practices for Canadian agricultural innovation: lessons from theory and practice. Report prepared for Agriculture and Agri-Food

Historically, agricultural innovation has been a very important source of economic growth in Canada. Innovation in genetics, products, practices, processes, and institutions have allowed the sector to increase both the quantity and quality of products available to consumers, while freeing up labour, land and other resources for use elsewhere in the economy. Despite this strong record of innovation, there is growing consensus of a critical need to improve policies in support of agricultural innovation in Canada. Slowing rates of productivity growth, underinvestment in research, and poor records of value added commercialization suggest that government innovation policies have become less effective over time. At the same time, the growing global demand for basic food, bioproducts, and functional nutrients, suggests increased opportunities for innovation. In an increasingly globalized economic environment, remaining competitive is not only financially rewarding, it is essential to the survival of this vital sector. This paper provides an overview of current theory regarding the importance of innovation to the agricultural sector’s competitiveness, describes key factors that influence the rat