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The Canadian forestry industry is a major contributor to the Canadian economy. With 39 percent of the land acreage of Canada covered by forests, the country contains 9 percent of the world's forested land. The forests are made up primarily of spruce, poplar and pine. The Canadian forestry industry is composed of three main sectors: Solid wood manufacturing, pulp and paper and logging. The Forests and forestry are managed by The Department of Natural Resources Canada, the Canadian Forest Service, in cooperation with several organizations which represent government groups, officials, policy experts and numerous other stakeholders. Extensive deforestation by European settlers during the 18th and 19th centuries has been halted by more modern policies. Today less than 1 percent of Canada's forests are affected by logging each year. Despite the low percentage amount of land that is logged, Canada is the second largest exporter of wood produces and produces 12.3% of the global market share. Economic concerns related to forestry include greenhouse gas emissions, biotechnology, biological diversity and infestations of pests, such as the mountain pine beetle.

Forest Management

Canada is the leading country for sustainable forest management with a sciences-based approach to ensure proper and sustainable management of Canadian ecosystems. Almost 90% of the Canadian forests are publicly owned and controlled by their provinces and territories. Each provincial and territorial government allot yearly levels of harvest and require regenerative practices upon completion of harvesting. Additionally, for companies to harvest public lands they must produce a unique forest management plan and consult the public. 6% of Canadian forests are privately owned and must comply with provincial and federal laws and legislations. 2% of the forests are federally owned and the remaining 2% are owned by Indigenous Peoples.

The governments are assisted by the National Advisory Board on Forest Research, established in 1997 and focusing on strategic issues, and the Forest Sector Advisory Council, which represents the interests of the multitude of private, non-profit and academic stakeholders in Canadian forestry. The Canadian Council of Forest Ministers, composed of 14 ministers representing the federal government and the various provinces and territories, is the main tool for the dissemination of national and international policy throughout the country.

Natural Disturbances

In 2016, 15,489,117 hectares (38,274,440 acres) of Canadian forests were destroyed by insects. Two main insects place the Canadian forestry industry at risk the mountain pine beetle and the emerald ash borer. The mountain pine beetle has destroyed much of the western lodgepole pine stock. The pine beetle has thrived due to a combination of large stands of mature pine and successive warm winters. As of 2009, it was estimated that over 16,000,000 hectares (40,000,000 acres) of pine had been infested in British Columbia alone. While extensive logging, prescribed burning and pest reduction techniques have been used to attempt to contain the beetle, large stands of dead trees remain, posing a significant threat of wildfire. Annually, Canada sees around 8,000 wildfires, burning a total of 3,371,833 hectares (8,331,980 acres) in 2017. Over half of these are caused by humans, but nature-caused fires (generally started by lightning strikes) cover over 80 percent of the total burn area, as they are often in remote areas of the country.

The emerald ash borer is another major concern to Canadian forests responsible for the rapid decay of forests in Manitoba, Ontario, Québec, New Brunswick, and Nova Scotia. The emerald ash borer was introduced into North America from Eastern Asia in the 1990s It is estimated that the beetle has caused $1.422 billion in damages since the introduction to Canada. In response, Canada has responded by creating laws and regulations to reduce human-facilitated transport of the beetle. Additionally, the CFIA has cut down thousands of trees to create a buffer zone to halt the progression of the emerald ash borer.

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