FPAC calls out for help
November 4, 2008 By Pulp & Paper Canada
The Forest Products Association of Canada added its name to a list of 43 organizations calling on the Federal gover…
The Forest Products Association of Canada added its name to a list of 43 organizations calling on the Federal government to sustain the manufacturing sector during the financial crisis. According to a report by The Star, the 43 signatories identified as their top priority lines of credit which would buttress them until the economy stabilizes.
The amalgam of groups argues the financial crisis has hacked away at market demand, forcing businesses to hang onto large, unwanted inventories. As The Star noted, the auto and forestry sectors remain particularly vulnerable to a weakened economy, due to their reliance on exports. While the group is optimistic that better times are in store, they contend that shelter from the storm is necessary to ensure a competitive position once the clouds lift.
“We are confident that sales will rebound as global credit market conditions improve and financial markets stabilize,” The Sun reported the group as noting. “But in the meantime Canadian businesses need to raise additional credit to maintain operations and to avoid more widespread layoffs and closures.”
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