Mosaic Forest Management, a well-known company in the forest management industry, is located in British Columbia. Coast. The company, which manages both public and private timberlands, has been in operation on Vancouver Island since 1913. Domenico Iannidinardo is the vice-president of forest, climate, and chief forester.
Mosaic Forest Management is Canada’s largest private timberland manufacturer by volume, employing 225 people directly and 2,000 through long-term, primarily unorganized contracts.
Iannidinardo said that the Mosaic fiber procurement program included five to six millions cubic metres of fibre per year. It amounts to approximately 10% of the provincial production, or one-third Coastal British Columbia production.
Harvesting operations
The company harvests mainly regenerated Douglas fir, western red cedar and western hemlock forests in a variety of sizes. Mosaics contractors can harvest on many different slopes, including mechanized ground-based and steep slopes using tethered equipment, hand fallsers and helicopter logging. The logs are cut to various lengths for both domestic and international clients.
All logs made in British Columbia from either private or public land must be offered first to domestic buyers before they can be exported. Iannidinardo explained that approximately half of our sales go towards local customers and the remainder are exported. These logs are often exported to Asian markets, and some American markets.
Domestically, the logs are sent to over 50 sawmills in B.C. as well as some pulpmills. The logs can be delivered to the mills by truck or towed over the strait to mainland ones. Mosaic has a single company crew with 17 trucks. It also contracts more than 250 log trucks to transport over 500 loads daily across its land base to Mosaic facilities as well as local customers.
We have all kinds of log trucks because of the custom lengths we can make. To maximize our utilization, Iannidinardo states. We use quad-axle trucks with larger wheels, central tire inflation, as well other strategies to reduce fuel usage.
Mosaics contractors use a variety of machinery to produce this large volume of logs. This includes equipment from Tigercat and John Deere as well as Kenworth and equipment from local manufacturers like Madill and T-Mar.
Mosaic has placed a strong emphasis on standardizing safety features throughout their fleet. Contractors have the freedom to choose which machines they want to use. Mosaic uses telematics devices in all its contractors log trucks to monitor speed, provide information and dispatch trucks. Speed management promotes safety and fuel conservation. As contractors add new trucks to their fleets, we will install safety features like electronic stability control and airbags. These features are not standard on new trucks, Iannidinardo explains.
He continues: “Our goal is to continue our continuous improvement by sharing information and research in our working groups with contractors so that we can get the most efficient and safest equipment possible.”
Although Mosaics contractors have the freedom to choose their own machines, they have agreed to standardize safety features across the fleet.
Reduce your carbon footprint
Mosaics’ operations are concerned with the environment. They are committed to managing the forest sustainably, and ensuring that their operations are as eco-friendly as possible.
Iannidinardo states that forest management is a multi-decade investment. This means that it needs to be nurtured and maintained. We have an orchard that produces our own seed. This includes improved climate tolerance and pest resistance.
Mosaic works with local pulp mills as part of their forest management operations. This allows them to realize as much as possible of the lower end of the fibre spectrum, he said.
He explains that part of our goal for reforestation involves ensuring that a site’s post-harvest status is suitable for planting and reducing wildfire hazards. After primary harvest, we extract fibre from these areas with specialized equipment and either deliver it to pulp mills or chip it on-site.
Chipping is done using a self-propelled chipper, which can be attached to the harvesting equipment and moves in the bush.
The chipper is a Bandit-tracking machine that can be remotely controlled from an excavators’ cab. Iannidinardo explains how the chipper breaks down the residual fibre from logging operations. This is then dispersed back into a block to reduce the amount that needs to be burned.
These initiatives have enabled Mosaic to reduce slashpile burn by more than 25% in the last five year, as part of its carbon improvement goals.
Mosaic was also certified by Sustainable Forestry Initiative (SFI) and was the first Canadian forest company to attain that certification.
Iannidinardo also adds that we were the first company in the world to be certified for our organizational carbon footprint, which includes Scope 1, 2 & certain Scope 3 emissions.
Mosaic began electrifying its pick-up truck fleet as part of its efforts to reduce its carbon footprint. Mosaic also announced that it will be partnering with EcoWest Driven to test the first electric log truck in the world.
Through multiple campaigns and initiatives, all of these efforts are communicated to First Nations and local communities to ensure sustainability.
Iannidinardo says that because of our location, we have a huge program of communication with our neighbors, in our communities, and with First Nations.
Mosaics operates in areas of recreational value to the public. The company works with communities to offer opportunities such as camping and mountain biking trails on private land.
We also have a whole group of foresters who work with schools, public interests groups, recreational groups, and local environmental groups such as the Pacific Salmon Foundation. The goal is to improve the public interface, improve habitat and ensure cultural access for First Nations. He says that the team is available to answer any questions or concerns that members of the community may have.
Layers of uncertainty
Mosaic, like all Canadian forestry companies, faces many challenges in managing its business.
Mosaics is a major player in log exports. According to current regulations, log producers must first offer logs to domestic mills in order for them to export them. If a mill offers logs, the federal or provincial-mandated body decides if the offer is fair.
We don’t object to domestic mills purchasing our logs first. Problem arises when local buyers offer a price that is significantly lower than the international price of the same log. According to Iannidinardo, the government-mandated body determines if the price is fair. This often results in a significant discount to what international buyers are willing to pay. It takes many years to grow the tree. We don’t know if we can get a fair market price until it is harvested and sold to local customers. Our logs are often processed by local customers who then sell them to export markets, capturing additional margin.
He says that North America is the only region where private logs are subjected these restrictions. This limits our ability to make long-term deals with international customers.
In the last few years, there have been major policy changes. It has increased our uncertainty. We are in a business that has a multi-decade investment plan. It is crucial to have a predictable and stable regulatory framework in order to be confident that the investments made today will pay off later.
The B.C. The B.C. Mosaic does not harvest much old-growth, but it recently announced a carbon crediting initiative for 7% of its private forest land.
The 2022 wildfire season could have a significant impact on the province’s fibre supply, especially if it is as destructive as the B.C. wildfires. Last summer, we saw a similar situation. Mosaic had to stop operations during the fire season like many other logging contractors.
Continuating leadership
Iannidinardo states that for the moment, the market for forest products is healthy. This is good news for the industry, especially as more people recognize the environmental benefits of forestry.
It is rewarding to work in an industry that produces sustainable, culturally sensitive and low-carbon materials that the world needs, he says.
Mosaic will be the leader in sustainable forestry in the next five- to ten year.
Mosaic will keep its leadership by demonstrating how sustainable forestry can simultaneously yield social, economic and environmental benefits.