EDITORIAL: Terrace Bay good news

For once the forestry industry got some good news.

Late last week it was announced officialy that the Aditya Birla Group plans to take over the idled Terrace?Bay mill, formerly owned by Buchanan Forest Products.

The Indian-based company intends to make a $250-million investment in order to convert the plant to produce rayon fibre.

For a town that lives and dies on the mill’s fortune, news that an outside company sees value in it – and as much as 30 years of life left in it, is more than welcome.

The project could create as many as 275 direct jobs, as well as 335 woodland positions and up to 1,300 spin-off positions across Northwestern Ontario.

With an expected October start-up, the town of Terrace Bay and those in nearby Schreiber have plenty of reasons to celebrate, after a fatal explosion at the plant shut it down, ostensibly for good last year.

The forestry industry will continue to face an uphill challenge to work its way back to prosperity.

Global competition, poor markets and high energy costs will be an issue for years to come, but innovative thinking like this could help turn things around in a hurry.

It may not be the same forest sector we’re used to, but it’s a start.