B.C.'s forest industry deserves a collective vision
Yet again, the forest industry is caught in an escalating cycle of those opposed to B.C.'s resource sector and those whose livelihoods rely on our forests. In all ways, we should be thankful that peaceful and lawful protests can occur in our democracy.
So kudos to those local community groups expressing desire for change; while we may not be in agreement about the changes, we do agree change is needed, and look forward to working with them in forging a successful future together.
These days call upon all of us to take a long, hard look at how B.C.'s citizens want its forestry sector and economy to prosper. And we need to do this with facts and balance, not hyperbole and rhetoric.
We will continue to speak out on the need to protect and enhance B.C.'s working forests as an absolute necessity. Without such assurances, any new business will be hardpressed to make major investments in technology and productivity. And the Truck Loggers Association (TLA) will continue to speak out against a legislative and regulatory environment that is unnecessarily cumbersome and cost prohibitive, contributing to a decidedly stifling effect on our investment climate.
For investments to happen, requirements are relatively simple: assurance of supply, a stable regulatory environment, stable political climate, decent markets, and the potential to realize a reasonable rate of return are prerequisites for investment dollars in B.C. — or keeping them here. This includes logging contractors; they need stability, fair rates and certainty before investing their hard-earned dollars and continuing to support our resource-dependent communities. But this is nothing new; the TLA among others have been saying this for decades. The question is whether anyone is actually listening to these basic truths.
Herein lies the contradiction. Do the facts show concrete and real actions being taken by all levels of government to reduce these uncertainties? We hear well-crafted statements depicting actions taken, but, frankly, they really only represent, at best, tinkering on the edges.
In fact, most of the conversations these days head in the direction of increasing costs and complexity. B.C. is already not competitive globally or even within Canada. In the next breath, we hear desires by all involved in the debate to have a reinvigorated forestry sector, more job creation, the move toward a highvalue manufacturing sector and, of course, the need for the sector to generate more money in terms of taxes and provincial revenues. The contradictions are mind-boggling, to say the least.
Are there difficult challenges facing the forest industry? Certainly. Is there a collective ability to work around them? Certainly.
If nothing else, the forestry sector has shown a remarkable ability to innovate, persevere and withstand the many changes and challenges that have confronted it over the decades.
We're not oblivious to changing public expectations for what needs to be done in the woods. Solutions exist that can address forest practices, climate change, sustainability, and increased diversity and investment in our businesses. It is not always as simple as a yes or no answer, as many anti-forestry groups suggest in their narratives. But most of those solutions require a common vision about where we want to head as a sector and the absolute necessity for a working forest that will support such a vision.
Some solutions will also require all levels of government to rethink the stumpage and revenues they collect from the sector. To be blunt, it simply costs more to do everything that everyone thinks we need to do.
Most of our costs are absolutely fixed. The only real variables are stumpage, taxes, and a cumbersome bureaucracy, which combined are the key drivers in keeping the sector non-competitive and are stifling the investment and innovation that government demands.
And, of course, it constrains their potential for future increased downstream taxation revenue from a prosperous forestry sector.
So, why is all of this important to everyone living in B.C.? Because no matter how you slice it, the potential for the forestry sector to provide sustainable forest products, sequester carbon, and tackle climate change surpasses anything else out there. All of this from annually harvesting less than one-third of one per cent of B.C. forests, which are among the world's most independently certified forests.
The 140,000 people directly or indirectly employed by the forestry sector along with the 140 resource communities — including Vancouver as the largest — certainly warrant more consideration than glib clichés by those opposed to forestry.
It's time to move forward. The window to create a change in direction is hopefully in front of us. New political leadership and the potential for a revamped ministry that better supports the forestry sector might be the catalyst. Let's work on a vision most of us can accept and create the certainty needed for real investment to happen.