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British Columbia new law protects wood processing jobs

The provincial government of British Columbia is keeping its commitment to protect BC jobs and support companies investing in British Columbia that are creating more high-value products from its natural resources and want to employ local workers. Source: Timberbiz

Changes to the Manufactured Forest Products Regulation (MFPR) around export requirements for sawn-wood products and lumber made from western red cedar or cypress go into effect 30 September 2020.

These changes are intended to increase the amount of processing of wood products done within British Columbia, leading to more BC jobs, rather than having that processing done after export.

Under the amended MFPR, the maximum dimension of lumber to be considered a sawn-wood product will be 0.1 square metres (approximately 12 inches by 12 inches). This will require further domestic processing of lumber prior to being eligible for export. Additionally, the regulation amendments will require that in the Coast area, lumber that is made from western red cedar or cypress must be fully manufactured. Products that do not meet these new criteria will require a provincial export permit and payment of a fee in lieu of manufacture to be eligible for export.

MFPR, introduced in 2003, defines the criteria that products must meet to be considered manufactured under the Forest Act. Under the current regulation, logs that are squared off up to a maximum dimension of 0.2 square metres (approximately 17 inches by 17 inches) are categorized as a sawn-wood product and may be exported without further manufacture.

These changes were initially set to come into effect 1 July 2020 but were postponed due to the ongoing COVID-19 crisis. This additional time allowed the forest industry to recover from the challenges associated with the pandemic and to better prepare for the resulting market impacts.