Kamloops Logging Industry Faces Change and Opportunity

[MikePhua]

Forestry Roots Run Deep in British Columbia
Kamloops, located in the heart of British Columbia’s interior, has long been a hub for forestry and timber harvesting. The region’s proximity to vast coniferous forests, combined with its transportation infrastructure and skilled labor pool, made it a natural center for logging operations throughout the 20th century. Logging in Kamloops is more than an industry—it’s a cultural legacy shaped by generations of fallers, truckers, mill workers, and equipment operators.
British Columbia’s forestry sector contributes over $14 billion annually to the provincial economy, with Kamloops playing a key role in both harvesting and transport. The city’s strategic location along Highway 5 and the Canadian Pacific Railway allows timber to move efficiently to mills and export terminals.
Terminology Notes

• Cut Block: A designated area of forest approved for harvesting
  
• Allowable Annual Cut (AAC): The maximum volume of timber that can be harvested sustainably each year
  
• Silviculture: The practice of managing forest growth and regeneration
  
• Haul Road: A temporary or permanent road used to transport logs from cut blocks to processing sites
  
• Grapple Yarder: A cable logging machine used to move logs from steep terrain to roadside landings
  

Modern Logging Operations in Kamloops
Logging in Kamloops has evolved from manual felling and horse skidding to mechanized harvesting using feller bunchers, processors, and forwarders. Most operations now rely on GPS mapping, digital cut block planning, and real-time fleet tracking. Equipment such as Tigercat bunchers, John Deere skidders, and Link-Belt processors are common sights in the region’s active blocks.
One of the most notable developments in recent years was the acquisition of Munden Ventures—a Kamloops-based logging and transport company—by Sweden’s LOTS Group. This move brought international investment and operational expertise to the region, signaling confidence in the long-term viability of interior forestry.
LOTS Group, backed by Scania and the Volkswagen Group, aims to modernize North American logging logistics by introducing fleet optimization, driver training programs, and predictive maintenance systems. Their presence in Kamloops has already led to upgrades in hauling efficiency and workforce development.
Challenges Facing the Industry
Despite its deep roots, Kamloops logging faces several headwinds:

• Shrinking AAC
  Provincial regulators have reduced allowable cuts in response to beetle damage, wildfire recovery, and sustainability concerns.
  
• Labor Shortages
  Skilled operators and truck drivers are increasingly hard to find. Aging workforce demographics and remote worksite conditions contribute to recruitment difficulties.
  
• Regulatory Pressure
  Environmental oversight, Indigenous consultation requirements, and carbon reporting have added complexity to planning and permitting.
  
• Market Volatility
  Lumber prices fluctuate with global demand, trade policy, and housing starts. This affects contractor margins and investment decisions.
  

In 2022, a Kamloops contractor had to idle two processors due to delays in permit approvals and uncertainty around AAC reductions. The machines sat for six weeks while crews were reassigned to road building and maintenance.
Strategies for Resilience and Growth
To adapt, Kamloops logging firms are exploring:

• Diversification
  Expanding into biomass harvesting, fire mitigation, and silviculture services to supplement traditional logging.
  
• Technology Adoption
  Using drone surveys, telematics, and automated dispatch systems to improve efficiency and reduce downtime.
  
• Workforce Development
  Partnering with local colleges to train new operators and offering incentives for long-term retention.
  
• Collaborative Planning
  Engaging with First Nations and community stakeholders early in the planning process to reduce delays and build trust.
  

Some contractors have begun using electric service trucks and hybrid equipment to reduce fuel costs and meet emissions targets. While initial investment is high, long-term savings and regulatory compliance make it a viable path forward.
Conclusion
Kamloops logging is at a crossroads—facing both structural challenges and exciting opportunities. With international investment, evolving technology, and a legacy of skilled labor, the region remains a vital part of British Columbia’s forestry landscape. As the industry adapts to environmental, economic, and social pressures, Kamloops continues to prove that resilience is rooted not just in the forest, but in the people who work it.