Canadian Manufacturing

Ont. government investing over $6.2M in forestry sector to protect jobs

July 25, 2025 
by CM Staff

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These projects are meant to strengthen Northwestern Ontario’s economy by building strong regional markets for mill by-products which may create added demand for the harvesting, hauling and trucking industries.

THUNDER BAY — The Government of Ontario announces that it is investing over $6.2 million in research, innovation and modernization projects in Northwestern Ontario. The investments from the Forest Biomass Program are meant to boost Ontario’s forest sector’s competitive advantage by creating new jobs, increasing productivity and hopefully opening up opportunities for new revenue streams in new markets for underused wood and mill by-products, known as forest biomass.

“Our government is proud to support world-class innovation in Ontario’s forest sector that helps the industry grow, create jobs and build prosperity in northern communities that depend on a strong forest sector,” said Kevin Holland, Associate Minister of Forestry and Forest Products. “We’re taking bold, decisive action to protect good-paying jobs and economic growth in the face of US tariffs, including making targeted investments that ensure our forest sector is resilient for whatever else comes our way.”

Ontario’s investment is reportedly supporting eight projects related to the use of underused wood and mill by-products, known as forest biomass:

  • The Centre for Research and Innovation in the Bioeconomy, which is receiving $5,000,000 to accelerate forest sector growth by developing and commercializing forest-based products, assisting with technology development and fostering cross-industry collaboration.
  • Bingwi Neyaashi Anishinaabek, which is receiving $250,000 to support the development of a community heating system by funding a study of local biomass supply and purchasing equipment to convert forest biomass to fuel.
  • Thunder Bay Pulp and Paper, which is receiving $87,750 to help support the facility’s modernization by funding two studies assessing current technology and designing upgrades to the boiler, fibre recovery and sludge processing systems.

These projects are meant to strengthen Northwestern Ontario’s economy by building strong regional markets for mill by-products which may create added demand for the harvesting, hauling and trucking industries, and hopefully develop new opportunities for Indigenous communities to participate in the growing forest industry.

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“The Ontario Forest Industries Association (OFIA) applauds continued investments through the Forest Biomass Program. Today’s exciting announcements will be instrumental in the sector’s continued innovation and diversification. Maximizing the use of forest biomass will strengthen forest-sector-dependent communities, foster job creation, and support a fully made-in-Ontario supply chain for sustainable bioproducts,” said Ian Dunn, R.P.F, President and CEO, Ontario Forest Industries Association.

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