Industry Insider Newsletter
February 2021
Truckers & Contractors Shocked at Insurance Rate Increases

Industry Insiders have raised the alarm of recent increases facing the log trucking industry in New Brunswick effective February 1st, 2021.

Recent NB Insurance Board approved rate filings submitted by the Facility Insurance Association has resulted in an increase on deductibles from 10% to 25%. Facility Insurance is a pooled risk insurance offered for higher risk categories. Forest NB estimates that between 25-50% of the logging trucking fleet is effected by this shockingly high increase.

According to Forest NB (FNB) many of the affected contractors are smaller owner/operators with 6 tucks or less. The 25% increase on deductible is not only untenable it appears to be unique to NB and has not resulted in any downward adjustment on premiums as would be expected.

Forest NB has communicated its concerns to the provincial Consumer Advocate for Insurance and FNB is advising stakeholders and trucking contractors to make enquires of their exposure to this rate change. Stakeholders may want to have their affected trucking partners file complaints directly with the Office of the Consumer Advocate for Insurance by following this link.

For more information contact
The HFP Gives Update on the
Spruce Budworm Early Intervention

The Healthy Forest Partnership hosted its first annual update online, over 135 attended from across New Brunswick, Nova Scotia, Maine and Newfoundland.

The proposed treatment products for 2021 includes tebufenozide, BTK and pheromones and should cover 85 000 hectares, an 50 000 additional hectares compared to 2020. It is slightly higher than 2020 but far from being a big area. About 220 000 hectares were treated in 2018 and 117 000 hectares in 2017.

The early intervention strategy is in its 8th and final year of research. After the season, the Healthy Forest Partnership will evaluate its findings and decide whether it continues the research portion of the intervention. So far, collected data points the strategy might be an effective tool in prevention of a spruce budworm outbreak. Although, more research might be required.

Please view the research map here. The biological window available for the treatment plan will occur from late May to early July.

On February 12th, Bob Kiely, CEO of Envirem Organics Inc., was happy to announce the expansion of its facility, in Miramichi, by adding automation and robotics. Opportunities NB, NB economic Development and Small Business invested $ 1.1 M in Envirem Organics Inc. for the expansion.

The facility already employs 150 people, this new addition will create another 23 new full time jobs in Northumberland county. These innovative technologies will increase sales and improve efficiencies in the establishment making it the most modern in Eastern Canada.

Envirem Organics Inc. is a waste to product business, that helps improve the environmental score cards of its clients. Envirem Organics Inc. is the biggest compost business in Eastern Canada.
Industry Forum will return in 2022

With the Covid-19 restrictions, Forest NB is postponing its yearly Industry Forum until March 2022 but will complete its required AGM this year. The 2021 AGM will be downsized to members only but the association is eager for a return to its sector leading forum event next year.

Originally FNB was contemplating holding the Forum in October of 2021 in anticipation of a pandemic recovery, but as this seems unlikely the board agreed that a hiatus for 2021 was the most prudent approach.

Stay tuned to the Industry Insider for future updates of this event.