Revenue from Canadian Logging Declines 4.9% in 2023

Original Source:
Logging, 2023

On Wednesday, Statistics Canada (StatCan) released its Annual Survey of Manufacturing and Logging Industries for 2023. According to the report, total revenue in the logging industry declined 4.9% from 2022 to $11.7 billion (CAD) in 2023. The shares of total revenue were split equally between the contract logging Canadian industry and the logging (except contract) Canadian industry.

Revenue from logging activities—which excludes revenue from other sources, such as secondary business activities—fell 4.4% from 2022 to $10.9 billion in 2023. Contributing to this decline in revenues was a 16.2% decrease in the average annual price for logs, pulpwood, and other forestry products, as measured by the Raw Materials Price Index.

The total expenses from logging activities declined by $624.3 million year-over-year to $11.1 billion in 2023. This represented a 5.3% drop in expenses, which more than offset the decrease in total revenue of 4.9%. Total expenses represented 95 cents for every dollar of total revenue.

The cost of materials and supplies for all logging activities decreased 1.1% to $5.5 billion in 2023. Materials and supplies accounted for 60.1% of total expenses for loggers (except contract), while they represented 39.0% for contract loggers. The total cost of energy, water utility, and vehicle fuel edged down 1.0%, or $9.9 million.

Statistics Canada highlighted that in 2023, the top five logging provinces accounted for 96.4% of Canada’s total revenue from logging activities. While three of the top five provinces saw revenue increases, the most notable change occurred in British Columbia, where revenue dropped by $714.2 million to $4.7 billion. New Brunswick also experienced a decrease, with revenue falling by $26.3 million to $682.1 million. Conversely, Alberta saw a revenue increase of $111.1 million, reaching $1.3 billion, while Quebec’s revenue rose by $96.2 million to $2.7 billion, and Ontario’s grew by $39.1 million to $1.1 billion.


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