Uncertainty hangs over Nackawic after pulp mill announces temporary shutdown
A pulp mill that's the backbone of a rural New Brunswick community's local economy is facing a closure that will impact hundreds of workers.
The closure of a pulp mill in Nackawic, New Brunswick, has left the local economy in a state of uncertainty. AV Group NB Inc., a subsidiary of the India-based Aditya Birla Group, announced on Thursday that it will temporarily halt operations at its AV Nackawic facility, which will result in 350 workers losing their jobs. The decision was attributed to "prevailing market conditions" and other challenges, including a surplus of dissolving-grade pulp in the market and stable prices that are not keeping up with production costs.
Nackawic-Millville Mayor Tim Fox acknowledged that the news was not surprising, as there had already been a slowdown in wood deliveries to the mill. Unifor, the union representing the impacted workers, believes that the issue could have been addressed earlier and that the mill should have been planning for the future and modernizing its operations.
Natural Resources Minister John Herron expressed his disappointment and sadness over the news, calling it a difficult day for New Brunswick. Premier Susan Holt stated that her government is working with community leaders and Unifor to provide support to those affected by the closure.
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