Total revenue from all logging activities reached $11.6 billion in 2018, an increase of $781.2 million, or 7.2%, from 2017. Logging (except contract) accounted for $5.8 billion, while contract logging accounted for $5.7 billion.
Revenue from logging activities, which isolates revenue from logging activities from other sources of revenue such as financial investments, was up 6.4% from 2017, reaching $10.8 billion. According to the Raw Materials Price Index, prices of logs, pulpwood and other forestry products rose 9.6%.
Total salaries and wages represented $526.0 million in the logging (except contract) industry and $1.3 billion for contract loggers, an overall increase of 7.0% from 2017. Total salaries and wages represented a larger proportion of total expenses for contract loggers (23%) than for loggers (10%). This difference can be partly explained by the fact that while the loggers are by definition logging on an own-account basis, they also hire subcontractors, which results in some of the salary and wage expenses being hidden under subcontract fees.
The cost of materials and supplies increased 10.8%, or $520.2 million, in 2018 to reach $5.3 billion for all logging activities. Materials and supplies accounted for 39% of total expenses for contract loggers, while they represented 60% for loggers. The cost of materials and supplies is made up of purchases of raw materials and components, repairs and maintenance, payments to subcontractors, and stumpage fees.
British Columbia contributed $520.0 million to the $652.2 million increase in revenue from logging activities at the national level. Despite the overall increase in revenue from logging activities, it decreased in Quebec (down $12.4 million, or 0.6%), Saskatchewan (down $3.9 million, or 2.9%) and Prince Edward Island (down $0.5 million, or 4.7%).
Revenue from logging activities in British Columbia (up 10.3% to $5.6 billion), Quebec (down 0.6% to $2.1 billion), Ontario (up 7.8% to $1.2 billion), Alberta (up 4.1% to $1.0 billion) and New Brunswick (up 1.5% to $0.6 billion) made up 97% of the Canadian logging sector in 2018.
Note to readers
The logging industry is made up of two sub-industries: logging (except contract) and contract logging. The largest proportion of revenues for contract loggers comes from logging services provided on a fee or contract basis, while the largest share of revenues for the logging (except contract) industry are from logging operations on an own-account basis.
Changes in methodology were made to the Annual Survey of Manufacturing and Logging Industries beginning with the reference year 2013. Users should therefore use caution when comparing current data with historical data from before 2013.
For more information on the methodology changes, consult the document The Integrated Business Statistics Program, in the Behind the data feature of our website.
Data for 2017 have been revised.
For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; STATCAN.infostats-infostats.STATCAN@canada.ca) or Media Relations (613-951-4636; STATCAN.mediahotline-ligneinfomedias.STATCAN@canada.ca).
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