B.C. supports forest-sector manufacturing

Press Release

Jan. 15, 2025

PRINCE GEORGE – New support for forest-sector manufacturers throughout the province will create and protect jobs, strengthen local economies and diversify the range of fibre sources used to manufacture high-value, made-in-B.C. forest products.

“Using available fibre wisely is an important part of B.C.’s plan for sustainable forestry,” said Diana Gibson, Minister of Jobs, Economic Development and Innovation. “The BC Manufacturing Jobs Fund is partnering with forestry companies throughout the province to grow and stabilize their operations and get the most out of our fibre supply, while producing more made-in-B.C. engineered wood products.”

Through the BC Manufacturing Jobs Fund (BCMJF), the Government of B.C. is contributing as much as $5.1 million toward seven forest-sector capital projects and five planning projects in communities throughout the province. These projects are supporting forest-product manufacturers to innovate their business lines and grow their operations, supporting a strong and resilient forest sector throughout B.C. that is focused on producing leading-edge, high-quality wood products and biomaterials.

Located in Maple Ridge, Cedarland Forest Products Ltd. produces cedar lumber and profiled cedar products, such as siding, decking and panelling. It will receive as much as $1.3 million to buy and install new high-temperature kilns and a moulder, allowing the company to diversify its fibre sources to include underutilized species and reduce its reliance on old-growth cedar. The project will enable Cedarland to produce new thermally modified wood products, access new markets and create 23 new forestry jobs.

Gilbert Smith Forest Products is a family-owned-and-operated lumber mill in Barriere, manufacturing specialty cedar products. It will receive as much as $1.1 million for facility modernization and new equipment that will enable the production of new, in-demand products from a wider range of fibre inputs. This project will expand the range of value-added products made in-house, increase productivity and create nine jobs.

“B.C. has some of the most creative, innovative and motivated forestry companies on the planet,” said Ravi Parmar, Minister of Forests. “The BC Manufacturing Jobs Fund helps businesses scale up, increase productivity and create new jobs by getting the most value out of every tree we harvest.”

The BCMJF is part of a series of programs the Province has introduced to support sustainability in B.C.’s forestry sector. To date, the BCMJF has provided incentives with more than $600 million flowing into forest-product manufacturing, leading to the direct creation and protection of more than 3,000 forest-sector jobs. Most of these jobs are in regional, remote and Indigenous communities.

Nearly one-quarter of all wood-product manufacturers in B.C have applied to the program, demonstrating that producers are investing in the future of forestry. The funding has spurred significant growth in off-site, prefabricated housing-component manufacturing, allowing more homes to be built faster using B.C. wood.

The BCMJF has also led to increased production of mass timber, engineered wood and bioproducts, with B.C. based companies leading the way in innovative uses of waste wood, residuals and available fibre for high-value, high-demand products and exports. The Province has partnered with 69 forest-product manufacturers with more to come, dedicating more than $86 million to the industry in collaboration toward a stable, sustainable forest sector in B.C.

For one example, in May 2024, the BCMJF contributed as much as $8 million to help Tolko Industries expand its Heffley Creek operation, including construction of a facility that will house a new Heffley Creek Engineered Wood Division.

“Tolko’s history began, and remains, strongly rooted in B.C.,” said Pino Pucci, CEO and president, Tolko Industries Ltd. “Today’s announcement enables us to further invest to support our people, customers, communities and forests – fostering innovation and leveraging B.C.’s globally superior technical fibre-strength properties to deliver quality products to our customers. We appreciate the B.C. government’s support of strategic investments that will accelerate our growth as a producer, marketer and distributor of specialty, value-added and engineered wood products.”

Clean and Competitive: A Blueprint for B.C.’s Industrial Future lays out the Province’s work to drive new investment, create new jobs and seize new opportunities in growing clean-energy and sustainable industries. Supporting local manufacturing sectors helps leverage B.C.’s strengths to create good jobs and opportunities in every community, and will improve the quality of life, while strengthening B.C.’s diverse economy.

Quick Facts:

• The BCMJF supports high-value industrial and manufacturing capital projects in all sectors that will create and protect well-paying jobs.
• More than $1 billion is being invested across the 121 capital projects funded through the BCMJF, with almost $128 million committed from B.C. so far, unlocking nearly $900 million in private-sector and other public investment.
  • Every $1 million invested results in $7 million in total direct capital investments in B.C., $590,000 in tax revenue to the Province and $5.3 million in provincial GDP during the capital construction phase.
• Funded projects will create more than 1,800 jobs and protect more than 2,300 jobs.

Learn More:

To learn about the BC Manufacturing Jobs Fund, including a list of recipients and updated application deadline information, visit:
https://gov.bc.ca/ManufacturingJobsFund

To learn more about Clean and Competitive: A Blueprint for B.C.’s Industrial Future, visit:
https://news.gov.bc.ca/files/Clean_and_Competitive.pdf

Two backgrounders follow.Contacts:
Ministry of Jobs, Economic Development and Innovation
Media Relations
250 883-2068
Ministry of Forests
Media Relations
250 896-7359

BACKGROUNDER 1

Forestry-sector manufacturers receiving funds from the BC Manufacturing Jobs Fund

More forestry-sector manufacturers receiving funds from the BC Manufacturing Jobs Fund include:

• Surrey – Advance Lumber Remanufacturing Ltd. is a wood pallet manufacturer serving the distribution, logistics, agriculture and construction sectors. It will receive as much as $800,000 to build a new manufacturing facility, and buy and commission a processing line and nailing machine, increasing production to meet growing demand, expanding its product offerings and creating 15 jobs.

• Kamloops – River City Fibre LP, a partnership between Arrow Transportation Systems Inc. and Simpcw Resources Group, the economic development arm of the Simpcw First Nation, turns low-value pulp logs and salvaged timber into wood chips, hog fuel and sawdust for the Kamloops Kruger pulp mill. It will receive as much as $600,000 to buy a de-wrapping station and electric log loader to enhance the speed and precision of log processing, reduce emissions and create four jobs.

• Penticton – PBS Truss MFG Ltd. is a new manufacturer of engineered building components, such as trusses, wall panels and floor cassettes. It will receive as much as $520,000 to support the construction of a new manufacturing facility and the purchase of specialized equipment to begin manufacturing products in-house for distribution within its network of Home Hardware Building Centres. The project addresses the growing demand for prefabricated and off-site construction components, and creates 23 jobs.

• Cranbrook – Kootenay Wood Preservers uses small, traditionally unsuitable fibre to manufacture specialized wood posts and poles. It will receive as much as $450,000 to relocate its manufacturing facility from Lumberton to Cranbrook, modernize its equipment to increase production and automation, and expand its fibre profile, creating nine jobs.

• Kelowna – Acutruss Industries Ltd. designs and manufactures engineered wood building components, such as roof and floor trusses, I-joists and wall panels. It is receiving as much as $100,000 to support the purchase and commissioning of equipment to manufacture precision cut I-joists through automation, while increasing production and efficiency, and creating 12 new jobs.

• Squamish – Squamish First Nation, in partnership with its economic development arm, Nch’Kay Development Corporation, will receive as much as $50,000 toward planning activities that include pre-construction engineering and site assessment for a potential capital project.

• Burns Lake – Decker Lake Forest Products Inc. manufactures lumber primarily from burnt logs and pine-beetle kill. It will receive as much as $50,000 to complete planning activities for a potential capital project.

• Fruitvale – Atco Wood Products manufactures veneer, ties, posts, wood chips, mulch and biomass. It will receive as much as $50,000 to complete planning for a new veneer-production facility, and purchase and commission new equipment to improve fibre utilization and optimize production.

• Lavington – Tolko Industries Ltd. is a forest-products manufacturer. It is receiving as much as $50,000 to build project planning for a potential capital project at one of its Okanagan locations.

• Burns Lake – Burns Lake Native Development Corporation was founded in 1974 and is dedicated to the economic and social advancement of the First Nations communities in the Burns Lake region. It is receiving more than $22,000 to develop a business plan to establish a wood-fibre production facility in Burns Lake, which aims to transform low-grade, unusable wood or wood fibre into biofuel, hog fuel and sawdust, with the goal of fostering development and creating opportunities for its communities.

Contacts:Ministry of Jobs, Economic Development and Innovation
Media Relations
250 883-2068Ministry of Forests
Media Relations
250 896-7359

BACKGROUNDER 2

What people are saying about the BC Manufacturing Jobs Fund

Michael Armstrong, vice-president and chief forester, BC Council of Forest Industries –

“The uptake of the BC Manufacturing Jobs Fund demonstrates the commitment of forest-product companies to invest in B.C. operations, supporting jobs and strengthening communities across the province. By enabling investments in local manufacturing, the BCMJF fosters innovation, encourages product diversification, improves biomass utilization and reduces waste. A predictable supply of fibre is crucial to the success of these initiatives, ensuring sustainable job creation and economic prosperity in urban and rural communities alike.”

Jeremy Hamm, general manager, Cedarland Forest Products –

“Support from the BC Manufacturing Jobs Fund will help Cedarland install new advanced equipment, keeping us on the leading edge of remanufacturing. We will now be able to produce high-end finished products from a variety of B.C. species, while adding value every step of the way.”

Greg Smith, president, Gilbert Smith Forest Products Ltd. –

“Gilbert Smith Forest Products Ltd. gratefully acknowledges the financial support of the Province of British Columbia through the BC Manufacturing Jobs Fund. This project will allow us to maintain our permanent primary manufacturing jobs, along with solidifying the newly created remanufacturing jobs supplied by expanded species offerings, and higher value products.”

Sukhi Brar, president, Advance Lumber Remanufacturing Ltd. –

“This funding from the BC Manufacturing Jobs Fund is helping us invest in advanced technology to increase capacity, accelerate processing, and create more value-added products by giving low-grade lumber a new life as high-quality pallets. We’re driving innovation and supporting sustainability in B.C.’s manufacturing and forestry industries by keeping lumber and jobs in the province, while creating new employment opportunities as we expand.”

Paul Donald, CEO, Simpcw Resources Group –

“Securing funding for the electric log loader and de-wrapping station project is a monumental step forward for our operations at River City Fibre. Working with the BC Manufacturing Jobs Fund was a pleasure because the BCMJF demonstrated a deep understanding of the challenges facing our industry and a genuine commitment to supporting solutions that matter. This project not only strengthens an industry in desperate need of innovation, but it also shows how efficiency and decarbonization can happen simultaneously.”

Kevin Wallis, vice-president, engineered building components, PBS Truss MFG Ltd. –

“We are very grateful for the financial support from the BC Manufacturing Jobs Fund. We believe our manufacture and supply of high-quality engineered building components will reduce construction time for single- and multi-family homes that will help address the housing shortage in British Columbia.”

James Code, CFO, Kootenay Wood Preservers –

“We are grateful for the BC Manufacturing Jobs Fund’s financial support. We’re thrilled to build an advanced manufacturing facility using innovative technologies like automated fibre scanning and sorting systems. These enhancements optimize resource utilization and reduce waste, supporting sustainability. Additionally, our team can produce high-quality, value-added fibre posts and poles with enhanced workplace safety and job satisfaction.”

Brian Greensdale, operations manager, Acutruss Industries Ltd. –

“We are grateful for the support provided by the BC Manufacturing Jobs Fund. This funding will help with investments in our I-Joist manufacturing equipment, allowing us to broaden the range of value-added products available to our customers, improve productivity and generate high-skill employment opportunities. These elements are crucial to maintaining our competitive edge and ensuring our long-term sustainability.”

Contacts:Ministry of Jobs, Economic Development and Innovation
Media Relations
250 883-2068Ministry of Forests
Media Relations
250 896-7359

IBF5