Manitoba Economy
FIVE ECONOMIC HUBS
- Snow lake : The main industry is, and always has been, mining; currently with one mine producing Zinc.
- Steinbach : Steinbach is primarily an agricultural community; however, as the regional economic hub of southeastern Manitoba, Steinbach has a trading area population of about 50,000 people. The city also has many service and commercial businesses to serve the population.
- Winkler: Winkler is the economic hub of southern Manitoba. The retail trading area serves an estimated 17,000 households. 4,380 people are employed in Winkler. Approximately 30% of the workforce is employed in the industrial sector. The city's second-largest employer, employing 20% of the work force, is the health and education sector.
- Winnipeg Known as the "Gateway to the West", Winnipeg is a railway and transportation hub with a diversified economy. This multicultural city hosts numerous annual festivals.
- Thompson Thompson is called " Hub of the North", it serves as the regional trade and service centre of northern manitoba
Tax
Interest Rate
January 1, 2015 to June 30, 2015 9.00%
Retail Sales Tax
The Retail Sales Tax (RST) is a tax applied to the retail sale or rental of most goods and certain services in Manitoba. The tax is calculated on the selling price, before the GST (Good and Services Tax) is applied.
The general sales tax rate is 8%.
Tobacco Tax
The Tobacco Tax applies to cigarettes and all other tobacco products. Effective midnight April 30, 2015, the tax rates are:
Mining Tax
The Mining Tax applies to all operators engaged in mining and/or processing minerals in Manitoba, but excluding oil and gas, and, rock, gravel, peat, clay and gypsum. The tax is applied at graduated rates on mining "profit", as opposed to a royalty basis that would apply a rate to the quantity of minerals extracted from the ground. In addition, there is a 0.5% special tax on mining "profit" and in most cases, based on certain income tax calculations, it is fully refundable.
The tax applies at the following rates, where mining profit is:
Interest Rate
January 1, 2015 to June 30, 2015 9.00%
Retail Sales Tax
The Retail Sales Tax (RST) is a tax applied to the retail sale or rental of most goods and certain services in Manitoba. The tax is calculated on the selling price, before the GST (Good and Services Tax) is applied.
The general sales tax rate is 8%.
Tobacco Tax
The Tobacco Tax applies to cigarettes and all other tobacco products. Effective midnight April 30, 2015, the tax rates are:
- Cigarettes - 29.5¢ ($59.00 per carton)
- Cigars - 75% of retail selling price (maximum tax $5.00 per cigar)
- Raw leaf tobacco - 27.0¢ per gram
- Fine cut tobacco and all other tobacco products - 28.5¢ per gram
Mining Tax
The Mining Tax applies to all operators engaged in mining and/or processing minerals in Manitoba, but excluding oil and gas, and, rock, gravel, peat, clay and gypsum. The tax is applied at graduated rates on mining "profit", as opposed to a royalty basis that would apply a rate to the quantity of minerals extracted from the ground. In addition, there is a 0.5% special tax on mining "profit" and in most cases, based on certain income tax calculations, it is fully refundable.
The tax applies at the following rates, where mining profit is:
- < $50 million; tax = mining profit x 10%.
- $50 to $55 million; tax = (mining profit - $50,000,000) x 65% + $5,000,000.
- Between $55 and $100 million; tax = mining profit x 15%.
- $100 to $105 million; tax = (mining profit - $100,000,000) x 57% + $15,000,000.
- > $105 million; tax = mining profit x 17%.
Type of Provincial economy & major industries
The economy of Manitoba is a market economy based largely on natural resources. Major industry in Manitoba is Agriculture, land in southern and western part of Manitoba is fertile which is suitable for planting.
Secondary sector in Manitoba is also well developed. Exporting manufactured goods take up large part of province's income.
The economy of Manitoba is a market economy based largely on natural resources. Major industry in Manitoba is Agriculture, land in southern and western part of Manitoba is fertile which is suitable for planting.
Secondary sector in Manitoba is also well developed. Exporting manufactured goods take up large part of province's income.
Economic region
- Shield Region :
- largest economic region
- The Aboriginal people (hunting and fur trade became major industries for them)
- Forestry and paper industry became important later on
- mines and smelters (caused environmental issues)
- dependent on natural resources
- mining industry (caused environmental problem)
- diversity of major industries (tourism, recreation)
The North Region- Aboriginal people hunted, trapped, and fished
- fur trade with the Europeans in early years
- rare metal discovery (gold, silver), oil and natural gases
- Environmental damage
- kimberlite deposits
- large demand of diamond mines
- Fragile environment causes difficulty to develop
- largest economic region
Unemployment Rate
US involve
- Roughly one third of Manitoba Hydro’s revenue comes from the export of surplus electricity. The majority of Manitoba Hydro’s electricity exports are to the United States where the peak period of electricity consumption (summer) corresponds with Manitoba’s lowest period of consumption. The revenue generated from extra-provincial sales of surplus electricity allows Manitobans to enjoy electricity rates, which are among the lowest in North America.
- Transportation and warehousing contribute approximately C$2.2 billion to Manitoba's GDP. Total employment in the industry is estimated at 34,500, or around 5 percent of Manitoba's population. Trucks haul 95 percent of land freight in Manitoba, and trucking companies account for 80 percent of Manitoba's merchandise trade to the United States.