Saskatchewan Forestry Official Pans Softwood Deal

Saskatchewan Forestry Official Pans Softwood Deal

Friday, April 28, 2006 at 13:49

A forestry official says he is angry Saskatchewan has been roped into Canada’s new softwood deal with the United States.

The framework for an agreement was reached earlier this week. The deal removes punitive duties on Canadian lumber exports into the US, but it also caps Canada’s share of the American market at its current level.

Council of Saskatchewan Forest Industries chairman Brock Folkerson says the new deal essentially handcuffs this province from expanding further in the industry — something that could deter future investment.

Folkerson notes Saskatchewan is one of the few jurisdictions in Canada that has room for expansion in the forestry sector.

He also says he isn’t sure if the new deal will complicate a sale of the Prince Albert pulp and paper mill.

However, he feels it will have a negative impact on mills like the one in Big River should it ever start up again.