FPAC’s Derek Nighbor Calls for Smarter Forest Regulation

Derek Nighbor, President and CEO of the Forest Products Association of Canada (FPAC)

Derek Nighbor, President and CEO of the Forest Products Association of Canada (FPAC)

Industry News

In a recent National Post opinion column, Derek Nighbor, President and CEO of the Forest Products Association of Canada (FPAC), called for a modernized approach to forest sector regulation that could help restore Canada’s competitiveness and attract new investment.

Nighbor argued that overlapping federal and provincial regulations, along with delays in permitting and project approvals, have weakened productivity and driven investment south of the border. Between 2013 and 2023, he noted, 49 mills closed across Canada, resulting in nearly 10,000 job losses, mostly in smaller northern communities.

He emphasized that the solution lies not in deregulation but in “smarter regulation” — a model focused on outcomes, streamlined governance, and better coordination between levels of government. Nighbor suggested the federal government recognize provincial standards that already meet or exceed federal benchmarks and develop clearer frameworks for reporting and Indigenous consultation.

The FPAC leader also highlighted the need for progress in Canada-U.S. softwood lumber negotiations, noting that combined anti-dumping and countervailing duties now exceed 35 percent. He warned that ongoing trade uncertainty threatens thousands of jobs in forest-dependent regions.

Despite these challenges, Nighbor said Canada’s forestry sector remains well positioned for growth, providing more than 200,000 direct jobs and generating roughly $87 billion in annual economic activity.

He welcomed Prime Minister Mark Carney’s recent commitment to recognize forestry as a strategic sector, calling it a necessary step toward a long-term industrial strategy that supports sustainability, innovation, and export competitiveness.

“The path forward must be anchored in partnership,” Nighbor wrote, “one that creates predictability and allows Canada to bring more innovative, sustainably sourced wood products to the world.”

The full column, “Policy-driven growth is possible: Improving competitiveness through smarter regulation,” was published in the National Post and distributed by Forestry For The Future.