News Summary

In a recent panel discussion hosted by the Council of Canadian Innovators (CCI), healthtech leaders from AlayaCare and Mimosa Diagnostics highlighted the challenges faced by Canadian startups in the healthcare procurement process. The discussion, which coincided with the release of CCI’s ‘Mandate to Innovate’ report, emphasized the need for procurement reform to support innovation and ease market entry for young companies. Adrian Schauer, CEO of AlayaCare, and Dr. Karen Cross, CEO of Mimosa Diagnostics, shared their experiences with Canada’s complex and often opaque procurement system. They argued that the lack of a centralized procurement system and a low risk appetite hinder startups’ ability to compete with larger multinational corporations. Cross noted that many Canadian startups seek FDA approval in the US due to its faster and more straightforward process compared to Health Canada. The CCI report also calls for broader reforms, such as creating a single market for procurement across provinces and increasing investment risk appetite from crown corporations. These changes aim to stimulate Canada’s innovation economy and better support startups in scaling their operations.