Alberta s Rural Communities: Their Economic Contribution to Alberta and Canada

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1 Alberta s Rural Communities: Their Economic Contribution to Alberta and Canada Colin Gosselin, MPA Rural Development Division Alberta Agriculture and Forestry

2 $77,400,000,000.00

3 Outline of Today s Presentation Key Findings Conference Board of Canada Study (2013) 2011, 2006, 2001 Census Data Rural specific results (provincial, regional, and community level) Rural Employment Rural GDP Economic Footprint of Rural Alberta

4 Key Findings Rural Alberta matters: Over 700,000 people live in rural Alberta Contributed to $77.4 billion of economic activity throughout Alberta and Canada Rural Alberta is growing: Both population and the size of the economy grew between Not growing in every community or region Not growing as fast as urban Alberta Attraction and retention of people a top priority Aging population Will take both jobs and a high quality of life

5 Rural Employment Highlights

6 Top 10 Rural Employers (2011) Industry Jobs Agric., forestry, & fishing 41,625 Retail trade 30,388 Health care 29,297 Educational services 22,175 Mining & oil & gas 18,715 Accom. & food services 17,029 Public administration 16,370 Manufacturing 15,372 Construction 13,744 Other services 13,563

7 Top 10 Rural Employers Average Annual Employment Growth Rate Agric., forestry and fishing -4.1% Retail trade 1.4% Health care Educational services 3.3% 3.1% Mining, oil and gas -0.4% Accom. and food services -4.5% Public administration 5.2% Manufacturing -2.2% Construction 0.8% Other services -0.5% -6% -4% -2% 0% 2% 4% 6%

8 Top 10 Rural Employers ( ) 8% 6% Public administration Percent Employment Growth 4% 2% 2% 4% 6% 8% Construction Other services Manufacturing Educational services Mining & oil & gas Accom. & food services Percent of Employment Health care Retail trade, 0% 2% 4% 6% 8% 10% 12% 14% 16% Agric., forestry, & fishing

9 Employment (by Place of Work) 1,800,000 1,707,385 1,600,000 1,400,000 1,200,000 1,157,609 1,000, , , , , , ,184 Rural CAs CMAs Alberta

10 Regional Employment Growth

11 Rural GDP Highlights Gross Domestic Product (GDP) is the total value of goods and services produced in an area during a given period

12 Goods vs. Services Industries Alberta Rural Services 60.3% Services 46.2% Goods 39.7% Goods 53.8%

13 Top 10 Rural Sectors by GDP: Industrial Structure (% Share, 2011) Rural Alberta

14 Top 10 Rural Industries by GDP ( ) Public administration Educational services Trans. & warehousing Average Annual Growth Rate (AAGR) Rural Industry Retail trade Health care Construction Manufacturing Fin., ins., & real estate Agric., forestry, & fishing Mining & oil & gas 4% 3% 2% 1% 0% 1% 2% 3% 4% 5%

15 Top 10 Rural Industries Per cent of total output (2011) 8% Annuaul Average Growth Rate (AAGR) 6% 4% 2% 0% 2% 4% Educational services Health care Retail trade Agric., forestry, fishing Public Fin., ins., real estate 0% administration 5% 10% 15% 20% 25% Manufacturing Trans. and warehousing Construction Mining & oil & gas 6% Share of rural GDP

16 Share of Provincial GDP 2006 Rural 16.2% 2011 Rural 15.5% CMAs 66.5% CAs 17.2% CMAs 67.2% CAs 17.4%

17 GDP (2002 $ millions) $200,000 $180,000 $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $- $187,037 $125,601 $28,982 $32,455 Rural CAs CMAs Alberta

18 Regional GDP Growth

19 Economic Footprint GDP Impact Rural Alberta s total economic contribution is estimated at $77.4 billion (2009, current prices) This includes rural Alberta s direct GDP, as well as the indirect and induced economic impacts on the rest of Alberta and Canada. Rural firms source additional supplies and services from urban (indirect) Employees and owners spend salaries or earnings (induced) An economic footprint of $65.5 billion for Alberta: Direct contribution of $36.9 billion in rural GDP Indirect and induced impact on urban Alberta of $28.5 billion Contributes to almost $12 billion in the rest of Canada

20 Economic Footprint Employment Impact Rural Alberta contributed to 272,000 jobs in urban Alberta and an additional 144,000 jobs in the rest of Canada. Indirect contribution to 24,000 professional, scientific, and technical services jobs in urban Alberta 22,000 indirect wholesale and retail trade jobs, and 35,000 induced ones

21 Local Example- Lethbridge County 2011 estimated GDP of $312.5 million ($ 2002) Economic structure was 61% goods producing industries, and 39% services. Top 3 Goods Producing Industries and their share of local economy: Agriculture (37%); Manufacturing (14%); Construction (10%) Services: Public Administration (13%); Wholesale Trade (9%); Transportation and Warehousing (7%)

22 Summary Rural Alberta Matters Rural Alberta is Growing Not without challenges Attraction and Retention of People a Priority

23 Contact Info and Questions Colin Gosselin Copy of the report and a recorded hour long webinar including rural demography available at:

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