On Thursday, the Standing Committee on Government Operations and Estimates adopted a motion by Courtenay-Alberni MP Gord Johns to study the role of federal procurement in fostering a resilient domestic personal protective equipment industry.
“At the beginning of the pandemic, Canada did not have adequate stocks of PPE and frontline workers were put at unacceptable risk,” said Johns, the NDP’s Critic for Public Services and Procurement. “While the government scrambled to procure supplies from the global market, it encouraged Canadian businesses to help meet this critical need. Many small- and medium-size businesses stepped up but have since shut down or suffered significant financial losses because the government awarded contracts to multinationals instead of supporting this emerging domestic industry.”
Johns shared with the committee the example of Wayward Distillery, owned by Courtenay veteran Dave Brimacombe. The craft distillery pivoted in the early days of the pandemic to produce ethanol for hand sanitizer but suffered a $400,000 loss after being unable to access federal procurement opportunities or government supports.
“Instead of rewarding companies who stepped up during a time of need, the government left businesses out to dry,” Johns added.
The Canadian Association of PPE Manufacturers has raised the alarm about the future of the domestic PPE industry without government support. As government continues to procure supplies for the healthcare system, it must use its spending power to ensure this industry survives.
“It is in our national interest to ensure we have a resilient domestic PPE industry,” said Johns. “New variants of COVID-19 remain a threat and we must be prepared for future pandemics. But if Canada does not support its own PPE industry, there is a risk it will disappear, and we will once again be caught unprepared in a time of crisis.”