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Susan Mowbray

There is an uncertain outlook on Vancouver Island for forestry and aquaculture, but emerging opportunities in defence and an ocean economy… Susan Mowbray, partner in MNP’s Vancouver consulting practice, presented the 2026 State of the Island Economic Report at the Vancouver Island Economic Alliance on Oct. 21, giving the current state of the economy and the short-term outlook. “Forestry remains an important part of the Island economy, it’s a lot smaller than it was but it is still really important, particularly in the mid-north Island, but employment has been falling,” Mowbray said. Curtailments and closures, she explained, stem from a mix of fibre constraints, a slow-down in the U.S. housing market and higher U.S. tariffs. “There are signs, if you look at the data, that we did see a little bit of harvest volume increase in 2026 versus 2025, but that is because we’ve had better weather and labour disputes resolved, not because we’re seeing an increased lumber demand.”

Interim BC Conservative leader Lorne Doerkson is partly hanging his hopes on the province’s beleaguered forestry sector to carry his election platform’s economic growth forecasts, recalling that the sector had been a “ginormous contributor” to the province’s economy in the past. …when asked how he would achieve the growth predictions that his party says will bring in $2.6 billion in new revenue over three years, Doerkson said, “that infrastructure is there, it’s in place and we can absolutely get back to business in that sector almost immediately.” …[An] NDP background document said Doerkson could not change U.S. softwood tariffs, now close to 35 per cent, low prices or the exhaustion of the most profitable timber stands. B.C. Council of Forest Industries’ Kim Haakstad cautioned that expecting the sector to resume the role it had in B.C. in the 1960s or earlier was not realistic. But she said increasing the annual allowable cut backup to 45 million cubic metres … could generate about $600 million in additional revenue. 

The NDP platform promises to continue to support the forest industry by providing more cash for mills to upgrade their operations, spending $120 million to protect jobs at mills that are at risk of closing and focus on making sure mills get the fibre needed to keep operating. The party’s promises to protect B.C.’s forests are less robust. …The BC Conservatives are promising to do many of the same things the NDP has done but better, bigger and faster. Conservative forestry policies would double government revenue from stumpage fees by 2028-29. The 2026 provincial budget estimated total forestry-related revenues will increase 3.3 per cent per year through 2029. …The party promises to “resolve” the issue of old-growth deferrals by “protecting original old growth” and making the rest eligible for logging. …The Green platform proposes shifting B.C. forestry from a fibre-supply model to one that prioritizes ecosystem health, wildfire resilience, cultural values and healthy communities.

…In the weeks before Premier David Eby called a snap election, forestry stakeholders including the United Steelworkers, the BC Council of Forest Industries, the Truck Loggers Association and the BC First Nations Forestry Council told the provincial government the industry was at a breaking point. A month later, ahead of the provincial election on Saturday, B.C’s Conservative, Green and New Democratic parties have put forward their plans for the industry’s future. The United Steelworkers union … has welcomed the NDP’s plan as a positive step toward protecting jobs. Meanwhile Gary Bull, professor emeritus of forestry at the University of British Columbia, said that while both parties have made some steps toward sustaining the industry, neither the Conservatives nor the NDP offered a dramatic shift in the province’s approach to forest management. …Scott Lunny, United Steelworkers Western Canada director, said he welcomed the NDP plan, but it doesn’t go far enough to protect jobs. …Bull said both parties’ platforms were still missing details about how to finance better forest management.

More than 80 forestry workers gathered in the Port Alberni paper mill parking lot last Friday to raise awareness of forestry issues, and discuss the future of their industry. With Domtar dependent on a dwindling market of fall-down chips from sawmills, Unifor local 592 first vice-president Ted Haggard says workers are pressuring governments to act. “I’m not gonna lie, our future doesn’t look like sunshine rainbows right now, but we can change that with proper forest management,” he said. Haggard says the development of the First Nations led Alberni Valley Forestry Coalition has helped pressure governments to improve forest rules and regulations and lower logging costs.

…But urgent action is needed to stop the deepening crisis in BC’s forest sector. Since 2022, more than 15,000 forestry jobs have been lost, and over 20 mills have closed or curtailed. The damage doesn’t stop at the mill gate. Every closure puts contractors, suppliers, secondary manufacturers, local small businesses and communities at risk. …As British Columbians prepare to vote for the next provincial government, COFI has outlined key policy priorities. The comparison sets out COFI’s recommended actions alongside the commitments put forward by the BC NDP and Conservative Party of BC. …This election is an opportunity to put forestry back at the centre of BC’s economic priorities. We encourage forestry workers, businesses and communities to engage with local candidates, share what is at stake, and ask how their parties will support a competitive and sustainable forest sector. View the full 2026 Provincial Forestry Platform Comparison on these issues: Stabilize BC Forestry; Secure an affordable and predictable wood supply; Protect and Invest in BC Jobs and Mills; Build Homes with BC Wood; Stand Up for BC Forestry in Ottawa and Washington, DC; and Other Forestry-related Commitments.

British Columbia’s forest sector is at a turning point. Communities are feeling the effects of sawmill and pulp mill closures, catastrophic wildfires, changing markets, and general uncertainty about the future. British Columbians are also asking how forests can support healthy ecosystems, sustainable local economies, reconciliation, public safety, recreation, and other community priorities. We believe community forestry offers a tested and proven way forward and should be on the minds of British Columbians and on the platforms of those running for office in the provincial election. We are asking political parties, candidates, and the next government to make two clear commitments. These practical actions would strengthen local economies, support First Nations leadership and partnerships, reduce wildfire risk, and help build a more resilient forest sector: Expand the Community Forest Program and protect the policies and operating conditions that make community forests viable; and Provide stable, long-term funding for proactive wildfire management, planning, and risk reduction in and around community forests.

Leader of the BC Conservative Party Lorne Doerkson made a campaign stop at a shake and shingle mill in Maple Ridge on Monday, Oct. 19, to announce new supports for forestry jobs in the province if his party is elected to office. Doerkson shook hands with workers at Waldun Forest Products in east Maple Ridge, in the riding of BC Conservative incumbent candidate Lawrence Mok, where he said he will give the sector more predictable access to fibre, speed up the permit process, and eliminate unnecessary permitting costs in the sector. …He set a goal of 45 million cubic metres, minimum, for the annual cut. …He also pledged his government would review and eliminate unnecessary permitting costs and encourage Indigenous participation in the forestry industry by investing in skills training and ensuring First Nations will benefit from any federal funding to support the industry. He also vowed to create competitive tax conditions.

Kim Haakstad

We are spending a lot of time talking about major projects these days. …But somewhere along the way, we seem to have decided that they are the only answer to our economic ­challenges. There’s a catch with that approach: For most major ­projects, the biggest boost ­happens during construction. …We can build major ­projects while strengthening the ­industries that already provide jobs, investment and economic activity in communities across British Columbia. Forestry is one of those industries. Forestry literally and figuratively built British Columbia. …Unlike a construction project, forestry’s economic contribution doesn’t end when the assembly is complete. Forestry supports jobs on Vancouver Island, in the North, the Central Interior, the ­Southern Interior and throughout the Lower Mainland… It offers established networks, skilled workers and global customers ready to generate revenue right now. Yet instead of leveraging this advantage, we seem to have accepted managing the ­industry’s decline. …British Columbia needs major projects. We should pursue them with ambition. And we must bring that same ambition and urgency to forestry.

EDMONTON, AB — After nearly seven years at the helm of the Alberta Forest Products Association (AFPA), President and CEO Jason Krips will step down from his role at the end of the calendar year to join the executive team at the University of Alberta.mKrips will remain with AFPA through the end of 2026 and support the organization as the Board Executive undertakes the recruitment process for AFPA’s next President and CEO. During his tenure, Krips led the association through a period of significant change for both AFPA and Alberta’s forest sector — from the COVID-19 pandemic and organizational restructuring to a record-breaking wildfire season and, most recently, significant trade challenges with the United States. Throughout it all, Krips has been a steadfast champion for Alberta’s forest sector and the communities that depend on it. 

The B.C. NDP government has committed to hand over approximately 400 parcels of public Crown land to First Nations, while promising just days before the snap election that it would change the law to limit compensation to forest companies affected by the losses. The revelation is contained inside briefing documents labelled “confidential” but obtained by Northern Beat. The briefing is dated Sept. 10… Anyone who wanted to see the material was forced by government to sign a non-disclosure agreement to remain quiet during the election period. “One mechanism used to advance reconciliation is through the return of Crown lands to First Nations under treaties and other negotiated agreements,” reads the document, titled “Forest Compensation Framework.” …The proposed solution is to change the compensation rules to make it cheaper for government to remove the logging rights from forest companies on land earmarked for First Nations by, in some cases, not compensating the companies at all.

Additional coverage by Rob Shaw in Chek News: Eby defends plan to limit payouts for forestry companies on Indigenous land transfers

Kim Haakstad, president of the Council of Forest Industries, would like to cut down a plan by the previous government to limit the compensation of forest companies when land is transferred to First Nations, but British Columbia NDP Leader David Eby has defended the proposal. Haakstad said it was unfair for government to ask businesses to absorb the costs. … The New Democrat platform doesn’t mention the plans, while forest companies had to sign non-disclosure agreements if they wanted to see them. Eby said such agreements are standard, and he rejected suggestions of secrecy. … But if government commits to costs, it needs to pay for those costs, Haakstad said. “Asking forest companies to absorb that is generally unfair.” …Haakstad said she was not convinced that non-disclosure agreements were needed in the situation, but her organization nonetheless signed one. She could not say how many other industry groups or companies did the same.

A reduction in punitive American duties on Canadian softwood lumber comes as little relief to B.C. producers as the underlying Canada-U.S. trade dispute continues to drag on, according to the B.C. Lumber Trade Council. …Kim Haakstad, interim president of the council added that the biggest challenge presented by the duties and tariffs is that it leaves wood producers “not really knowing what the cost would be when you make a product and then send it to market,” almost 10 years since the last Canada-U.S. softwood lumber agreement expired. …Haakstad said [the US] doesn’t produce enough lumber to meet demand for new U.S. homes, which makes the Commerce Department’s duties “unjustified and punitive,” and only serve to inflate construction costs for U.S. consumers. …In B.C., Haakstad said she was surprised that forestry hadn’t come up as an election issue until Wednesday when the NDP released campaign priorities for manufacturing and employment support. [Available with a subscription to the Vancouver Sun/Financial Post]

BC’s forest sector is facing an unprecedented crisis. Since 2018, the BC government has made over 50 forestry-related regulatory and policy changes, which together have added prohibitive costs to BC’s forest sector and harvesting contractors. As a result, BC mills are now high-cost producers and in an environment of weak markets and high tariffs, while over 30 BC mills have been permanently closed or curtailed eliminating 11,000 high-paying industry jobs. The Provincial government has both the authority and the responsibility to act by re-assessing these decisions and choosing instead to control the excessive costs of regulations, policies and permitting. The TLA has outlined its three urgent election priorities

1. Remove barriers and reduce the cost of doing business…
2. Get the wood moving and protect BC jobs…
3. Restore confidence and investment in BC’s forest economy…

This election is our opportunity elevate that conversation, seek alignment and put the right people at the table…