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

Fernie woman raising money for Angel Flight

One woman in the Elk Valley is doing her part to help… Continue reading

Weekend break in at Fernie Aquatic Centre

Early Saturday morning, Elk Valley RCMP officers responded to a break and… Continue reading

Celebrating winter heritage with Griz Days

Mark your calendars, start doing your snow dance and get ready for… Continue reading

Red Apple hosts kid’s shopping day

On Sunday December 1, Red Apple in Fernie opened its doors for… Continue reading

Lilac Terrace receives $25,000 donation

Lilac Terrace, a senior’s supported living complex owned by the Elk Valley… Continue reading

‘A loud sonic boom’: Gabriola Island residents recount fatal plane crash

Area where the plane went down is primarily a residential neighbourhood, RCMP say

B.C. guide fined $2K in first conviction under new federal whale protection laws

Scott Babcock found guilty of approaching a North Pacific humpback whale at less than 100 metres

Feds urge Air Canada to fix booking problems as travel season approaches

The airline introduced the new reservation system more than three weeks ago

Almost 14,000 Canadians killed by opioids since 2016: new national study

17,000 people have been hospitalized for opioid-related poisoning

Chevron move to exit Kitimat LNG project a dash of ‘cold water’ for gas industry

Canada Energy Regulator approved a 40-year licence to export natural gas for Kitimat LNG

B.C. cities top the list for most generous in Canada on GoFundMe

Chilliwack took the number-two spot while Kamloops was at the top of the list

Penticton RCMP warn of new ‘porting’ scam that puts internet banking, online accounts at risk

Two-factor verification has been the go-to way to keep online accounts secure

Thunberg ‘a bit surprised’ to be Time ‘Person of the Year’

‘I could never have imagined anything like that happening,’ she said in a phone interview

B.C. patients wait 41% longer than national average to see a walk-in doctor: Medimap

The longest wait time was found in Sidney, B.C., where patients waited an average of 180 minutes

Most Read