Policy impacts played role in Canfor cuts in Northern B.C.

Minister of Jobs Brenda Bailey expressed disappointment with the decisions made by Canfor, but reconfirmed the government’s decision to maintaining a good supply of fiber.

“My heart goes out to people because, when you have these types of downturns, it’s not just the individuals that are affected. It’s the families, it’s the community. It’s all the additional jobs that are related to that. It’s a real concern and we’re working really hard to make sure that we can do a good job of supplying fibre.”

Canfor says that the indefinite curtailment of one production line at Northwood, isn’t market related, with Kevin Edgson saying that it would be “disingenuous to say that this is market related” and that the “pulp market today is in an upswing and the lumber market, though not as good as times past, is currently above the long term average.” Edgson also mentioned that in past years, Canfor would have been “very profitable at these levels, but our costs have been driven up because of the policy impacts.”

Owner of Brink Forest Products Ltd., John Brink says that the industry is in “major distress” and that “as long as we have politicians and bureaucrats involved, we will not have a viable industry.”

The indefinite curtailment at Northwood will impact approximately 220 jobs across Canfor Pulp and the closure of the Polar Sawmill will affect approximately 180 employees. According to Canfor, they will continue to operate both lines at Northwood over the next few weeks, followed by an “orderly wind-down process of one line at the beginning of the third quarter.”

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

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Email: Adam.Berls@pattisonmedia.com

by Adam Berls

Policy impacts played role in Canfor cuts in Northern B.C.

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