Saskatchewan is committed to creating and nurturing an economic environment that allows businesses of all sizes to grow and prosper.
- Saskatchewan has ready access to large reserves of varied resources in the forestry, mining, agriculture and energy sectors.
- The Saskatchewan government is committed to maintaining stable and competitive royalty rates on natural resources developed in partnership with industry. Government has also introduced several initiatives to reduce red tape and streamline regulations.
- Manufacturing plays a key role in Saskatchewan's economy, representing 5.5 per cent of the province's GDP. Shipments reached $13.4 billion in 2020.
- The province has created a favourable business environment for manufacturers with many competitive advantages including: low corporate income tax for manufacturers and processors at 10 per cent, as well as provincial tax exemptions for eligible machinery, equipment and materials.
Location, location, location
- Saskatchewan's central time zone and central location in North America make it easy to do business throughout the continent.
- Saskatchewan is only a day away by land from a market of 60 million people and only two days away from more than 270 million people in Canada and the United States.
- With its expansive export trade and destination markets, Saskatchewan is connected provincially, nationally and internationally to markets, people, technology and services.
Taxes and Incentives
- The Saskatchewan corporate income tax rate on manufacturing and processing profits may be as low as 10 per cent.
- Manufacturers and processors that establish permanent facilities in Saskatchewan are eligible for a six per cent refundable tax credit on eligible capital purchases, and direct agents used in the manufacturing process are exempt from the provincial sales tax.
- The provincial small business income tax rate for Canadian-controlled private corporations applies to the first $600,000 of business income. Saskatchewan's small business corporate income tax rate dropped from two per cent to zero effective October 1, 2020. Beginning July 1, 2023, the small business tax rate will move to one per cent. On July 1, 2024, the small business tax rate will return to two per cent.
- Of the Canadian provinces with a provincial sales tax, Saskatchewan's rate of six per cent is the lowest.
- Saskatchewan does not charge a payroll tax for employers, and there are no health premiums levied.
- Saskatchewan has a refundable 10 per cent tax credit for scientific research and development expenditures.
- Saskatchewan has a number of business incentives and tax credits available to encourage business growth, investment and innovation in Saskatchewan.
- Since 2010, Saskatchewan has reached an estimated $173 billion in new investments.
- International companies that have invested or opened operations in Saskatchewan include:
- BHP Billiton
- K+S Potash
- Grain Millers
- Yara International
- Crown corporations in Saskatchewan supply electricity, natural gas and telecommunication services with utility rates that are among the most competitive in North America.
- A solid infrastructure of road, rail and air transport make Saskatchewan an ideal location for both manufacturing and distribution.
- Our highway and municipal road networks constitute the largest rural road system in Canada, totalling more than 190,000 kilometres.
- The province has 2,400 trucking companies, two international airports, two major rail lines and 13 shortline railroads.
Population and Demographics
- Saskatchewan's population is at an all-time high. As of 2022, there were 1,194,803 people living in the province. Population has been growing for 58 out of the last 60 quarters.
- Saskatchewan has two demographic factors that make it unique:
- Indigenous people made up about 16% of the province's population in 2016 and are expected to account for about one in five people in Saskatchewan by 2036. The relatively young age of the Indigenous population provides opportunities to meet future labour demands
- Three out of five employed people in the province have at least completed post-secondary education or training.
- Saskatchewan has one of the most productive workforces among provinces with an average of $82.20 of output per hour worked in 2020.
- Saskatchewan has two universities, two technical schools and seven regional colleges.
- The University of Saskatchewan in Saskatoon is recognized for its leadership in agriculture, information technology, health services and biotechnology.
- The University of Regina is at the forefront in petroleum engineering, climate change, health care, social work, justice and education.
- Saskatchewan Polytechnic provides technical education and skills training and the Saskatchewan Indian Institute of Technologies provides technical and vocation training to indigenous students.
- The Canada-Saskatchewan Job Grant provides employers with funding to train new or existing employees to meet the skill requirements for available jobs.
- The Saskatchewan Immigrant Nominee Program helps industry keep up with the demand for skilled workers with over 20,000 nominees arriving in Saskatchewan over the last five years (not including spouses and dependents).
- Saskatchewan has extensive research infrastructure, with a particular focus on agriculture, agricultural biotechnology, energy, and carbon capture and storage.
- In addition to Canada's only synchrotron, the Canadian Light Source, Saskatchewan is home to the Sylvia Fedoruk Canadian Centre for Nuclear Innovation, the Global Institute for Food Security, the Petroleum Technology Research Centre and the Saskatchewan Research Council to name a few.
- Innovation Saskatchewan is the central agency of the Government of Saskatchewan with responsibility for developing policies and programs and conducting activities that assist in the implementation of Saskatchewan's innovation priorities.
- The Saskatchewan Commercial Innovation Incentive, the first "patent box" style incentive of its kind in North America.