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S E P T E M B E R 2 0 1 1 | T L A N E W S L E T T E R
Testimonials: The impact of log exports on B.C.’s economy and employment sector
The theme of this year’s Union of British Columbia Municipalities (UBCM) was Rethink, Refresh and Rejuvenate. With this in mind,
the TLA has been working hard to educate and inform government, key stakeholders and the public on the issue of log exports. The
TLA firmly believes that we need to Rethink how we apply our current log export policy; and Refresh what is not working in order to
Rejuvenate the forest industry in B.C. Please let us know how log exports effect your business. Send an email to jennifer@tla.ca
“Capacity Forest Management has a 100% First Nation client base. Since 2003 we have provided expertise for First Nation Communities to realize
opportunity and create wealth. Our clients companies have built a solid reputation world wide for providing quality timber to the domestic and
export markets. We work primarily in remote high cost areas where these communities are located. Without the ability to export timber to the world
markets these opportunities will evaporate. Domestic log prices will not support the cost structure of these remote areas. Additionally our company
which employs 22 people and creates employment for our 20 First Nations clients and their communities will cease to exist.”
- Corby Lamb, President, Capacity Forest Management Ltd.
“To put things very bluntly from a Terrace area perspective, if log exports were banned today, we might as well close the doors and throw away the
keys. Every contractor would immediately be shut down and all their employees laid off. Simple answer to a simple question.”
- Bill Sauer, North West Loggers Association
“If log exports were banned our company would likely receive about 30% less work and would not find it profitable to bid on the BCTS system.”
- Graham Lasure, W.D. Moore Logging Co. Ltd.
“The Heiltsuk Economic Development Corporation, have scheduled 1,100,000 m3 in total under government licenses and agreements to be harvested
in the next 10 years. Present market conditions only allow us to operate some of the time because of higher operating costs—even higher than in
the North Coast area. The Vancouver log market will not pay enough domestically to allow us to operate. It is only the export sales that even give us a
chance to operate in these times. Take this away from us and we are down completely.
Coastal communities in isolated areas need the certainty and access to Global Markets, (presently provided by the ability to export logs,) remove this
from their options and I feel forestry will be virtually shut down and no longer a part of the local economy.”
- John McLaughlin, Mgr, Heiltsuk Coastal Forest Products Ltd.
A&A Trading Ltd. and its affiliates harvest over 800,000 m3 on an annual basis, contributing well over $60,000,000 to the provincial economy. We cur-
rently employ 80 individuals directly. As well, hundreds of others are employed by our various contractors, such as fallers, loggers, road builders, haul-
ers, scalers, tree planters and companies who transport the timber.
If log exports were banned our harvest levels, employment levels and contribution to the provincial economy would drop by about 75%. The majority
of our timber is sold to domestic manufacturers. All exported volume passes the Province’s surplus test prior to being sold.
- Paul Mockler, Vice President Finance, A&A Trading Ltd.
Port Neville Logging Company Ltd. (PNL) contracts for Interfor and presently employs 30 full time direct logging and administrative personnel. The
export of primarily hemlock and fir gang from our operating area in Bute Inlet is the major factor allowing PNL to exist, be profitable and to provide
well paid jobs.
PNL is located in Campbell River and is 100% owned by the Homalco First Nation. We are planning to grow our forestry business over the next five
years through Forest Tenure and forest land acquisition. An increase in log exports is essential to allow the full harvest of the AAC in our traditional
territory and will help to ensure that Homalco remains profitable while creating additional jobs. It will also provide the opportunity to other forest
industry contractors and forest products companies working in our traditional territory to increase employment, provide logs for their mills and
compete on world markets. - Chief Richard Harry, Homalco First Nation - Gordon Atkinson, Director, Port Neville Logging Company Ltd.
CTR conducts logging and silviculture activities in the Kalum and Skeena TSA for domestic and export sales. During a single export cycle, CTR injects
in excess of $1.0 million into the Prince Rupert economy and approximately $2.2 million into the Terrace economy. This is approx. $3.2 million spent
within BC every five weeks or over $33.0 million per year. This direct local expenditure goes to fallers, truckers, sort yard employees, stevedore crews
and local professional services. A ban on log exports would eliminate CTR’s export sales function and would eliminate approximately 260 direct jobs.
- Dave Jackson , Consulting Services Ltd.