Mosaic Declares Curtailment of B.C. Logging Operations

SEATTLE (Scrap Monster): The struggling forestry sector in British Colombia was hit by a new crisis yesterday, with Mosaic Forest Management announcing curtailment of logging operations.

The press release by the company states that it plans to temporarily shutter its logging operations in B.C. region. The harvesting operations have come to a halt with effect from November 25, 2019. The move is likely to impact nearly 2,000 workers. The company blamed current market conditions for the curtailment.

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Pam Agnew, communications manager for Mosaic Forest Management noted that it is experiencing extremely challenging pricing and market conditions, which have prompted the company to go ahead with an early shutdown, ahead of the usual winter shutdown in December. Further, he promised to offer all possible assistance to impacted workers. The decision is likely to impact contractors, both union and non-union, he added.

Meantime, Doug Donaldson, B.C. Minister of Forests, Lands and Natural Resource Operations, and Rural Development noted that the provincial administration is disappointed to hear about the curtailment decision. Expressing sympathy with the affected workers, he urged the Ministry staff to reach out to the company’s HR staff to ensure that they are aware of the available government resources.

It must be noted that Canfor has announced two weeks provincewide shutdown of its mills over Christmas and New Year. Tolko too has announced curtailments between December 21, 2019 and Jan 6, 2020.