Cedar is graded at Western Forest Products sawmill on Vancouver Island. (Tom Fletcher/Black Press)

Another B.C. forest company looks south for lumber mill expansion

Premier John Horgan promises ‘carrots and sticks’ to grow sawmill jobs

As the B.C. government prepares plans to keep more logs and mill jobs in the province, the latest in a string of forest companies has continued to put its expansion investment into the United States.

Western Forest Products announced Friday it has closed a deal to buy Columbia Vista Corp. sawmill operations in Washington. Columbia Vista has operated at Vancouver, WA for more than 60 years, and now employs about 90 people producing 60 million board feet per year of Douglas fir products for the U.S. and Japan markets.

As B.C. forest companies have struggled with pressure on timber supply from diminished coastal logging and fire and beetle damage across the Interior, mills have cut production or closed while companies invest in U.S. facilities. Interfor Corp., one of the largest lumber producers in the world, has expanded by buying sawmills in Georgia, Arkansas and South Carolina.

B.C.-based Canfor Corp.’s latest acquisition is also in South Carolina, along with a 70 per cent stake in Vida Group, with nine sawmills in southern Sweden.

Western is B.C.’s largest coastal lumber producer, much of it Crown tenure on Vancouver Island. Some Island forests are private land, the legacy of colonial Governor James Douglas’ 1850s deal with coal baron James Dunsmuir to trade Crown land for construction of the Esquimalt and Nanaimo (E&N) Railway.

“This acquisition is consistent with our strategy of pursuing margin-focused business opportunities that complement our position in selected markets,” Western CEO Don Demens said in a statement.

RELATED: B.C. government extends northern log export exemptions

RELATED: B.C. loggers brace for changes to century-old export rules

Premier John Horgan spoke out about the trend of log exports and disappearing B.C. mill jobs at the recent Truck Loggers Association convention, following up with another speech the next week at the B.C. Natural Resource Forum in Prince George.

“For the last 20 years, employment on the coast has declined by about 40 per cent,” Horgan told the TLA convention in Vancouver Jan. 17. “Lumber production has dropped by 45 per cent, pulp production by 50 per cent. At the same time, log exports from Crown land have increased by nearly tenfold.”

Horgan promised “carrots and sticks,” to create incentives for mills in B.C. and reduce the export of “raw logs,” a ritual NDP term that has become a rallying cry on the B.C. coast.

In Prince George, Horgan promised to eliminate “surrogate bidding” so smaller lumber producers aren’t blocked from buying B.C. logs that are destined for Asian markets.

The industry is awaiting details of the province’s plans for export rules and incentives.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Coming up in Cowichan: Mental Health First Aid, Redefining Toxic Masculinity, zumba, lampreys

Mental Health First Aid course for veterans Providence Farm is hosting a… Continue reading

Music by Elgar, Kodaly, and Schubert on menu when Cowichan Consort takes stage

VIDEO: Beautiful Elgar selection will be performed in honour of four late Consort members

Strong effort by United results in loss to Castaways

Strong start for Cowichan team doesn’t hold up

Excess lead in drinking water? Not in Cowichan

But pipes and fixtures in some older homes could pose a problem

Shawnigan Hills parkrun report for Nov. 16

Lewis-Schneider sets new women’s course record

PHOTOS: NHL honours B.C. grandma’s battle against cancer in special match

Shea Theodore’s grandmother Kay Darlington dropped the puck at a special ‘Hockey Fights Cancer’ game

University of Victoria threatens any athletes who speak about rowing coach probe

Barney Williams has been accused of harassment and abuse

B.C.’s largest catholic archdiocese names 9 clergymen in sex abuse report; probes ongoing

Vancouver Archdioces presides over 443,000 parishoners in B.C.

Eagles congregate around Salish Sea for one last feast before period of famine

Mountainaire Avian Rescue Society preparing to receive birds in need of care

Smudging in B.C. classroom did not affect Christian family’s faith, says school district lawyer

Lawyers make closing arguments in a Port Alberni case about the Indigenous cultural practice

Canadian Forces member charged with possessing magic mushrooms in Comox

Master Cpl. Joshua Alexander, with the 407 Maritime Patrol Squadron, facing two drug related charges

Most B.C. residents, including those hit by 2018 storms, not prepared for outages: report

Create an emergency kit, BC Hydro says, and report all outages or downed lines

Study finds microplastics in all remote Arctic beluga whales tested

Lead author Rhiannon Moore says she wasn’t expecting to see so many microplastics so far north

Services needed in B.C. for early-onset Alzheimer’s disease patients: doctor, advocates

More patients are being diagnosed with Alzheimer’s at an earlier age

Most Read