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Forestry

Canfor’s PG Pulp Mill operations to be shuttered

Jan 11, 2023 | 4:47 PM

PRINCE GEORGE — Devastating news for employees at Canfor’s PG Pulp Mill.

The forestry giant announcing today that operations will be shuttered in late March. Three hundred will be affected though 80 employees will be retained for six to nine months to operate the steam plant.

Canfor attributes the decision to declines in fibre supply.

“In recent years, several sawmills have permanently closed in the Prince George region due to reductions in the allowable annual cut and challenges accessing cost-competitive fibre. This has had a material impact on the availability of residual fibre for our pulp facilities and we need to right-size our operating platform. As a result, we have made the very difficult decision to shut down the pulp line at Prince George Pulp and Paper Mill and will continue to operate the Specialty Paper facility,” said Kevin Edgson, President and CEO, Canfor Pulp.

Government weighs in:

“Those who know me have heard me predict this happening. I’ve driven extensively through interior timber supply areas, studied the fibre supply in BC and have watched this outcome coming now for the past few years. This should not be a surprise. We need to change how we do forestry in BC,” adds Prince George-Mackenzie Liberal MLA Mike Morris.

Bruce Ralston, BC’s Minister of Forests, and Brenda Bailey, BC’s Minister of Jobs issued a joint statement following the announcement pledging to work with workers affected.

“Our thoughts and support are with the workers and their families whose livelihoods have, foryears, contributed to the success of the Canfor Pulp and Paper mill. This is extremely difficult news considering the impacts this closure will have on the community”

“Our government has invested $185 million in supports for people impacted by weakeningmarkets and changes in the forest sector. This includes skills training, short-term employment opportunities and employment assistance, and retirement transition support for workers who are 55 years or older.”

“At a local level, ministry staff will work with the community during this period to shareinformation and co-ordinate an in-community response to ensure supports are in place for both individuals and the community.”

“Government is also working collaboratively with the B.C. Pulp and Paper Coalition, and hasacted on many of its recommendations to improve fibre access for pulp mills. We have renewed funding for the Forest Enhancement Society of British Columbia, introduced the Coast Fibre Recovery Zone , and put in place new timber pricing policies and waste penalties for fibre left in the bush.”

“We will continue to be there for workers and support the forest sector as we continue toprioritize innovation and made-in-B.C. manufacturing, including a healthy lumber sector.”

More information on support services can be found here: https://forestryworkersupport.gov.bc.ca

Pattison Media is owned by Jim Pattison Industries, a majority shareholder in Canfor.

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