Editorial - 27-18

Initial details on the pending update to the 2007 federal S&T Strategy suggest that, rather than a substantive shift in current policy, the new framework will be more modest in scope (see page 3). Much will have changed in the seven years between the original strategy and the 2014 unveiling of the new document and we can expect those shifts in the domestic and international innovation ecosystem to be addressed.

But is incremental change the right approach? Canada's R&D and innovation performance has deteriorated significantly since 2007, with virtually every report and ranking showing declines or stagnation in research output, business R&D, the creation of companies of global scale and government support. The current strategy has clearly fallen short of its objectives.

The Jenkins Expert Panel recommended a re-balancing of direct and indirect support for business R&D but to date there has been little evidence that the government is following that advice with much enthusiasm. Rather than boost overall support for private sector R&D and innovation, the current approach seems to be a reallocation of support for basic research to applied R&D.

Many experts have repeatedly asserted that both are required if Canada is to reverse the declines of the past seven years and ensure business has the raw materials for innovation. Broad, transparent consultation will assist the government in crafting a new strategy that is effective in transitioning to a knowledge-based economy. Anything less will hamper Canada's ability to confront the serious challenges that lie ahead.