Report finds bio-based innovators boost Canada’s GDP & jobs
Canada's natural bio-based industries could play a larger role in the country's growth agenda, according to new economic analysis of early-stage firms working with biological inputs and processes across sectors from agriculture and food to packaging and biomaterials.
Charlottetown's Natural Products Canada (NPC), a national organisation focused on bio-based innovation, commissioned an assessment of 84 Canadian portfolio companies it has backed between 2021 and 2025. Those firms collectively contributed CAD $896.4 million to Canada's GDP over the five-year period, including direct, indirect and induced effects, according to modelling by advisory firm Summit72.
The report frames these ventures as part of a global bioeconomy estimated at around CAD $4 trillion, driven by demand for sustainable, bio-based solutions across food systems, materials, and consumer products. It argues that Canada's natural resource base gives it scope to capture up to 10 per cent of that activity, or roughly CAD $400 billion in new economic output, if more science and technology can be translated into commercial scale.
"For years, we have seen the incredible potential of Canada's innovators. We've talked about global opportunities," said Shelley R. King, Founder & CEO of Natural Products Canada. "Today, I am proud to share more thanjust potential. I am sharing proof."
The analysis highlights a longstanding productivity challenge, noting that Canada performs strongly in research and development but struggles to build globally competitive companies that retain more of the value they generate at home.
The annual GDP of NPC-supported companies grew from CAD $67.3 million in 2021 to CAD $256.4 million in 2025, while the number of full-time equivalent jobs supported increased from 552 to 1,985 over the same period. Wages and salaries paid to Canadian workers reached a cumulative CAD $387 million, and an estimated CAD $68 million in tax revenues accrued to governments.
The portfolio spans several parts of the bioeconomy, including agriculture and agtech, animal health, cleantech and greentech, food, nutrition and foodtech, and household, personal care, packaging, apparel and biomaterials applications. The organisations involved range from pre-commercial firms building pilot capacity to growth-stage companies scaling sales in domestic and export markets.
The report points to a signalling effect for private investors. Companies receiving backing from Natural Products Canada raised a cumulative CAD $621.7 million in follow-on capital, of which 83 per cent came from private sources in Canada and abroad, with the remainder from Canadian public programs.
Summit72 modelled two forward-looking scenarios for 2026 to 2030 based on portfolio performance to date. Under a status quo path, cumulative GDP impact from the companies is projected to exceed CAD $1.8 billion over the next five years, supporting about 3,290 jobs in 2030.
A second scenario assumes that if Natural Products Canada deploys a CAD $35 million "capital stack" that blends non-dilutive funding, debt, and equity into early-stage bio-based firms, the cumulative GDP impact is projected to reach CAD $4 billion, with 7,590 jobs supported in 2030 as more companies progress from research through to market.