The small town of Fraser Lake, BC is dealing with tough news as one of their major employers announces the permanent closure of their local sawmill. West Fraser Timber, a major wood products supplier, says they are shutting down operations to adjust to lower market conditions.
In a statement on Monday, West Fraser explained the challenging decision was necessary due to declining demand for lumber products. The company also noted it had become too costly to source enough local timber for the mill as harvesting in the area has decreased.
Over 175 employees will be impacted by the closure. West Fraser promised to do what they can to help, offering positions at other mills to those interested and qualified. Still, it will be a blow to the community to lose so many jobs and tax revenue.
The company's CEO Sean McLaren acknowledged this will be a difficult change but said it is important for their long term sustainability. With softening lumber prices and a recent closure of other mills in the U.S., cutting capacity was needed. "We have to adjust to what the market will bear," he stated.
Residents hope West Fraser's other B.C. operations will continue to provide jobs and economic activity for the province. However, it serves as a reminder that even this major timber industry is not immune to fluctuations outside their control. Only time will tell if demand rebounds or if more closures may be required across the sector.
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