News Release Archive
NATURAL RESOURCES--FORESTRY TRADE ISSUES ------------------------------------------------------------------- Nova Scotia Natural Resources Minister Don Downe says Canada should be more aggressive in addressing European Community trade restrictions on Canadian softwood lumber shipments. At a recent meeting of the Canadian Council of Forest Ministers in Winnipeg, Mr. Downe stated that the EC policy of accepting only heat treated or kiln dried lumber has had a severe impact on lumber producers in the Atlantic Provinces. Since June 1993, the EC has not accepted untreated Canadian lumber, claiming that pinewood nematode, a microscopic organism which can be found in Canadian forests, is a threat to European forests. As a result of the restriction, Nova Scotia has lost 70 per cent of its softwood lumber market in Europe. In 1993 the value of Canadian lumber exports to Europe dropped by $433 million and in 1994 the reduction was $355 million. "Canadian authorities should be more pro-active and more aggressive in dealing with European authorities on the pinewood nematode issue," said Mr. Downe. "In our view, this restriction is merely an artificial trade barrier. Lumber produced in the Maritimes does not present any real threat to the health of forests overseas and there is scientific evidence to support this...Maritime producers should not be restricted in having access to this major and traditional lumber market." The CCFM supported Mr. Downe's position on the pinewood nematode issue and agreed that Canadian trade interests need to be more aggressively pursued. Mr. Downe also called for the continuation of the federal government's Cooperative Overseas Market Development Program. Under that program funding has been provided for the BPIB (Bureau de Promotion des Industries du Bois), an agency which represents the interests of lumber producers from the six eastern provinces. An agreement providing funding for the BPIP expired at the end of 1994. "I have urged the federal government to renew the funding arrangement so that the bureau can continue its excellent marketing work overseas on behalf of eastern Canadian lumber producers," Mr. Downe said. "It is very important to support the BPIB's role in maintaining and expanding the European market for lumber produced and exported from our region." In response to Mr. Downe's presentation at the Winnipeg meeting, the council of ministers agreed to send a strong message to the federal government for continuation of the market development plan. -30- Contact: Blain Henshaw 902-424-5252 trp Oct. 17, 1995