Unsold chips wreaking havoc on businesses

June 1, 2012 – With facilities being shut down in Nova Scotia, Maine and
Quebec, the local market for wood chips is over-saturated, leaving many Fredericton
businesses wondering what to do with their product.

According to an article on CBC, the problem will not be going anywhere until demand increases and more market streams open up. But that does not look likely, said Mark Arsenault, the president and chief executive officer of the New
Brunswick Forest Products Association.

"Newpage in Nova Scotia, Abitibi in Nova Scotia, the White Birch mill
in Quebec, and also in Maine have shut down or stopped or reduced their
receivables of pulpwood from New Brunswick,” he said.

With decreasing avenues, the chips are left sitting in lots and may not be going anywhere anytime soon.

For more information, please read the complete article on CBC.