The past few years have been tough for Canada’s forest industry. …In response to US tariffs and as a partial solution to our continuing housing crisis, Prime Minister Carney has made a commendable move, providing support for the lumber industry and setting a target of doubling housing starts. He’s also announced the Canadian Forest Sector Transformation Task Force. Achieving Mr. Carney’s targets for the forestry sector will require transformation of our wood products and construction industries. …When a log is cut up for lumber, about 40% of the tree is converted to residual chips, and without demand for wood chips to make paper, production of lumber will not be viable. New, alternative uses for those residuals become essential. One option would be to replace a number of idled pulp mills with a couple of large, modern mills.

…New pulp mill designs act as biorefineries, making a range of products. Heat can be exported to district heating plants and power to the grid. Methanol, also known as wood alcohol, can be used in various industrial processes. Currently, methanol is made largely from natural gas, so replacing this product with wood-based spirits offers a carbon advantage. Lignin extracted from pulp mills can be used to displace petroleum-based incumbents in a range of products such as plywood glues and polyurethanes. Currently, because of the steep decline in demand for our pulp and paper products, we are only cutting half the wood that provincial forest ministries deem sustainable. This leaves large amounts of biomass in the forests, which can amplify the threat of wildfires. Reinvesting in our forest sector can help us to lower the risk of catastrophic fires going forward. [to access the full story a Globe and Mail subscription is required]