Canada Announces Support for Quebec’s Forest Sector

On March 20, 2025, the Honourable Jonathan Wilkinson, Minister of Energy and Natural Resources, along with François-Philippe Champagne, Minister of Innovation, Science and Industry, announced a total investment over $13.3 million for 28 projects that will help to boost the competitiveness and resiliency of Quebec’s forest sector.

Investments in Forest Industry Transformation (IFIT) Program

The IFIT program is helping to facilitate the adoption of transformative technologies and products in the Canadian forest sector by bridging the gap between development and commercialization. These projects will help creating a more competitive, resilient and environmentally sustainable sector with a focus on innovative low-carbon projects that result in new or diversified revenue streams.

Project Name: Hemicelluloses as Biostimulant for Innovative Use in Agricultural Applications
Recipient: Cascades Containerboard Packaging – Cabano
Location: Témiscouata-sur-le-Lac, Quebec
NRCan Funding Amount (up to): $4,800,000
Project Summary: A capital investment project to demonstrate that the hemicellulose liquor produced at Cascades’ Cabano mill can be transformed into a value-added biostimulant in agricultural applications as well as used as a source of renewable energy for mill operations. A study project signed in March 2021 is receiving funding to build on the work done in previous capital investments projects and now assessing pre-commercial potential for use of hemicellulose liquor (as it is or processed) in bioadhesives, as it is valued for its bond strength properties. Their process has enabled the production of around 19,000 tonnes per year of dry hemicellulose.

Project Name: Testing of Various Forest-Based Bioplastic By-Products
Recipient: Bosk Bioproduits Inc.
Location: Quebec City, Quebec
NRCan Funding Amount: $500,000
Project Summary: The proponent tested the integration of various wood by-products into its bioplastics formulations to assess their impact on the properties of the finished products. This study project enabled the addition of test equipment to characterize the properties of each test carried out and thus accelerate the development of multiple formulations based on by-products. The proponent is offering compostable, biosourced, bioplastic granules to replace their petrochemical counterparts for manufacturers of plastic objects. This project has advanced Bosk’s innovation by developing new formulations of compostable bioplastics based on the specific needs of manufacturers of plastic objects. The project has led to the commercialization of new compostable bioplastic formulations from forest by-products that are currently being used for the large-scale manufacturing of two new products on the market, representing an annual volume of around 100 tonnes, or $1.5 million dollars, per year with an estimated annual growth rate of 20 percent.

Project Name: Creating Value From Hemicellulose Liquor
Recipient: Cascades Containerboard Packaging – Cabano
Location: Témiscouata-sur-le-Lac, Quebec
NRCan Funding Amount: $500,000
Project Summary:  The proponent will conduct a study to demonstrate the pre-commercial feasibility of using hemicellulose liquor  — as is and/or treated — as an innovative strength agent and bioadhesive in the creation of new grades in the proponent's portfolio. The project includes production of hemicellulose liquor samples to support trials for the approval of untreated liquor as a strength agent and bioadhesive by the U.S. Food and Drug Administration (FDA) as well as trials using concentrated and/or precipitated/filtered liquor in targeted corrugated cardboard plants and box plans. It will also assess the feasibility of treating the liquor through precipitation and/or filtration at pilot scale to develop a more-efficient strength agent and techno-economic analysis and business plan of the applications tested in the factory to develop a robust commercial plan. The proponent’s Cabano plant that was required for this project is a major economic player in the region, employing 150 people and generating income of $235 million per year. This world-first project reduces the use of emissions and produces a liquid hemicellulose of 19,000 tonnes annually.

Project Name: Diversification Process Targeting the Canadian Industrial Decarbonization Market
Recipient: Bioenergy AE Côte-Nord Canada
Location: Port-Cartier, Quebec
NRCan Funding Amount: $198,000
Project Summary: The goal is to achieve a strategic repositioning of the industrial factory in Port-Cartier through the demonstration of the potential for industrial decarbonization from forest by-products biofuels. The aim of this project is to evaluate diversification opportunities for the disposal of ARBEC sawmill by-products into biofuel production, optimization at a forest products facility in Canada, and industrial decarbonization at Arcelor Mittal in Port-Cartier. The proponent's biofuel plant is the first commercial-scale facility in the world to use Ensyn’s technology that is designed to convert forest residues into renewable biofuels. It has established a circular economy model for the Port-Cartier region by demonstrating the value-added potential of the biochar produced during biofuel filtration.[RR2] [De3]

Project Name: Robotization of Prefabrication Processes for a Patented Construction System
Recipient: Sokïo industrie
Location: Saint-Augustin-de-Desmaures, Quebec
NRCan Funding Amount: $3,000,000
Project Summary: The construction industry is currently a significant polluter. The proponent aims to address this issue by reducing the carbon footprint of buildings and increasing construction efficiency through its patented product designed using its assembly technology. This technology involves prefabricating building components made of cross-laminated timber (CLT) that are automatically sealed on site. The manufacturing process is flexible and robotic, allowing for quick production to meet customer demands. The project includes innovations in both product and process, focusing on factory prefabrication and on-site assembly improvements. The proponent collaborates closely with product development and robotics teams to create a product designed for manufacturing and robotic assembly (DFMRA).

Project Name: Automation of Wood Sorting and Conditioning to Create Value-Added Products
Recipient: Multi-Recyclage S.D. Inc.
Location: Laval, Quebec
NRCan Funding Amount: $1,800,000
Project Summary: The proponent will purchase and install an automated recycled wood packaging line to produce higher-quality wood chips, thereby diversifying its product offering and expanding its customer base. The project involves the installation of a wood pre-shredder, optical scanners and a tree tray sifter. With this new equipment, the company intends to produce Grade 1 wood chips, free from glue, paint and stain and clean enough to be used as virgin wood. The company also intends to produce grade 2 wood chips, which include the rest of the wood waste. 

Indigenous Forestry Initiative (IFI)

The IFI seeks to advance reconciliation in the forest sector by supporting Indigenous-identified priorities to accelerate Indigenous awareness, influence, inclusion and leadership. The IFI provides financial support to inclusive, Indigenous-led activities in the forest sector — such as gathering, developing, using and protecting Indigenous knowledge and science, and Indigenous leadership and participation in forest stewardship — and continues to fund projects focused on the identification, consideration and pursuit of economic development opportunities.

Project Name: Pépinière Forestière Tshitassinu – Phase II
Recipient: Pépinière Forestière Tshitassinu Inc.
Location: Mashteuiatsh, Quebec
NRCan Funding Amount: $500,000
Project Summary: This project aims to establish a tree nursery owned mostly by Indigenous people and women.

Project Name: Developing Consultation Tools for a More Pro-Active Forestry Consultation Process
Recipient: Timiskaming First Nation
Location: Notre-Dame-du-Nord, Quebec
NRCan Funding Amount: $50,000
Project Summary: The objective of this project is to increase Timiskaming First Nation’s involvement in the forest management consultation processes by building the tools to better understand the whole planning process, including rules and regulations.

Project Name: Active Participation in the Consultations With the Bureau Forestier en chef and PAFIT
Recipient: Conseil de la Nation Anishnabe de Lac Simon
Location: Lac Simon, Quebec
NRCan Funding Amount: $50,000
Project Summary: The aim of this project is to work on wildlife habitat protection measures so that the communities of Lac Simon and Kitcisakik are better able to influence and identify sites to be protected during forest management planning.

Project Name: Building a Recycled Pallet Factory in Mashteuiatsh
Recipient: Ilnu Transforme
Location: Mashteuiatsh, Quebec
NRCan Funding Amount: $195,000
Project Summary: The objective of this project is to purchase manufacturing and worker safety equipment to modernize the facility.

Project Name: Towards an Atikamekw Forest Management Plan
Recipient: Conseil des Atikamekw de Wemotaci
Location: Wemotaci, Quebec
NRCan Funding Amount: $50,000
Project Summary: The objective of this project is to develop a community-based data management tool in relation to forest management planning with the provincial government and industry.

Project Name: Abitibiwinnik Land Use: Toward a Decision-making Tool
Recipient: Conseil de la Première Nation Abitibiwinni
Location: Pikogan, Quebec
NRCan Funding Amount: $50,000
Project Summary: This project aims to optimize the use of land occupation data through the creation of a geomatic decision support tool in order to promote proactive and influential participation during forest management consultations with the provincial government and industry.

Project Name: Capacity Building for Greater Participationin Forest Management and Consultation

Recipient: Kitigan Zibi Anishinabeg
Location: Maniwaki, Quebec
NRCan Funding Amount: $50,000
Project Summary: The objective of this project is to enhance the community’s capacity to respond to consultations with in-depth analyses on how proposed plans and strategies will impact the community.

Project Name: Ouje-Bougoumou Cree Standards
Recipient: Oujé-Bougoumou Cree Nation
Location: Oujé-Bougoumou, Quebec
NRCan Funding Amount: $28,391
Project Summary: The objective of this project is to develop sustainable ecological forestry protocols that will allow Oujé-Bougoumou to harvest timber while preserving the resources and characteristics of the land necessary to maintain their way of life.

Project Name: Development of Manawan’s Governance Structure
Recipient: Conseil des Atikamekw de Manawan
Location: Manawan, Quebec
NRCan Funding Amount: $50,000
Project Summary: This project aims to update the territorial governance structure and enhance organizational capacity to develop a territorial consultation service.

Project Name: Territorial Knowledge Acquisition Project
Recipient: Kebaowek First Nation
Location: Kebaowek, Quebec
NRCan Funding Amount: $50,000
Project Summary: The objective of this project is to obtain improved cartographic documents overlaid with historical and cultural data to enable concerted planning with the government and industry that better reflects Kebaowek's vision and values.

Project Name: Various Analyses Related to Forestry on the Nionwentsïo
Recipient: Conseil de la Nation huronne-wendat
Location: Wendake, Quebec
NRCan Funding Amount: $50,000
Project Summary: The objective of this project is to analyze, for the benefit of the Nation and its members, the forest resources available in the Nionwentsïo, both for wildlife and for forestry, and to integrate them into the Quebec Ministry of Natural Resources and Forest management planning and forest management plans.

Project Name: Forêt-Bleuet Minashkuatsh Minisha
Recipient: Société en Commandite Forêt-Bleuet Minashkuatsh Minisha
Location: Mashteuiatsh, Quebec
NRCan Funding Amount: $28,875
Project Summary: The objective of this project is to finalize the development of a forest-based blueberry plantation under a lease issued by the provincial government. 

Project Name: Chief Essential Oils
Recipient: KLB Resources Inc.
Location: Mistissini, Quebec
NRCan Funding Amount: $150,000
Project Summary:  KLB Resources Inc. will partner with forestry operations within the Cree territory and gather discarded or unused biomass from the harvesting of black spruce. Its vision is to merge Cree traditional knowledge with science and modern technology. The discarded wood will be used for steam distillation to produce pure natural essential oils, Cree traditional natural remedies and aromatherapy for commercialization. It is an innovative and creative approach to strengthen the Cree and Quebec relationship on forestry activities.

Project Name: Produits forestiers non-ligneux (Phase 2) Étapes A et C
Recipient: Conseil de la Nation Atikamekw
Location: La Tuque, Quebec
NRCan Funding Amount: $139,510
Project Summary: The objective of this project is to implement a non-timber forest products pilot project
in the territory and set up a corporate entity for that purpose.

Project Name: Infrastructures Atikamekw de transformation alimentaire
Recipient: Conseil de la Nation Atikamekw
Location: La Tuque, Quebec
NRCan Funding Amount: $192,630
Project Summary: This project aims to establish a collaborative commercial kitchen within the Atikamekw community with the aim of developing local expertise in the preparation of non-timber forest products.

Project Name: Feasibility study for Harvesting and Marketing Speckled Alder
Recipient: Cree First Nation of Waswanipi
Location: Waswanipi, Quebec
NRCan Funding Amount: $159,600
Project Summary: The objective of this project is to study the process of harvesting speckled alder within Category 1 lands of Waswanipi and to develop value-added products

Project Name: Pakuashipi Forestry Initiative Project
Recipient: Conseil des Innus Pakua Shipu
Location: Pakuashipi, Quebec
NRCan Funding Amount: $40,000
Project Summary: The aim of this project is to plan the startup of a birch water company.

Project Name:  Pakuashipi Forestry Initiative Project
Recipient: Conseil des Innus de Pakua Shipi
Location: Pakuashipi, Quebec
NRCan Funding Amount: $137,500
Project Summary: The objective of this project is to develop and implement the necessary studies, plans, infrastructure, equipment, and partnerships to establish a Birch Water harvesting and processing facility to produce food and cosmetic products.

Project Name: Gespeg: Production and Valorization of a Micmac Agro-Forestry Product
Recipient: Bande Indienne des Micmacs de Gaspé
Location: Gaspé, Quebec
NRCan Funding Amount: $89,085
Project Summary: This project aims to add value to the maple syrup and forest management operations of the community of Gespeg and to develop marketing strategies for their products.

Project Name: Investing in the Workforce on Opitciwan's Forest Territory
Recipient: Coopérative de travail Inter-Nations
Location: Obedjiwan, Quebec
NRCan Funding Amount: $200,000
Project Summary: The objective of this project is to create a friendly and cultural space for practical training in forest sector trades and to develop a management tool to personalize employee development and performance.

Project Name: Burnt Woods: An Economical Opportunity for Waswanipi
Recipient: Cree First Nation of Waswanipi
Location: Waswanipi, Quebec
NRCan Funding Amount: $205,000
Project Summary: The objective of this project is to plan land management for the restoration of wildfire sites in the region and assess related circular bioeconomy opportunities.

Project Name: Kebaowek Sugar Bush
Recipient: Kebaowek First Nation
Location: Kebaowek, Quebec
NRCan Funding Amount: $57,700
Project Summary: The objective of this project is for Kebaowek to operate its initial sugar bush season as a successful, environmentally sound forest resource business.