Accelerating Prosperity: The Life Sciences Sector in Ontario
Deloitte estimates that the Ontario life sciences sector produces $27 billion of economic output, making it one of the largest sectors in the provincial economy.
March 1st, 2019 – Toronto, ON – It’s safe to say, Ontario’s life sciences sector is a significant economic driver that has a massive potential to offer more for Ontarians and Canadians alike. At this very moment, we have an economy that is being transformed by an aging demographic, globalization and rapid technological change. To address these challenges, Ontario needs to make significant changes, in particular, Ontario needs to shift the focus to value-based, evidence-based innovative sectors that have high growth potential and can create high-quality, high-paying jobs. To that end, Life Sciences Ontario (LSO) is proud to announce the release of the 2019 Sector Report, a study of the economic contribution and forecasted impact of the life sciences sector in Ontario conducted by Deloitte.
Ontario’s life sciences sector generated an estimated $56.8 billion in revenue, making it a significant economic driver in the province.
Jobs in the life sciences sector typically have a greater earning capacity, as evidenced by wages that are 24 percent higher than the provincial average.
There were an estimated 6,140 life sciences establishments in Ontario; approximately 80 percent of these were in the Medical Device and Equipment or Research, Testing and Medical Laboratories segments.
An estimated employment of nearly 90,000 is supported by Ontario’s large and vibrant life sciences sector.
Approximately $5.5 billion in wages was generated by Ontario’s life sciences sector employment.
The economic activity of the sector supports $31 billion in output from other industries due to indirect and induced contributions and close to a further 100 000 positions.
Time and time again we have heard that there is a lot more that Ontario can do to unlock the potential of Ontario’s life sciences sector. The Deloitte report examines successful life sciences initiatives in other advanced life sciences jurisdictions and provides a unique analysis of the potential impact that could be realized in Ontario.
In order for Ontario to fully realize the potential of the life sciences sector, government must be a catalyst for accelerated growth. The life sciences sector in Ontario needs an environment that can help life sciences firms overcome the hurdles to growth. The sector has the potential to support an incremental 97,000 jobs over the next 10 years with a dedicated, coordinated life sciences strategy in Ontario. If successful, a stronger life sciences sector could be a significant contributor to Ontario’s future prosperity.
To read the full report: Economic Study Full Report
For more information:
Manager of Public and Government Relations
ABOUT LIFE SCIENCES ONTARIO (LSO)
Life Sciences Ontario is a member-driven organization that represents and promotes the province’s vibrant and diverse life sciences sector. LSO collaborates with governments, academia, industry, and other life science organizations in Ontario and across Canada to promote and encourage commercial success throughout the sector. Membership in Life Sciences Ontario includes individuals, students, emerging companies, investors, service providers, and companies with marketed products. The organization provides a wide range of networking and educational events, and operates a mentorship program that is helping to develop highly-skilled talent and build new business opportunities for the life sciences sector. LSO is an effective conduit for delivering policy options to governments, and is dedicated to promoting Ontario’s life sciences sector internationally.