Forestry and Logging with Support Activities Industry

October 2010

· The industry employed about 3,600 people in 2008

· Average annual employment growth rate in the industry between 2009 and 2013 is expected to be 0.3%

Profile

This industry includes businesses that produce seedlings in specialized nurseries, grow or harvest timber on a long production cycle (10 years or more), or provide related support services.

Occupations include forest technicians, foresters, logging equipment operators and park wardens.

Performance and outlook

The industry represents a small share of both overall provincial economic activity and total employment. Still, Alberta is home to Canada’s fourth largest forestry industry. Since 1999, the industry has shown marginal employment growth, and between 2007 and 2008, employment growth declined by 12.2 per cent.

Much of the industry’s poor performance has been the result of the lingering effects of softwood lumber trade policy disputes between Canada and the United States that limits exports. The industry has also been severely affected by the collapse of the United States housing market, which has greatly reduced demand and prices for lumber, panelboard and other products. Additional pressures—including high costs, a mountain pine beetle infestation and an appreciating dollar that reduces export margins—have also reduced the industry’s ability to compete effectively.

Despite these challenges, Alberta’s forestry industry has fared better than its counterparts in other areas of Canada. Alberta enjoys low direct logging costs, highly competitive costs of doing business and high levels of labour productivity. Various federal and provincial programs and policies should also provide the industry a degree of relief. Threats to growth include low-cost competition from China and Central and South America as well as a weak U.S. housing market.

Declining employment is forecast for all occupations in the industry. Fewer than 100 jobs will be created in the industry by 2013.

For more information see Alberta Career and Industry Outlook or Alberta Industry Profiles.

Occupations in the industry

For a list of occupations and related occupations in this industry, see OCCinfo Search by Industry: Forestry and Logging page.