In a time of unrest, Canada’s largest province reaps big investment rewards.
When Invest Ontario announced on September 19 that Chapman’s was investing over C$200 million to expand its ice cream production operations in Markdale, it marked the latest victory for Invest Ontario in economic development.
The investment allows Chapman’s to introduce products never before sold in Canada to consumers, while also positioning the company to develop its export business to meet growing demand in international markets. The project creates 200 new jobs and adds 175,000 sq. ft. with three new production lines coming online initially and another three lines planned in ensuing years. The investment is also being supported by a loan of up to C$27 million through the Invest Ontario Fund.
This project win is not an anomaly for Ontario. Year in and year out, Ontario produces corporate facility expansion deals at the highest rate in all of Canada — a performance that does not happen without leadership.
As CEO of Invest Ontario, Khawar Nasim leads a team of economic developers with international experience. Nasim himself brings over 25 years of global experience across public and private sectors. This experience pays dividends for a province that annually leads all Canadian provinces in gross domestic product, foreign direct investment and total corporate facility projects.
Before joining Invest Ontario, Khawar led one of Canada’s largest diplomatic missions when he served as acting consul general in New York. His overseas career includes senior postings in Rome, Barcelona, The Hague and Minneapolis. In the private sector, Khawar spent four years in Toronto as vice president of external affairs at Yamana Gold.
We recently caught up with Nasim for this wide-ranging interview on economic development:
WHAT WERE SOME OF THE BIGGEST CORPORATE FACILITY INVESTMENT PROJECTS OVER THE PAST YEAR IN ONTARIO?
NASIM: We have had a very strong year. Just to contextualize this, Invest Ontario is only five years old. We are very lean, efficient and effective. Our numbers have exceeded expectations. We have helped companies announce over C$8.2 billion in investments since inception. Among the biggest over the past year were:
- Linamar announced an investment of over C$1 billion and more than 2,300 jobs in the automotive sector in Guelph.
- In the life sciences domain, AstraZeneca announced an C$820 million investment that creates over 700 jobs in Mississauga.
- Chocolate maker Ferrero announced a C$445 million deal that adds 500 jobs in Brantford.
- Minth Group, an auto parts maker out of Taiwan, is investing nearly C$300 million and creating over 1,000 jobs in Windsor — and they are doing that without any incentive funding from Invest Ontario. That is a testament to the vitality of the auto parts sector in Ontario.
WHAT ARE THE FASTEST-GROWING INDUSTRIES IN ONTARIO NOW?
NASIM: Ontario is the economic engine of Canada. We are not monolithic in our economy. We have a vibrant manufacturing sector, technology sector and life sciences industry. And if you look at our growth in AI, particularly at the University of Toronto and other schools in Ontario, we are creating very talented AI specialists. This strong AI talent pool has recently propelled Toronto to No. 3 in all of North America in CBRE’s tech talent ranking — just behind the Bay Area and Seattle and ahead of New York City.
In the life sciences area, we learned a lesson from the pandemic, and that is you must have sovereignty and strength in life sciences. In the medical isotopes area, we will double production as the province is putting C$18 million into this sector. AstraZeneca, Roche, Sanofi and other big names are investing a lot of capital and creating a lot of new jobs in Ontario, and emerging technologies are being supported here too.
In addition, we are seeing a lot of interest in the defense industry space; and we continue to be a national leader in the production of steel and vehicles.
WHAT ARE YOUR AGENCY’S TOP THREE PRIORITIES FOR THE NEXT 12 MONTHS?
NASIM: We are five years old now, and we have the attention and focus of the government to create high-impact investment. We have the ability to be agile, responsive and nimble and to work at the speed of business. One top priority is that we align very closely with the provincial and federal governments in the critical minerals area. We are harnessing and developing new nickel and cobalt resources in Ontario. It is really important to ensure that we are not dependent on foreign markets.
Secondly, it is important to align with the government on affordable housing.
Thirdly, we want to see businesses grow in Ontario, and we want to make sure that the return to the province is generated in the near term and in the long term. We have hired smart people to lead our team, and we are now looking at new sectors. No investment happens just because of one agency. We work with all partners. We are part of an ecosystem. We have strengthened our collaboration, and we have expanded our international reach. We have overturned the unturned rocks. We are going to Austria and Sweden and other countries that other nations may overlook.
Finally, we are focused on long-term job creation in Ontario. We have colleges and universities that are producing outstanding talent in film and TV production, digital gaming and other forms of digital media. We have over 70,000 STEM graduates per year coming out of our colleges and universities in Ontario. We have expedited immigration processes for international students. We know that we have very smart people who can fill good jobs.
“Markets go through peaks and valleys, but the fundamental reasons why you want to invest in Ontario remain stellar. Our fundamentals are so sound that we are a beacon of stability during times of unrest.”
— Khawar Nasim, CEO, Invest Ontario
HOW IS ONTARIO RESPONDING TO THE TARIFFS ENACTED BY THE UNITED STATES, AND HOW ARE THE TARIFFS IMPACTING THE PROVINCIAL ECONOMY?
NASIM: I think it is creating hesitancy and caution. We are very aware of it. We are shifting into focusing on our domestic supply chain. I want to be clear: Markets go through peaks and valleys, but the fundamental reasons why you want to invest in Ontario remain stellar. Our fundamentals are so sound that we are a beacon of stability during times of unrest. I am convinced that the investments will happen. Our product will win out in time. Site Selection magazine said that we are the No. 1 most competitive jurisdiction in Canada. Our government has not raised taxes in eight years. In fact, they have decreased taxes here. They have made Ontario one of the most attractive business destinations in the world.
