Ontario is the place where the world does business

Archived Release

Ontario is the place where the world does business

Ministry of Municipal Affairs and Housing

TORONTO, Feb. 18 - The McGuinty government has proven to investors that Ontario is the place where the world does business, with a highly skilled workforce and operating costs 7-9 per cent below the United States, Minister of Municipal Affairs John Gerretsen, announced today. "This is great news for the province and independent evidence that companies seeking a gateway into North American markets should set their sights on Ontario," said Gerretsen. "Our new government is proving to international investors that our quality of life, skilled workforce and competitive operating costs make Ontario municipalities the best place to do business." The minister made the remarks at the official launch of KPMG's 2004 Competitive Alternatives international business cost study at the Toronto Stock Exchange today. The independent study conducted by professional services firm KPMG compares 27 cost factors in 121 cities across North America, Europe and Japan, and is the benchmark comparison of business costs in the G7. "The McGuinty government is focussing on bringing back prosperity for all Ontarians: we're investing in skills training, supporting our key industry sectors like automotive and life sciences, and working cooperatively with the federal government and our cities to create real, positive change," said Minister of Economic Development and Trade Joe Cordiano. "This study shows Ontario has unlimited potential to be an innovation leader and magnet for investment. We can build an Ontario that is the envy of the world with a quality of life second to none." The highlight of the 2004 report was Canada's number one ranking for the lowest business costs, on average outpacing the United States by nine per cent. Ontario cities did similarly well, giving the province an average seven to nine per cent cost advantage over the U.S. Canada was also singled out for its progressive tax treatment of research and development spending. Ontario is particularly attractive for R&D companies, as the real cost of $100 of R&D spending can be reduced to less than $42 after tax credits. The province's auto sector also showed a seven to ten per cent cost advantage over Detroit's automotive industry, making it particularly attractive to auto manufacturers. Disponible en fran├žais www.ontariocanada.comFor further information: Patti Munce, Minister's Office, (416) 585-6333