With timber supply declining from now to 2030, B.C.’s forest industry is in a major transition. (Black Press Media)

B.C. forest industry looks to a high-technology future

Restructuring similar to Europe 15 years ago, executive says

As the B.C. and federal governments prepare relief for laid-off forest industry workers, the industry is looking past shrinking log supplies and idle sawmills to following Europe’s path to a value-added future.

B.C. Forests Minister Doug Donaldson and Labour Minister Harry Bains are announcing assistance for laid-off forest workers Tuesday in Prince George. Mill closures, curtailments and logging shutdowns have affected 6,000 workers across B.C., after two record fire seasons, extensive beetle damage and the return of U.S. import duties.

The B.C. Council of Forest Industries has issued a report called “Smart Future” that notes the 50-per-cent drop in annual harvest ahead for the B.C. Interior, protected areas that cover half of the land base on the coast, and rising competition in Chile, Russia and Europe.

Many places produce low-cost lumber, pulp and paper, the report says. It calls for lessons to be learned from Europe, and building on the success of engineered wood that has moved well past the demonstration stage in Europe as it catches on in North America.

Don Kayne is the new chair of COFI and CEO of Canfor Corp., which has extensive operations in the U.S. and recently invested in Sweden’s largest private sawmill group. Kayne said B.C. is in a similar position today to European producers 15 years ago, and Premier John Horgan’s commitment to feature wood in public construction is an important step.

“You’re seeing some brands get involved in our industry that never would have considered it before,” Kayne said in an interview with Black Press. “Microsoft, Google, Sidewalk Labs, Facebook, companies that in the past would probably not have looked at lumber as a product for their training centres.”

B.C. has a long history of exports to Japan, and the future looks bright in one of the more advanced markets for wood construction. A big focus there is senior housing, and hybrid steel-concrete-wood buildings. COFI also faces trade barriers, in the form of Japanese government subsidies to domestic producers.

RELATED: B.C. wood high-rise the talk of Asia

RELATED: B.C. first province to allow 12-storey timber

“It’s really moved past two-by-four housing, especially with the demographic challenges they’re facing, to much more diverse applications,” Kayne said.

Abundant beetle-killed lumber got B.C. into the China market, used for concrete forms and seismic infill walls. Now China is a growing market for modern wood construction, with many suppliers competing.

“There are lots of opportunities, but we’ve got lots of people competing for the same customers that we want to pursue in both Japan and China,” said COFI president Susan Yurkovich. “We have to be a jurisdiction that can compete, and that means making sure that we have access to fibre at a reasonable cost.”

Their report notes that more than half of B.C.’s forest land base is now subject to some kind of restriction, and calls for the establishment of a permanent “working forest” designation to promote long-term investment.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Climate, reconciliation and industry top all candidates agenda in Terrace

Debate was the candidate’s last opportunity to address voters in a public forum

Climate change, economy and reconciliation take centre stage at Oct. 15 All-Candidates Forum

Six of the eight candidates were in attendance at the Smithers event

Career fair a success for many

700 job hunters visited the Black Press Extreme Education and career fair in Prince George Oct. 11

Metlakatla, Lax Kw’alaams, Nisga’a and Haisla commit to fight climate change internationally

First Nations launch Northwest Coast First Nations Collaborative Climate Initiative

B.C. VIEWS: How to get the best deal on your ICBC car insurance

ICBC slowly being dragged into the 21st century

Pot legalization has gone ‘well’, but ‘yellow flags’ on vaping: task force chair

Canada legalized cannabis for non-medical use on Oct. 17, 2018,

ELECTION 2019: Federal leaders hit final 24 hours of campaign

Many leaders remain in B.C. for the final hours of the campaign

Jack’s Devils beat Quinn’s Canucks 1-0 in NHL brother battle

New Jersey youngster scores first career goal against Vancouver

Two charged after owner’s wild ride through Kamloops in his stolen truck

Crystal Rae Dorrington, 37, and Derrick Ronald Pearson, 32, facing multiple charges

Judge orders credit union’s bank records for Kelowna social worker facing theft allegations

The man is accused of negligence, breach of contract, fraud and a conspiracy with Interior Savings

Leaders pour it on with rallies, boosts for candidates as campaign reaches peak

The federal election campaign has reached a crescendo

Allegations of racism lead to ministry investigation at Vancouver private school

St. George’s School was contacted over what the school describes as ‘deeply offensive behaviour online’

Most Read