December 22, 2006
Sawmill closes due to lumber pact
IGNACE, Ont.
The Bowater sawmill in the northern Ontario town of Ignace, northwest of Thunder Bay, is shutting down indefinitely.
The closure affects 29 direct employees and 20 contractors.
Company spokesman Georges Cabana says poor market conditions bear some of the blame for the closure.
He also blames what he calls an “insufficient level of quote volume allocated to Ontario sawmills under the latest softwood lumber pact between the United States and Canada.”
Cabana says the company only received notification of its quota volume on Dec. 15 and the new quotas will be implemented starting Jan. 1.
He acknowledged the bad timing of the news, saying “late notification and early implementation dictated the time of the announcement.”
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