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New Study Finds $1.5 Billion in Port-related Economic Impact

Halifax, NS – May 12, 2009 - Today, the Halifax Port Authority released the results of a study which researched the economic impact of the Port of Halifax and port-related industries such as trucking and rail. The research findings reveal that the Port, and its diverse areas of business, is a major contributor to the local economy with over $1.5 billion in total impact annually.

The direct and spin-off (indirect and induced) impacts of port-related activities include $1.58 billion in gross output, $671 million in Gross Domestic Product (GDP) and 11,190 full-time equivalent (FTE) jobs. Wages and salaries resulting from port activity were $504.7 million and the average wage for direct and spin-off jobs was $45,100, which is 29% above the provincial average.

The study also looked at rail and trucking impacts, two sectors directly tied to the Port of Halifax. In 2007, CN and related rail service providers contributed $170 million to economic output, with long-haul and local trucking activity contributing $160 million.

The study notes that the cruise business continues to have a major impact on local businesses and the tourism industry. The direct impact in 2008 exceeded $50 million from passenger, crew and cruise line expenditures.

The Port of Halifax also generates positive fiscal impacts to the Province of Nova Scotia and the Halifax Regional Municipality. During 2007, port-related employment provided the Province of Nova Scotia with over $76 million in personal income and consumption taxes. Annual payments in lieu of taxes to the Halifax Regional Municipality by the Halifax Port Authority exceed $1 million.

The study noted that there are one-time impacts related to renovation and construction projects. With $45 million in capital expenditures expected over the next five years, this equates to 735 person years of employment and $28.5 million in wages and salaries.

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Contact:

Michele Peveril

Manager, Corporate Communications & Public Affairs

Halifax Port Authority

Phone: 426-1060

 

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