Canada offers $8.6 million to aid wood industry

A cabinet and millwork manufacturer specializing in using local, second-growth material is one of six companies to receive funding that will help them upgrade equipment and hire new workers.

Cobble Hill, B.C.-based C.W. Creative Woodcraft Ltd. will receive as much as $286,000 in funding to support the expansion of its existing facility and the acquisition of new machinery to double its production capacity, optimize production, reduce waste and create as many as 14 jobs.

“This funding will be used to enhance our operational capabilities through the expansion of our existing facility, and the acquisition of new machinery," said Will Duggan, president. "We are extremely grateful for the support from the BC Manufacturing Jobs Fund. The program contribution will help Creative Woodcraft Ltd. to increase production, optimize resource utilization, reduce waste and provide secure employment opportunities within our community.”

Of the six companies to receive funding, two of them received more than half of the overall amount. The companies are San Industries Ltd. and Richmond Plywood Corp. Ltd.

San Industries Ltd. is a vertically integrated forestry company that produces value-added and engineered wood products. It will receive as much as $2.5 million to support purchasing new equipment, optimizing its processing line and constructing a new storage facility at its Port Alberni plant.

These upgrades will significantly increase the efficiency of its operations with an innovative process that creates engineered cedar products using ultra-thin sheets of veneer. This will allow San Industries to use a fraction of the fiber and produce less waste as compared to conventional wood products. The project will enable better use of diversified fiber sources in creating value-added products and help it enter new international markets, while creating 30 jobs.

Richmond Plywood Corp. Ltd., which has been operating for more than 60 years in Richmond, is receiving as much as $2.3 million to purchase and install new equipment to enhance its value-added manufacturing processes using second-growth fiber and waste wood. This will improve the company’s product quality and operational efficiency, reduce reliance on old-growth fiber and reduce its carbon footprint, allowing it to produce high-quality, value-added plywood products and use any remaining residual wood waste to power its facility. The capital project will result in Richmond Plywood upskilling 24 employees to higher-paid, skilled positions and will create 14 jobs at the company.

Other companies to receive funding include:

Coast Tsimshian Resources LP is a forestry company fully owned by the Lax Kw’alaams Band. It will receive as much as $970,000 for the acquisition of an industrial chipper and peripherals, which will allow increased utilization of its fiber basket while decreasing residual wood waste. It will ultimately create a new business stream for Lax Kw’alaams Band, while creating 108 direct and indirect jobs;
Downie Timber Ltd. is a lumber-milling and remanufacturing wood processor. It will receive as much as $825,000 to purchase and commission a new debarker system, alongside facility upgrades that will enable the company to reduce reliance on old-growth fiber and optimize operations, while protecting 229 existing jobs within the company;
Sunrise Engineering & Manufacturing Inc. is a fabrication facility that provides welding, machining and assembly services that specialize in the manufacturing and repairing of a wide variety of pulp mill equipment. It will receive as much as $805,000 for its project to acquire new advanced manufacturing equipment including four CNC machines that will increase their capacity and competitive advantage, improve efficiency and create five skilled jobs;
Access Precision Machining Ltd. is an advanced manufacturing machining and fabrication service provider that manufactures custom-machined parts for various industries including oil and gas, aerospace and commercial sectors. It will receive up to $800,000 to purchase seven new machines, including six CNC machines, to help grow its market in priority sectors with international exports, increase productivity and create as many as 18 jobs;
Yarrow Wood (2012) Inc. is a lumber remanufacturer, providing custom square and rectangular lumber remanufacturing for forestry companies. It will receive as much as $130,000 to upgrade equipment that will support profiling lumber in-house, including its moulder, infeed/outfeed and blower system, which will allow it to process a wider variety of value-added wood products using a broader scope of log species and creates as many as seven jobs.

“Forestry jobs support families across the province, including in smaller and rural communities. By helping companies get more jobs per tree through manufacturing here at home, we’re supporting a brighter future for forest workers,” said Premier David Eby. “The latest round of jobs secured through the BC Manufacturing Jobs Fund will get more people working on innovative equipment, producing new value-added wood products and reaching new markets so they can pay the mortgage, support their families and strengthen their local community.”

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