Domtar has indefinitely curtailed its Howe Sound pulp mill on British Columbia’s Sunshine Coast, prompting the provincial government to prepare support for workers and the surrounding community. Ravi Parmar, British Columbia’s Minister of Forests, said the province will work with Domtar and local representatives to address the effects of the decision.
“This is an immensely difficult day for the Sunshine Coast. These are not just jobs, these are livelihoods that have supported families and communities for generations,” Parmar said. “Our hearts go out to every worker, every family and every business on the Sunshine Coast that will feel the effects of this decision.”
The province has been engaging with Domtar to understand the challenges facing the mill. A cross-government working group will identify practical, long-term solutions, while the province will seek Domtar’s continued participation and a focus on maintaining a presence in British Columbia.
“British Columbia’s pulp sector is feeling the effects of a seismic shift in the global pulp market,” Parmar said. “We are currently approaching the lowest pulp prices in 100 years, when adjusted for inflation.”
British Columbia’s northern bleached softwood kraft pulp is being outcompeted by lower-cost hardwood eucalyptus pulp, which is found primarily in the southern hemisphere. Parmar said hardwood pulp technology continues to advance, putting downward pressure on pulp prices and reducing opportunities for softwood pulp.
The province will increase efforts to adapt the pulp sector and maintain jobs in British Columbia. Parmar also said the government will work with the Sunshine Coast community, local leaders, labour representatives and workers to provide income and mental-health support during the transition.
“Understanding the cause does not lessen our responsibility to act,” Parmar said. “We will be reaching out to the Sunshine Coast community immediately, working with local leaders, labour representatives and workers to ensure people get the support they need, including income and mental-health supports, as they navigate this transition.”