https://www.kenoraonline.com/local/sawmill-workers-get-help-from-queen-s-park

Sawmill workers in Kenora are hoping some lobbying from Queen’s Park will help, as the provincial government calls on the new American government to eliminate tariffs on softwood lumber.

“As we take deliberate action to contain COVID-19 and prepare for our economic recovery, it has never been more important to vigorously defend our forestry industries, which play an important part in the economies of Canada and Ontario,” said Natural Resources Minister John Yakabuski and Economic Development Minister Vic Fedeli in a joint statement yesterday.

Tariffs were part of the financial difficulties at Kenora Forest Products, which led to bankruptcy proceedings a year ago. Mill workers are hoping for a restart under new ownership, and the elimination of duties at the American border would help.

The sale of the sawmill by a bankruptcy trustee to Itasca Capital was announced in September, before it closed officially last month. At the time of the sale, Itasca noted the sawmill had the capacity to produce about 100 million board feet a year, but they hoped to expand the capacity to 150 million board feet a year, with hopes of reaching 200 million board feet a year.

The company also said they had access to 450,000 cubic metres of softwood, but in yesterday’s announcement the company said they expected to consume up to 650,000 cubic meters of annual allowable harvest from Ontario forests.

The transition to a new American government is in progress, following the election earlier this month.