Transportation & logistics: companies
Major retailers like Wal-Mart, Costco, Rona, Shoppers Drug Mart, Canadian Tire, Safeway and Sears have selected Calgary as an integral part of their western distribution strategy. This is partly due to Alberta’s low tax regime, Calgary’s growing economy, its geographic location (i.e. centrally located in western Canada) and its well developed and evolving infrastructure. Their presence speaks to the sectors critical mass in the region.
Other examples include Canadian Pacific Railway, one of six Class 1 railroads in North America; Westjet, one of two pan-Canadian airlines; and Mullen Group Ltd., one of Canada`s largest trucking providers, all have their headquarters in the Calgary area. Armstrong and Associates Inc. published a list of the Top 25 Global Logistics companies by 2006 revenue in the Global Logistics & Supply Chain Strategy magazine in May 2007. All of the top eight companies have a Calgary presence. They are:
|DHL Supply Chain & Global Forwarding||Panalpina, Inc.|
|Kuehne + Nagel||C.H. Robinson Worldwide, Inc.|
|DB Schenker Logistics||Agility|
|UPS Supply Chain Solutions||CEVA Logistics|
A sample list of local notable T&L related companies:
|Canadian Tire||CF Managing Movement*|
|Assured Logistic (3PL for Amazon)||CN* |
|Mullen Group Ltd*||CPR|
|Lafarge Canada Inc*||Purolator|
|Vanfax (Division of Belron Canada)||Agrium Inc.*|
The asterisk* in the list denotes a large presence outside the City of Calgary. For example, Mullen Group Ltd. is headquartered in Okotoks; Wal-Mart has a 300,000 square foot facility in Balzac; and CN has a 680 acre development in the Region. It should also be noted that Belron’s more common brands are Speedy Glass and Apple Auto Glass.
- The Region is intersected by Highway 1 (Trans Canada) – the world’s longest highway, and the 6,000 km CANAMEX Corridor (Highway 2) - a free trade corridor that extends from Alaska to Mexico.
- This network minimizes the travel time to customers in western Canada, and is one of the main reasons why courier companies like FedEx, UPS and Purolator have large hubs located at the Calgary International Airport (YYC).
- The Calgary Region is a major rail freight hub. Rail service is provided by both of Canada’s major railways (CP and CN), offering cargo access to markets in North America and abroad through the Ports of Vancouver and Prince Rupert. CPR and CN’s combined regional container traffic is approximately “330,000 20-foot equivalent units (TEUs) annually.”
- CP is headquartered in Calgary, and its main line runs through the Calgary Region (East/West). CP opened a new intermodal facility in 1996.
- In addition to CN’s current yard and intermodal terminal, it is investing $200 million in a 680 acre rail logistics park northeast of Calgary, expected to open in 2013.
- As one of Canada’s busiest airport, the Calgary International Airport is a major cargo hub, and is one of only three airports in Canada with direct flights to both Asia and Europe. With its extensive passenger and cargo connections to Canada, the U.S. and abroad, YYC contributes $6 billion in GDP to the regional economy. As an example of their growth, UPS opened a $30 million, 145,000 square foot cargo distribution facility in 2010.
- The $2 billion Airport Development Plan (ADP) includes a new International Facilities (in service October 2015) and a new 14,000 foot runway (in service May 2014).
- The Calgary Region sees a large share of activity from Canada’s busiest port, with 40 per cent of imports through Vancouver being distributed through Calgary. To support growth, over the 2009-2018 period, the City of Calgary is investing $3.5 billion in Calgary’s transportation infrastructure to keep Calgary connected.