Commodity Boom Not Going Away
Scotiabank Vice President Patricia Mohr Bullish About Mining Prospects
OTTAWA, Nov. 20, 2012 /CNW/ - In a keynote address to the Economic Club of Canada, Patricia Mohr, Scotiabank's Vice President of Economics and Commodity Market Specialist, provided a bullish outlook on mineral and metal prices over the long term, underscoring the potential value to Canada as a major mining jurisdiction.
"Over the medium-term, the 'emerging markets' including China will remain supportive for commodity prices, notwithstanding this year's slowdown," said Ms. Mohr.
In her address, Ms. Mohr looked at the fundamental drivers of the mining business; in particular, the role of China and 'emerging markets' as consumers of mineral and metal products. While China is in transition to lower-trend growth, further industrialization, modernization and urbanization will continue to drive demand for metals. Ms. Mohr points out that metals and minerals account for one-third of Canada's net exports of all commodities and resource-based manufactured products. New mining plays—such as the world-class 'Labrador Trough' iron ore region and 'The Ring of Fire' chromite development in northern Ontario—will continue to provide significant economic benefits to Canada.
"Ms. Mohr's comments underscore the major opportunity for Canadians to capitalize on new investments in the mining sector, estimated to be worth $140 billion over the next decade," stated Pierre Gratton, CEO of the Mining Association of Canada (MAC). "Keys to success will be creating an enabling regulatory environment, proactively addressing skills shortages and investing in critical infrastructure to capitalize on new projects and ensuring access to emerging markets."
Ms. Mohr's address to the Economic Club coincided with MAC's annual Mining Day on the Hill, during which representatives of Canada's mining sector met with politicians and officials to discuss opportunities in the mining industry and key challenges.
The Mining Association of Canada is the national organization for the Canadian mining industry. Its members account for most of Canada's production of base and precious metals, uranium, diamonds, metallurgical coal, mined oil sands and industrial minerals and are actively engaged in mineral exploration, mining, smelting, refining and semi-fabrication. Please visit www.mining.ca.
SOURCE Mining Association of Canada (MAC)