What does British Columbia’s Minister of Forests Ravi Parmar mean when he talks about forest industry transformation? …Industry transformation is a core theme of the NDP government’s forest sector agenda—part of what it was elected to address in 2017 and later formalized in the 2021 intentions paper, Modernizing Forest Policy in British Columbia. It is clear that transformation is meant to include more value-added wood products manufacturing, partly to reduce reliance on commodity lumber markets in the U.S. and move away from boom-and-bust cycles. Those are worthy broad objectives but impractical. And there is no concrete plan. Frustratingly, the details of this industry transformation have never been publicly outlined.
By my analysis, approximately 42 per cent of the softwood lumber production capacity operating in this province in 2019 has since been indefinitely curtailed, indefinitely closed, or permanently closed. …What about the 54 per cent, or 3.1 million tonne reduction in pulp and paper mill capacity since 2020? Add two or three closed pellet mills, a few other wood product manufacturers, and the list is a shocking transformation. The corresponding 47% decrease in the provincial Crown harvest is equally telling. …One of the biggest ironies of all this is the desire to increase value-added manufacturing cannot scale without primary manufacturers converting logs into products like lumber or veneer that can be used to then make value-added products. Except those primary manufacturers are the ones closing down.
Industry leaders recently sent a joint letter to the Premier warning that industry is at a breaking point and asking for an emergency meeting to address the crisis. Maybe the discussion should not be industry conveying its concerns and needs, but rather the Premier and Minister cutting to the chase on what they mean by industry transformation. The government keeps invoking transformation, yet the observable result of the last decade have been contraction—and neither communities nor industry know where the government’s goalposts are.