Natural Resources Canada



Natural Resources Canada

December 18, 2013 13:59 ET

Harper Government Announces Significant Financial Support for Transforming Quebec's Forest Industry

TROIS-RIVIÈRES, QUEBEC--(Marketwired - Dec. 18, 2013) - The Honourable Denis Lebel, Minister of Infrastructure, Communities and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec, on behalf of the Honourable Joe Oliver, Canada's Minister of Natural Resources, today announced an investment of $15 million for a demonstration project at the Kruger Mill in Trois-Rivières. The total value of the project is $43 million.

Minister Lebel made the announcement alongside representatives from the Quebec Government, FPInnovations and Kruger Biomaterials Inc.

"The investment we are announcing today seeks to ensure a more sustainable future for forestry companies in Quebec," said Minister Lebel. "We are committed to helping the sector transition to higher-value activities and develop new markets."

"Our government recognizes that our forest sector is an important job-creating economic driver," said Minister Oliver. "We will continue to support this sector's transformation so that it retains its leading position in the communities it supports."

The demonstration plant will produce cellulose filaments (CF), a revolutionary, chemical-free, renewable and recyclable material that can dramatically improve the quality of pulp, paper, bioplastics, adhesives, paints and coatings. A Canadian innovation, the commercialization of CF gives Canada an international competitive advantage. It is estimated that the use of CF represents a potential market of approximately $500 million in revenue per year for the forest industry.

On November 22, Minister Denis Lebel had announced an investment of over $61 million in Quebec's forestry industry, including $35 million to fund three new projects as part of the Investments in Forest Industry Transformation Program. Today's announcement marks the first of these projects.

The Government of Canada has invested $1.8 billion in Canada's forest sector, $693.7 million of which was earmarked for Quebec. The Government will continue to support the transformation of Canada's forestry industry, to facilitate the creation of opportunities abroad and to encourage innovation.

For more information about federal support for Canada's forest sector, please visit: www.canadaforests.nrcan.gc.ca.

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The following media backgrounder is available at www.nrcan.gc.ca/media:

Cellulose Filaments (CF)

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Contact Information

  • Media may contact:
    Marie-Josee Paquette - Press Secretary
    Office of the Minister of Infrastructure, Communities and
    Intergovernmental Affairs, and Minister of the Economic
    Development Agency of Canada for the Regions of Quebec
    613-943-1838

    David Provencher
    Press Secretary
    Office of Canada's Minister of Natural Resources
    613-996-2007

    Media Relations
    Natural Resources Canada
    Ottawa
    613-992-4447

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    questions@nrcan.gc.ca