

The Invisible Walls Blocking Canada’s Economic Growth with Ryan Manucha
In this episode of Tank Talks, Matt Cohen speaks with Ryan Manucha, research fellow at the C.D. Howe Institute and author of Booze, Cigarettes, and Constitutional Dust-Ups, about a critical issue that remains largely invisible yet impacts every business operating in Canada: interprovincial trade barriers.
Despite being a G7 economy, Canada continues to operate like a collection of fragmented markets, with conflicting provincial regulations creating friction across supply chains, licensing, and commerce. From inconsistent building codes to restrictions on transporting wine, the regulatory inefficiencies between provinces quietly stifle economic growth, suppress competition, and make it harder for startups to scale.
Ryan outlines how these barriers originated, why reform has been so difficult, and what solutions, like mutual recognition and targeted legislation, are gaining traction across the country. He also shares how political will, industry pushback, and regulatory inertia are all part of the story. If you've ever wondered why your favorite B.C. wine can’t be shipped to Ontario, or why it’s so hard for businesses to scale across Canada, this episode is for you.
Canada’s Fragmented Internal Market (00:01:00)
* Why interprovincial trade feels like dealing with 13 separate countries
* How protectionist policies quietly hurt entrepreneurs and consumers
* The story of Gérard Comeau and the constitutional fight over beer
The $200 Billion Opportunity (00:06:43)
* Why eliminating internal trade barriers could add up to 7.9% to Canada’s GDP
* The dynamic benefits of freer internal markets beyond the static estimates
* Why mutual recognition matters more than full harmonization
Real-World Examples of Dysfunction (00:09:56)
* The absurdities of cannabis excise tax stamps and meat supply chain barriers
* Trucking regulations, GST/PST discrepancies, and licensing headaches
* The “invisible” cost of credentialing and compliance across provinces
Why the U.S. and Australia Do It Better (00:12:03)
* How stronger constitutional laws and market pressure keep the U.S. more unified
* Australia’s model of mutual recognition and regulatory transparency
The Politics Behind the Gridlock (00:15:35)
* How provincial self-interest, regulatory capture, and lobby pressure slow reform
* Why strong leadership from premiers like Doug Ford and Danielle Smith is key
* The federal government’s role in bridging the gaps and building capacity
Fixing the System (00:20:56)
* Why the Canadian Free Trade Agreement is full of opt-outs and loopholes
* How a “coalition of the willing” could lead the way
* Using market pressure and interprovincial courts to drive change
What’s at Stake for Startups and Innovation (00:36:37)
* How trade barriers inflate the cost of living and suppress entrepreneurship
* Why tech founders and business leaders need to speak up
* Ryan’s call to action: “If you see something, say something.”
About Ryan Manucha
Ryan Manucha is a research fellow at the C.D. Howe Institute, a Harvard-educated lawyer, and the author of Booze, Cigarettes, and Constitutional Dust-Ups, which won the 2022 Donner Prize for best Canadian public policy book. He specializes in Canadian interprovincial trade law and is a leading voice on reducing regulatory inefficiencies to promote innovation and economic growth.
Connect with Ryan Manucha on LinkedIn: https://ca.linkedin.com/in/ryan-manucha
Visit the C.D. Howe Institute: https://cdhowe.org/
Check out Booze, Cigarettes, and Constitutional Dust-Ups (2022 Donner Prize winner)
Explore the Canadian Free Trade Agreement (CFTA): https://www.cfta-alec.ca/
Connect with Matt Cohen on LinkedIn: https://ca.linkedin.com/in/matt-cohen1
Visit the Ripple Ventures website: https://www.rippleventures.com/
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