NORTH VANCOUVER, BC, May 21, 2021 /CNW/ – BC’s Independent Wood Processors Association (IWPA) calls on Canadian and American governments to begin bi-lateral negotiations to resolve the softwood lumber dispute punishing consumers and value-added wood manufacturers.
“Only bilateral government negotiations will resolve this trade dispute. These punishing duties create uncertainly which discourages investment and disrupt supply lines resulting in higher lumber prices,” said Andy Rielly, IWPA Chair. “With all-time high prices, supply shortages, and increased building costs—The US Commerce Department’s ruling has more than doubled the duties on softwood lumber shipped into the US.”
Independent wood processors and other Canadian value-added wood manufacturers without forest tenure are unfairly captured by this ongoing land ownership dispute. Independent wood processors purchase their raw materials on the open market at about the same price consumers pay at hardware stores. Value-added wood producers already end up paying the duty twice: manufacturers input costs are based on the USA commodity prices that imbeds the softwood duty, and when the value-added product is exported the duty is applied to the higher price.
“This dispute only benefits a few Canadian and USA corporations while punishing consumers and value-added producers.” said Brian Menzies, IWPA Executive Director. “Today, the border line has become blurred since Canadian tenured forest companies have been on a buying spree purchasing USA sawmills.”
“It is time that the political leadership acknowledge that this dispute benefits a few at a great expensive to many consumers, and those working in value-added manufacturing on both sides of the boarder,” said Menzies.
About the IWPA
The Independent Wood Processors Association represents non tenured companies that buy logs and lumber on the open market and manufacture higher value products here in BC.
The IWPA member companies make a diverse range of higher value wood products including the beautiful wood you see around your homes: fences, decking, wood siding, railings, floors, window frames and so on. Higher value wood processors are also known as specialty wood industries, value-added wood producers, secondary manufacturers and remanufacturers.
SOURCE Independent Wood Processors Association of British Columbia