The wood industry in Atlantic Canada: A focus on value-added

This report prepared by the Atlantic Canada Opportunities Agency in consultation with the four Atlantic provinces focuses on the value-added aspects of the wood products industry in Atlantic Canada. It also examines the state of the resource, the state of the industry, productivity and economic benefits, products and markets, trade and regulations, and needs, challenges and targets. The analysis was undertaken to determine the possibility of further utilization of forest resources in the region for value-added products, and to assess the possibilities for the wood products industry of Atlantic Canada exploring world markets for its products. The inventory of resources found 1.4 billion cubic meter of wood-growing productive forest land in the region, with softwoods accounting for 76 per cent of the forests. Concern was expressed about forest stands at regeneration levels. Total Annual Allowable Cut (AAC) for the Atlantic Provinces in 1995 was almost 20 million cubic meter, approximately 10 per cent of the national total. Although total harvests are below the AAC for the region, softwood harvesting in 1994 and in 1995 was well above the AAC. The analysis concluded that given the current level of harvesting, sustained growth in Atlantic Canada's wood industries will have to rely on access to external fibre sources and better use of the existing fibre source. At the same time, since many value-added manufacturers in the region rely on imported wood resources, the health of the value-added wood industry does not appear to be completely dependent on the sustainability of forest resources in the Atlantic region. Part Two of the report provides an economic profile of the industry, including brief reviews on employment, wages and salaries, exports and imports, transportation, education and training, research and technology and marketing. refs., tabs