05013 Value Added (Eng)

Value-added
New Brunswick’s
Forest Products
Industry
in
the Primary Sector
The New Brunswick Forest Products Association wishes to thank the following companies
for contributing to this project:
• Bowater Maritimes Inc.
• Flakeboard Co. Ltd.
• J.D. Irving, Limited
• Garant Inc.
• Fraser Papers Inc.
• U.P.M. Kymmene Miramichi Inc.
• Weyerhauser Company Limited
• A V Cell Inc.
• Les Ateliers Arpin Ltée
• Briggs Engineered Wood Products Inc.
• Scierie Adrien Arseneault Ltée
• Les Cèdres Balmoral Ltée
• Chaleur Sawmills Associates
• Chipman Sawmill Inc.
• Colonial Fence Manufacturing Co.
• Delco Forest Products Ltd.
• Devon Lumber Co. Ltd.
• T.P. Downey & Sons Ltd.
• Frobisher Industries Limited
• Kedgwick Lumber Co. Ltd.
• Lindsay Lumber Ltd.
• Marwood Ltd.
• Moulin McGraw Sawmills Ltée.
• Atcon Group Inc.
• Newcastle Lumber Co. Ltd.
• North American Forest Products Ltd.
• R.F. Sadler Ltd.
• Groupe Savoie Inc.
• Smurfit-Stone Container Canada Inc.
• SWP Industries Inc.
• Lattes Waska Laths Inc.
• M.L. Wilkins & Son Ltd.
Hugh John Flemming Forestry Centre
1350 Regent Street
Fredericton, NB E3C 2G6
T 506.452.6930
F 506.450.3128
[email protected]
www.nbforestry.com
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Table of Contents
Foreword
A Message From the President .......................................................................1
Introduction
Value-added in the Primary Forest Sector .........................................................3
Adding Value
Forest ....................................................................................................5
Environment ............................................................................................6
Forest Products ........................................................................................8
• Investments ...........................................................................................................9
• Utilization ............................................................................................................10
• Technology ...........................................................................................................10
• Products ..............................................................................................................12
Employees .............................................................................................14
Education ..............................................................................................15
Communities ..........................................................................................16
foreword
Foreword
1
A Message From
the President…
This document is intended to explain the many value-added products that are
manufactured by the primary sector of the forest industry, as well as to increase
awareness about the significant investments this industry has made toward adding value to
New Brunswick’s forest products. The primary sector consists of all the pulp, paper, and
sawmills in the province. The majority of the companies add value to the processing of the
tree starting from the seed to the finished product that reaches the market place. It is my
hope that the reader will have a better understanding and appreciation for the value that
is added to wood products, the forest, the environment, employees, education and our
communities by New Brunswick’s most important industry.
Value-added is simply the amount by which the value of a product is increased at each
stage of its production. This in turn, raises the value of a product in the market. In the
primary sector of the forest industry, many opportunities exist for adding value to
roundwood, sawn material, waste, and by-products. Value-added practices are key to the
future of sustainable forestry because they enable companies to
advance economically by doing more with less.
New Brunswick is very fortunate to have quality forests
that provide the raw material for products we use
everyday. Forests are the most valuable resource in New
Brunswick, which is why the forest industry is
committed to improving production, adding value to
products and becoming more competitive in the
marketplace. Being competitive has never been
tougher. Companies are always finding new
and innovative ways too ensure that every
possible benefit from our forest resource is
realized here at home in New Brunswick.
That’s what value-added is all about.
Yvon Poitras
President and C.E.O.
New Brunswick
Forest Products Association
introduction
Introduction
3
Value-added in the
Primary Forest Sector
Value-added wood products are most commonly thought of as being only those products with
the highest value such as furniture, flooring or specialized paneling. Value, however, can be
added to wood and wood products at various levels of processing; for example, adding value
right from the seed. Value can also be added to a log by properly cutting to the correct
length so more product can be recovered. Value can be added to lumber by processing more
efficiently or manufacturing for special niche markets. Value is also added when producing
pulp, paper, tissue, and engineered wood products, such as building joists, beams and panels.
Products from the forest over the past ten years have witnessed dramatic changes in terms of
value-added in New Brunswick. Most pulp mills utilize mainly the residual products from
sawmills. Certain species have become very important in the development of high value
products. For example, white pine is being used in very high value consumer products like
paneling, wainscoting and decorative trim. Low quality stems of hardwood are currently being
used to produce softer consumer tissue products - again, high value.
There is a wide range of products from facial tissue, to lumber to cabinets to magazine paper
being produced here in New Brunswick. No other natural commodity can provide the valueadded as does a tree that is transformed into products such as I-Joists for homes, fine
furniture, paper for newspapers, and so on. As an added value, trees are an easily renewable
resource that provide wildlife habitat and many other social
and environmental benefits.
adding value
Adding Value
5
Forest
For companies to continue to grow, the long-term sustainability of the forest must be
ensured. Forest operations are based on the principles of sustainable management and
held to strict environmental standards. This is supported by the fact that all Crown land
and the companies that operate on it, are independently third-party certified.
Ensuring that the end forest products are to achieve maximum value, investments must be
made at various stages of processing. In fact, a lot happens before trees reach the mill.
One of the earliest stages of investment occurs at the tree nursery. Over two thirds of
harvested areas are naturally regenerated, leaving the rest to be planted. In New
Brunswick, nurseries are state of the art, growing a variety of native species that are
genetically superior as they have been carefully bred from the best trees growing in New
Brunswick’s forests. When ready for planting, the seedlings are carefully matched with site
appropriate locations. This not only helps ensure that mills are supplied with healthy trees
with superior fibre, but also ensures sustainable forests for generations to come.
Investments in silviculture are made to give further assurance that our forests will
continue to supply wood, as well as provide wildlife habitat, recreational opportunities,
employment and other non-timber values. A major part of the silviculture program in the
province is pre-commercial thinning, which can greatly improve the growth, disease
resistance and value of natural and planted stands.
Before harvesting, a great deal of site specific information is gathered and analyzed. This
information includes things like the silvics of the tree, size and number, product potential,
stand stability, terrain conditions, soil drainage, and proximity to any moving water. From
this, decisions about harvesting prescriptions, systems, methods, and timing are made
using the best available science. Detailed management plans, developed in accordance to
the province’s "Vision for New Brunswick Forests", outline operations and procedures that
avoid or minimize environmental and aesthetic impacts.
During harvesting, special care is taken to minimize the
impact on the forest and maximize value at each and
every site.
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Environment
It is paramount to the health and vitality of our environment that industrial processes
maintain the quality of air, water, land, and life. The forest industry is committed to
ensuring that it does its share to minimize pollution, maximize use of resources, and
protect the environment. In all aspects of processing, new
methods have been developed to aid in minimizing
environmental impacts. A major emphasis is placed on
environmental measures to protect provincial resources.
Better ways of doing things are happening every step of the
way.
Protecting and adding value to the environment is of utmost
importance. Forestry companies have made many strides to be
environmentally conscious and responsible. For instance, a New
Brunswick pulp and paper company pioneered a pollution
prevention strategy to recover, reduce and reuse pulp-making
materials in the mill. This means reduced pollution and better
energy efficiency. In addition, aquatic ecosystems are reported
to be in excellent health. In fact the water quality of some of
New Brunswick’s rivers are meeting the highest standards
documented in the Canadian Water Quality Guidelines.
Since good science is a pillar of sustainable forest
management, research in a number of areas is ongoing. For
example, extensive studies are being done to research ways to
increase juvenile salmon in New Brunswick rivers, as well as to
learn new ways to protect and promote biodiversity along
rivers. Such work has earned many awards and recognition for
world class environmental performance. The following page
lists additional responsible and innovative practices being
done by the primary sector to protect the environment and its
people.
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• Independent certification assuring
environmental quality standards
• Extracting all broken wood from log
yards and chipping them rather then
sending them to landfills
• Recycling of waste that once went to
landfills
• Installation of berms to reduce noise
pollution
• Paved wood yards to reduce dust
• Decreasing water use
• Paper and metal recycling
• Power correction monitoring
• Spill controls
• Oil containment cubes
• Sediment ponds
• Reduced emissions
• Calcium chloride on roads for dust
control
• Dust collector systems in mills
• Mechanical fly ash systems on boiler
stacks
• Fire trucks on site to reduce dust on
windy days
• Running highly efficient motors to
reduce fuel use
• Reduced sulfur dioxide
emissions
• Reduced landfill waste
• Reduction in particulate matter
• Using wood waste residual as fuel
• Reduced chlorine emissions
• Reduced chlorine dioxide emissions
• Capping and seeding landfills
• Waste oil professionally removed
• Programming exhaust fans to operate
only when needed
• Using waste heat from air compressors
to heat buildings
• Aquatic monitoring programs
• Installing filter blankets to control runoff
• Meeting clean air standards
• Insulating to reduce noise
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Forest Products
Mills in New Brunswick’s primary forest sector have been very successful in including
value-added manufacturing in their product lines. Companies realize that value-added
manufacturing holds the key to creating more employment in the forestry sector and
keeping themselves viable. As a result, they have taken a number of steps to add and
increase the value of their products. Upgrades, new equipment, new products and
diversification have all yielded excellent results in terms of value-added forest products.
In the sawmill industry, during the 1920's, only 40% of a log was converted into primary
product such as lumber and 23% of the log ended up as sawdust, which had no end use.
Today, things are much different where most often 100% of the log is used. This is due in
large part to innovation and improvements made directly at the mill.
The pulp and paper industry is also all about adding value. Sophisticated value-added
operations, such as the production of high quality consumer products (bathroom tissue,
paper towel and facial tissue) have helped grow the skilled manufacturing workforce and
prosperity in this province. Mills can take advantage of niche market opportunities by
improving the printability or surface characteristics of their paper. Such improvements
may involve equipment additions or modifications, or the addition of minerals and
chemicals within the sheet of paper or on its surface. New Brunswick pulp and paper
producers have a wealth of practical experience in developing innovative and economical
solutions for improvements to value-added products.
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Investments
Companies are continually investing money in an effort to enhance and advance the valueadded side of their businesses. Over the last 10 years alone, close to a billion dollars has
been spent modernizing, refitting, expanding, and improving operations and facilities.
Below is a sampling of some of the specific investments made
by New Brunswick’s primary sector in an effort to improve
recoveries, qualities and capacities:
• Equipment purchases and upgrades
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Kilns
Debarkers
Edgers
Trimmers
Planers
Chippers
Finger jointers
Chip screens
New saw lines
Carriages
Curve saws
Sorter stackers
Slab chippers
Planer lug loaders
Scales
Digital photo systems
Global positioning
systems
• Security controls
• Co-gen turbines
• Precipitators
• Water softeners
• Dust collectors
• Acid filters
• Recovery boilers
• Flake dryers
• Computer numerical control equipment
• Control room upgrades
• Tree nursery expansions
• Silviculture and forest research
• Certification
• Building construction and renovations
• Mill yard improvements
• Inventory tracking systems
• Improved chipping technology
• Gate surveillance improvements
• High-tech forestry equipment
• Expanded warehousing and storage
facilities
• New production lines
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Utilization
The primary sector of the forest industry is always looking for
ways to increase productivity and value from every part of the
tree. More and more products are being made because of
better recovery and utilization. This means not only adding,
but creating value to what was once waste. Here are some
impressive examples:
• Wood chips for pulp
• Bark for heating and generating steam
• Sawdust and shavings for cardboard box manufacturing,
wood pellets for heating, animal bedding
• Trim ends for finger-jointing instead of chipping
• Extraction of planer chips from bio-mass
• Extracting sawdust and shavings from bio-mass
• Cellulose Rayon Grade Dissolving Pulp used to make
fabric for clothing
• Pulping by-products used to make:
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Animal feed pellet binder
Road dust suppressant
Biomass for thermal power station
Consumer quality compost
Technology
According to Statistics Canada, forestry is one of the top five sectors to adopt and
integrate high tech equipment. Stats Canada also says forestry’s advanced technology
purchases are greater than the automotive, aerospace, metal, transport and chemical
sectors combined! The millions of dollars spent each year helps add priceless value to the
products, employees, operations, and practices. Science and technology are the most
dynamic components of any industry. It has allowed the forest
industry to reach levels of efficiencies never thought possible.
Sawmills are an excellent example where improvements in
operations are directed at achieving greater lumber recovery
from each log. To add value, there are a number of equipment
changes and improvements that can be made directly at the
mill. The technology is cutting edge. Mills are using optimizers
to "read" the log to determine exactly how and where to cut;
edgers to remove bark , cut out defects, and square board
edges; planers to smooth surfaces of rough lumber; moulders
to transform lumber into surfaced, tongue and groove siding and flooring. Detailed on the
next page are even more ways the primary sector of the forest industry is adding value to
their products.
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Sawing
Sawmills use the latest computer technology to help maximize the yield from every log
sawn. Changing cutting practices in a sawmill can quickly improve recovery, that is
increase the amount of wood available for processing. For example, decreasing kerf size,
which generally speaking is the width of the path cut by the saw teeth, has a significant
impact on recovery. In addition, thin kerf sawing enables the use of lower quality and /or
smaller diameter logs which otherwise may have little or no economic value.
Drying
The sawmill industry is constantly looking for ways to add
value to their products. One way is through the practice of
kiln drying certain grades and species of lumber. A kiln is an
insulated chamber where air circulates over the wood. Almost
all commercially produced lumber is dried in a kiln before it is
finally put in use. There are a number of good reasons why
drying wood adds value which include:
• Dry wood weighs less and is therefore cheaper to transport
• Less stain or decay during transit, storage, and use
• Reduced susceptibility to insect damage
• Increased strength
• Nails, screws, and glue hold better
• Paints and finishes adhere better to seasoned wood
• Dry wood is a better thermal insulator than wet wood
• Dry wood must be used when treating with most wood
preservatives
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Remanufacturing
Many sawmills seek to diversify markets and add value to their products by
remanufacturing commodity wood products by further processing them into specialty
finished or semi-finished products that can range from simple thin narrow strips of wood
for lattice to decorative mouldings . This adds value to their output without overly
increasing costs. Here are just a few examples of
remanufactured products made here in New Brunswick:
• Machine stress rated lumber, trusses, I-beams
• Doors, windows, architectural woodwork, turnings
• Cabinets
• Ready-to-assemble furniture
• Pallets and containers
• Flooring
Products
It’s not just about lumber and pulp. Mills today are producing a variety of high value forest
products. Product diversification in the value-added industry has expanded opportunities
and markets for New Brunswick companies, many of which have become world leaders. For
example, New Brunswick is home to Canada’s largest producer of hamper baskets, one of
the world’s largest manufacturers of custom cedar fencing, and the highest value-added
producer in North America’s composite panel industry. One New Brunswick based company
produces lightweight coated paper, the highest value printing paper, which is used in
publications such as Time and People magazines. In addition, high value
engineered wood products are produced here such as wood I-joists.
I–joists are most often used in floor applications and are favoured for
their lightweight, stability and ease of installation. Engineered
wood products provide an opportunity to use and add value to
smaller and lower quality, or underutilized trees that may
otherwise have been considered waste. The diversity of valueadded products produced by this sector is quite impressive
and continues to diversify as innovation and technology
permit. The following page lists just some of New
Brunswick’s value-added products.
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• Shingles, in a variety of patterns and
colours
• Compost
• Kitchen cabinet components
• Pallets
• High end furniture
• Hardwood flooring
• Mouldings
• Builders’ shims
• Fence panels
• Wood siding
• Hamper baskets
• Animal bedding
• Hardwood veneers used for furniture
overlays, skateboards, etc.
• Lattice
• Sheathing grade plywood panels of
various thicknesses for construction
• Telephone poles
• Aspen and cedar laths
• Barbeque planks
• Decking
• Composite panels
• Apple baskets
• Stair treads
• Cedar boards and pickets
• Solid hardwood dimension lumber
• Ready-to-assemble picnic tables, work
benches, and shelving
• Cedar arbors, fence panels, toppers,
and lamp posts
• Hardwood edge glued panels and
laminated squares to customer
specifications
• Drawer fronts
• Sawhorse kits
• Storage boxes
• Kraft pulp
• Newsprint
• Coated paper
• Corrugated medium
• Recycled papers
• Box board
• Facial tissue
• Paper towel
• Bathroom tissue
• Specialty papers
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Employees
The survival of the forest industry is completely dependent on its employees. Great
investments are made to ensure they are well-trained, satisfied and valued. Programs have
been put in place to encourage positive attitudes toward new technology such as team
building, training, upgrading and incentives. A great deal of time and energy is invested in
the selection, training and advancement of employees. In addition, companies are well
aware that workplace health and safety are critical to providing the work environments
that are held to the highest standards. Various initiatives, like those listed below, have
proven very successful in helping add value to workers and the workplace.
• Pay for Skills Program – employees encouraged to learn
new skills and enhance remuneration
• Company sponsored fitness policy and wellness programs
• Lock out procedures training
• Due diligence
• Health and safety
• First Aid
• Lumber grading
• Interpersonal training
• Saw filing
• Planer maintenance
• Mill maintenance
• Hydraulics
• Chip quality improvement
• Lifting apparatus training
• Electrical
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Education
The forest products industry remains a significant contributor
to educational programs and initiatives at every stage of lifelong learning. By supporting and investing in education,
continued success in developing an interested and skilled
workforce is ensured. Investments are made in the form of
scholarships, bursaries, awards, literacy programs, incentive
programs, continuing education, and training.
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Communities
Forestry companies are community based and community minded. Over 50 New Brunswick
communities are dependent on the primary sector of the forest industry. It provides
quality employment, drives economies and sustains business in other sectors. On top of
this, millions of dollars and countless hours are donated each year in these communities
adding value to our people, social programs and standard of living. Below are just some of
the ways this is being achieved:
• Regular donations to local churches, hospitals, schools, fire departments, food banks,
athletic teams, service organizations
• Lumber donations for hockey rink and church wheelchair ramp
• Snow removal service for local churches
• Funding for parks, playgrounds and other recreational facilities
• Food Bank Donations
• Sponsorship of local, provincial, and national sporting
events and teams
• Support and Donations to
schools – computers,
playground equipment,
repairs, hot lunch
programs, adopt-a–school,
etc.
• Support to a variety of charitable
organizations:
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Heart and Stroke
Cancer Society
Easter Seal March of Dimes
IWK
Children’s Wish Foundation
United Way
Big Brothers
Rotary Clubs
YMCA
Legions
Animal Shelters
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The Nature Conservancy
Ducks Unlimited
Miramichi Salmon Association
Nashwaak Watershed Association
The Tree House
4-H Club
NB Trails
• Support to natural resource
conscious groups