CPABC Industry Update - Fall 2015 | Page 8

BC Forest Products Sector GDP Forestry... (cont’d) The good news is that amid an uncertain global economic backdrop, the near-term outlook for the forest sector is quite encouraging. The ongoing, multi-year recovery in new residential construction in the US will boost the demand for wood products and other building materials and support product prices in North America. This upswing will be further reinforced by the lower Canadian dollar, which makes BC’s forest products more competitive in the US marketplace. The BC industry is also benefiting from the success it has had in diversifying into offshore markets in China and other parts of Asia. billions $ (2007 Chained) 8.5 8.0 7.5 7.0 6.5 6.0 5.5 5.0 4.5 4.0 1997 1999 2001 Overview of the BC Forest Sector The provincial government owns 95% of the land in BC and therefore exercises control over the majority of forest resources. 1 Industry relies on the government, in the form of land tenure, for access to the resource, and in