Labrador is one of the last great wilderness areas on earth, rich in mineral, hydro, forest, fish and other natural resources.

Labrador Straits

This area is separated from the Island of Newfoundland by the Strait of Belle Isle. The region depended heavily on cod fishing prior to the fishery crisis. Today, there has been some diversification into other species such as scallops. As well, tourism is increasingly important in the area with two National Historic Sites, several salmon rivers, and plenty of whales, icebergs and seabirds. The Strait of Belle Isle Ferry connects the area to the Island. A commercial airport at Blanc Sablon offers regular flights and Marine Atlantic operates a coastal boat service to Red Bay.

South Coast

This region is comprised of communities scattered along the coast from Mary's Harbour to Cartwright. Like the Straits area, the South Coast was heavily dependent on the cod fishery prior to the fishery crisis. Today a very successful crab fishery and a small forest industry have taken root. Sports fishing is also important in this area. The South Coast is connected to the Island in summer through the coastal boat service provided by Marine Atlantic. A car ferry, also operated by Marine Atlantic, docks at Cartwright on its way between Happy Valley - Goose Bay and Lewisporte on the Island. Most of the communities in this area receive year-round air service.

Central Labrador

Economic activity in the Happy Valley-Goose Bay area centers around the air force base which employs approximately 1,000 civilians and 500 permanent military personnel, with about $120 million spent annually on base operations. A new 10 year agreement was recently signed, renewing the commitment by European nations to continued military training in Labrador.

The Central region is the transportation hub of Labrador and the main entry point for a large number of outside hunting and fishing expeditions. The outfitting industry mainly revolves around sport fishing, specifically salmon, trout, char and northern pike. Labrador is host to the largest barren ground caribou herd in the world and over half of the world's Atlantic salmon rivers.

Several airlines provide service to the Central Region year round. Marine Atlantic operates a summer ferry service to Happy Valley-Goose Bay via Lewisporte and a coastal boat service to various small communities along the coast. The Trans Labrador Highway connects Happy Valley - Goose Bay to Labrador City.

Mineral exploration companies frequently use the Happy Valley - Goose Bay area as a service centre. A record $111 million is expected to be spent on exploration in the Province this year, most of it in Labrador. This area contains a high quality timber resource, that when combined with the South Coast can support a sustainable cut of 400,000 to 450,000 cubic metres per year. These rich natural resources present tremendous potential for economic growth.

Economic activity in Churchill Falls revolves primarily around its massive hydro-electric development. The hydro facility is the largest in Canada and the ninth largest in the world. It generates 5,225 megawatts of power and employs approximately 250 people full-time. Potential exists further out on the Churchill River to construct hydro-electric facilities with a generation capacity of 3,200 megawatts of power.

Labrador West

This region consists of two towns, Labrador City and Wabush, which were started in 1958 after massive reserves of iron ore were discovered in the area. These reserves, which currently exceed one billion tonnes, are mined by the Iron Ore Company of Canada (IOCC) and Wabush Mines. Employment averages about 2,100 and together the two companies extract roughly 20 million tonnes of iron ore annually.

Labrador West is also a major service centre for mineral exploration in Labrador. The Trans Labrador Highway provides a major ground transportation link to the Central region. A paved road connects the area to Quebec and from there an all-weather gravel road connects it to the rest of North America. The Quebec North Shore and Labrador Railway maintains a regularly scheduled passenger and freight service to Sept Iles, Quebec. As well, scheduled air services operate year round.

North Coast

This region consists of a half dozen communities dotted along one of the wildest and most magnificent coastal landscapes in North America. The area is home to the massive nickel, copper and cobalt discovery at Voisey's Bay, a find which has generated much excitement of late. The area is also home to the Innu and Inuit and as a result the area is rich in native culture and history, with two National Historic sites.

Fishing, hunting and trapping have historically been the important activities, however, mineral exploration and development is becoming increasingly important. Each community on the North Coast has year-round air service. During the summer shipping season, Marine Atlantic's coastal boats also service the area.

Summary

Labrador is a vast, sparsely populated region that contains tremendous potential for mineral, hydro, forestry and tourism development. Further exploration and eventual development of the mineral deposit at Voisey's Bay, together with a stable iron ore industry, continued military training and improved transportation links, should ensure a strong economy. In addition, untapped hydro and forest resources and the possibility of other major mineral discoveries give rise to a bright future for the region.