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Business stable for Canoe Forest Products in Salmon Arm despite some industry closures

Although the company isn91裸聊视频檛 immune, market forces remain kind to plywood/veneer production
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An aerial shot shows the Canoe Forest Products Ltd. plywood/veneer plant in Canoe. (Image courtesy of Canoe Forest Products Ltd.)

So far, so good at Canoe Forest Products Ltd. in Canoe, one of Salmon Arm91裸聊视频檚 largest employers.

Although B.C. companies such as Canfor and Tolko have been in the news recently due to mill closures or extended shutdowns, Canoe Forest Products, a plywood/veneer plant about five kilometres east of downtown Salmon Arm, has remained stable.

For instance, the plant didn91裸聊视频檛 shut down for any extra time over Christmas, which has happened in the past.

91裸聊视频淧lywood has held up better than some of the other commodities in terms of volume of sales and pricing,91裸聊视频 said Marcello Angelozzi, general manager. 91裸聊视频淚t91裸聊视频檚 been fairly consistent as far as sales goes. We haven91裸聊视频檛 seen a big dry spell, knock on wood, but it doesn91裸聊视频檛 mean we91裸聊视频檙e immune.91裸聊视频

He said no changes to shifts or staffing are currently contemplated.

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Canoe Forest Products is a member of the Gorman Group of Companies, which also has operations in West Kelowna, Revelstoke, Lumby and Oroville, Washington.

Angelozzi said sister companies such as Revelstoke91裸聊视频檚 Downie Timber have seen some curtailments because of market slowdowns over the past year.

91裸聊视频淲e haven91裸聊视频檛 been spared as a group91裸聊视频 On the lumber side, they91裸聊视频檙e feeling it more than us,91裸聊视频 he said of the Canoe plant.

Any temporary shutdowns or staff reductions in the group of companies have been market driven at this point, he said.

Right now in the industry, for some companies sales aren91裸聊视频檛 strong enough and prices are lower than what makes operating worthwhile.

Currently Canoe Forest Products has about 200 employees. It sells nearly 100 per cent of its products domestically, across Canada.

Angelozzi said the long-term issue will be fibre supply 91裸聊视频 trees.

He said a combination of diminishing annual allowable cuts and old growth deferrals could have big impacts on future fibre supply.

The annual allowable cut is defined as the annual amount of timber that can be harvested on a sustainable basis within a defined forest area. Old growth deferrals are stops or pauses to logging to help protect ecosystems while First Nations, the province and other partners develop a new approach for old-growth forest management.

The industry will have to adjust to a new reality with less fibre, Angelozzi said.

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martha.wickett@saobserver.net
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Martha Wickett

About the Author: Martha Wickett

came to Salmon Arm in May of 2004 to work at the Observer. I was looking for a change from the hustle and bustle of the Lower Mainland, where I had spent more than a decade working in community newspapers.
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