Forest Industry Crisis

Forest Industry Crisis

Postby Hurtlander » Aug 12th, 2019, 7:18 am

https://pgdailynews.ca/index.php/2019/0 ... ry-crisis/

“You won’t get any argument from John Brink about how bad the forest industry crisis is in B.C.

“In the 55 years I’ve been here, I’ve never seen anything as serious as this,” says the founder and CEO of Brink Forest Products, which operates three secondary manufacturing mills in northern B.C.

However, you will get an argument from Brink over what should be, or can be, done about the spate of temporary and permanent mill closures hitting the Interior as mills grapple with higher costs and a dwindling fibre supply. His first argument is with the blame-game.

“The more troubling part about this, and I’m not political, is that I see the finger-pointing,” he says. “I believe that is not helpful. What I’m seeing is politicians pointing fingers but not offering solutions. We have not been very good stewards of our resources, particularly the forest resource.”

He points to the major changes to the Forest Act, brought in by the Liberals in 2003, as one of the drivers behind the wheel of an industry heading for the ditch (more on that later).

“That was the largest forest policy change in 50 years that dramatically took a turn to where we are today,” he says. “So I’m somewhat troubled by people like (Nechako Lakes MLA John) Rustad who are saying ‘fire the forest minister’ but are not offering any solutions. Most of (of the issues facing the forest industry) happened during the tenure of the BC Liberals.”

Brink says we have to understand how the industry got to this point to understand what needs to be done to carry it forward.”

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Re: Forest Industry Crisis

Postby Gilchy » Aug 12th, 2019, 8:01 am

Interesting article, and refreshingly apolitical. Coles Notes, the forestry industry in BC is hurting due to:
-High stumpage fees (calculated based on trailing prices)
-Low lumber prices (brought on by increased competition from Europe, and trade wars with China)
-Reduced fiber supply now that the beetle kill wood is done.

Reducing stumpage rates won't work, as the US wold simply increase tariffs to offset. No easy answers, that's for sure!

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Re: Forest Industry Crisis

Postby Scrobins94 » Aug 12th, 2019, 8:44 am

That's why companies like Tolko are buying assets in the US.

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Re: Forest Industry Crisis

Postby twobits » Aug 12th, 2019, 6:05 pm

Hurtlander wrote:https://pgdailynews.ca/index.php/2019/08/07/special-report-an-insiders-view-of-the-forest-industry-crisis/

“You won’t get any argument from John Brink about how bad the forest industry crisis is in B.C.

“In the 55 years I’ve been here, I’ve never seen anything as serious as this,” says the founder and CEO of Brink Forest Products, which operates three secondary manufacturing mills in northern B.C.

However, you will get an argument from Brink over what should be, or can be, done about the spate of temporary and permanent mill closures hitting the Interior as mills grapple with higher costs and a dwindling fibre supply. His first argument is with the blame-game.

“The more troubling part about this, and I’m not political, is that I see the finger-pointing,” he says. “I believe that is not helpful. What I’m seeing is politicians pointing fingers but not offering solutions. We have not been very good stewards of our resources, particularly the forest resource.”

He points to the major changes to the Forest Act, brought in by the Liberals in 2003, as one of the drivers behind the wheel of an industry heading for the ditch (more on that later).

“That was the largest forest policy change in 50 years that dramatically took a turn to where we are today,” he says. “So I’m somewhat troubled by people like (Nechako Lakes MLA John) Rustad who are saying ‘fire the forest minister’ but are not offering any solutions. Most of (of the issues facing the forest industry) happened during the tenure of the BC Liberals.”

Brink says we have to understand how the industry got to this point to understand what needs to be done to carry it forward.”


A completely politically biased opinion article.
Do not argue with an idiot. He will drag you down to his level and beat you with experience.

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Re: Forest Industry Crisis

Postby Merry » Aug 12th, 2019, 6:34 pm

I disagree twobits; I have friends in the Forestry Industry and they've been telling me pretty much the same thing.
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