About us

Nanaimo Forest Products Ltd.

Nanaimo Forest Products Ltd. (NFPL), the owner of the Harmac Pacific trademark, operates the 380,000 tonne per year pulp and green power generation operation in Nanaimo, BC. The Harmac Pacific mill produces among the highest value wood pulp on the globe—a product known as Northern Bleached Softwood Kraft (NBSK) pulp.

Highlights

Harmac Pacific’s pulp product is exported throughout the world with major markets in Asia, the USA and Europe. It is used largely in tissue, packaging and paper production but also has uses in high value, technical applications.
Our pulp is produced using wood residues from sawmills and logs unsuitable for sawmills. It is 100% recyclable.
Since 2014 Harmac Pacific has been a supplier of green electrical energy to BC Hydro—enough carbon-neutral power for more than 28,000 homes. Waste sawdust and bark fuels the power plant.
Harmac Pacific employs more than 350 highly qualified and skilled professionals, power engineers, tradesmen and operating staff and supports over one thousand jobs in the region – in logging, sawmills, trucking, marine transport, chemical manufacturing, construction, retail businesses and community services.
Harmac Pacific ownership structure is unique to the industry. The employees own 25% of the company. Ownership is 100% BC based.
Nanaimo Forest Products Ltd is headquartered at its operation in Nanaimo, BC with related sales offices located in the USA, Hong Kong, China, Japan, Korea, Switzerland and Sweden.

History of the Employee Owned Model

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In the spring of 2008, Harmac Pacific was shut down when its parent company Pope & Talbot went bankrupt after having their lumber business negatively impacted by the US housing construction downturn (2005-2007), leaving over 500 workers without jobs. The management team and the union executive worked together with the idea that they could restart the mill. They were able to find private investors to help with the purchase of the mill, along with the former employees who committed to purchase a 25% ownership stake in the company. On October 3, 2008, they were able to restart the mill with a single production line producing NBSK pulp at the rate of 226,000 tonnes per year. In 2009, a second production line was restarted and capital upgrades in 2010 and 2011 brought the mill’s production capacity up to 380,000 tonnes of pulp per year.

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The organizational ownership structure is unique to British Columbia industrial manufacturing, for a business of this scale. Harmac Pacific moved from a traditional labour model based upon the often conflicting self interests of owners, managers and labour, to a new model based upon employee ownership and common interest, focused on a commitment to the profitable operation of the business. There is still a shared focus of all owners, to maximize the profit potential of the Harmac Pacific pulp mill and its associated property and facilities. Their vision has created a business that can compete with the best in the world.

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Employee ownership remains at 25% of the company equity. This ownership interest, combined with a flattened organizational structure, is designed to be responsive and adaptable to changing business conditions. This model has proven to be critically important in today’s global market and has contributed to the mill’s stability and growth. Encouragement of creativity, short decision-making processes and the rapid implementation of ideas has greatly improved and will continue to enhance the effectiveness and competitiveness of the operation. Based upon the profitability of the company, and the employee owners/shareholders continue to benefit through the distribution of dividends.