The federal government should establish a Canadian Competitiveness Council within Industry Canada to help implement a host of proposed measures to enhance Canada's competitive advantage. The recommendation was one of 65 contained in the eagerly awaited final report of the Competition Policy Review Panel to increase competitive intensity through productivity and business environment enhancements.

Chaired by LR (Red) Wilson, former chair of BCE Inc and reporting to Industry minister Jim Prentice, the Panel is calling for major changes to intellectual property (IP) and patent legislation, adoption of an "innovator ownership" policy at Canadian universities and a new report on ways to facilitate greater venture capital particularly at the angel stage (see chart).

The Panel recommends the creation of a competitiveness agenda that would lead to Canada establishing a world-class business environment to attract talent and capital, strengthen businesses through competition as the essential driver of productivity and innovation, and more effective collaboration between business and all levels of government.

Many of the report's recommendations focus on streamlining or stripping away government legislation governing the conduct and activities of business and encouraging foreign direct investment. This includes changing the net benefit test – which was used to halt the sale of MacDonald Dettwiler & Associates sale of its space assets – from "net benefit to Canada" to "contrary to Canada's national interest. The requirement of the relevant minister to assume the burden of being satisfied that the standard was being met would be eliminated.

The report also weighs in on specific industrial sectors including air transport, uranium mining, financial services and telecommunications and broadcasting. For the latter, it recommends a two-phased approach leading to liberalization of foreign investment restrictions.

The panel's approach to Canada's post secondary system is to pursue greater specialization, strengthen ties to business and give business more say in what is being taught.

"Our education institutions must make choices in order to focus on achieving world-class expertise and pursuing excellence through greater specialization," states the report. "Post secondary institutions must collaborate more closely with the business community."

The report also weighs in with recommendations to enhance Canada's innovation and IP legislation. It notes that low business R&D spending must be seriously addressed through the tax system and other measures to increase competitiveness.

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