News
Budget 2012 continues support for forest sector innovation

An investment of $105 million over two years for market development and forestry innovation, including support for FPInnovations, was confirmed in the 2012 federal budget. FPInnovations, a unique industry/government forestry innovation…

An investment of $105 million over two years for market development and forestry innovation, including support for FPInnovations, was confirmed in the 2012 federal budget. FPInnovations, a unique industry/government forestry innovation partnership, and the Forest Products Association of Canada both commended the Canadian government’s recommitment to Canadian forest sector transformation and innovation. The Forest Products Association of Canada (FPAC) is pleased that the Government of Canada has decided to maintain spending on programs aimed at transforming the forest sector even while tough measures are being taken to tackle the deficit.

“The 2012 federal budget renews a partnership that has delivered value and is building the future of forestry in Canada,” said Al Ward, chair of FPInnovations, and president and chief operating officer of Alberta-Pacific Forest Industries Inc. “The budget will help deliver on a strong, competitive and diversified forest sector in Canada. That is good news for high value jobs and good news for hard hit forestry communities across the country.”

FPInnovations brings together stakeholders in an innovation hub for Canada’s forest sector.

“Today’s budget will allow us to continue to pioneer new products such as bio-materials and bio-composites and next generation building systems for multi-storey buildings,” added Pierre Lapointe, president and CEO of FPInnovations.

“This kind of support has been helping to secure employment and shore up communities that rely on the forest products industry,” says Avrim Lazar, the President and CEO of FPAC. “Maintaining this strategic support at a time of deficit reduction will certainly continue to promote jobs and growth in the forest sector.”

Lazar notes that several other budget items are useful in helping the transformation of the forest products industry: the support for early movers who adopt new technology; the extended provision of the domestic lending authority by Export Development Canada; the limiting of increases in Employment Insurance premiums and the expansion of the eligibility of the Accelerated Capital Cost Allowance for clean energy generation equipment to include a broader range of bioenergy equipment.