Theysa国际传媒檙e getting used to his rhetoric.

When Ken Kalesnikoff first heard news that President Donald Trump had called the softwood lumber agreement between Canada and the U.S. a sa国际传媒渄isgrace,sa国际传媒� promising to come down hard on the lumber industry with a 20 per cent tariff, he just shook his head.

sa国际传媒淚 think people are starting to get immune to Trumpsa国际传媒檚 comments, because he keeps making them and they donsa国际传媒檛 always hold water. He always seems to be antagonistic,sa国际传媒� the president of Kalesnikoff Lumber told the Star.

sa国际传媒淲e were expecting this to come. We knew there was going to be some sort of duty or restriction. Itsa国际传媒檚 a horrible thing because the people who are getting hit by this have the least impact on what the U.S. coalition is claiming.sa国际传媒�

This softwood lumber dispute has been ongoing since 1982, and stems from concerns that the Canadian is unfairly subsidizing the industry. Since most of the timber is located on Crown land, the stumpage fees are set by the federal and provincial governments rather than by a competitive marketplace sa国际传媒� something U.S. lobbyists take issue with.

But itsa国际传媒檚 more complex than that, and Kalesnikoff should know. As the board chair for the Interior Lumber Manufacturers Association (ILMA) and the co-chair of the newly created Wood Secretariat, hesa国际传媒檚 looking to give voice to forestry companies operating across the province.

And though imports to the U.S. make up only a small fraction of some millssa国际传媒� operations, others rely almost exclusively on that market. sa国际传媒渋f we do not get a proper softwood lumber agreement, itsa国际传媒檚 really going to hurt this sector,sa国际传媒� said Kalesnikoff.

Former Mayor John Dooley, who is also the community liaison for ILMA, feels the important thing to focus on during this controversy is lobbying the provincial government sa国际传媒渢o make sure the federal government is taking the best interests of the lumber industry into consideration.sa国际传媒�

sa国际传媒淭hey have to create fairness and stability,sa国际传媒� Dooley said.

sa国际传媒淭his is not a new thing. Even though Trump is the one talking about it this time, softwood lumber has been an ongoing issue. The sector is very concerned, and Isa国际传媒檓 hearing from communities the greater concern about potential impact on the economy.sa国际传媒�

So how crucial is lumber to Nelsonsa国际传媒檚 economy? According to the Chamber of Commercesa国际传媒檚 Tom Thomson, itsa国际传媒檚 currently one of the last industries keeping the town afloat.

sa国际传媒淲esa国际传媒檙e still a resource-based region. There are a number of people directly employed in the industry, and indirectly employed as well. I would say itsa国际传媒檚 a huge player still, very important to us.sa国际传媒�

The four independent mills in the general vicinity of Nelson are Kalesnikoff just outside of town, Porcupine in Salmo, Atco in Fruitvale and JH Huscroft in Creston. They employ 150, 125, 62 and 80 employees respectively, with an average salary of $60,000 per employee resulting in a total of approximately $25 million in salaries.

Each of the four mills has a different percentage of their lumber that they ship south, with numbers ranging from five per cent at Atco to 35 per cent at Kalesnikoff and Porcupine and 40 per cent at Huscroft.

There are approximately 800 full-time jobs in related industries, including road-building, tree-planting and fire management. Overall, across the southern interior of B.C., ILMA has a payroll of $53 million, with the secondary jobs receiving $59 million in pay. In an ILMA document called sa国际传媒淥ur Positive Impact,sa国际传媒� they note the broader industries affected, including graphic design, accountants, and advertising.

Thomson said sa国际传媒渢he industrysa国际传媒檚 spinoff is tremendous,sa国际传媒� noting that not only does the industry attract people to the area, but companies such as Mainjet Motorsports get business from supplying logging machinery.

sa国际传媒淚 would say this is a big concern, any time theresa国际传媒檚 a trade dispute between Canada and the U.S. You introduce one tariff and suddenly theresa国际传媒檚 another one, and then they go after the dairy industry. All of sudden the whole North American Free Trade Agreement is under the microscope and people are saying sa国际传媒榳e should just throw it all out.sa国际传媒檚a国际传媒�

Thomson said sa国际传媒渢he bigger the company, the easier it is for them to sustain over a long-term trade dispute.sa国际传媒� He noted that there have been instances in the past where the tariffs levied were put into trust and ultimately returned once the issue was settled in court.

sa国际传媒淪hort-term impact with cash flow, this could be serious, and it could mean lay-offs. Depending on how long it goes for, thatsa国际传媒檚 always a possibility. Right now lumber prices are pretty high, but if you put a 20 or 30 per cent tariff on their profitability will go down.sa国际传媒�

Thomson said the lumber industry has been hanging in limbo for years now, since the softwood lumber agreement expired in October 2015. Right now the main thing the industry is looking to do is diversify.

sa国际传媒淥ne thing we really agree with Premier Christy Clark on is diversity,sa国际传媒� said Kalesnikoff.

sa国际传媒淲e can open up markets in China and India, plus the premiersa国际传媒檚 been talking about new opportunities in B.C. and Canada that are out there. We want to be innovative with what we do with lumber, and more creative.sa国际传媒�

As far as the lumber headed to the U.S., he figures one of the biggest markets is for high-end and niche products, something all the mills in ILMA are interested in producing.

sa国际传媒淲esa国际传媒檙e playing nice in the sandbox, we donsa国际传媒檛 want to create an us versus them scenario. Interfor, Canfor, theysa国际传媒檙e all good at making two by fours and thatsa国际传媒檚 great. But wesa国际传媒檙e the ones who are innovative and wesa国际传媒檙e the ones who think of these things.sa国际传媒�

Ultimately, Kalesnikoff figures the tariffs will hurt U.S. consumers.

sa国际传媒淭his is not about subsidies, this is about market value. They want the market share, they want the prices to go up, and thatsa国际传媒檚 ludicrous because theysa国际传媒檙e only going to hurt their own people.sa国际传媒�

He believes sa国际传媒渢he people who will win when the dust settles are the landowners who own the trees in the U.S.sa国际传媒�