Thank you.
Dear committee members, participants, the Association québécoise des entrepreneurs forestiers, or AQEF, thanks you for the opportunity to comment on the emergency order for the protection of boreal caribou.
The AQEF was born out of a desire by the forestry industry to be recognized, consulted and heard, because it is the first link in the supply chain for the sustainable and responsible management of our forests. Founded in June 2021, our association has, if we include 30 or so associate members, more than 150 active entrepreneur members, whereas it is estimated that 500 members now make up this group in Quebec. They are all very hard-working people who are passionate about this beautiful and great resource with its many functions, and whose approach is integrated, open and respectful.
By appearing before you today, we wish to highlight significant concerns related to the proposed emergency order to protect caribou, whose potential implications could have a considerable, even disastrous, impact on our industry and on the dozens of communities that depend on it.
We understand and share the general concern for wildlife conservation and the preservation of our natural environment. Caribou are indeed an iconic species, and taking appropriate measures to protect them is justifiable. However, it is essential that decisions relating to their protection be balanced and take into account the broader economic, social, environmental, and even cultural impacts.
According to available and reported information, the proposed order to create enhanced protection zones for caribou in certain forestry regions of Quebec, Val-d'Or, Charlevoix and Pipmuacan could severely hamper forestry activities, including by suspending operations in key areas designated as critical habitat for caribou.
You've no doubt heard this from other stakeholders in the course of your study, but I repeat that the federal government and Quebec's chief forester both estimate annual losses of allowable cuts, or volumes of wood harvested, at 4%. This amounts to 1.4 million fewer cubic metres per year. These estimated losses are greater than those caused by last year's terrible forest fires.
The results of an impact analysis produced by Environment and Climate Change Canada and Natural Resources Canada last August were widely reported in the media. According to the study, such a decline in allowable cuts would represent a loss of $670 million to $895 million over 10 years for the Quebec economy, would have repercussions in at least 28 communities and would affect 1,400 workers.
As reported by Radio-Canada, in particular, this analysis produced by the federal government lists 35 sawmills that could be directly affected by the emergency order, as well as 10 wood product manufacturers, three pulp and paper mills, two cogeneration and energy product facilities, and three other co‑op-type businesses. That's a total of 53 companies.
However, this seems to exclude a major player that operates from the forest bed right up to the mill, that is to say the forest artisans, the forest contractors. For generations, these true small businesses have partnered with people who are passionate about forest management and who make their living from it in the broadest sense. Depriving them of 1.4 million cubic metres of wood threatens all these businesses with closure and bankruptcy.
In harvesting alone, if you consider that a typical business has an average annual volume of 60,000 cubic metres, has invested $2 million or more in modern equipment consisting of a feller, a transporter, three pickup trucks and a truck, and has a team of five to six employees, including the owner, that's at least 25 harvesting businesses that, if deprived of more than $49 million in revenue per year, will be in grave danger of closure or bankruptcy or will be forced to pivot.
That's not counting all the people who work on the roads or loading and transporting this renewable resource, who will suffer just as much, without a doubt.
By extrapolation, it is easy to estimate double the direct consequences for our forestry entrepreneurs if we maintain the sealed cocoon approach. We are convinced that these restrictions will compromise the viability of many businesses. They will result in the loss of quality jobs, a significant decrease in cash flow between businesses and, inevitably, a form of devitalization of a number of communities that depend heavily on forestry, which will at the same time reduce their quality of life and their ability to support local infrastructure and services.
Above all, we must not forget that forestry contractors live, invest and get involved in their communities. They are a vector for vitality and momentum at the local level. They pay taxes, make purchases, give sponsorships and provide people with quality work, allowing them to support their families and in turn spend money in their own communities and live comfortably in a place of active belonging.
In a nutshell, the point we want to make here is that everything is interconnected, as you no doubt know, and that we must avoid the exodus and impoverishment of Quebec and the regions in their niches of excellence—