Moncton’s Tale of the Tape Shows the City Is an Economic Powerhouse
Moncton’s economy is going strong! It’s forecast to grow by 1.6% in 2018, bolstered by renewed growth in the manufacturing sector and continued strength in the service sector. But those aren’t the only sector stars! Transportation and warehousing, and wholesale and retail trade are expected to post increases in output above 2%, well above the provincial average.
Moncton’s economy is packing a punch! The GDP is on the rise with the real GDP expected to grow another 1.6% in 2018.
We’re at the centre of the action! Bring your business to a city whose economy is flourishing, with widespread increases across most sectors expected to boost the real gross domestic product.
Moncton dominates! We’re outperforming the province and, in some cases, the country when it comes to key sector growth.
We’ve got lots to choose from! There are more than 190 manufacturing firms located in Moncton, making it the third largest manufacturing centre in Atlantic Canada. The professional services sector boasts over 700 firms and more than 3,300 employed in the sector. We’re also well educated. The region is home to three universities and satellite campuses of two others as well as five colleges. Often these programs can be customized with regional partners to meet the demand of employers. In total, there are an estimated 8,000 students enrolled in university and college programs in the region. How’s that for diverse?
What does the tale of the tape look like? We have some impressive trends!
- Population growth rate (2011–2016)
- Average household income
- $73,386 Source: Environics Analytics
- Percentage of adults with post-secondary education
- Unemployment rate
- 5.8% (October, 2018)
- Value of building permits (2017)
- $243.4 million
- Average home price (October, 2018)
- $180,000 Source: Canadian Real Estate Association
- Average office and retail lease rates
- Range $6.50/sq.ft. – $12.50/sq.ft. NNN
- Most Common $9.00/sq.ft. NNN
- Range $10.37 – $14.79/sq.ft. NNN
- Most Common $13.06
- Average industrial land cost
- Open Industry $30,000 / acre
- Traditional $40,000 / acre
- High Standard $50,000 / acre
- Premium $70,000 / acre
- Cost of electricity (March, 2018)
- GENERAL SERVICE 1 (STANDARD)
- Service Charge: $22.70
- First 20 kilowatts of demand: No charge
- Additional kilowatts of demand: $10.45/kW
- First 5000 kilowatt hours: 13.07¢/kWh
- Balance kilowatt-hours: 9.27¢/kWh
- Business license cost
None, except for a small group of select sectors:
- Firearms Licences for Businesses
- Gasoline and Motive Fuel Wholesaler’s Licence
- Seafood Processing Licences and Certificates
- Tobacco Wholesaler’s Licence
- Average processing time for a building permit
- 2 weeks
- Commercial property tax rate (2018)
- 2.475% municipal
- 2.04% provincial
- Corporate income tax and sales tax rates (April 2018)
- Small business rate 2.5% up to $500,000
- General rate 14%
- HST 15%
- Largest employers
- Medavie Blue Cross
- RBC Royal Bank
- Rogers Communications
- Irving Personal Care
- IGT (formerly GTECH/Spielo)
- Assumption Life
- Armour Transportation Systems
- Apex Industries
- The Co-operators
- Tangerine Bank
- Leading industries
- Finance & Insurance
- Transportation, Distribution & Logistics
- Contact Centres (Back Office & Support)
- Gaming & Animation
Manufacturing is heating up! With the lower Canadian dollar and the stronger US economy, Moncton is forecast to have increased demand for manufactured goods.
We’ve got the goods! Our manufacturing output is expected to rise by 2.2% this year. Food manufacturing is particularly strong with 29 establishments, including Molson Coors, Amcor, and Fancy Pokket. Wood and paper related manufacturing is anchored by Irving Consumer Products and Norampac. There are also more than 800 people employed in metal fabrication and equipment manufacturing with Apex Industries Inc. and IGT (formerly GTECH/Spielo) as the two largest players.
Moncton’s economy is one of the best, pound for pound, and its population is on the rise with housing starts remaining strong in 2018.
Our service sector is flexing some muscle!
Moncton’s service sector is expected to grow by 1.7% this year. Wholesale and retail trade is forecast to be up as consumers responded to an increase in employment.
The service sector is booming and continues to be one of Moncton’s fastest-growing sectors. When you benefit from lower operating costs and have access to a high-quality, bilingual workforce able to service clients in both English and French, it’s no wonder!