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Canadian businesses need to do a better job of capitalizing on the talents of immigrants and the power of diaspora networks if they are to thrive in a global economy, say University of Toronto researchers.

In their recent report, , researchers Serene Tan and Maurice Bitran explore the ways in which governments and businesses could leverage diaspora networks to strengthen the economy and improve the lives of all Canadians.

Writer Dominic Ali asked the authors to reflect on some of the most important lessons they learned about how Canada can take advantage of the experience, knowledge and global networks of its people.

Can you sum up this report in 100 words of less?
Canada needs to diversify its global economy, and it's time to realize that the diasporas present in Canada have the potential to connect to the economies of other countries, particularly the emerging ones. Canada's population is made up of immigrants and children of immigrants—people who are connected with the rest of world. To ignore these networks and their potential for economic connectivity would be a mistake; Canada's policy development approach needs to change from a collection of ad hoc policies to a consistent front-of-mind “diaspora lens” in the formulation of economic and social policy.

Why does Canada continue to rely on trade with the U.S. instead of forging connections with other countries?
Business complacency—it's easier to trade with the U.S. due to long established routes, laws, and customs. The same language is used in both countries. They share a large border, so transport costs are lower.

What was the biggest surprise you learned while researching this report?
Business-oriented diaspora networks in Canada tend to focus on local partnerships and initiatives rather than looking outwards to do business overseas.

How can government encourage more trade and knowledge transfer with diaspora networks?
These are just a few of our recommendations:

• Encourage increased participation of chambers of commerce and immigrant networks in incoming and outgoing trade missions.
• Encourage firms to value the diversity of their staff and leverage their technical and cultural competencies when expanding to new markets.
• Reduce transaction costs for export deals under $1 million.
• Reduce wait times for business visas or allow their application without the retention of passports.
• Enhance opportunities for “brain circulation” through increasing the ease of foreign students’ participation in Canada’s universities and colleges, and Canadian students’ participation in foreign institutions.
• Simplify pathways to permanent residence for international student graduates of Canadian colleges and universities.
• Encourage Canadian organizations and institutions to develop research and expertise relevant to the needs of new and emerging economies.

Have you seen any changes to the way Canada encourages more dialogue with diaspora networks over the past decade?

I think there are increasing levels of interaction between networks, as well as with the Canadian government. I cannot say for sure who initiates the contact—the Indo-Canada Chamber of Commerce, for example, makes annual mission trips to India and always invites government—municipal, etc., as well as Canadian business people to join them. The Canadian government also appears to be making more of an effort to consult with diaspora networks (e.g., for trade agreements/partnerships).

Will Canada do more to encourage trade with diaspora communities?
I try to be optimistic. But I can't say that this is an entirely new issue. People have mentioned this before, but it's never gotten very much noise, or action.

Dominc Ali is a writer with University Relations at the University of Toronto.