Open the gateway to
the world from Ontario.
An industry focused on rapid growth and tech innovation
In 2023, the size of the global supply chain management industry was estimated at US $23.26 billion and projected to have an 11.1% CAGR between 2023 and 2030.
This surge is due to a heightened understanding of transportation management, planning analytics, precise forecasting, and efficient inventory and warehouse management. Enhanced IT integration and technological innovations have also further strengthened the sector. Notably, the COVID-19 pandemic spurred a rise in SCM utilization to address shifting supply and demand dynamics.
The solutions segment under Supply Chain & Logistics is forecast to be dominated by technology that enhances or automates visibility, efficiency, and compliance in intricate supply chains while also offering cost savings and agility. Transport management systems are seeing a surge in demand due to the rise of smart connectivity and sensor technologies that offer companies real-time vehicle data, like routes and estimated arrival times, thus improving the supply chain.
The service segment is anticipated to see robust growth in the coming years. SCM services enhance supply chain operations by offering data-driven insights. By providing real-time cost evaluations, highlighting inefficiencies, supporting sales planning, and helping in inventory management for cost savings these services modernize monitoring, boost performance, and minimize risks.
A trusted link in the world’s supply chain
Canada is a renowned, trusted link in the world’s supply chain, from a variety of manufacturing hubs to a vast transportation network and trade agreements that provide access to billions of consumers. Canada’s transportation network includes over 550 port facilities, 26 national airports, 13 international airports, extensive rail coverage with 41,465 route kilometres, and a large fleet of over 24 million road motor vehicles. These infrastructure assets contribute to the movement of goods valued at over US $1.2 trillion.
Canada’s budding logistics and supply chain technology (LSCT) sect or has been pivotal in enhancing both national and business competitiveness by bridging domestic and international markets. Canada has approximately 162 active LSCT firms, with the majority based in Ontario (87) and Quebec (29). The LSCT arena in Canada predominantly comprises companies specializing in Supply Chain and Logistics Analytics, Fleet Management, and Sensors and Asset Tracking. Cutting-edge technologies widely adopted include enterprise software, big data analytics, AI, and cloud computing.
Road transport plays a key role in Canadian commerce and moves almost 40% of total merchandise trade. This is largely due to Canada’s significant cross-border trade activities with the U.S. and the deeply-rooted trade links between the two nations.
Water transport comes next, accounting for 28%, serving as an economical and efficient means for trading with countries outside North America, especially for heavier items. Both air and rail constitute about 12% each of the total trade, each offering distinct benefits depending on the situation.
The last 9% encompasses categories like pipelines and power lines, essential for transporting energy commodities such as crude oil, natural gas, and electricity.
Strategically positioned to reach billions of customers
Ontario alone has 14 road border crossings into the US, and 4 international airports – Thunder Bay International, Toronto Pearson, London International, and Ottawa International – which means your goods are just a quick flight away from New York City, Washington, or Chicago, and can even get direct flights to Tokyo, London, or other major cities.
Additionally, Ontario is also a renowned tech hub, which creates a dynamic environment for Supply Chain & Logistics tech to foster innovation, surrounded by a plethora of top tech talent, and Supply Chain & Logistics giants.
With 71% of Ontario’s adults having a post-secondary education, it tops the list among OECD nations. The province’s academic institutions, like the globally recognized University of Toronto, rank within the top 20 universities worldwide. Additionally, the University of Waterloo’s alumni are the second most sought-after by Silicon Valley firms.
Ontario is the second largest tech cluster in North America, 48% of Canada’s IT professionals reside here. The Toronto-Waterloo corridor particularly has an impressive tech ecosystem, with 16 universities and colleges, 15,000 tech companies, and 5,200 startups. The abundance of tech workers in this region is nearly equivalent to that of New York City.
Canada’s trade agreements cover markets valued at over US $50 trillion with access to 1.7 billion consumers. Canada has free trade agreements with the largest manufacturing markets in the world: the United States (USMCA), the European Union (CETA) and Asia-Pacific (CPTPP).
Your business can have access to 187 million consumers within a day’s drive of the Greater Toronto Area. Ontario has 4 international and 300 regional airports, 250,000 km of roads and highways, a dozen border crossings and the 6th most internationally connected airport in the world.
See all of our programs and find out how TBDC can maximize the potential in your Supply Chain & Logistics business.
Largest Supply Chain & Logistics sector in Canada
border crossings to U.S.
ports
regional airports
kilometres of roads
most internationally connected airport
Funding, Resources and Organizations
Using the Business Benefit Finder, you can find many more government grants and incentives relevant to your tech startup.
OCI supports innovation and collaboration between industry and academia. It provides funding and resources for research and development projects to drive innovation and technology adoption.
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