Canfor announces permanent closure of pulp line in Prince George, cuts 300 jobs

Canfor Pulp Products Inc. will be closing the pulp line at its Prince George Pulp and Paper Mill at the end of March.

The closure, announced by the BC forestry giant on Wednesday, will result in around 300 jobs lost, along with the reduction of 280,000 tonnes of market kraft pulp annually

A statement from Canfor president and CEO Kevin Edgson blamed “challenges in accessing cost-competitive fibre” as the reason for the decision.

“This has had a material impact on the availability of residual fibre for our pulp facilities and we need to right-size our operating platform,” he said.

“As a result, we have made the very difficult decision to shut down the pulp line at Prince George Pulp and Paper Mill and will continue to operate the Specialty Paper facility.”

The company said it will be following an orderly wind down process over the coming months.

“We understand and regret the impact today’s announcement has on our employees, their families, the businesses that support our operations and the local community,” added Edgson.

“We will be working in the weeks and months ahead to support our employees through this transition.”

Forestry Minister Bruce Ralston spoke to the announcement on Wednesday as well, calling it “extremely difficult news” considering the impacts it will have on the community.

He said ministry staff will work with the community to share information and coordinate an in-community response to ensure supports are in place for affected individuals.

Just last week, Canfor announced that it would be extending sawmill curtailments in BC due to “ongoing weak market conditions and the lack of economic fibre.

Tolko Industries made a similar announcement regarding its Soda Creek and Armstrong Lumber operations, a move that impacts more than 350 employees.