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BC’s Minister of Forests remains hopeful for forestry revival despite recent mill closures

Amid ongoing mill closures across the province, British Columbia's Minister of Forests expressed optimism about federal advocacy and the premier's efforts in securing investments for the forestry industry.

In a recent interview with KelownaNow, Ravi Parmar highlighted the ongoing challenges facing the province's forestry sector, describing it as a "boom and bust industry for decades."

Parmar emphasized that workers bear the brunt during downturns, noting thousands affected by closures in places like Crofton and 100 Mile House.

At the beginning of the month, forestry company Domtar announced it would be closing its Crofton pulp mill, impacting around 350 jobs. North Cowichan Mayor Rob Douglas said the community was reeling from its largest employer.

The Cofton Pulp Mill closure came about a month after West Fraser Timber announced the permanent closure of the 100 Mile House mill, resulting in the loss of 165 jobs.

Parmar attributed much of the strain on the forestry industry to US tariffs and duties, which he said are "placing a choke hold on our ability to provide strong quality wood products" to American markets, compounded by low lumber prices under $400 per board foot and collapsed demand due to economic policies under President Donald Trump.

Parmar expressed optimism about federal advocacy, praising Prime Minister Carney and Natural Resources Minister Tim Hodson for stepping up where predecessors "completely dropped the ball on forestry and softwood lumber."

He credited his and Premier Eby's efforts for securing billions in federal investments.

"We have shown good progress in British Columbia in reminding the federal government of why it is so important that they fight for forestry workers,” he said.

However, when the Crofton mill closure announcement was made, Kim Haakstad, President & CEO of the BC Council of Forest Industries (COFI), said that although softwood lumber duties and trade uncertainty add significant pressure, not everything can be blamed on the dispute.

Conservative MLAs have also been outspoken about the BC NDP placing all the blame on tariffs.

“Alarm bells were ringing long before the tariffs,” said Kamloops-North Thompson MLA Ward Stamer in early November.

<who> Photo Credit: Google Maps </who> The 100 Mile House mill.

Parmar underscored that forestry is BC's equivalent to the auto or steel sectors, urging relief on tariffs alongside autos, steel, and aluminum.

A key focus for Parmar is improving access to fiber, which he identified as a top priority in his mandate to build a "strong, sustainable timber harvesting land base."

He detailed initiatives like appointing a new deputy minister from industry, conducting a province-wide timber supply review, and reducing permit approval times from 45 to 25 days.

Addressing delays, Parmar pointed to First Nations consultations and economic factors, directing the sector to "meaningfully engage, consult, accommodate" but proceed with permits if consent isn't reached, adding, "We'll get permits flowing."

Economically, Parmar noted rising transportation costs by 50% since the pandemic and unharvested permits due to lack of profitability, exacerbated by tariffs and market collapse.

He announced a comprehensive tenure obligation review to ensure consistency and competitiveness across district offices, aiming to lower costs.

"We're looking at every single obligation cost and making sure that we're becoming as competitive as we can," he said, highlighting a recent trade mission to Japan and South Korea where customers praised BC's sustainable products.

<who> Photo Credit: Domtar </who> The Crofton mill.

Despite challenges, Parmar expressed pride in BC as one of the world's largest softwood exporters and called for industry investments in communities.

He cited positive examples like Hampton Lumber's modern sawmill in Fort St. James and Tolko's upgrades, but stressed reciprocity.

"When I'm going to them and saying, I wanna help address your concerns... I wanna help build a strong, sustainable working forest that can provide the stability, the certainty, the predictability that you need to be able to make investments,” he said.

Parmar's comments come amid calls from industry for certainty on allowable cuts and greater representation in decision-making, as companies like Canfor cite uncertainty in decisions to close operations.

He affirmed daily engagement with firms like West Fraser, Tolko, and Canfor, balancing support with expectations for job creation and prosperity.

The Crofton and 100 Mile House closures are just two in a series of mill closures since spring 2024.

Last year, there were closures in Prince George, Bear Lake, Houston, Vanderhoof and Fort. St. John and a temporary closure of Aspen Planers in Merritt.

In October, Interfor announced curtailments at its Grand Forks mill, among others in the US, due to "weak market conditions” and “economic uncertainty.



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