New export tax aims to keep raw logs in B.C.

PRINCE GEORGE, B.C. — Fewer B.C. logs will be trucked to mills south of the border for processing, thanks to a new export tax on raw logs imposed by the B.C. government.

The government hopes to discourage the shipment of raw logs to the US, instead preferring those logs to be trucked to B.C. mills.

The plan outlines actions government and industry are taking to strengthen the Coastal forest sector, said Forests and Range Minister, Rich Coleman. Shifting to more second-growth harvesting provides stability and sustainability, and improving log export policies will help keep logs in British Columbia, supporting local communities.

There is no quick fix for the challenges facing the coastal forest sector, but I believe the actions outlined in this plan will help us regain our competitive edge, added Rick Jeffery, president and CEO of the Coast Forest Products Association. The plan was formed through a collaborative process with key stakeholders.

The raw log export fee will be linked to the existing softwood lumber export tax. The tax is expected to reduce the incentive to transport logs to US mills.