New Brunswick earns top marks for internal trade progress, but barriers remain
A new report says New Brunswick is making progress on internal trade.
The province received an A in the Canadian Federation of Independent Businesses (CFIB) interprovincial cooperation report card.
According to the report, New Brunswick wasn’t the only province with top marks, with the federal government earning an A+ and 9 other jurisdictions achieving an A.
The CFIB said much of the progress is tied to growing adoption of mutual recognition legislation, including a pan-Canadian agreement that will allow goods approved in one province to be sold in another one without additional regulatory requirements.
However, CFIB says small businesses still find it difficult to see improvements in their day-to-day operations.
In New Brunswick, CFIB Atlantic vice-president Louis-Philippe Gauthier said in a press release the province has made progress on direct-to-consumer alcohol sales and labour mobility, but small businesses still face inconsistent rules, added paperwork and higher costs.
“Until announcements turn into barriers coming down in a meaningful way, progress on paper won’t translate into results for small businesses,” he said.
According to national statistics calculated by the organization, seven in 10 small businesses reported not noticing meaningful changes in doing business across Canada in the past 12 months, with 16 per cent reporting that it has become more difficult.
The report also noted that many small businesses continue to face challenges related to regulatory differences, certification requirements, and delays, which the federation said add costs.
The organization added that awareness is also an issue, with 57 per cent of business owners not yet familiar with recent reforms.
According to the organization, persistent barriers continue to affect “key areas” such as tax complexity, licensing and regulatory differences, and transportation and logistics.
Restrictions on the movement of food and alcohol products also remain a source of frustration for many businesses, limiting their market access and consumer choice.
“Internal trade progress has moved more in the last two years than in the last decade, but too many business owners don’t know what has changed,” said Gauthier. “The New Brunswick government needs to actively work on increasing awareness among businesses operating here of the opportunities available to them in other provinces.”
CBIF is also calling on governments to turn their commitments into measurable results by accelerating implementation and removing the most persistent internal trade barriers, including:
- Allowing products, services, and workers to move more easily across Canada, including areas like food, alcohol, workplace health and safety, and workers’ compensation.
- Reduce trade barriers and special exceptions between provinces and territories.
- Follow through on agreements that make it easier for consumers to buy alcohol directly from other provinces.
- Make rules simpler and more consistent so businesses face fewer costs and less paperwork while operating across provincial and territorial borders.
Gauthier added that all the work done by intergovernmental affairs and individual departments should be part of a “sustained awareness activity undertaken by both OpportunitiesNB and WorkingNB.”
“Small businesses need to be aware of what’s available to them. They need fewer barriers, clearer rules, and real improvements so they can see in the day-to-day as the province continues to work with its counterparts across the country,” he said.