SAULT STE. MARIE — Ontario is making a significant investment in Northern Ontario’s forestry sector, committing more than $5 million to protect jobs, modernize operations and ensure communities remain economically resilient.
The announcement, made Monday by the Ministry of Natural Resources, includes funding for both new technology and critical infrastructure repairs. The province said the spending is designed to help the industry adapt to changing markets, improve efficiency, and generate new revenue streams by expanding the use of underutilized wood and mill by-products, known as forest biomass.
“Our government recognizes that forest sector productivity begins with hard-working people and innovative, efficient businesses in Northern Ontario,” said Kevin Holland, Associate Minister of Forestry and Forest Products. “We’re investing to build a more resilient forest sector in the North, ensuring our businesses are ready to seize new opportunities and protect the good jobs that build strong communities.”
Boosting Production and Reducing Emissions
The bulk of the funding — $5 million — will go to EACOM, a wood products manufacturer, through the province’s Forest Biomass Program. The company plans to install equipment and artificial intelligence screening technology at its facilities.
According to the government, the upgrades are expected to boost production capacity by 12 per cent, reduce wood waste by 25 per cent and cut emissions by 21 per cent. Officials said the investment is aimed at helping the company diversify operations, make greater use of smaller diameter logs, and remain competitive in global markets.
“Today’s announcement is an essential step toward strengthening northern and rural communities across Ontario,” said Ian Dunn, President and CEO of the Ontario Forest Industries Association. “By supporting innovation in forest biomass utilization and ensuring reliable access to Ontario’s natural resources through well-maintained public forest access roads and water crossings, we are helping to create good jobs, supporting the circular bioeconomy, and building a more sustainable and resilient future for our sector.”
Infrastructure Investment
In addition to technology upgrades, the province is also directing $475,000 to Northshore Forest Inc. to repair the Wenebegon River bridge, located about 120 kilometres north of Thessalon. The crossing is considered a vital link for forestry operations, recreational users, and emergency responders.
“Today’s announcement supports continued safe and reliable access to Ontario’s public forests for all users,” said Marc Trottier, General Manager of Forestry – East Operations at Interfor Corporation. “The Wenebegon River bridge is a critical link for anglers, hunters, emergency responders, and industrial users operating within the managed forest. We appreciate the Government of Ontario’s investment and thank Associate Minister Holland and Premier Ford for their continued commitment to supporting public access infrastructure across the province.”
Local legislators also welcomed the funding, framing it as part of a larger effort to secure jobs and support families in Northern Ontario.
“Our government is standing with Northern workers and businesses by investing in the tools they need to stay competitive and resilient,” said Chris Scott, MPP for Sault Ste. Marie. “Through the Forest Biomass Program, we’re driving innovation, unlocking new uses for underutilized wood, and protecting good jobs that support families and communities across the North.”
Bill Rosenberg, MPP for Algoma-Manitoulin, added: “The Government of Ontario’s continued investment is strengthening Northern Ontario’s forestry sector. This latest funding will complete repairs to the Wenebegon River Bridge, benefiting not only the forestry industry but also anglers, hunters, and tourism operators in the region.”
A Vital Industry
Ontario’s forestry sector continues to be a major contributor to the province’s economy. In 2023, it generated $21.6 billion in revenue from the sale of manufactured goods and services, and in 2024, it supported more than 128,000 direct and indirect jobs.
The Forest Biomass Program has already committed close to $50 million to more than 55 projects, according to the province. It complements the Forest Sector Investment and Innovation Program, which has allocated nearly $72 million to businesses adopting new tools and technology.
Beyond economics, the forest road network supported through provincial programs — stretching more than 19,500 kilometres — plays an essential role for industries such as mining and tourism, while also providing access for emergency preparedness and response in remote communities.
Officials underscored that Ontario’s wood supply is sustainably sourced, renewable, and increasingly recognized as a biodegradable alternative to single-use plastics.
With these latest investments, the government said it hopes to solidify Northern Ontario’s role as a hub of forestry innovation and economic strength.
