Elizabeth McDonald is president and CEO of the Canadian Film and Television Production Association. In this article, she reflects on the growth of indigenous Canadian production over the past 15 years, and the challenges it faces over the next 15.

Despite the fact that both Jean Chretien and Joe Clark are still active in politics, much has changed over the past 15 years. Canadians are now just as familiar with Starbucks as they are with Tim Hortons. The Internet, once referred to as the Information Superhighway, has changed the way we work. Media empires have converged. And while the Canadian film and television industry continues to strive for a less bureaucratic road to financing, perhaps the most noteworthy development is how the industry has grown, and the main reason for that is the creation of the Canadian Television Fund.

Started in 1996, the CTF brings together private and public money to create and support indigenous Canadian content. The unique partnership between the federal government and cable industry brings a business sensibility to one of the pillars of Canadian society – promoting our culture. Changes in the economy and markets have altered the role of public broadcasting, and enhanced the participation of private broadcasting and independent production. Yet the size of Canadian audiences often necessitates public support to offset the price we pay for telling our own stories. Independent producers consistently risk capital to tell these stories, but the risk often pays off.

The growth of Canadian independent production, which brought in more than $2 billion in economic activity last year, would also not have been possible without tax credits. Combined with the CTF and other provincial incentives, this combination has helped increase jobs in the sector – 119,000 direct and indirect jobs in 1999/2000 alone. Tax credits have made the move away from tax shelters less difficult, and while we believe the credits could be more effective as a financing mechanism, our system continues to be a model around the world. Australia most recently adopted similar credits, Eastern Europe is eyeing them, and even the U.S. has introduced a bill for a wage-based tax credit.

This environment has broadened our opportunities. Television windows have multiplied, especially in the arena of pay and specialty channels, where Canadian independents have seen significant new possibilities. Problem is, this is all happening within a converged world. This newfound concept of vertical integration – the linking of companies within companies, medium to medium – is an excellent business opportunity, but it may be putting diversity at risk.

The biggest challenge over the next 15 years will be how we can sustain our cultural objectives and pursue our industrial objectives. We need to find a larger strategy that incorporates both; they cannot be mutually exclusive, not in Canada. We have to ask ourselves whether we expect our indigenous content to perform like a stock exchange. Are we truly willing to cut Canadian content to improve the bottom line? The other concern with vertical integration is making sure the system remains mixed, and that large firms continue to work with the true backbone of the industry – the small and medium-sized firms.

Finally, we need to establish a single voice in the world’s marketplace. Often we find unions and guilds, government and private industry all talking at one another, not to mention how regional interests come into play. We need to come together to present a cohesive, marketable and healthy environment for doing business.

Ironically, to those on the outside we may seem cohesive. Who would have ever thought Hollywood would be complaining about runaway productions, with its finger pointed north? They are pointing north because Canadians have the talent and experience to compete, and we have that as a result of the public-private partnership we have built. Our size dictates that it’s a partnership we need to sustain in order to tell Canadian stories.

-www.cftpa.ca