Tolko Industries Ltd. will reduce the operating footprint of its Quest Wood lumber mill in British Columbia due to continued market challenges in China.

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Tolko Industries to reduce operating footprint at Quest Wood mill in Quesnel, British Columbia

Sep 14, 2015. /Lesprom Network/. Tolko Industries Ltd. will reduce the operating footprint of its Quest Wood lumber mill due to continued market challenges in China, as the company says in the press release received by Lesprom Network.

Larry Broadfoot, General Manager, Lumber, Plywood Sales & Marketing said the reduction is necessary in current market conditions: “Lumber market prices and volume demand for our #3 and Economy products, particularly in China, have declined to a point where it is now necessary to reduce the operating footprint of the mill in order to remain competitive and produce a more appropriate volume and quality for the market.”

“At Quest Wood, we will run at current capacity until mid-October when the existing fibre inventory will be consumed,” he said. “At that point, we will be delivering a higher quality log which will reduce the volume of lumber available from Quest Wood to the market by 100 million board feet. Despite this reduction, all product commitments to our customers will be met.”

Troy Connolly, General Manager BC Lumber, noted that employees have been informed of the decision and have been advised of next steps as the process moves ahead.

Quest Wood lumber mill employs 224 people and currently produces 200 million board feet of product annually.