — areas where Canada and B.C. are losing ground. British Columbia and Canada’s productivity and competitiveness in agriculture and food sectors has not grown in the last 10 years. In comparison, competitors such as the United States are seeing increases in productivity.

Extreme weather patterns and market prices increase the vulnerability of the sector: The agriculture and food industries are challenged by significant and unpredictable weather conditions, market situations and disease crises. These weather and market conditions can lead to instability for farmers and processors. This can affect investment decisions at the farm level and may affect sector performance in the long-run.

Environmental values must be balanced with economic viability: Public concern about the environment (and increasingly animal welfare) is high, and industry growth must be managed in an environmentally sustainable way. With the highest ratio of livestock-to-land base in Canada, manure volumes are putting environmental pressure on Fraser Valley farms, and British Columbia has included livestock methane emissions as part of its climate change strategy.

The urban/agriculture divide: British Columbia is a leader in economic growth and remains a desired location for businesses and people. As populations grow, many B.C. cities and towns are encroaching upon areas that were once predominantly rural and agricultural in nature. This places greater pressure on the agriculture and food sectors — especially in areas where urban centres have developed next to intensive agricultural operations.

Consumer concerns about food safety and quality: The safety and quality of food and water, and in border security, continue to have a high profile. This increases the challenge to the food and agriculture industries to provide assurance that products meet recognized safety standards. The implementation of systems for standards, certification and product tracking/tracing is costly and time-consuming, and rarely results in increased returns to the producers.

Governments are key partners in building a prosperous economy: There is extensive overlap in jurisdiction and interests among all orders of government. Effective relations with the federal government, other provinces, First Nations and local governments are an ongoing challenge, and are essential to achieving B.C.’s food and agriculture sectors interests. In addition, amendment to the multilateral Agricultural Policy Framework can create fiscal pressures on the ministry relating to national programs.

Crown Land Sector

British Columbia’s natural resource wealth is globally significant and its contribution to the economic, environmental and social well-being of the Province is profound. The vast majority of the land base (94 per cent of the provincial land area) and associated resources remain under Crown ownership. The Province has a responsibility to provide leadership and direction in the administration and allocation of Crown land to ensure sustainable use for the benefit of all citizens.

Opportunities

A leader in sustainability: British Columbia has an opportunity to demonstrate world leadership in sustainable resource use. Since the vast majority of B.C.’s resource wealth is a publicly owned asset, the Province has the explicit responsibility to manage it in the interests of today’s citizens and for the benefit of future generations.

First Nations: The Supreme Court of Canada decisions concerning First Nations consultation and accommodation have had a major influence on the ministry and the Province. It is increasingly clear that B.C.’s prosperity and success requires productive, respectful relationships. This represents a major opportunity for all British Columbians. In this regard, the Province has renewed its commitment to strengthening its relationship with First Nations through improved consultation and accommodation, and by actively promoting economic opportunities.

Integrated policy framework for land use policy: The new Crown Land Administration Division, within the Ministry of Agriculture and Lands, provides British Columbia the opportunity to build an integrated, responsive and strategic Crown Land Allocation Framework that will help the Province ensure it receives optimum value from Crown land. A critical aspect of developing the framework is to ensure it is fair and considers the needs of communities, First Nations and all economic sectors whose businesses depend on secure access to Crown land and resources.

Challenges

Ensuring sustainable benefits to British Columbians: Advancing the public interest in Crown land management and allocation necessitates a balance of environmental, social and economic values and objectives. Decision support tools must be updated and kept current in a dynamic and ever-changing provincial, global and social/economic context.

Investment climate: Continued investment in the B.C. economy and the creation of sustainable jobs requires investor confidence. Security of access to Crown resources and timely planning and tenuring services are two key issues that currently affect investor confidence.

Contaminated sites: British Columbians have inherited a legacy of provincial contaminated sites from a time when resource practices and environmental regulations were vastly different. Today, there is clear leadership and a coordinated policy on managing and remediating contaminated sites on provincial lands. Inventorying these sites, developing better information about them and remediation to mitigate environmental and human health risks remains a challenge.