Study of mining sector benefits commissioned by the Québec Mining Association : EXPENDITURE OF $5.8 BILLION IN ALL REGIONS OF QUÉBEC
Québec City, December 5, 2016 – Annual expenditure of $5.8 billion in all regions of Québec, 45,500 new and ongoing jobs, the payment of over $1 billion each year to the Québec government and a network of 4,100 suppliers—these are the key points highlighted by the Québec Mining Association (QMA) following a survey of its members focusing on the economic benefits generated by Québec's mining industry.
The survey shows that all regions benefit from Québec's mining industry, including the major urban centres. Contrary to general belief, mining does not just generate benefits in the "resource" regions. For example, in 2014 the mining industry spent $1.4 billion in Montréal, ranking the city second after Abitibi-Témiscamingue, which received over $2 billion. The Côte-Nord region ranked third, with expenditure of $620 million.
"The mining industry is a key driving force for Québec's economic development. We already knew that it generated major benefits, but we now know the share of each region of Québec. We can be proud of the mining industry, which continues to develop Québec's mineral wealth for the benefit of all Quebecers, while respecting people and the environment," says Josée Méthot, the QMA's president and CEO.
Of the 45,500 direct, indirect and induced jobs supported by the mining industry, 15,550 are held by residents of the Abitibi-Témiscamingue region, 6,700 by residents of the Montérégie region, and 4,350 by residents of Montréal. The Côte-Nord region ranks fourth, with 4,000 jobs.
In many cases, the contribution made by the mining industry is measured simply in terms of the royalties it pays. In the view of the QMA, it is important to go further. The total annual contribution paid to the Québec government amounts to more than $1 billion, in addition to the $450 paid to the Canadian government.
"The benefits generated are impressive, and will grow as the mining sector recovers. Until then, our main goal must be to create the conditions that will ensure Québec's readiness once the markets stabilize," concludes Ms. Méthot.
The study is based on a survey of QMA member mining companies concerning their expenditure in 2014. The data was combined with other data from a survey on employment and wages, and was then used to calculate the economic benefits generated by the mining industry in Québec. The response rate for the two surveys was around 97%.
The indirect benefits generated throughout Québec were estimated using simulations from the intersectoral model developed by the Institut de la statistique du Québec (ISQ), while the models developed by EcoTec Consultants were used to break down the indirect benefits by administrative region. The same models were used to (1) calculate the induced benefits and break them down by region and (2) calculate the indirect and induced benefits in other provinces.
About the Québec Mining Association
The Québec Mining Association (QMA) was founded in 1936 and speaks proactively for mining companies involved in exploration, extraction and processing, mining contractors and junior mining companies, along with suppliers, institutions, non-profit organizations and other mining sector partners. It is proud of the 45,000 jobs and total expenditure of almost $6 billion generated by Québec's mining industry. The QMA’s mission is to promote, support and proactively develop a responsible, committed and innovative mining industry in Québec.