Daily News for December 22, 2020

Today’s Takeaway

Nighbor, Yurkovich on the year that was, and is to be…

December 22, 2020
Category: Today's Takeaway

FPAC’s Derek Nighbor reflects on the year that was and is to be, while COFI’s Susan Yurkovich speaks to the past and hope for 2021. In other Business news: Forbes and Quebec’s Industry say lumber prices likely to be stronger-for-longer; West Fraser and Norbord go virtual with their merger plans; Specialty Building Products has a new owner; and Dana Fitzpatrick has past away after a distinguished 66-year career (Fitzpatrick & Weller).

In other news: American loggers get Covid relief; Canada adds funding for Wood Buffalo Park restoration; Nova Scotia’s (post-Northern Pulp) transition fund approves projects; a BC First Nation restores three salmon bearing streams; Scotland recruits young workers to the industry; and Australia welcomes media correction on forest sustainability.

Finally, a giant wood xylophone in a Japanese forest plays the Bach’s Cantata 147!

Kelly McCloskey, Tree Frog Editor

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Special Feature

Merry Christmas from the Tree Frog News Team

By Sandy McKellar
Tree Frog Forestry news
December 22, 2020
Category: Special Feature
Region: Canada

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Business & Politics

Safety, Sustainability, and Self-Sufficiency: The Year That Was in Canadian Forestry

By Derek Nighbor
Forest Products Association of Canada
December 21, 2020
Category: Business & Politics
Region: Canada

To say that COVID-19 has defined much of what we experienced in 2020 would be the understatement of the century. As we look forward to putting 2020 in the rear-view mirror, I would be remiss in doing my annual ‘look back’ if I did not share our deep appreciation for the incredible efforts and sacrifices of Canada’s frontline health care workers and first responders, and our sympathies to the over 13,600 Canadian families who have lost loved ones due to COVID-19. …This year brought with it the biggest health and economic crisis of our lifetimes… For the forest sector, 2021 opens a window of opportunity to develop a long-term plan to accelerate innovation in the forest bioeconomy and forestry clean tech, make more forest-based products here at home, expand export markets, build bigger and better with Canadian wood, keep communities safer from fire, and get more Canadians working. Bring on the New Year.  We are ready to hit the ground running.

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West Fraser and Norbord Announce Mailing of Circulars for Special Meetings of Shareholders

By West Fraser Timber Co. Ltd.
Cision Newswire
December 21, 2020
Category: Business & Politics
Region: Canada, United States

VANCOUVER, BC and TORONTO, Ontario — West Fraser Timber and Norbord jointly announced that West Fraser’s management information circular and Norbord’s management proxy circular, prepared in connection with the previously announced arrangement whereby West Fraser will acquire all outstanding common shares of Norbord pursuant to a plan of arrangement under Section 192 of the Canada Business Corporations Act, are expected to be mailed to their respective shareholders by December 24, 2020. The special meetings of West Fraser shareholders and Norbord shareholders are each scheduled to be held virtually on January 19, 2021. The closing of the Arrangement is expected to occur in the first quarter of 2021. …Investor presentations, together with other information relating to the Arrangement, are also available on West Fraser’s website at www.westfraser.com and Norbord’s website at www.norbord.com.

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Fund helps BC forest sector with Covid-19 costs

The Business Examiner
December 21, 2020
Category: Business & Politics
Region: Canada, Canada West

The province is delivering relief to small- and medium-sized forestry businesses for the extra costs of keeping their employees and communities safe, while operating through the COVID-19 pandemic. …Katrine Conroy, Minister of Forests, said, “this $9.3-million fund will help forestry businesses keep their employees on staff, and their communities safe with the additional costs they’ve already faced related to COVID-19. …”We welcome this funding to assist our membership and appreciate that both the federal and provincial governments have come to the table to help the forest industry,” said Todd Chamberlain, general manager, Interior Logging Association. …This funding will cover outstanding COVID-19 safety costs incurred this year by small and medium forestry companies ensuring they will be at full strength for planting again in 2021,” said John Betts, executive director, Western Forest Contractors’ Association.

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“We’ve seen high highs and low lows,”: Council of Forest Industries President recaps wild 2020

By George Henderson
My Cariboo Now
December 21, 2020
Category: Business & Politics
Region: Canada, Canada West

The BC forest sector is hoping for a little less volatility heading into 2021 as we slowly find our way out of the pandemic. Council of Forest Industries President, Susan Yurkovich said a price spike on the lumber side, was followed by a shaky year for pulp. “It’s been a very tough road for the pulp sector but we are starting to see some signs of improvement in China, which is the largest buyer of our product.” …Heading into 2021, Yurkovich believes housing demand south of the border should remain strong, which is good news for BC lumber products. …Northern BC is expected to play a big role in the forestry sector’s rebound heading into the new year after experiencing intermittent shutdowns during the early days of the pandemic. …“Fortunately, life has returned to near-normal in China so our office is up and running and able to do things there.

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American Loggers Celebrate Passage of Emergency Coronavirus Relief Act of 2020

By American Loggers Council
Cision Newswire
December 22, 2020
Category: Business & Politics
Region: United States

WASHINGTON — Members of Congress recognized the important role the timber harvesting industry plays in the United States economy by including both logging and log hauling businesses in the Emergency Coronavirus Relief Act of 2020. The bill includes language appropriating $200 million in funding for logging and log trucking businesses who saw a greater than 10 percent loss in revenues related to the COVID-19 pandemic. …Logging and log hauling businesses were deemed to be essential service providers, but have struggled with making fixed cost payments as a result of reduced markets for the unrefined forest products they produce. …The amount of relief coming from the federal government is not meant to make these businesses whole, but rather to serve as a stop gap while they adjust their business plans to be able to operate under this new economy,” stated Daniel Dructor for the American Loggers Council.

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The Jordan Company to Acquire Majority Stake in Specialty Building Products from Madison Dearborn Partners

By Specialty Building Products, LLC
Cision Newswire
December 21, 2020
Category: Business & Politics
Region: United States

DULUTH, Georgia — Specialty Building Products announced that it has signed a definitive agreement whereby The Jordan Company will acquire a majority ownership position in SBP from funds affiliated with Madison Dearborn Partners. SBP’s senior management team, including President and CEO Jeff McLendon, will maintain a significant equity stake in SBP and continue to lead the Company through its next phase of growth. Terms of the transaction were not disclosed. Specialty Building Products is an industry leader with a strong market presence throughout the United States and in Canada. SBP’s operating brands are U.S. LUMBER, Alexandria Moulding, Midwest Lumber and Mid-State Lumber. …The closing of TJC’s majority investment in SBP is expected to occur in the first quarter of 2021, subject to the satisfaction of customary closing conditions.

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After 66-year career, Fitzpatrick & Weller Chairman Dana Fitzpatrick has died

By Karen Koenig
The Woodworking Network
December 21, 2020
Category: Business & Politics
Region: United States, US East

Dana Fitzpatrick

ELLICOTTVILLE, New York – Dana Fitzpatrick, chairman of the board of Fitzpatrick & Weller Inc., passed away on Dec. 18. He was 90. A longtime fixture in the woodworking industry, Fitzpatrick capped his 66-year career by leading the wood components manufacturer’s celebration of its 125th anniversary in 2020. In addition to his leadership role at the company, Fitzpatrick was a former director of the National Hardwood Lumber Association, Hardwood Manufacturers Association, and the American Forest and Paper Association. He served as chairman of the American Hardwood Export Council and the National Forest Products Association. …Fitzpatrick was also an active member of the Ellicottville, New York, community, according to his obituary.

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Finance & Economics

Another boom in the price of lumber

By Victoria Smith
Canada Live
December 22, 2020
Category: Finance & Economics
Region: Canada, Canada East

Quebecers will have to resolve to pay more for their construction lumber, even when the coronavirus pandemic will be nothing but a bad memory. “We are at a turning point. In the forest industry and construction, there was a pre-COVID and there will be a post-COVID, ”says Michel Vincent, director of the Economics and Markets Department of the Quebec Forest Industry Council (CIFQ) . The benchmark tool for the price of lumber is the Pribec index. It brings together around twenty materials of different dimensions and is expressed in board feet (PMP). “It has now recovered to $ 860 at the time of year when prices are normally at their lowest. The situation is worrying. We see that something is happening, ”says Vincent. …The Pribec index: Before the pandemic: $ 525… At the top in the summer: $ 1200… In November: $ 750…Currently: $ 860.

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Lumber’s Latest Price Rally Signals Stronger-For-Longer Spring Prices

By Sal Gilbertie
Forbes Magazine
December 21, 2020
Category: Finance & Economics
Region: United States

…Lumber prices have had a wild roller-coaster type ride. …But the dramatic late-year rally in spot lumber has also pushed the price of May lumber back up to $705. …Besides confirming that lumber is one of the most volatile commodities in the world right now, what does all this mean? …This flattening of the lumber futures curve indicates a new equilibrium of sorts, one that has been achieved due to both current supply/demand fundamentals and a healthy dose of confusion. Right now, lumber mills are closing for much needed maintenance which has tightened near term supply, causing the spot lumber price rally. Uncertainty about how much Canadian lumber is actually available for export, unexpectedly resilient demand, and lumber yards scrambling to fill contracts… has caused the rally in the outer month lumber futures, because folks are far less confident on bearish bets than they were only three months ago. 

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Wood, Paper & Green Building

The Canada Border Services Agency launches investigations into upholstered domestic seating from China and Vietnam

By The Canada Border Services Agency
Cision Newswire
December 21, 2020
Category: Wood, Paper & Green Building
Region: Canada

OTTAWA, ON – The Canada Border Services Agency (CBSA) announced today that it is launching investigations to determine whether certain upholstered domestic seating from China and Vietnam is being sold at unfair prices in Canada. The investigations are the result of a complaint filed by Palliser Furniture Ltd. (Winnipeg, MB) and supported by Elran Furniture Ltd. (Pointe-Clair, QC), Jaymar Furniture Corp. (Terrebonne, QC), EQ3 Ltd. (Winnipeg, MB) and Fornirama Inc. (Montréal, QC). The complainant alleges that as a result of an increase of the volume of the dumped and subsidized imports from these countries, it has suffered material injury in the form of lost market share, lost sales, price undercutting, price depression, declining financial performance and reduced capacity utilization.

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Giant Wooden Xylophone in Japanese Forest Plays the Notes of Bach’s Cantata 147

By Emma Taggart
My Modern Met
December 22, 2020
Category: Wood, Paper & Green Building
Region: International

Imagine walking through the woods and then suddenly hearing the calming melodies of Bach playing in the distance. That’s exactly the type of magical scenario that creative director Morihiro Harano and his team at Mori Inc. created in 2012. The company collaborated with carpenter Mitsuo Tsuda and sound engineer Kenjiro Matsuo to create a giant xylophone in a forest that plays a special wooden symphony. Elevated above the forest floor, the huge xylophone was installed in the woods of Kyushu, Japan. It comprises hundreds of different-sized pieces of wood, each of which plays a different note when struck. In a video showcasing the instrument, a wooden ball is placed at the start of the xylophone, which descends at a slight angle.

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Forestry

Federal government announces $60M funding to restore Wood Buffalo National Park

By Bob Weber
Canadian Press in Global News
December 21, 2020
Category: Forestry
Region: Canada, Canada West

The federal government has more than doubled previous funding commitments for Canada’s largest national park to answer environmental concerns from Indigenous groups and a United Nations agency. Wood Buffalo National Park — a UNESCO World Heritage Site — is to receive nearly $60 million over the next three years to consider threats from hydro and oilsands development and climate change. That’s in addition to $27.5 million announced earlier, Environment and Climate Change Minister Jonathan Wilkinson said Monday. The government’s plans are in a report released Monday to UNESCO detailing Canada’s efforts to address the agency’s concern about the park, one of the world’s largest freshwater deltas and home to millions of birds, including endangered whooping cranes. UNESCO has said the park’s status could be endangered because of impacts from hydro development in British Columbia and dozens of oilsands projects in Alberta.

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Salmon-bearing streams restored in B.C.’s Pacific Rim National Park

By Quinn Bender
BC Local News
December 21, 2020
Category: Forestry
Region: Canada, Canada West

A Vancouver Island First Nation is celebrating the restoration of three salmon-bearing streams after decades of habitat decline and destructive forest practices. This summer workers from the Ditidaht First Nation joined with Parks Canada to clear more than 3,000 cubic metres of debris from the Cheewaht Lake watershed, part of the Pacific Rim National Park Reserve… Completion of the project gives the fish access to an additional 100 metres of spawning ground that’s been inaccessible for two decades. …In the 1970s environmental concerns prompted the federal government to extend the park boundaries around the watershed, to serve as part of the West Coast Trail Unit, giving all spawning areas federal protection under the Canada National Park Act. Meanwhile, legal logging along the park’s boundary caused stream blockages and flooding of forested areas in the watershed… In October, adult sockeye and coho began returning to the watershed, spawning successfully in all three of the streams.

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Forestry Innovation Transition Trust Approves Projects

By Nova Scotia Forestry Innovation Trust
The Government of Nova Scotia
December 21, 2020
Category: Forestry
Region: Canada, Canada East

The first projects approved by the trustees of the Forestry Innovation Transition Trust are being announced today, Dec. 21. The projects accelerate new opportunities within the Nova Scotia forestry sector, advance environmental, social and economic objectives and support the adoption of new ecological forestry practices. Nova Scotia Community College (NSCC) is receiving a one-year commitment of funding, for a potentially multi-year project of up to $2 million, to administer a new innovation voucher program. NSCC’s Forestry Innovation Voucher Program will enable established businesses, new startups, non-profit community groups and Mi’kmaq partners to leverage the college’s infrastructure, assets and expertise in the forestry sector to develop new products and technology as well as capitalize on business growth opportunities. Support available through the program includes access to NSCC’s demonstration woodlands for product testing and study, as well as access to services such as prototyping, design, test validation and business model planning.

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Healthy Forest program offers forest fire mitigation funding for private landowners

By Miles Blumhardt
The Coloradoan
December 21, 2020
Category: Forestry
Region: United States, US West

Coloradans love their mountains… About half of the state’s 5.7 million people live in wildfire-prone areas near forests, and private landowners own about 7 million acres of forest. So when a historic wildfire season burns 650,000 acres of forest like this season, it stokes interest for many in the state. …The Big Thompson and Fort Collins conservation districts and others …have turned to helping private landowners with forest management through the Healthy Forest Initiative program. …Northern Colorado districts, which are part of the National Resource Conservation Service, have turned more of their attention in recent years from helping farmers and ranchers to helping private landowners who live in and near forests through what Marshall called “forensic forestry” and funding. The forestry part includes the removal of trees, slash piles and logs to return the forest to a more natural state before decades of forest management and fire suppression to protect homes created unhealthy forests.

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Investigation blames U.S. Forest Service for giving Alaska grant used for Roadless Rule fight

By Eric Stone
Alaska Public Media
December 21, 2020
Category: Forestry
Region: United States, US West

A federal watchdog agency said the U.S. Forest Service acted illegally when it awarded a $2 million firefighting grant to the state of Alaska in 2018. The state had asked for the grant to gather input on a proposal to exempt the Tongass National Forest from the Clinton-era Roadless Rule.  The U.S. Department of Agriculture’s Office of Inspector General issued its report Wednesday. The report says the Forest Service illegally awarded the $2 million to the state through a grant program intended to support fire suppression in state-owned forests.  A Washington, D.C.-based spokesperson for the Forest Service, Larry Moore, said the money had been set aside for the state. But he said none of it actually ever changed hands. The agency says it’s working with its in-house lawyers to determine how to reallocate the money. 

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ABC News Australia science corrects its misrepresentation of Australian regrowth native forestry

The Australian Forest Products Association
December 22, 2020
Category: Forestry
Region: International

The Australian Forest Products Association has welcomed the finding by the ABC Audience and Consumer Affairs Department that a recently published story made a series of errors which showed Australian forestry in a negative light. …CEO of AFPA Ross Hampton said, “It is very encouraging that the national public broadcaster’s fact checking processes are clearly working.” …“What remains deeply perplexing however is how the serious reporters and producers in the ABC Science unit could have held such views about our sustainable forest management in the first place? Even those with a modest understanding of forest industries in Australia would have known that the state forest agencies emphatically do not practice ‘deforestation’, as was implied in the report. …The apology published on the ABC website is available here.

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Scotland: Scheme to attract young workers into the industry

By Jim Millar
The Courier UK
December 21, 2020
Category: Forestry
Region: International

SCOTLAND — Forestry currently supports 25,000 in Scotland with timber production levels on the increase. The initiative, called Growing Rural Talent sees forestry companies encouraged to take on new young staff through a subsidy programme. The project was highlighted at the recent Forestry Jobs Summit organised by the Industry Leadership Group and key forestry organisations. Stuart Goodall, chief executive of forestry and wood trade body Confor, said: “Forestry and wood processing is a sector on the up. …It will provide up to 100 per cent financial support to private sector employers for the first six month period, and then at a rate of 50 per cent for a further six months, dependant on an actual job opportunity. …A new Forestry Careers Toolkit, which will help employers in the sector attract new talent, is expected to be launched in the New Year.

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Urgent bid to stop parrot habitat logging

7 News Australia
December 21, 2020
Category: Forestry
Region: International

An urgent bid to prevent logging in critically endangered swift parrot habitat in Tasmania will come to a head in court unless an interim agreement is reached to protect significant trees. The Bob Brown Foundation has applied for a Federal Court injunction to protect more than 3200 hectares of native forest in the island’s east. Justice Duncan Kerr on Tuesday set down a hearing for January 11. Justice Kerr instructed state-owned forestry company Sustainable Timber Tasmania to reach an agreement to stop logging in coupes containing certain feeding and nesting trees between now and the hearing. If the company agrees, a hearing won’t be needed. Lawyer representing Sustainable Timber Tasmania, Shaun McElwaine SC, told the court there were only three logging coupes in the area undergoing or slated for imminent forestry activity. He said old growth trees, the likely nesting sites of swift parrots, had been mapped and could not be logged.

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Carbon, Climate & Bioenergy

Enviva Partners With GoChain to Pilot Blockchain Technology for Sustainable Biomass

By Enviva Holdings, LP
Business Wire
December 21, 2020
Category: Carbon, Climate & Bioenergy
Region: United States, US East

BETHESDA, Md. & RENO, Nev.–Enviva, a leading global energy company, and GoChain, a blockchain company that drives the adoption of impactful technology for the betterment of society and our habitat, announced the initial results of a pilot program designed to enhance the traceability of sustainable biomass. The pilot program identified a select group of suppliers from Enviva’s wood sourcing regions in the U.S. Southeast to monitor various data elements such as: forest tract locations, load weights, fiber commodity types, and forest types. Leveraging GoChain’s blockchain, Enviva was able to monitor the movement of wood fiber in real-time from select forest tracts at the time of harvest to Enviva’s wood pellet production plants with a unique QR code. The pilot provided real-time geofencing, data analytics, and notification capabilities. In total, more than 1,000 loads of biomass were delivered from the forest to the production plant and recorded “on-chain” during the pilot.

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