Marketing Forest Products

Social Economic Analysis of FN Tenure 2005-2009 (Aug 2010)

This report provides an evaluation of the economic implications of the tenure awarded to First Nations for the years 2005 through 2009 inclusive. The timber harvest data was provided by the MoFR (Ministry of Forests and Range). The First Nation employment associated with the harvest was collected via survey during the course of this project. The survey was conducted during 2010 and the survey response rate was approximately 55%.

The total annual allowable harvest (AAC) awarded to First Nation tenure holders was relatively constant over the years 2005 through 2008 at approximately 8,700,000 cubic meters per annum. The total AAC awarded to First Nation tenure holders in 2009 was approximately 8,200,000 cubic meters. Over the years 2005 to 2009, on average 57% of the First Nation harvest was directed toward large integrated forest companies (the primary forest industry).


Strategic Blueprint - First Nations Forest Products Branding & Marketing (May 2010)

The BC First Nations Forestry and Land Stewardship Action Plan (2008) sets the stage for the advancement of a First Nations forest products industry, and identifies the development of a Strategic Branding and Marketing Plan as one of its priority action items. Branding and marketing are business elements that provide significant opportunity to First Nations and their potential industry partners for "win-win” forest sector growth across the product value chain. This document now outlines a blueprint and guiding principles for such a Plan.

The context for the following strategic elements and budget for the proposed Plan, which will be implemented by the BC First Nations Forestry Council (FNFC) are described within the body of this document.


Toolkit - Exporting BC First Nations Forest Products (Mar 2010)

The British Columbia (BC) forest industry has seen considerable change recently as a result of the Global economy, and the Mountain Pine Beetle epidemic. BC First Nations (FN) forest tenure holders and businesses comprise a significant and growing part of the industry economic pie. Yet, actual harvest level shortfalls are resulting in unrealized economic potential of their tenures.

The need to increase actual FN harvest levels in relation to annual allowable cut (AAC) became more evident after the BC First Nations Forestry Council (FNFC) completed an economic review in 2010. Review from 2005 to 2009 showed that the actual total FN harvest level was approximately 56% of AAC. This shortfall averaged 3.8 million m3 per year, or 19 million m3 for the 5 years. Although this trend reflected the period's overall industry downswing, the impact on the industry and BC economy is a very important situation because the yearly harvest by FN tenure holders is about 9% of the entire BC harvest. As well, 57% of FN harvest is directed toward large integrated forest companies (the primary forest industry).

FN Forest Tenure Benchmarking Survey 2008 (Feb 2010)

In order to generate objective information to assess the impact of future policy changes, the First Nation’s Forestry Council (FNFC) asked SR Management Services Ltd. (SRM) to benchmark tenure awarded to First Nations. The volume and the number of tenures awarded to First Nations as of November 2008 and the subject of the survey results reported here was 8.642 million m3/yr1 and 262 tenures (Appendix 3 Chart A1 and Table A1). The volume awarded was approximately 10% of the provincial annual allowable cut (AAC) of approximately 86 million m3/yr with 57 million m3 harvested (e.g. 66% of AAC). Of the 8.642 million m3/yr awarded volume to First Nations, 74% was held by survey respondents. 100% of First Nation tenure holders were contacted while conducting this survey.

European Forest Market Opportunities (Apr 2009) (Michael Bonshor)

The BC First Nations Forest Council (FNFC) owned by the 204 First Nation of BC has a mandate to foster development of forestry business opportunities on behalf of BC First Nations.

BC First Nation forestry opportunities are currently closely linked to the mainstream BC forest sector, unique opportunities exist to develop new and expanded opportunities in Western Europe to capture the interest in indigenously sourced wood products.

First Nations in BC are playing a greater role of the forest sector in BC. 160 of the 204 First Nations in BC hold over 260 forest licenses, with access to 35 million m3. This represents over 8% of the total tenure in the province. Current discussions between the FNFC and the Province of BC are leading towards possibly doubling this amount.

US Market Survey Report (Apr 2009) (Norcon)

On April 27, 2006, BC First Nations, through the First Nations Leadership Council, established the First Nations Forestry Council (FNFC) to provide support to BC First Nations with respect to forestry-related matters. The FNFC evolved out of the Interim Mountain Pine Beetle Working Group, established in 2005 to coordinate a First Nations response to Mountain Pine Beetle epidemic. The Pine Beetle crisis made clear the need for a province wide First Nations forestry organization.