Cross Border Business

Private sector must lead the charge on border challenges

BY CHRIS MILLS The Business Executive

Arlene White:

NIAGARA REGION — Businesses and entrepreneurs need to lead the charge with binational thinking, their cheque books and new ideas to face the challenges of today’s cross border issues.

“You’ve got to look at the regional geography,” says Arlene White, executive director of the multi-faceted Binational Tourism Alliance (BTA), a consortium of businesses, government and organizations in Ontario and New York, “and the strongest ones are binational because theirs are trade corridors that everyone depends on.

“Binational is the future, but we’re definitely going to have to start rewriting the rules.”

White contends, “What a lot of people don’t understand is that border regions are the economic engines for North America. It’s not just driving the immediate area’s economic needs, but literally Canada and the U.S. are dependent on open borders, good trade policies, and good business and social relationships.”

Casually organized around tourism and cultural issues in 2000, the BTA incorporated on both sides of the border with a single board of Americans and Canadians in 2004 and 2005 (respectively) with a mandate to eliminate barriers to cross border tourism and cultural development.

Considering the downhill course of border matters since security concerns surrounding 9/11, the SARS scare, the U.S./Canadian dollar shift and lately Homeland Security pursuit of passport-only border crossing, the battle’s been uphill.

However, says White, “NAFTA made big steps forward in terms of trade agreements, but didn’t really change the way we operate at the border. If you look at the European Union methods, why aren’t we taking the same steps to solidify the idea of Canada and the U.S. as a huge trading block? Some people have issues with Mexico, but this is the way of the world and we’re in global competitive situations now. It’s not just competing with the guy next door.”

White observes that North American manufacturing associations created partnerships across the border for the chemical industry and the auto industry in the 1950s, and that kind of cooperation is necessary in new untried sectors like transportation (i.e. highways and rail), and manufacturing.

“That’s where we have to take a second-phase NAFTA step to get us to a new way of thinking, a new geographic identity of the area, and get over the mindset about the competition next door.

“I just find it very challenging and frustrating when I hear people say buy Canadian, buy American. That doesn’t mean anything anymore. My Toyota was made in Cambridge, Ontario. GM makes some of their trucks in Mexico. For people to put up these artificial barriers just doesn’t make sense.”

While White concurs that government support is necessary, governments won’t move on issues until the private sector tells them it’s a problem.

“It’s up to the private sector and the local communities to lead the charge on all of these things because the government will only do what the constituencies say is important. They’ve got a whole bunch of other things to do, when you consider the cost of health care and education alone.”

A prime example would be the new convention centre in Niagara Falls that took years of diligent pursuit to built the right business case and for investors to put down their own money before the federal and provincial governments kicked in.

“It’s going to take that kind of dedication and vision for working together for something that’s going to be for the broader good, instead of get-fixed-quick solutions that we’ve had, because yesterday’s answers aren’t working anymore.”

White pointed out how the Pacific Northwest Economic Region (PNWER) has since 1991 combined partners from business, tourism, academia and government to create a cooperative trading block within the Yukon, British Columbia, Alberta, Oregon, Washington, Montana and Idaho corridor.

Manitoba has developed two-nation vacations with Wisconsin and North/South Dakota. “The three binational regions (Niagara, Windsor/Detroit, Vancouver/Seattle) are among the top ten urban areas of growth in North America. People need to understand that growth isn’t going east and west,” says White.

For instance, “Niagara’s been talking about the transportation problems forever,” says White. “They want to move people around who live here, but that isn’t sustainable because they’re dealing with a population of only 450,000. But if you add all the business needs to get stuff back and forth across the border, then the travel potential between New York state and Toronto, (and) you could have something very sustainable in a regional transportation plan.”

Cross border issues and potentials with a heavy emphasis on solutions and results will be the major component of the “Shift Happens” Binational Tourism Summit 2008 in Buffalo, NY, April 3 and 4. TBE 

Calamar boasts new name and new location

BY DENIS GIBBONS The Business Executive

Tom Weeks

Calamar, a one-stop shopping centre for developers, is moving its Canadian head office from Niagara-on-the-Lake to Stoney Creek in April. The new location is on McNeilly Road, just off the Queen Elizabeth Way.

Formerly Draftcon Calamar, the company also will change its name to Calamar.

“In Stoney Creek we will be better positioned to serve our customers from Niagara Falls right up to the Toronto area,” said Tom Weeks, the firm’s executive vice-president of construction. “And we realized that to help promote cross-border business, we would be better served by marketing ourselves under one name.”

Draftcon is a company that Calamar acquired.

“We are constantly looking at opportunities for U.S. clients to start up in Canada or vice versa,” Weeks said.

Weeks said the major reason companies want to move is to be closer to their markets.

“If they’re distributing in the U.S., for example, some firms find it better to be in the States,” he said. “The value of the dollar is cyclical enough that they find it tough to make business decisions solely on that factor.”

He said the majority of Calamar’s business is focused on recessionary-proof industries like seniors housing and medical office buildings.

“And we are starting to do some work in agriculture now,” he said.

Calamar, which is headquartered in Wheatfield, N.Y., just outside Buffalo, is well known for its concrete tilt-up construction. It is licensed by CON/STEEL to provide design services to clients in western New York and Ontario, offers financing that other firms can’t and provides leasing and property managing.

The company opened its Canadian office in 2004. A business development park called the Compass Centre also was established in Niagara-on-the-Lake.

Gary Ulias, who is charge of the Canadian division, says concrete tilt-up construction is very popular with customers because it’s 15 percent faster than conventional construction.

“The cast concrete panels are produced right on site and we can produce panels as large as 50 feet by 95 feet,” he said. “We bring in a large crane and stand them right up. The insulated concrete lasts for centuries, and the heating and cooling costs are about half of what they would be with conventional building.”

Calamar uses the tilt-up construction system almost exclusively for its own buildings.

Calamar’s construction staff has overseen approximately $125 million worth of projects over the past decade. It currently is building an electronics plant for Industrial Encoder in St. Catharines and a 50,000 square-foot building for Cargo Wall in Darlington, east of Toronto.

The company was recognized with an industry award for the design of its corporate headquarters building in Wheatfield. One hundred and five projects were considered, but only 40 of them were selected to receive awards.

It also won four major awards for its design and construction of the Hana America building in Niagara Falls, Ont.

Calamar provides services right across Ontario. TBE

Federal Government proposes amendments to the Customs Act

OTTAWA — The Honourable Stockwell Day, Minister of Public Safety, has taken another step to enhance Canada’s border security and prosperity by introducing amendments to the Customs Act in the House of Commons.

“Stopping illegal activity and protecting Canadians from threats to their health, safety and security is a key priority for this Government,” said Day. “These changes give Canada Border Services Agency officers the information, tools and flexibility they need to detect threats and tackle crime, while ensuring that legitimate trade and travellers can cross the border efficiently.”

The amendments will make it mandatory for all businesses involved in the import trade chain to provide the Canada Border Services Agency (CBSA) with electronic data on their shipments before the goods reach Canada. With this advance information, the CBSA will be able to make better decisions about the admissibility of the goods, including whether the goods pose a risk to Canadians.

Other amendments will enable the CBSA to fully implement “customs controlled areas,” which will provide border services officers with the flexibility to examine goods and question and search people anywhere within those areas, as opposed to only at exit points as in the current Act.

“Enhancing border security is a key priority for our Government,” said Day. “Our Government has made significant investments in support of a smart, secure and trade-efficient border. For example, it has invested $430 million to upgrade border infrastructure and security. It is arming 4,800 CBSA officers and hiring 400 new officers to eliminate situations where they have to work alone. Today’s announcement further demonstrates our Government’s commitment to strengthen the integrity of our border.”

The proposed amendments are available at www.parl.gc.ca.(Source: Canada Border Services Agency) 

Canada’s first enhanced driver’s licence launched in B.C.

VANCOUVER — Canada’s first enhanced driver’s licences (EDLs) will be available in British Columbia for use by eligible B.C. residents driving to the United States, Premier Gordon Campbell and Public Safety Minister Stockwell Day announced recently. EDLs are proposed as an alternative to the passport that will be required to enter the United States at its land and water borders no earlier than June 2009.

“The enhanced driver’s licence is a new, voluntary option for drivers that allows for more convenient travel to the United States,” said Premier Campbell. “Since 2006, British Columbia has worked with the Government of Canada and Washington state to develop an enhanced driver’s licence that will meet the new U.S. requirements at the border. This new licence will encourage closer social ties with our U.S. neighbours and support economic growth on both sides of the border. I congratulate Washington Governor Chris Gregoire for her persistent and hard work with me in reaching this step.”

“We have worked hard with the U.S. government to ensure that legitimate trade and travel across our borders are not disrupted as a result of the U.S. Western Hemisphere Travel Initiative (WHTI),” said Minister Day. “We are encouraged to see that our efforts are leading to recognition that enhanced driver’s licences can serve as an acceptable alternative to passports to enter the United States at its land and sea borders.”

“We have strong social and economic ties with British Columbia; it is our number one trading partner,” Washington Governor Chris Gregoire said. “We wanted to find a way to boost security at our border without hampering trade and tourism. This is particularly important with both the 2009 World Police and Fire Games and the 2010 Winter Olympics in British Columbia fast approaching. I commend Premier Gordon Campbell and Minister Stockwell Day for collaborating with us in Washington to ensure we maintain our strong relations.”

The B.C. EDL program will begin as an initial phase, in which 500 EDLs will be offered at the designated Driver Services Centre in Richmond and Cloverdale. Eligible participants must be Canadian citizens, born in British Columbia and hold a valid B.C. birth certificate and a valid B.C. driver’s licence.

This initial phase will allow the governments of Canada and British Columbia to test the effectiveness of the program, and based on the results, the program could be extended to all Canadian citizens residing in British Columbia.

The WHTI is a U.S. law, now in effect for air travel, which will eventually require all travellers, including U.S. and Canadian citizens, to present a valid passport or other secure document when travelling to the United States from within the western hemisphere. Alternate documents to a passport include NEXUS and FAST cards.

More information about the U.S. WHTI is available at www.cbsa-asfc.gc.ca.

(Source: Public Safety Canada)