FONOM calling on Ottawa to safeguard north’s forestry sector
Two northern municipal groups are warning Canada’s national housing strategy will be derailed without immediate federal action to safeguard Northern Ontario’s forestry sector.
The Federation of Northern Ontario Municipalities (FONOM) and the Northwestern Ontario Municipal Association (NOMA) have written a joint letter to Prime Minister Mark Carney saying Canada’s commitment to double housing construction under the Build Canada Homes initiative depends on a stable and competitive supply of Canadian lumber.
The immediate concern is the impending closure of Kapuskasing Paper.
“At the heart of Canada’s housing plan is wood, and that wood comes from Northern Ontario,” says Danny Whalen, President of FONOM. “The Kapuskasing Paper facility is the linchpin in an integrated system that keeps sawmills across the region operating. If Ottawa doesn’t step in now, those sawmills will close, jobs will vanish, and the very foundation of the housing plan will crumble.”
However, officials also say it’s bigger than one mill.
“It’s about safeguarding a national supply chain,” says Rick Dumas, President of NOMA. “Once this capacity is lost, it cannot be rebuilt quickly—if at all. Canada cannot meet its housing promise without a strong forestry sector in Ontario’s North. The time to act is right now.”
The two groups are calling on Ottawa to:
- Direct funding from the Build Canada Homes agency to stabilize facilities like Kapuskasing Paper.
- Address punitive U.S. duties and tariffs undermining Canadian producers.
- Recognize Ontario’s forestry sector as a critical enabler of Canada’s housing strategy.
They say Ontario has already taken steps to support the industry, but federal intervention is now essential.
Richard Coffin has been a reporter and news anchor on the radio in North Bay for over 25 years. From premiers to people in the neighbourhood, he enjoys connecting with newsmakers and writing stories that matter to area listeners on a variety of topics including healthcare, education, politics, sports and more.
