Western Economic Diversification Canada
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Building Capacity for Defence Procurement Opportunities

What are Industrial and Technological Benefits?

The Industrial and Technological Benefits (ITB) Policy was announced in February 2014 as part of the Government of Canada’s Defence Procurement Strategy (DPS) to ensure that federal defence and security procurement is leveraged to create jobs and economic growth in Canada. A core element of the ITB policy is a rated and weighted Value Proposition component under which bidders compete on the basis of the economic benefits to Canada associated with defence procurement projects.

Industry Canada is responsible for the administration of the ITB Policy, as well as the previous Industrial and Regional Benefits (IRB) policy that will continue to be applied to procurement contracts awarded prior to the February 2014 announcement of the DPS.

What’s the WD connection?

Western Economic Diversification Canada (WD) is mandated through the Western Economic Diversification Act, to “guide, promote and coordinate the policies and programs, including those related to industrial benefits, of the Government of Canada in relation to the development and diversification of the economy of Western Canada.”

WD fulfills this mandate by:

  • Developing and implementing the Value Proposition and ITB requirements through providing information on company capabilities, and services, and capacities of industry in Western Canada;
  • Participating in the review and evaluation of the Value Proposition and ITB plans for Canadian defence and security procurements;
  • Connecting global companies that have ITB obligations with world-class Canadian capabilities and technologies; and,
  • Working to support Canadian companies in their efforts to export into foreign defence and aerospace markets.

How can small- and medium-sized enterprises (SMEs) get involved?

It can be challenging for SMEs to participate in global value chains, as prime contractors are increasingly seeking to work with larger companies that have the capacity to undertake Research and Development (R&D) and share in project risks. However, under the ITB policy, prime contractors will be expected to involve SMEs in fulfilling generally 15% of their ITB obligation, and may encounter incentives to exceed this floor. SMEs can ensure their capabilities are known by taking advantage of early engagement opportunities such as Industry Days; following the Government Procurement website; reviewing the Defence Acquisition Guide developed by the Department of National Defence; and engaging with a WD defence procurement contact.

What opportunities are available?

Federal defence procurement projects provide significant business opportunities for Canadian industry. The opportunities available depend on the value of the contracts awarded and the amount of unallocated ITB or IRB obligations of the prime contractor.
Please visit the Industry Canada website for more information on current and potential ITB projects, as well as previous projects with IRB opportunities.

Who can I contact for more information?

WD Regional Offices have lead officers that are the best points of contact for western Canadian companies. For additional information on defence procurement, please contact us at the regional office in your area:

British Columbia

Evin Lebrun
Telephone: (604) 562-8392
E-mail: evin.lebrun@canada.ca

Katrina Siddons
Telephone: (604) 363-0301
E-mail: katrina.siddons@canada.ca

Alberta

Elliot Hewitt
Telephone: (780) 495-8679
E-mail: elliot.hewitt@canada.ca

Saskatchewan

Rick LaBrash
Telephone: (306) 203-0985
E-mail: rick.labrash@canada.ca

Manitoba

Brent DePape
Telephone: (204) 227-3833
E-mail: brent.depape@canada.ca

Ottawa

Andrew Fraser
Telephone: (613) 325-9159
E-mail: andrew.fraser@canada.ca

Peter Hoek
Telephone: (613) 220-4489
E-mail: peter.hoek@canada.ca