Saskatchewan’s forestry sector logged a record year in 2021, helping keep the province on track as it aims to double the industry’s growth by 2030.
According to the province, the sector saw a record $1.8 billion in forestry product sales last year, a 60-per-cent increase from $1.1 billion a year earlier.
The province attributes the growth strong prices for lumber and oriented strand board (OSB), continued growth of Asian economies and an increase in housing starts in the U.S.
“These record numbers are more great news for Saskatchewan’s economy and show we’re fully on track to achieve our goals of doubling forestry sector growth by 2030 and substantially increasing the value of our exports,” Energy and Resources Minister Bronwyn Eyre said.
The $1.8 billion number breaks the record of $1.4 billion set in 2005, according to the province. More than 75 per cent of Saskatchewan’s primary forest products are exported to other countries: 67 per cent of lumber and OSB heads to the U.S. and 100 per cent of pulp goes to Asia.
“Forestry is currently the largest sector in our province’s north, supports nearly 8,000 jobs and relies heavily on Indigenous workers and businesses,” Eyre said.
In September, the Saskatchewan government announced timber allocations to support four major forestry projects, totalling nearly $1 billion in capital investments; the projects are expected to create more than 2,600 forestry jobs.
One of the projects was One Sky Forest Products' new $250 million facility to produce OSB. The plant is expected to make 600 million square feet of three-quarter-inch thick boards each year.
Other projects include the expansion of the Carrot River sawmill, upgrades to facilitate increased lumber production at the Big River sawmill, and the reopening of the Prince Albert pulp mill. The province has seven large primary forest product facilities producing lumber, OSB and pulp.
According to the government, approximately 210 businesses produce a variety of primary and secondary forest products, and more than 230 supply chain businesses provide goods and services that support primary forest product manufacturers.
Meadow Lake’s NorSask Forest Products is one of those 210 companies; the government says it’s the largest 100 per cent First Nations-owned forest product mill in Canada.
According to the province, Indigenous people comprise more than 27 per cent of Saskatchewan’s total forestry sector workforce. This is the highest percentage of any province.
Thirty per cent of the Saskatchewan timber supply is allocated to Indigenous businesses, also the highest percentage of any province.
