2007/12 (c)

BACKGROUNDER

Expanding Market Opportunities

An objective of the Forest Industry Long-Term Competitiveness Initiative is to expand market opportunities for Canadian wood-product producers. The Government of Canada will invest $40 million to focus on growing the offshore wood products market, expanding the use of wood in the North American, non-residential construction market and promoting value-added wood manufacturing.

Canada Wood Program ($20 million)

This program will partner with provinces and wood-industry associations across Canada to expand export opportunities in offshore markets. Funding for this Program will be extended until March 31, 2009.

The enhanced program will build on industry success in offshore markets by increasing efforts around the use of wood in multi-storey and hybrid residential construction, particularly in China. The Government of Canada will work with industry and provincial partners to increase capacity in emerging offshore markets to use Canadian wood materials and designs.

This will help to position Canadian wood products as an attractive alternative to existing building products in markets such as China, Korea, Japan and the United Kingdom. The program will continue to explore new opportunities for wood in emerging markets such as India, Vietnam and the Middle East.

North American Wood First Initiative ($12 million)

This program will partner with industry and provinces to address the challenges facing the wood industry in capturing a share of the North American, non-residential construction market — notably commercial buildings, such as schools and hospitals. The program will have technical, educational, marketing, and communications and demonstration components.

A major thrust of the program will include regional pilot projects in the United States targeted at educating designers and architects on the advantages of using wood.

Value to Wood Program ($8 million)

This program will partner with the FPInnovations, industry, provinces and universities across Canada. The program consists of technology development and transfer components and is designed to improve the productivity and competitiveness of the value-added wood sector in Canada. Funding for this program will be extended until March 31, 2009.

The redesigned program will focus research efforts on developing new products and improved manufacturing processes in product areas where Canada has a demonstrated competitive advantage. This includes new innovative research in product areas such as prefabricated buildings, engineered wood products, wood-frame windows, wood cabinets, and designer furniture. Technology transfer will be implemented by a network of industry advisors providing technical assistance, market and business development advice to small and medium wood-manufacturers across the country.

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