Mill looking at European market

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It’s been 10 years at least since Delco Forest Products shipped wooden studs and other goods to Europe.

But the Rexton, New Brunswick mill is working to ensure its products meet European certification and standards.

General manager Jacques Cormier told the Telegraph-Journal the company has been suffering since the US housing market collapsed in 2009.

He said Delco sends 80 per cent of its products to the US but is trying to find other markets.

The GM said when the Comprehensive Economic & Trade Agreement (CETA) between Canada and the EU is finalized tariffs will be eliminated. Presently the average EU tariff for Canadian wood products is 2.2% but some tariffs reach 10%.

NB Forest Products Association President & CEO Mark Arsenault told the Telegraph-Journal that New Brunswick wood producers have an advantage in that certified lumber is used in furniture construction. He said EU regulations are increasingly demanding certified wood. 

Organizations: EU, Telegraph-Journal, The GM Forest Products Association

Geographic location: New Brunswick, US, Canada

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