[2] The nutrient-rich cold waters found in the basin are known to be especially favourable to phytoplankton and the numerous islands within it are important bird habitats, including Sabine's gulls and many types of shorebirds.

Vigorous tidal currents and strong winds keep the ice pack in constant motion and contribute to the numerous polynyas and shore leads which are found throughout the region.

Coastal marshes and tidal flats up to 6.5 km (4.0 mi) in width are found in the vast lowland section of eastern Foxe Basin, as well as in the bays of Southampton Island.

The numerous polynyas in northern Foxe Basin support high densities of bearded seals and the largest walrus herd in Canada (over 6,000 individuals).

Moderate numbers of black guillemots, Arctic terns and glaucous, herring and ivory gulls also breed here.