I rise today to tell honourable members about an initiative that the Department of Innovation, Trade and Rural Development is undertaking to improve the economy of our province.

Over the last number of years, we have helped form a number of business networks in Newfoundland and Labrador in which the goal has been economy of scale and the pursuit of new markets.

On the Northern Peninsula, for example, we helped 12 companies form a business network and last year helped them travel to Greenland where there exists a housing shortage and a lack of skilled people to build them.

As a result of that visit, three of the companies, which are all in woods-related industries, have formed a consortium to build panelized houses in Newfoundland and Labrador to be shipped to Greenland.

Further south, in the Stephenville-Corner Brook area, the metal fabrication industry was looking for new markets. So we helped six metal fabricators form a business network.

We know that Alberta metal fabricators are stretched to capacity and that a market exists for exporting metal products to Alberta. A transportation study was carried out, as well as a capacity study to see if it is feasible to manufacture and send goods to Alberta, and it is . Next month, network representatives will travel to Alberta to look for new clients. I would like to add that we are working on identifying opportunities in Alberta for metal fabrication companies all throughout the province.

This province has a long history of co-operatives. Since February, we have helped form four business cooperatives: a three-farm co-operative in Labrador; a three-farm co-operative in Robinsons; a province-wide, 14-member blueberry co-operative; and a six-member e-business co-operative on the Baccalieu Trail. These co-operatives allow for lower costs through sharing of equipment and increased marketing opportunities.

Finally, when these companies become successful, and I have no doubt they will, they will need financial help. One source is from people called angel investors, sponsors with deep pockets. To this end, we have invested $40,000 in the St. John�s Board of Trade�s Angel Network. The board will bring companies and potential investors together, including companies in rural parts of our province.

Business networks are part of our broad array of tools to help business. Other tools include our Small- and Medium-sized Enterprise Fund, the Business and Market Development Program and our new Commercialization Program. With these tools the Department of Innovation, Trade and Rural Development is helping to grow the economy of Newfoundland and Labrador.

2006 12 07                        1:45 p.m.