Grow your Forestry
business in Ontario
Earth’s dominant terrestrial ecosystems – forests – sustain humanity with various products, services, and livelihoods. The global Forestry and logging industry of grew from US $981.76 billion in 2022 to US $1083.25 billion in 2023 at a CAGR of 10.3%.
The growth drivers for the Forestry sector include the popularity of wood over concrete as building materials. Buildings made of wood create less waste and are faster to erect than concrete structures.
The industry is also witnessing tech immersion to optimize operations. Harvester/forwarder systems, cable harvesting systems, and helicopter logging are advanced techniques being adopted by the industry.
However, the global Forestry industry is also evolving amid concerns over deforestation’s climate and biodiversity impacts. Sustainable forest management is gaining momentum. A shift from monoculture to multi-use forests is evident, where carbon sinks and habitats coexist with lumber sources.
Canada boasts the world’s 3rd largest forest area, covering around 362 million hectares. This abundant resource positions the Forestry industry as a pivotal economic contributor. In 2021, it contributed CA $34.8 billion to Canada’s nominal GDP and directly employed over 205,365 people.
88% of Canada’s forests are covered by boreal terrain, providing an important breeding habitat for 80% of North American waterfowl species, 63% of finch species, and 53% of warbler species.
Impressively, 90% of Canada’s forests are publicly owned (federal, provincial, territorial, and municipal), emphasizing the nation’s commitment to responsible resource management. Canada also stands as a global leader in sustainable forest management, with 35% of the world’s certified sustainable forest management forest area located within its borders. The country’s rich biodiversity is also reflected in its 138 native tree species, more than 40 recognized for their medical and pharmaceutical applications.
Home to 2% of the world’s forests
Ontario has 70.5 million hectares of forest, with its industry generating substantial revenues exceeding CA $18 billion, and supporting nearly 147,000 jobs across various communities within the province.
Approximately 90% of Ontario’s forests are publicly owned Crown lands, licences and supply agreements like Sustainable Forest License (SFL), Forest Resource licence (FRL), and the Wood Supply Agreement support business ventures to gain access to Ontario’s resources.
In Ontario, public forests are sustainably managed under Ontario’s forest policy framework. They are divided into administrative areas known as management units, ranging in size from 300,000 to 3.6 million hectares.
Currently, Ontario’s forestry industry encompasses a range of manufacturing activities, including pulp and paper production, sawmills, value-added processing, and panel manufacturing. In 2019, the industry’s product portfolio comprised of paper, panels, pulp, engineered wood products, furniture, and lumber.
Looking ahead to 2030, the Ontario industry envisions a transformation towards sustainable offerings like bioproducts, prefabricated building solutions, and personal protective equipment, as well as a continued focus on engineered wood products and mass timber. Around 15 million cubic metres of wood currently remain unused, presenting a potential resource for investments in emerging markets.
In Ontario, the province is divided into different areas based on how the land is used and what kind of environments exist there. Here’s what those areas look like:
Additionally, regions like Timmins and Thunder Bay are well-known hubs within Ontario to do business in.
Ontario’s rich educational landscape has nurtured a strong foundation of expertise in Forestry and bioeconomy. The province is home to a plethora of esteemed institutions and centres dedicated to fostering innovation and knowledge in this sector. Below are some renowned organizations focused on developing a high-quality pipeline of talent in the sector:
In 2018, Ontario exported nearly CA $6.5 billion worth of forest products to the United States, constituting more than 96% of its total wood product exports. Notably, the Windsor-Detroit trade route, a vital international land crossing in North America, is situated within the province. This route, pivotal for truck transport, facilitates 30% of Canada-U.S. trade movements.
Canada’s trade agreements cover markets valued at over US $50 trillion with 1.7 billion consumers. Canada has free trade agreements with the largest manufacturing markets in the world: the United States (USMCA), the European Union (CETA) and Asia-Pacific (CPTPP).
Your business can have access to 187 million consumers within a day’s drive of the Greater Toronto Area. Ontario has 4 international and 300 regional airports, 250,000 km of roads and highways, a dozen border crossings and the 6th most internationally connected airport in the world.
See all of our programs and find out how TBDC can maximize the potential in your Forestry business.
of Ontario has
forest coverage
generated in timber charges for harvested wood annually
contribution to GDP
of Canadian-US trade movements by truck
in annual exports
Funding, Resources and Organizations
Using the Business Benefit Finder, you can find many more government grants and incentives relevant to your tech startup.
is a non-profit, charitable organization. The EOMF works with government, landowners, industry, First Nations, non-government organizations and others to develop new ways to sustain and manage our forest resources. Visit Site
is a non-profit organization focused on tree planting, forest stewardship, education, and awareness. Visit Site
is a private, non-profit R&D organization that specializes in the creation of solutions that accelerate the growth of the Canadian forest sector and its affiliated industries to enhance their global competitiveness. Visit Site
of Ontario is a non-profit wood manufacturing cluster serving Southwestern Ontario, facilitating the industry’s interests and needs.
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is a non-profit corporation that works to bring together stakeholders in advanced wood processing. Visit Site
is a Canadian Wood Council program intended to help increase the use of wood in non-residential, mid-rise, and tall building markets in Canada.
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