–Retransmitting 11:54 ET Story, Fixing Headline

By Akhil Shah

OTTAWA (MNI) – Data released by Statistics Canada on Friday showed
Canadian businesses are expected to spend C$15.646 billion on industrial
research and development in 2011, a 5.0% increase compared to a year
ago.

After three straight years of declines, research and development
spending intentions for 2011 suggest the economy is on its way to a
recovery. Despite the increase, spending intentions are yet below the
record of C$16.8 billion recorded in 2007.

Almost half (49%) of the total spending is anticipated to take
place in the manufacturing sector, suggesting an 8.0% increase from the
year prior, the agency reported. Spending on industrial research and
development in the services sector is expected to come in near 43%,
advancing 3.1% from the year earlier. The remaining 8.0% is expected to
be spent in primary industries, utilities and construction.

Statistics Canada expects six industries to account for just over
half (52%) of industrial R&D. The service sector will contribute the
most to the gain with four industries poised to post increases, namely;
scientific research and development services (C$1.7bn); wholesale trade
(C$1.3bn); information and cultural industries (C$1.2bn); and computer
system design and related services (C$1.1bn). The remaining two
industries are from the goods producing sector, namely the manufacturing
sub sector; aerospace products and parts (C$1.4bn); and communications
equipment (C$1.4bn).

Other data released by Statistics Canada showed Canadian production
of crude oil and equivalent hydrocarbons decreased 6.2% in September
from August, reaching 14.5 million cubic meters. On an annual basis this
was up 9.1%.

Of the total domestic crude oil and equivalent hydrocarbons
production of 14.5 million cubic meters, approximately 75% was exported
in September, an increase of 25.9% from 2010.

Production of marketable natural gas totaled 10.9 million cubic
meters in September, sliding 4.7% on the month and 1.4% on the year
respectively.

— Akhil Shah is a Need to Know News reporter in Ottawa

** Market News International – Ottawa **

[TOPICS: MAUDS$,M$C$$$]