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Promote value added business through log sort yards

An article by Peter Donovan in 2010 describes a log sort yard established which was later moved.

An article by Peter Donovan in 2010 describes a log sort yard established in Lumby which was later moved to Vernon. The article provides a short history of timber management in the 1990’s and the difficulty of small business getting access to logs.

“In an innovative experiment begun in 1993, the Vernon district of the B.C. Ministry of Forests created an open-market log sort yard as part of their Small Business Forest Enterprise Program. Though the volume is relatively small, there was a full spectrum of environmental, social, and economic benefits, without undesirable side effects. These results include value-added businesses, more and better jobs in the woods, more environmentally sensitive forestry, and a better bottom line.”

The manager Tom Milne describes how the markets developed: “even the major companies were realizing that there are some economic possibilities in the open market, with sorting, and they come to the log yard to buy exactly what they need. Eight major sawmills and pulp manufacturers were a crucial element of success, as they bought 75 per cent of the log sort yard’s volume.”

Tom Milne describes some of the benefits: “The log yard has generated 30 or more direct jobs logging or working in the sort yard. Log truckers delivering to the yard in the afternoon can often get a backhaul, hauling wood for a buyer ... the yard has also stimulated value-added wood-manufacturing businesses. The saddletree maker, says Milne, bought $700 worth of wood from the yard last year and used it to make $60,000 worth of saddle trees. That’s value-added. That supports families, the community.” He adds: “The sort yard is not the total answer, but it’s a piece of the puzzle.”

When the article was written in 2010 the authors felt the government would be very hard-pressed to shut down the log yard since it has become so popular, among so many people.

Unfortunately this was not the case, as my recent discussion with BC Timber Sales (BCTS) staff in Vernon indicated that the yard was closed after the 2010 article was written.

Part of the problem was the revenue from the yard went into general revenue of the government rather than paying off the budget allocation each year.

After doing some research on other log yards some key factors became evident for the establishment and continued success of the venture. Government support is important to get the facility started and establish a market base including a major mill or pulp plant along with the value added business.

Once established the government likes the yard to move to the private sector.

The greater flexibility in the management of the business is probably one of the main reasons for moving the business into private hands.

Ongoing support of the local business is critical after privatization.

A log sort yard in Creston found it necessary to export some logs to the U.S. to remain profitable after they privatized, but this was not what they had intended for the long-term plan.

Jim Hilton is a professional agrologist and forester who has lived and worked in the Cariboo Chilcotin for the past 40 years. Now retired, Hilton still volunteers his skills with local community forests organizations.