The Saint John Board of Trade congratulates Irving Shipbuilding on yesterday’s announcement by the Federal Government awarding them the $25 billion National Shipbuilding Procurement Strategy contract for combat vessels. “The contract awarded will enable Irving Shipbuilding to undertake long term planning, which will provide stability and certainty to their supply chains – a very welcome piece of news for our region in today’s economy!” said John Warrington, Chairman of the Saint John Board of Trade. “The whole region will benefit financially from this contract. We are very excited about the opportunities for businesses in our region to benefit, both directly and indirectly, from the economic spinoffs of this investment.”
The National Shipbuilding Procurement Strategy contract is expected to see the Canadian economy grow by an estimated $1.5 billion in peak years, and potentially create 11,500 jobs in Nova Scotia and 4,500 jobs outside the province. “As one of only three shipyards across the country on the short-list of potential bidders and the only shipyard in Atlantic Canada on the short-list, we are thrilled the experience of our highly skilled workforce was recognized” said John Warrington.
Irving Shipbuilding’s Halifax Shipyard and the Atlantic region have a proven record of expertise in building naval ships. Irving Shipbuilding alone has built over two dozen government vessels, and numerous commercial and off-shore vessels. “Their ability to offer shipbuilding, fabrication, conversion and repair facilities, and a strong supply chain that stretches throughout the Atlantic Provinces makes them a logical choice for the combat vessel contract” commented Mr. Warrington.
“The Irving companies have a proven record in the Maritimes of using the local supply chain. I fully believe companies across the Atlantic Provinces will benefit from the contract awarded to the Halifax Shipyard” Mr. Warrington continued. “We’re a community on the East Coast – we want to see everyone rise together and realize that what’s good for one will be good for all. Our Chambers of Commerce work together, our Governments work together, and naturally our businesses work together.”
In 2009 and 2010, Irving Shipbuilding worked with 115 New Brunswick suppliers, more than thirty of those suppliers had contracts worth over $100,000, and eight at more than $1 million. For every $1,000 in real GDP generated from shipbuilding inside Nova Scotia by this contract, another $491 is expected be spent in other regions across Canada, $20 of which will be spent in the other Atlantic Canadian provinces. “This is a multi-billion dollar, long-term project which will strengthen many companies in our region” Mr. Warrington mentioned “We’re very excited for Irving Shipbuilding to begin work on this long term contract.”
The Saint John Board of Trade is a nationally accredited business organization dedicated to fostering an economic climate that enhances growth, prosperity, and an improved quality of life in the community. With more than 1,000 members, representing 600 small, medium, and large businesses and organizations and therefore, the interests of more than 30,000 citizens, the Board is a dynamic advocate and the principal voice for the business community of Greater Saint John. The elected Board of Directors is representative of the diversity of the membership and their concerns.
For more information contact:
John Warrington, Chairman Imelda Gilman, President
(506) 632-2446 (506) 634-4157