Ontario’s government says it will be introducing legislation that would require public-sector organizations to buy provincially produced products first.
The province said the “Buy Ontario Act” would apply to all public sector organizations, ministries, agencies, and municipalities.
Minister of Public and Business Service Delivery and Procurement Stephen Crawford said the legislation would protect jobs in the province in the face of economic challenges, including tariffs.
“It’s about using the public sector’s buying power to back businesses and create jobs in our own backyard,” he said during a news conference in Toronto on Nov. 20.
He said the move would keep procurement dollars in Ontario, saying the public sector spends more than $30 billion on goods and services each year.
“That’s a massive opportunity to support local businesses, and we’re making sure that opportunity stays right here in Ontario. The Buy Ontario Act will replace the current Ontario Business Initiative Act, giving us stronger tools to meet today’s challenges,” Crawford said.
If passed, the legislation would allow the province to mandate public sector organizations to prioritize buying Ontario products first, then Canadian ones.
The legislation would also include measures for compliance, such as penalties and consequences like fines, holdbacks, or barring vendors from future procurement.
This will ensure that “Ontario tax dollars are going to support Ontario workers and using Ontario products like steel, lumber, cars, trucks and more,” the province said in a Nov. 20 news release.
The province said it was working on a vendor list of Ontario and Canadian suppliers, including contractors and subcontractors.
The government said it would still allow for procurement outside of Canada if buying Ontario or Canadian goods cannot be purchased at a “reasonable cost or timeframe.”
Jennifer Cowan and The Canadian Press contributed to this report.
