MINING: GENERATING SUBSTANTIAL ECONOMIC BENEFITS FOR THE CÔTE-NORD REGION
Québec City, October 20, 2020 – A new study of the economic benefits generated by the mining industry in Québec, published by the Québec Mining Association (QMA), confirms that the Côte-Nord regions ranks in the Top 3 Québec mining regions in terms of the economic benefits generated by mining activities. It saw $2.16 billion in spending by mining companies, out of a total of almost $10 billion for Québec as a whole, representing an increase for the region of more than $1.5 billion since 2014. This is one of the findings from a study published by the Québec Mining Association (QMA) that provides an overview of the impact of mining on Québec’s economy.
In addition to spending, the study shows that almost 7,120 of the 48,000 total jobs supported by the mining industry are held by residents of the region, including 2,434 direct jobs, which places the region in second place in Québec, behind the Abitibi-Témiscamingue region which ranks first with a total of almost 15,000 jobs. Montréal comes third with 6,405 direct, indirect and induced jobs. Finally, nearly 175 mining industry suppliers are based in the Côte Nord region.
The mining industry’s contribution to prosperity and economic vitality in the region is clear, since it accounts for almost 20% of total income from employment. It is also important to mention that the average annual salary in the industry is close to $104,000, well above the average annual salary in Québec of $64,000. The mining industry contributes almost $2 billion, or 32% of total GDP for the Côte-Nord region.
The study also addresses a frequently-asked question: how much do governments receive from mineral resource development? The answer: over $1 billion each year. More specifically, $1.3 billion was paid to the Québec government alone in 2018, without including corporate income tax, while the Government of Canada received a further $500 million.
Although the data relates to activities in 2018, it is the most recent available and provides a representative view of the contribution made by the mining industry to Québec’s socio-economic development.
The full report can be viewed here.
“It is always striking to see the contribution made by the mining industry to Québec’s economy, and this holds true also for the Côte-Nord region. The upward trend in the region since 2014 is impressive.
The way in which the region’s mining sector has been able to innovate and grow over the years offers hope for the future. Strong iron ore prices are another encouraging sign that point to ongoing economic benefits in the coming years.”
“Thanks to the resilience of the workers in Québec’s mining industry and their ability to innovate, mining companies have returned to the levels of activity seen before the COVID-19 pandemic relatively quickly. However, it will be interesting to see, in the next study of economic benefits covering the results for 2020, whether the pandemic has had an impact on employment and expenditure in the Côte-Nord region. However, it is in a strong position to recover from the current situation and to continue to enjoy the benefits generated by the mining industry.”
- Josée Méthot, President and CEO of the Québec Mining Association
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 48,006 jobs and total expenditure of $9.9 billion generated by Québec's mining industry in 2018. The QMA’s mission is to promote, support and proactively develop a responsible, committed and innovative mining industry in Québec.