OSB mill in Barwick expanding

The Ainsworth OSB mill in Barwick is not following the example of recent layoffs and cutbacks at Abitibi-Consolidated. In fact, it is expanding with a building in the works for strand storage which is expected to be put to use June 1.
“It’s coming along,” site manager Mark Alderson noted Friday, adding the new $5.5-million building will be used to store a day’s worth of strands.
“It will allow us to better utilize fibre and allow us to have more dry material available,” he explained.
Large conveyors will be put in place to move the strands.
“We’re going to continue to try to increase capacity,” Alderson noted, adding the mill recently increased its workforce by hiring on 10 new people.
He also said Ainsworth has been doing quite well, with this past January being their most productive month in nine years.
“And 2004 and 2005 were record years in production,” Alderson enthused.
But he indicated the mill is preparing for 2007 and 2008 to be less productive.
“I believe we can do better than some of the new mills,” Alderson remarked. “But it’s going to be difficult. Hopefully, it will show on the commodity side. We want to balance capacity and commodity.
“We certainly anticipate the decline, so we’ll have to be competitive at those times.”
Alderson said they are looking at details to prepare for that, but added they expect 2009 and 2010 to be much better years.
As well, he said they’ve been looking at really diversified products to embrace the value added.
“In the long-term, it is the best utilization of fibre,” Alderson stressed, adding some of these products include rim boards, stair tread, and value added flooring products.
“We have to focus on many different products and be flexible and creative,” he noted.
He also said Ainsworth has concentrated on maintenance, reliability, and safety issues. “I think Ainsworth had more understanding of business to be able to optimize,” he said.
“We’re looking to grow, not hold on or stay status quo,” he remarked. “We think it makes it more cost-effective to grow the business.”
Ainsworth Barwick also recently won an Ontario Global Traders Award, which it shared with Manitou Forest Products for their strong partnership and partner alliance.
They will receive the award later this month.
“We’re having success and it’s nice to be recognized by the government for that,” Alderson enthused.