Moose Jaw’s economy is softer than it was in 2018, but the president of the chamber of commerce is still optimistic about how the business community looks overall.
It was noticed last year that the provincial economy was starting to slow down compared to previous years, explained Rob Clark, president of the Moose Jaw & District Chamber of Commerce. Other communities such as Weyburn, Estevan and Swift Current were the first to feel the crunch.
“Everyone was envious of the communities in the energy sector, but they were the first to feel the softer economy. We rode a couple of years out before it started to hit us,” he continued.
It has been a mixed bag of which sectors in Moose Jaw have felt the slowdown, said Clark. Retail has been hit and miss, while other companies have found different ways to do business, such as pursuing more innovation, rethinking their strategies, or adapting.
During construction this past summer, the attitude among some chamber members was, if it didn’t happen last year then it had to happen this year, said Clark. Yet, the chamber felt sorry for those businesses that were negatively affected.
“But those things have to get done. It’s infrastructure. They (city hall) are improving our city,” he continued. “I heard the complaints. (It’s) human nature. You have to understand them. I agreed with them … It’s a necessary evil.”
There are between 875 and 890 total businesses in Moose Jaw, the chamber estimates. Those numbers are based on the amount of mailouts sent through Canada Post. Clark noted that the quantity of business licences can be skewed since people come from Regina to perform short-term work, while there are also home-based businesses.
Based on numbers from October, seven new businesses opened up, five closed and three changed names. The total number of new businesses that opened from January to October was 189, while the total number that closed was 140, for a gain of 49.
In comparison, during the same timeframe last year, 178 new businesses opened and 155 closed, for a gain of 23.
Clark acknowledged that he has seen several empty storefronts, but chalked it up to a cycle since some people shut down when the tourism season ends. For others, they simply decided to retire or couldn’t get their business to flourish.
There are not many vacant buildings on Main Street during the summer months, said Clark. However, the chamber’s worry is about the empty ground-level shops on streets leading away from the downtown, such as on High Street West.
“This is concerning. We don’t know what the problem is,” Clark continued, musing it could be financial troubles, a poor business plan or even landlord issues.
One noticeable thing about some of the new shops starting up or changing hands is how Chinese immigrants are involved. Clark noted they are coming to Canada with money to buy businesses.
Clark visited four new Chinese-operated businesses recently. He observed that they had a full inventory and had staff working, and didn’t simply have one desk in the room. He hoped they remained for the long-term and paid property taxes to help the economy.
Some sleuthing by the Moose Jaw Express has found some Chinese business owners are here for only a few years so they can acquire their citizenship and then move to a bigger centre.
“It’s a worldwide reality. I don’t know how you stop it,” Clark said. “I know that’s why they’re doing it. It might be nice if they put down roots here. We need a bigger tax base.”
Clark is optimistic about Moose Jaw’s future and thinks it’s “really, really positive and bright,” especially since the Southeast Industrial Park is moving forward and the SaskPower natural gas plant is coming. If everything works out, he believes the population could increase beyond 35,000.
