Domtar has announced the indefinite halt of operations at the Howe Sound Pulp and Paper mill on the Sunshine Coast of British Columbia. The decision was revealed during a meeting with employees at the Port Mellon site on August 20. Domtar, the mill’s owner, also disclosed that activities at the Bayview Fibre chipping facility will be suspended. Approximately 400 employees will be impacted by this development.
Andrew Appleton, a tugboat captain at the mill for 22 years, expressed his surprise at the news, stating that the closure was anticipated if conditions did not improve gradually. The employees were informed that their last working day would be on October 19. Appleton described the atmosphere at the mill as somber, with everyone trying to comprehend their next steps.
In 2015, a section of the mill ceased operations, affecting up to 180 workers. Domtar’s President, Luc Thériault, cited reduced demand from Asia, persistently low global pulp prices, and a shortage of affordable domestic fiber as reasons for the decision. Thériault emphasized that the move was a result of careful evaluation and not a reflection on the workforce.
Despite the challenging situation, Thériault mentioned that the company would assess future prospects if market conditions improved. Appleton, considering himself fortunate due to his marine license, is uncertain about his future job prospects. He mentioned that some employees had recently relocated to the area after being laid off from another mill on Vancouver Island.
The closure of the Crofton mill by Domtar in December, affecting around 350 employees, further emphasized the impact on the region’s businesses closely linked to the mill. The “curtailment” of operations at Howe Sound pulp and paper mill was described by Unifor National president Lana Payne as evidence of a deepening crisis in the forestry sector, urging immediate intervention from the provincial and federal governments.
In response, Forests Minister Ravi Parmar expressed sympathy for those affected by the decision and highlighted the challenges faced by the pulp sector in the global market. He pledged to collaborate with local stakeholders to provide necessary support to the affected individuals during this transitional period.
