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forestry

Eric Melillo Jan 26 2026

Mill closures raised in House of Commons

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The federal government is being pushed to help the forest industry in northwestern Ontario.

Workers at mills in Ear Falls, Ignace and Thunder Bay have been impacted by recent closure announcements.

The sawmill in Ear Falls has been idle since October, while the Ignace mill will halt production in March.

The closures impact a combined workforce of about 330 workers.

Last week, it was announced that the newsprint line at Thunder Bay Pulp and Paper will be shut down.

Kenora-Kiiwetinoong MP Eric Melillo recently raised the issue in the House of Commons.

“Every day, more closures are announced,” states Melillo.

“These are good-paying jobs for hard-working Canadians that are now gone. The government’s rhetoric of supporting workers is not matching the reality of the workers who are losing their jobs.”

The Liberal government insists that it is helping the forest industry.

“The government stands with forestry workers,” said Corey Hogan, Parliamentary Secretary to the Minister of Energy and Natural Resources.

“We have announced $2.5 billion in supports. We have a task force active right now looking at additional supports.”

Last fall, Prime Minister Mark Carney announced a $1.25 billion aid package to support the softwood lumber sector.

It included $700 million in loan guarantees to help companies confront immediate pressures facing the softwood lumber sector, and another $500 million to diversify products and markets.

Another $50 million has been earmarked for workers to reskill and find employment elsewhere.

Interfor Ear Falls Sawmill-Stephen Boon-2025-10-17

Provincial NDP, Unifor, Municipality of Ear Falls hosting rally amid Ear Falls Sawmill shutdown

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A rally is being held at the Ear Falls Municipal Office to support workers impacted by the shutdown at the Ear Falls Sawmill.

The event is running from 1:00 p.m. to 2:30 p.m. on Saturday, and will be attended by NDP Deputy Leader Sol Mamakwa, members of Unifor’s provincial and local leadership, and members of the municipality.

The sawmill announced its plans for an indefinite closure on October 16.

Since the announcement, the NDP has collected hundreds of signatures through a petition from northern Ontario residents calling for action amid the closure.

Sol Mamakwa and the MPP for Mushkegowuk and James Bay, Guy Bourgouin have sent the petition and a letter to Canada’s Minister of Energy and Natural Resources, Tim Hodgson and Ontario’s Associate Minister of Forestry and Forest Products, Kevin Holland, calling for action.

“Forestry is not just an industry in Northern Ontario; it is a way of life,” read the letter. “It sustains families, supports local economies, and provides the wood products essential to building Canadian homes.”

“The indefinite closure of the sawmills threatens not only the livelihoods of the people who worked there but the future of sustainable forestry in the region.”

The letter concluded by urging the province and federal government to take immediate action to reopen the Gogama and Ear Falls sawmills.

As of Friday, there is no new news on a potential reopening at the mill, and Unifor Local 324 is taking the situation week by week.

“We can just work with what we have today, but as far as progress with supporting the workers, both in the sawmill and the woodlands,” explained Unifor Local 324 President Katrina Peterson.

“We have been working closely with HR on site in Ear Falls, and we are putting things in place for EI support and other supports as well for the workers, so we have made progress there, and we’ve been pretty quick with getting in touch with the right people and getting those supports in place for our workers.”

“The goal of the rally is to raise awareness on the attack on Canadians Sawmills our worker, and quite frankly, the Canadian economy as a whole, so this is an avenue for us to call on all levels of government to step up and defend our forestry industry and our workers affected primarily by the Trump administration with the current economic and tariff war that we’re facing.”

Kevin Holland Octo 20 2025

Province hints at support for Ear Falls

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The provincial government is indicating support to Ear Falls following the closure of Interfor’s sawmill.

The company’s decision last week impacted 160 employees.

The government’s Associate Minister of Forestry says he’s disappointed by Interfor’s decision.

Kevin Holland says they have since spoken to the company and Mayor Kevin Kahoot.

“Immediately following the announcement of the shutdown of the mill, the Premier and I reached out to company officials and Mayor Kahoot, offering support for the workers and the community”.

Holland did not elaborate on the specifics of the support offered.

He did say that Ontario’s forest workers are impacted by the weak markets and the implementation of U.S. tariffs and duties.

The U.S. government last week increased duties on Canadian softwood lumber from 10% to 45%.

Hollard says while the province is working to protect the forest industry, it also needs federal assistance.

“We need Ottawa to work with us to deliver real solutions by addressing the issues causing turmoil in our forestry sector and engaging in real negotiations with the U.S. president,” says Hollard.

Thunder Bay-Superior North MPP Lise Vaugoios says the province needs a strategy to modernize and strengthen its forest sector.

“Forestry is integrated, and when one part collapses, the whole industry is at risk,” says Vaugeois.

“We knew sawmills were in trouble when the pulp mill in Terrace Bay shut down. We have the best lumber and best pulp in the world, produced by skilled workers. Their jobs must be saved.”

Holland notes that the government has invested over $150 million to modernize mills, lower costs, and help operations stay competitive.

“Through programs like the Forest Sector Investment and Innovation Program and the Forest Biomass Program. We’re helping companies upgrade equipment, expand markets and find new uses for mill byproducts, turning unused wood into economic opportunity,” says Holland.

Interfor Ear Falls Sawmill-Stephen Boon-2025-10-17

Interfor calls Ear Falls layoffs “temporary”

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The mayor of Ear Falls calls it heartbreaking.

In a Facebook post Thursday night Kevin Kahoot expressed concern for the families of his community impacted by an announcement by Interfor it will be shutting down its sawmill operation indefinitely.

The shutdown could impact as many as 150 workers according to one source.

The Ear Falls mayor notes they are working to support the families and he has been in touch with Premier Doug Ford to see what can be done to support those impacted.

In a release Interfor says, “When we refer to an “indefinite” curtailment, it means the downtime is temporary and will be evaluated on a week-to-week basis. We are not able to provide a specific timeline for resumption, as this will depend on market recovery.

“Duties and tariffs are one of many factors contributing to current market conditions. Broader economic uncertainty and trade barriers continue to affect the industry across North America.”

Interfor acquired the sawmill in 2022 when it acquired EACOM Timber Division.

Earlier this week U.S. President Donald Trump penalized the Canadian softwood lumber industry with an additional 10 per cent tariff. The B.C Lumber Council stated that Canadian softwood lumber entering the States get hits with a 45 per cent tax.

Interfor’s stock price ended the day trading at 8.35 when just over a month ago the stock price was over $13.00.

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BC-based Forestry Company to Acquire Resolute F.P.

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Resolute Forest Products is being sold.

The BC-based Paper Excellence Group says it has entered into an agreement to acquire Resolute.

The deal is worth an estimated $2.7 billion U.S.

Under the agreement, Resolute will continue to operate its mills under its name but will become a subsidiary under Domtar, that Paper Excellence acquired last year.

Resolute operates a pulp and paper mill in Thunder Bay and sawmills in Thunder Bay, Ignace and Sapawe. Domtar has operations in Dryden.

There are no changes expected to the management team, which will remain at Resolute’s headquarters in Montreal.

The deal still needs to be signed off by shareholders, with a vote planned for this fall.

Jamie-Lim-OFIA

Forest Industries Association Head Retiring

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The voice of the forest industry in Ontario is calling it a career.

Jamie Lim is retiring at the end of the year as president and CEO of the Ontario Forest Industries Association.

She says she been at the helm of the organization for the past 17 years.

“I’ve been incredibly passionate and articulate about two things in my life, and that’s my family, and Northern Ontario,” Lim says. “Having the opportunity over the last 17 years to advocate for the forest sector in Ontario has just been an honor.”

Lim says the forest industry is in a good position because of her members and the current provincial government.

“We jumped with both feet into the challenge, we worked with the provincial government, and I am so, so proud that our provincial government was the first jurisdiction in Canada to declare the forest sector as essential,” she says.

Ian Dunn will replace Lim as interim president and CEO of the OFIA in the new year.

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Domtar Celebrating National Forest Week

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The beauty of northwestern Ontario and the importance of a major economic driver will both be in the spotlight this week.

This is National Forest Week.

Dianne Loewen is the Coordinator of Forestlands and Public Affairs with Domtar in Dryden and she is encouraging everyone to go outside and enjoy the fall weather in our forests.

“This is a celebration that takes place annually across the country. And because we live in the heart of the Boreal Forest and the Boreal Forest is what feeds our Domtar facility in Dryden, we just wanted to take an opportunity to celebrate that a little bit.”

Loewen says they are trying to make things fun and focusing on the younger generation.

“So we’re running a Pulp Decorating contest for elementary students in Grades 6, 7 and 8. Pulp squares have been delivered to the schools and the students are working very hard to create some beautiful pieces of art that we are very anxious to see.”

Loewen says each school will select a winner and Domtar will then decide on the overall winners and award prizes.

She adds they are partnering with the Canadian Institute of Forestry to launch a national photo contest.

To hear more from Dianne Loewen and National Forest Week, visit the Audio link below.

 

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Local MPP Hopeful For Future Of Kenora Mill

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Kenora-Rainy River MPP Greg Rickford is cautiously optimistic that the Kenora Forest Products Mill will re-open.

He says with the high price of lumber, the facility can get going almost immediately.

“We’re in a good place to cut good board foot and the forest strategy that Minister Yakabuski just rolled out is a good opportunity for responsible resource development.

The Mill is currently in receivership, but Rickford won’t say if or when a sale of KFP is going to be finalized.

Rickford adds that before the facility can re-open, some enhancements have to be made.

“The folks that live on the lower north side obviously have had on-going, very serious concerns about the noise levels coming out of there. So I think before anything can happen there, we would have to have a plan to put a modern, state-of-the art sound barrier in there.”

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Domtar Touts Wabigoon Forest Certification

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Domtar has successfully completed a comprehensive audit and has received certification for the Wabigoon Forest.

Bonny Skene is the Regional Manager of Public Affairs and says some of their customers have asked them to go above and beyond current standards and have the third party ‘Forestry Stewardship Council’ come in and review their sustainable forest management plans.

“They look at endangered species. They look at work with Indigenous peoples. They look at workers rights. They look at landscape management and they look at conservation. There’s a whole set of very rigorous criteria under each of those subject areas.”

Skene says it’s important to receive additional certification as they are managing a public forest and it shows the company is on the right path.

She notes they did receive some suggestions on how to improve, noting there was nothing glaring or serious but just some minor pointers.

“We always look at those carefully to say ‘What can we be doing better? What can we change? How can we implement this suggestion?’ And then the next time we’re up for audit, then that’s reflected in the outcome.”

Skene stresses the certification is “Important to a number of their customers. We take it seriously and a lot of work goes into this certification on the part of the forest land staff at Domtar and also our contractors in the bush.”

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Forest Management Plan Available For Review

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The public is being invited to provide input on the 2021-2031 Forest Management Plan for the Dryden Forest.

A draft document has been completed and feedback is now being accepted.

The plan shows areas to be harvested, where roads will be constructed or restricted, how wildlife and other values are protected, and how the forest will be regenerated over the next 10 years.

The documents and maps are available on the Dryden Forest website at https://drydenforest.ca/fmpnotices.html

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