Opportunities for Non-Timber Forest Product Development in the
Transcription
Opportunities for Non-Timber Forest Product Development in the
Opportunities for Non-Timber Forest Product Development in the Northeast Superior Forest Community Region Executive Summary Non-timber forest products (NTFPs) are the plant and fungal resources and associated services of forests and under-utilized lands other than timber, pulpwood, shakes, or other conventional wood products or agricultural products. Examples of NTFPs include foods such as wild mushrooms and berries, medicinal herbs, essential oils and other personal care products, decorative greenery, crafts and art, and a wide range of other products harvested from managed and unmanaged forests, under-utilized agricultural lands, and agroforestry systems. Most NTFPs currently harvested in Canada are harvested from crown land with little or no attempt at deliberate management, and limited or no secure long-term tenure over the resource. At the same time, there is significant potential – and in some cases, need – to practice deliberate management of these resources as is emerging on a limited scale in different parts of the country. There are a number of NTFPs with potential for future development in the region that is covered by the Northeast Superior Forest Community (NSFC). In the large group of different species that may have potential as commercial NTFPs in northern Ontario, a much smaller number of what the authors consider to be key opportunities for the region are discussed in the sections that follow. These products are: Berry-based value-added products; Birch sap and syrup products; Decorative greenery products, including wreathes and other products; Wild mushrooms, such as morels, chanterelles, and boletes; Herbal teas and other botanicals (including raw material for natural health products); and Essential oils and hydrosols. Outlining opportunities in terms of potential NTFP ‘best bets’ for development is only a part of what is required to create a viable, diverse, and inclusive NTFP industry in the region. Building a successful industry will require a commitment to raising awareness about the sector and its potential, working closely with all stakeholders, building capacity within the region, and supporting market identification, promotion, and development. We believe the Northeast Superior Forest Community is well-placed to take a lead role in providing the services required to grow the NTFP industry in northern Ontario. 1 1 2 Suggested citation: Brigham, T., Buck, D., Sigalet, J. & Munier, A. (2010). Opportunities for Non-Timber Forest Product Development in the Northeast Superior Forest Community Region. Centre for Livelihoods and Ecology, Royal Roads University. Victoria, British Columbia. Acknowledgements Many people contributed information and insights for the writing of this report. The authors are grateful to the many people we met in the Northeast Superior Forest Community Region who shared their thoughts on opportunities and challenges connected to NTFP development. We hope the development of this opportunity assessment will help in the creation of new and additional economic opportunities for residents of the Northeast Superior Region. We are especially grateful to the community leaders who took the time to meet with us: Earle Freeborn, Mayor of Chapleau Chief Keith Corston, Chapleau Cree First Nation John MacEachern, Mayor of Manitouwadge Angelo Bazzoni, Mayor of White River Andre Byham, Deputy Mayor, Chapleau Other valuable input was received from Dan Friyia, General Manager of Superior East Community Futures Development Corporation; Denis Rochon, Northern Development Officer with Ministry of Northern Development and Mines; Dave Raymond, Economic Development Officer with the Township of Manitouwadge; and Niels Carl, Forest Operations Manager with the Pic Mobert First Nation. We also appreciate the input of other members of the NTFP Committee of the Northeast Superior Forest Community (NSFC) who participated in meetings and provided comments on drafts of the report. Finally, we would like to single out some individuals who played significant roles in guiding the development of the opportunity assessment. Roxanne Metlin, Northeast Superior Regional Chiefs Forum Regional Coordinator, gave freely of her time for discussions of the project. Colin Lachance, Special Advisor to the Northeast Superior Regional Chiefs Forum, engaged the project team in spirited discussions and provided welcome guidance on First Nation concerns and interests related to NTFPs. Clara Lauziere, General Manager of the NSFC, was in many ways the driving force behind this project. Her clear understanding of the issues and her commitment to supporting NTFP development as an area of strategic importance for the NSFC was greatly appreciated. And finally, special thanks to Giselle Noel, NTFP Project Officer with the NSFC , who ensured we had access to the people and other resources we needed to complete our work. Her good humour and interest in the project made our visits to the region a genuine pleasure. While we recognize and appreciate the important contributions of others, errors or omissions remain our own. Tim Brigham Dave Buck Jenny Sigalet Anne Munier Centre for Livelihoods and Ecology, Royal Roads University Table of Contents Executive Summary ............................................................................................................ 2 Acknowledgements ............................................................................................................. 3 Introduction and Overview ................................................................................................. 7 Report objectives ............................................................................................................ 9 Methodology for the assessment ..................................................................................... 9 NTFP „Best Bets‟ for Future Development .................................................................. 10 Aboriginal Rights and Interests Connected to NTFPs .................................................. 15 NTFP „Best Bets‟ for Development .................................................................................. 18 Berry Value-added Products ............................................................................................. 19 Overview ....................................................................................................................... 19 Resource Base ............................................................................................................... 19 Production and Harvesting Considerations ................................................................... 20 Labour issues ............................................................................................................ 20 Harvesting and post-harvest handling ....................................................................... 21 Market Potential and Value-Added Opportunities ....................................................... 22 Market trends and competition ................................................................................. 22 Value-added products ............................................................................................... 24 Promoting wild products in regional/national markets: the Arctic Flavours story ... 26 Marketing strategies: promoting the health benefits of wild berries ........................ 27 Fruit leather example ................................................................................................ 28 Current pricing .......................................................................................................... 29 Linked initiatives .......................................................................................................... 29 Birch Sap and Syrup ......................................................................................................... 30 Overview ....................................................................................................................... 30 Resource Base ............................................................................................................... 31 Access rights ............................................................................................................. 31 Production and Harvesting Considerations ................................................................... 32 Timing ....................................................................................................................... 32 Tree and site selection ............................................................................................... 33 Tapping and processing ............................................................................................ 34 Market Potential ............................................................................................................ 37 Markets for birch syrup ............................................................................................. 37 Birch sap products..................................................................................................... 39 Floral Greens and Other Decorative Products .................................................................. 41 Overview ....................................................................................................................... 41 Resource Base ............................................................................................................... 41 Harvesting and Production Considerations ................................................................... 43 Sustainability............................................................................................................. 43 Harvest timing, specifications, and post-harvest handling ........................................... 44 Market Potential ............................................................................................................ 46 Linked initiatives .......................................................................................................... 47 Essential Oils and Hydrosols ............................................................................................ 48 Overview ....................................................................................................................... 48 Resource Base ............................................................................................................... 49 Production and Harvesting Considerations ................................................................... 49 Market Potential ............................................................................................................ 52 Linked Initiatives .......................................................................................................... 55 Contacts/Consultants in Essential Oil Production ........................................................ 55 Herbal Teas and Bulk Botanicals ...................................................................................... 57 Overview ....................................................................................................................... 57 Resource Base ............................................................................................................... 57 Harvesting and Production Considerations ................................................................... 60 Market Potential ............................................................................................................ 61 Contacts/Resources for Herbal Tea/Bulk Botanicals Production ................................. 63 Wild Mushrooms .............................................................................................................. 65 Overview ....................................................................................................................... 65 Resource Base ............................................................................................................... 66 Production and Harvesting Considerations ................................................................... 66 Harvest methods for commonly harvested wild mushrooms ........................................ 67 Market Potential ............................................................................................................ 69 Contacts/Consultants for the Wild Mushroom Industry ............................................... 72 Supporting NTFP development in the NSFC Region ....................................................... 74 Barriers to NTFP Development .................................................................................... 74 Distance to markets ................................................................................................... 74 Lack of infrastructure ................................................................................................ 75 Lack of awareness and capacity................................................................................ 75 Addressing the challenges............................................................................................. 76 Marketing .................................................................................................................. 76 Infrastructure development ....................................................................................... 77 Shared processing facility ......................................................................................... 77 Operations, Facilities and Equipment ....................................................................... 79 Funding requirements ............................................................................................... 80 Recommendations ......................................................................................................... 80 Building awareness, capacity and the support structure for the NTFP sector .............. 82 Staffing needs............................................................................................................ 82 Training ......................................................................................................................... 84 Harvester training program ...................................................................................... 84 Train-the-trainer program ........................................................................................ 85 Educating the public and agency representatives ..................................................... 86 Measuring Success ........................................................................................................ 88 Learning from Experience: The NFDC Story............................................................... 89 Action Plan Recommendations ..................................................................................... 91 Short-term actions (to 12 months) ............................................................................ 91 Medium-term actions (12 months to 3 years) ........................................................... 92 Long-term actions (more than 3 years) ..................................................................... 93 References ..................................................................................................................... 94 Appendices .................................................................................................................... 99 Appendix 1 .................................................................................................................. 100 Appendix 2 .................................................................................................................. 103 Appendix 3 .................................................................................................................. 106 Appendix 4 .................................................................................................................. 114 Appendix 5 .................................................................................................................. 116 Introduction and Overview Although often described as if it is a single sector, the non-timber forest products2 (NTFP) industry is actually highly diverse, made up of resources ranging from foods such as wild mushrooms and berries, to medicinal herbs and pharmaceutical industry raw materials, to decorative greenery, to a wide variety of crafts and art. Tourism activities connected to natural areas and resources (including certain ecotourism and cultural tourism activities) are also often considered to be a form of NTFP. Most NTFPs currently harvested in Canada are harvested from crown land with little or no attempt at deliberate management, and limited or no secure longterm tenure over the resource. At the same time, there is significant potential – and in some cases, need – to practice deliberate management of these resources as is emerging in different parts of the country. Products such as wild blueberries, maple and birch trees for syrup production, and fiddlehead ferns are examples of products that are currently subject to some level of more intensive management. The potential for NTFPs to improve rural livelihoods is both real and necessary in many communities across Canada, and the last decade or more has seen growing interest in the NTFP sector. With conventional forest and other resource industries in decline in many parts of the country, there is a growing recognition of the need to identify alternative sources of income in forest dependent communities, ideally opportunities that are relatively benign in their ecological impacts (Mitchell, 2009). Although NTFPs are seen as a potentially important source of new employment within a more diversified rural economy, many questions remain to be answered. These questions include: how can we ensure that Aboriginal concerns over rights and interests connected to these resources are protected in the face of growing interest in NTFP development? how can we best manage non-timber resources in concert with timber production to maximize benefits from our forest resources? how can we reduce the risk of over-exploitation that all too often characterize unmanaged common pool resources while retaining opportunities for current sector participants? what are the most effective strategies for developing a NTFP industry that is viable, equitable, and sustainable and provides economic, social and environmental benefits to a broad sector of the population? The size of the economic contribution of the NTFP sector to Canada’s economy is another question impossible to answer with certainty at this time. Properly documenting the economic output of the sector remains difficult because there is no completely accepted single definition 2 Non-timber forest products (NTFPs) are generally defined as all the botanical (plant) and mycological (fungal) resources and associated services of forests other than timber, pulpwood, shakes, or other conventional wood products or agricultural products. for this extremely broad sector, nor is there any systematic collection of information on trade in these resources. The harvest and sale of NTFPs are not licensed or monitored, and most of the trade in these products remains unregulated. Although data is collected for certain products (i.e., maple syrup, blueberries), it is not collected for many parts of the sector nor for the sector as a whole. These difficulties and others give rise to great uncertainty, widely varying estimates, and a general lack of confidence in the values that have been provided for the sector over the last decade. In 2003, the Canadian Forest Service estimated the value of NTFP trade in Canada at $241 million (Canadian Forest Service, 2005). In 2006, Wetzel et al. estimated the commercial value of NTFPs at 1.33 billion (Wetzel, Duchesne, & Laporte, 2006). A 1999 estimate of NTFPs in British Columbia showed the value at $275 million, but with the inclusion of forest services (i.e. ecotourism), that estimate jumped to $680 million (Wills & Lipsey, 1999). Even the statistics for Christmas trees, a relatively ‘mainstream’ product, indicate that data are missing or incomplete for many parts of the country (Mitchell, 2009). Most of this activity is centered in rural communities. At its current levels, the industry has been a relatively minor player in the economy in comparison to the traditional forestry sector in many parts of the country; however, the importance of the NTFP industry to those individuals and communities normally by-passed or unable to participate in more ‘conventional’ approaches to community development cannot be overstated. If the commercial values are poorly understood, the cultural, subsistence, and recreational values of NTFPs are even less well defined. Many of the plants we define as NTFPs have long been, and remain, of great importance to Aboriginal communities as medicines, foods, decorative products, or for their role in ceremonies and other cultural activities. While some Aboriginal communities also are involved in harvesting NTFPs like mushrooms and decorative products for the market, there is also significant concern expressed in the NSFC region and elsewhere that commercial NTFP development may not respect the interests and needs of Aboriginal people. Communities interested in pursuing NTFP development as an alternative development strategy face numerous challenges in accessing reliable and practical information, and securing the support they need to make NTFP development a reality. The NTFP program of the Northeast Superior Forest Community can help to address these challenges by: • • • providing training and support to harvesters and entrepreneurs to enable them to participate in the growth of a sustainable NTFP industry in the region; acting as an advocate for the sector to ensure it receives the support and recognition it needs from government and other stakeholders to play an increased role in the regional economy; creating opportunities for communities and individuals in northern Ontario to generate additional income streams based on local skills and resources; and • learning from examples of NTFP development across Canada and elsewhere, and applying these lessons in the creation of a sustainable and equitable NTFP sector in the NSFC region. Report objectives This report has the dual goals of identifying some of the more significant NTFP opportunities that hold the potential for further development in the region and outlining practical strategies for overcoming challenges that may stand in the way of future NTFP sector development. The NSFC region – as is true of many other regions across the country – clearly holds significant potential in terms of NTFP resources that are as yet largely untapped. As is also true of other regions, the largest barriers to realizing at least some of the significant potential for sector development in the region lies not in a shortage of natural resources but in a lack of local capacity in terms of awareness and knowledge as well as a lack of a workable strategy to develop the sector. Along with the other activities initiated by the NSFC to support the creation of a NTFP industry in the region, we hope this report will make a contribution to that goal. Methodology for the assessment A combination of primary and secondary research was used to complete the assessment of NTFP opportunities in the NSFC. Two visits (June and September 2009) to the region covered by the NSFC, phone interviews, e-mail exchanges, and web-based research provided much of the information required to complete the report. The background of the report authors with many years of experience in NTFP assessment, business, community-based development, and capacity-building initiatives in different areas of Canada and abroad, also informed the final content of the report. The visits to the region enabled in-depth discussions with NSFC staff, Directors, committee members, and other interested stakeholders on the local situation, interests, and concerns regarding NTFP development, as well as a preliminary assessment of the resources available for future development. The NSFC covers an enormous territory of northern Ontario; the tools are not currently in place to provide any kind of a reasonable assessment of the quantities of different non-timber forest resources available for potential development. To provide an indication of potential abundance, we contacted a number of forest ecologists and others with on-the-ground experience with the flora of the region and asked them to provide an indication of abundance for a short list of species. Details of the information collected and the individuals contacted are provided in Appendix 5. We also contacted a cross-section of industry that may be interested in purchasing product or could act as consultants for advising on the development of specific segments of the over-all NTFP sector. These contacts provided pricing information and information on market trends in terms of anticipated future demands. Permission to name and quote sources was obtained, and where requested, confidentiality has been maintained by not identifying specific individuals or companies. NTFP ‘Best Bets’ for Future Development As part of the assessment of the potential for NTFP development in the NSFC region, the report provides recommendations on those NTFPs deemed to be the ‘best bets’ – having the highest potential for development. In the face of dozens of NTFPs found in the region that may have some commercial potential, this list can be used to help guide and prioritize investments in the development of supporting infrastructure, training, promotion to would-be entrepreneurs, etc. Products believed to have potential for future development are outlined in the table below. The task for the consultants preparing the report was to explore a broad range of NTFP opportunities for the region. It is important to keep in mind that any ranking of products will face the challenge of comparing ‘apples and oranges’ in the sense that different segments of the regional population may be interested in different activities based on a range of factors. Some will be interested in part-time, supplemental cash income types of activities, while others will be looking for opportunities that could meet a significant part, or even all of their income needs. Some of the opportunities described are relatively simple and low cost to enter; others will require significant investments in equipment and know-how. The rationale behind the ranking of the different products is included in the table, but is not intended as any sort of ‘absolute’ ranking as much depends on the priorities of an individual. In the end, as described in the section on ‘supporting NTFP development’, an attractive feature of a vibrant NTFP industry is that it can help serve at least some of the needs and interests of a broad cross-section of the local population. This would include the quite young to the fairly old, the highly entrepreneurial and those that just want to earn some extra dollars, those who enjoy marketing products and those that want to work on their own in the bush and get paid for doing it. Although the NTFP industry is often seen as a cottage industry for those with few other opportunities to earn an income, the products highlighted in this report will hopefully lead to the perception that significant opportunities exist for those with the interest and support to pursue them. Table 1: NTFP ‘Best Bets’ for the Northeast Superior Forest Community Rank Name 1 Blueberry & berry derived products 2 Birch syrup Products Fresh berries, frozen, dehydrated, fruit leather, freeze dried, dried/ powdered for supplement market, juice. Blueberry tea (stem, leaf, and berry) Dried blueberry leaf as a bulk botanical. Estimated entry costs Depending on product, low to high. Low: fresh market without refrigeration or minimal refrigeration fruit leather at artisan scale of production dried teas and dried bulk leaf High: dried powder as a supplement juice production Rationale for ranking A commitment has been made to establish blueberry farms in a number of communities within the NSFC. Creating value-added products is advisable in the face of strict competition in fresh frozen & processing markets, and could get underway (based on wild harvested berries) prior to berry farms coming into production. Potential participants Seasonally: potentially in the hundreds as operations expand, mostly as harvesters Syrup for retail, wholesale, and health product market. Value added products (birch candy, marinades, dog biscuits, etc.) Low to moderate: depending on number of trees being tapped. Startup costs for a 600 tap operation estimated at approx. $22,000 (DixonWarren, 2007). Relatively abundant birch resources and relative ease of entry into syrup production. Room in market for expansion in production. Seasonally: larger operations require approx. 4 – 8 workers; potential for three or more new operations to launch in the short to medium term. Marketing can be done year round and be diversified with the addition of compatible products Year-round: perhaps 5 – 20 depending on number of value-added products to be produced Rank Name 3 Christmas wreathes from balsam fir, other decorative fresh or dried products Products Wreathes, swags, twig wreathes, decorative stem bundles (pussywillow, reed grass, dogwood, lycopodium), live transplants (i.e., ferns salvaged from planned roads and building sites). Estimated entry costs Low to moderate. Clamp machines cost less than $200 with stand; electric machines (produce faster, higher quality product) range from $2 – 3,000. Other basic equipment (i.e., clippers) required. If conducting plant salvage, may require site for potting up and growing out plants for re-sale to nurseries, etc. Rationale for ranking Ease of entry into production: low cost, simple technology. Competitive market; identifying appropriate market niche is essential but opportunities exist. Potential participants Seasonally: 10-20 wreath makers to start and perhaps 5-10 bough harvesters. Season could be extended with other products such as twig and/or pussy willow wreathes. Outside of Christmas season, employment will be lower (5 or less). 4 Fresh mushrooms to consumers and buyers; dried mushrooms can be marketed directly to consumers. Potential for dried mushroom seasonings, flavourings, dried soups. Low to moderate. If drying mushrooms (i.e., morels or boletes) a suitable commercial drier can be built for a few hundred dollars or purchased for $5,000 and up based on capacity, heat source etc. Ease of entry into the market. There is a growing domestic market for wild mushrooms as consumer awareness of these products grow, and interests continue to develop in local gourmet foods. Not ranked more highly due to uncertainty/ unevenness of production and fluctuations in pricing due to volatility in international markets. Creation of market for local Seasonally: varies depending on the year, and availability of local trained pickers. In a good year (with buying infrastructure in place), dozens or possibly hundreds of pickers may earn income from picking in the region. In a poor year, buyers absent and few pickers may participate. Year-round job creation unlikely but potential for establishment of local Wild mushrooms (i.e., chanterelles, morels, pine mushrooms, boletes). Note that mushrooms do not produce with the same abundance each year. Morels dependant on forest fires for commercial level Rank Name Products Estimated entry costs crops. Rationale for ranking Ontario mushrooms may help improve local returns. Low cost entry into production; potential to sell locally to tourists, and dried bulk product wholesale to tea companies. On the down side, moving beyond artisan level production will be more challenging due to competition and need for investment in market development. Potential participants buyer/ marketers. 5 Herbal teas from: berries fireweed nettle wild mint sweet gale etc. Variety of teas sold directly to consumers or wholesaled to health food, gift and other stores; also bulk ingredients sold to manufacturers Low to moderate. A suitable dehydrator can be built for a few hundred dollars. Home-based businesses and potential addition to diversify and strengthen existing ventures. 6 Bulk botanicals i.e.: poplar buds highbush cranberry bark chaga fungus blue flag Low. Very similar requirements to herbal teas in terms of drying facilities. Low cost entry into production, but often low returns for bulk botanical harvesters. Pricing is highly competitive with a limited number of buyers for most products. Home-based business with potential to complement other harvesting activities such as mushroom harvesting, herbal tea production, etc. 7 Birch sap Dried botanicals sold in bulk to Canadian and US manufacturers for use in natural health product and natural body care formulations. Sap as a natural health drink Moderate to high. Significant investments required in technology and market development. If successful, potential returns may be high given the current market for functional (health supporting) drinks. Seasonal harvest and processing, but marketing can take place year round with additional compatible Rank 8 Name Essential oils and hydrosols: balsam fir, sweet gale, Labrador tea and others. Products Bulk essential oils and hydrosols; value-added products for aromatherapy, direct to retail, in soaps and other products Estimated entry costs Rationale for ranking But uncertainty exists given the lack of knowledge of this product among consumers and questions surrounding required processing technology. Potential participants products. Moderate to high ($50 – 80,000 and up for set up costs for a moderate sized operation) The commodity-scale market for essential oils is largely under the control of a relatively small number of companies. The market for essential oils at the commodity level is highly competitive. Significant investment required to reach commercial scale. Niche markets exist that may reward high quality and ‘branded’ products. Seasonal: Up to 10 jobs in harvesting, processing and marketing. Distillation does not occur year-round but may take place over a season running 6 months or longer. Aboriginal Rights and Interests Connected to NTFPs The discussion of NTFP ‘best bets’ or ‘opportunities’ cannot occur in a vacuum that ignores other users of these resources, including those with a long connection to what we now call ‘nontimber forest products’. These resources have been a key part of Aboriginal culture, subsistence strategies, and commerce (through long-standing trade networks) since untold thousands of years before Europeans set foot on the North American continent. Along with animal resources, NTFPs were almost certainly the pre-eminent natural resources utilized by Aboriginal Peoples across Canada. Research in various parts of North America has brought to light not only the extensive use of these products, but also the range of resource management strategies and ownership patterns employed to control, maintain, and enhance these resources. Although the level of use and management has changed, the Aboriginal use of non-timber resources remains strong among many groups across Canada. The traditional knowledge of these resources – though diminished due to acculturation and other factors – continues to be a rich resource for NTFP management and use. Controlling the use of traditional knowledge and benefiting from this knowledge is an area of significant concern to Aboriginal Peoples, especially in the area of medicinal plant commercialization. Few other issues related to the potential development of NTFPs have the potential to create a similar level of conflict, especially between communities and outside interests. Why is the debate so contentious? This is a complex question, and the answers will likely vary depending on who is asked. Many Aboriginal people feel strongly that medicines should not be sold because they are ‘gifts of the Creator’. For others, harvesting medicines for sale is yet another example of what has been lost by Aboriginal people post-contact. A commonly held sentiment is: “they *nonAboriginals+ have taken everything else from us; now they want our medicines too” (Centre for Non-Timber Resources, 2005). The medicinal plant debate also provides an example of why discussions of ‘the First Nations perspective’ on NTFPs are both inaccurate and do a disservice to the diversity of viewpoints held among individuals and within communities. There is no single ‘Aboriginal position’ on the development of these resources, although there is a generally widespread concern about controlling how and if they are developed. Some communities are exploring the development of medicinal plant resources to generate economic benefits; others are opposed to any move towards commercialization. What is encouraging is that many communities are recognizing the importance of engaging in the debate and creating protocols or other strategies to address their interests and concerns regarding NTFP use and management3. Medicinal NTFPs aside, a number of First Nations are exploring the potential for traditional and non-traditional NTFPs to form the 3 For further discussion on this topic, please see "Native Plants and First Nations: How can we create research that is equitable, sustainable, and beneficial to all?" http://cntr.royalroads.ca/filescntr/NHPD%20Workshop%20Proceedings.pdf basis for new community-owned businesses that can help address at least some of the challenges of under-employment and unemployment faced by Aboriginal communities. The terms on which this development will occur, if at all, must be the subject of discussion among those communities with a vested interest in these resources. Non-Aboriginal NTFP harvesters and other NTFP-based business owners must familiarize themselves with the Nations in whose traditional territories they intend to work, ideally gain some knowledge about cultural and subsistence uses of NTFPs, and respect Aboriginal rights, interests and concerns. A separate research paper on possible approaches by First Nations for protecting and benefitting from their culture and resources has been commissioned by the NSFC and the Chief’s Forum for the Northeast Superior Region. This paper4 aims to address – at least in part – the concerns that have long been expressed by many First Nation communities about the lack of accessible information on intellectual property (IP) and strategies for controlling the use of cultural knowledge. Knowledge that First Nations and other indigenous people hold about plants or ecosystem management is often sought after by companies, individuals, and Governments for the commercialization of products or processes. Unfortunately, a number of examples exist of where indigenous peoples have not benefitted appropriately from multi-million dollar industries that have developed through the use of their knowledge. The commercialization of the Hoodia plant for use in weight control is a case in point. The San people of South Africa have used Hoodia as an appetite suppressant for thousands of years, and it was their use of the plant that first alerted commercial interests to its possible use in the diet industry internationally. However, to date the San, some of the poorest and most marginalized people in Southern Africa, have benefitted very little from the commercialization of Hoodia. Nearer to home, the Haida Nation considers itself to have been badly treated in years past by a company who had an agreement to use a number of Haida designs, but did not act in “right spirit” in their dealings with the Haida. More recently, Cowichan Tribes felt mistreated by “The Bay” over its sale of sweaters resembling the iconic “Cowichan sweater” in the lead up to the 2010 winter Olympics. The commissioned paper seeks to answer a number of key questions brought up by these and other cases of actual or potential misuse of aboriginal knowledge. These key questions include: • What are the available methods to protect knowledge and creations? • Which of these methods (i.e., trademarks, certification marks, copyright, patents, and geographic origin) have been used to protect or have the potential to protect aboriginal knowledge and creations? • What does the future hold for First Nations in terms of ongoing deliberations on international treaties and agreements that affect traditional knowledge and intellectual property? • What is the practical experience to date with the use of these tools? 4 Report entitled: Tools for Protecting First Nations’ Knowledge and Interests • What promise do new approaches (certification, fair trade, branding) hold for the more effective protection of aboriginal rights and creations and the capture of greater benefits for aboriginal producers? Through the review of published and gray literature on the topic and interviews with experts in the field of knowledge protection, our conclusion is that the various forms of intellectual property legislation in Canada can only protect aboriginal knowledge and creations under specific circumstances, in certain ways, and for limited periods of time. The most promising area to explore under IP protection appears to be the development of a Certification Mark (under Trademark legislation), which would enable a First Nation to define the requirements under which products or services could be produced and certified. This approach provides a market differentiation for consumers who are looking for “authentic” products (or ultimately services). Another somewhat similar possibility would be to explore options for pilot projects under existing/developing Certification schemes such as Fair Trade, and/or the Union of Ethical Biotrade. However, as a number of commentators have noted, intellectual property legislation on its own cannot appropriately protect, preserve and promote traditional knowledge. Increasingly First Nations are defining their own community protocols or guidelines that govern the sharing and use of their traditional knowledge and the terms which govern access to their traditional homelands. From our review of available materials and discussions with experts, it appears that there are many more protocols available relating to research, rather than business, but that overall the number of protocols which are available for sharing is limited. A number of elements are common – including definitions of traditional knowledge, what counts as prior informed consent, issues to do with benefit sharing etc., but what is contained within these key elements differs. It seems clear that appropriate and useful guidelines for knowledge protection, preservation and promotion cannot be adopted without the people of a specific First Nation first coming together to discuss and reflect on the ways in which they themselves govern the access to, and use of, traditional knowledge. NTFP ‘Best Bets’ for Development Berry Value-added Products Overview Earlier work commissioned and further developed by the NSFC identified blueberries as an attractive crop for development in the region for a range of reasons (natural abundance, anticipated demand, successful examples from elsewhere, etc.). Blueberry production pilots are now being planned for a number of communities within the NSFC. Based on results from wellestablished blueberry ‘intensification’ projects in the Lac St. Jean Model Forest, bringing wild blueberries into a farm or agroforestry setting (where blueberry crops are grown between intensively managed rows of trees) has the potential both for high yields per acre and for the development of a large industry. Apart from the well-established culinary interest in blueberries (based on their popularity as a flavourful ingredient in a range of foods or on their own), the growing interest among the public in healthy, more natural, and ‘local’ foods, appears to further increase the potential for the development of a range of products based on wild berries (Ciacco and Ranatunga, 2009). However, significant challenges exist in the form of increasing competition from both wild and domesticated blueberry producers. Future blueberry producers in the NSFC region should explore innovative approaches to market development as well as the development of value-added products from berries to both increase returns and the likelihood of successfully developing a sustainable blueberry-based industry in the region. Given the work already commissioned on blueberries by the NSFC and the decision already made to move ahead with expanding blueberry production, we will focus this discussion mainly on market development and on potential opportunities for adding value (in the broadest sense) to blueberry and other berry crops We will also discuss potential by-products from berry production that may provide additional income streams for blueberry growers, or harvesters interested in diversifying their berry markets. Resource Base Blueberries are common components of forest ecosystems in the NSFC and abundant in many parts of the region. The main species in the area (and those most highly esteemed for their berries) are Vaccinium angustifolium (lowbush blueberry) and Vaccinium myrtilloides (velvetleaf blueberry). Blueberries often invade burned over or logged over areas and these sites often produce good picking conditions. Other Vaccinium species present in the region though not in the same abundance include: the lingonberry (V. vitis-idaea), the oval-leafed blueberry (V. ovalifolium) and the bog blueberry (V. uliginosum). Forest ecologists consulted for the report indicate that these three species have much more restricted habitats in the region (compared to the lowbush and velvetleaf blueberries) to shorelines and lakeshores close to Lake Superior where colder conditions are found. They are less likely to be found inland. Although the focus of this discussion is on the most abundant and commonly used species found in the region, other berry resources should not be overlooked for potential use or development. Mooseberry or squashberry (Viburnum edule – sometimes called highbush cranberry) is relatively common, especially in upland mesic (moderately moist) forests with a high aspen content. The berries are extremely tart when raw but produce a nice jelly. A related species (Viburnum opulus) known as highbush cranberry is also found in the region, though it may not be as abundant in the region as V. edule5. V. opulus also has edible berries good for making jelly and the bark is in demand for the medicinal herb market6. Small cranberry (Vaccinium oxycoccus, also known as Oxycoccus oxycoccus) or large cranberry (V. macrocarpon) are the species most commonly used for making cranberry sauce in eastern Ontario. Saskatoon berry (Amelanchier sp.) is present in the region but not harvested in any significant amounts and not as abundant as seen with some stands in the prairie provinces. The highly sought after bakeapple or cloudberry (Rubus chamaemorus) is apparently relatively uncommon in this area. It is typically found in black spruce swamps and bogs and has been reported from north of Hearst within the James Bay watershed. Various species of wild rose (Rosa sp.) are also present in the region. Wild rose hips and petals have a market and can be used in different products though the petals especially are laborious to harvest. Production and Harvesting Considerations A number of production and harvesting topics for blueberry were addressed in the previously completed study. Only selected topics we felt required further attention will be addressed in this section. Labour issues Once the blueberry farms being developed in the area are in full production, they may be harvested with manual or mechanical harvesting equipment, depending on the market destination for the berries produced. Fresh market berries are generally hand-harvested to ensure the highest quality product; berries harvested for the frozen, juice and other processing markets are generally machine harvested and sold at a lower price. Ensuring the availability of adequate labour at harvesting time is a frequently identified challenge in the literature on blueberry production. As the New Brunswick Industry Association stated in their 2009 strategic plan, “the inability to secure enough seasonal labour continues to be a major problem for blueberry producers throughout the province” (Bleuets NB Blueberries, 2009). This challenge is echoed by industry specialists from British Columbia (where labour shortages in berry 5 According to the Northern Ontario Plant Database (http://www.northernontarioflora.ca/index.cfm), V. opulus has been collected in the area around White River. 6 Known as „cramp bark‟ the bark of V. opulus is marketed for the treatment of menstrual cramps. production are described as ‘acute’) to Newfoundland, covering producers operating in both the highbush (domesticated) and lowbush blueberry production environments. There is no simple answer to addressing the challenge of labour shortfalls. Increasing moves to mechanized harvesting are a common response to addressing labour shortfalls as well as high labour costs; labour is the number one cost in blueberry production (BC Business Online, 2009). Mechanized harvesting requires significant investments in equipment in the range of tens of thousands of dollars, and careful preparation and land levelling if this approach is to be successful. The ‘push’ harvesters that rely on human power to push them over/through the ripe blueberry bushes raking up the berries as they go appear to be a good compromise between high capital investments for mechanization, and the much lower returns for harvesters and growers from hand harvesting. Anticipated and on-going downward pressure on blueberry prices (see below) may make obtaining labour at economically viable rates even more challenging. Foreign migrant worker programs have helped alleviate similar labour shortages in other horticultural production areas, but this may not be a popular choice for northern Ontario if the perspective – especially in a challenging economic environment – is northern jobs for northern residents. Working with local high schools to get the word out about picking opportunities for students and including realistic potential earnings may attract needed labour. Experience with wild berry harvesters in northern Manitoba indicate the importance of providing transportation (ensuring compliance with legal requirements for transporting labourers) to harvesting sites as many potential pickers may not have a license or access to a vehicle. Paying for product on delivery (or at the end of each work day) also attracts pickers interested in earning money quickly. Trying different approaches may be required to determine what works best in each community to attract and retain harvesters. However, as is generally the case for other NTFP harvesting, piece work (paying by the pound) is the standard payment regimen for either domesticated or wild harvested berry production. Harvesting and post-harvest handling Depending on the scale of commercial berry harvesting being considered, it is recommended that harvesters/producers explore the use of berry hand rakes for small scale commercial production7. Lightweight and low-cost plastic berry rakes from Sweden are available through Lee Valley Tools (http://www.leevalley.com/home) or Finn-tastic (https://www.finntastic.com) in Thunder Bay. These rakes are suitable for harvesting a range of berries including lingonberries and blueberries. For harvesting in wild berry stands or even in small commercial operations, the use of these rakes can greatly improve efficiency. Users report that rakes are at least 3-4 X faster than picking by hand (in terms of pounds picked per hour). The resulting product must be cleaned of leaves and twigs, but a manual cleaning tool is available from the same Swedish manufacturer (for very small-scale production), or mechanical cleaners can be purchased or fabricated that reflect the needs of the harvester (i.e., volume of berries needing to be cleaned per hour). One commercial wild berry harvester on Vancouver Island has incorporated an 7 Examples of different harvesting rakes for lowbush blueberries can be found at http://wildblueberries.maine.edu/factsheets/Production/rakes.html electric leaf blower in his cleaning operation to increase the volume of berries that can be cleaned (Jensen, 2008). Field cleaners (winnowing machines) are available and do a good job of producing clean berries, especially when the berries are picked under dry conditions. With a capacity in the 100’s of pounds per hour, one machine can keep up with the berries harvested by 20-30 pickers using hand rakes (Kinsman, 1993). Proper post-harvest handling is crucial for such a perishable product. After harvesting, berries should be stored out of the sun and in containers that will prevent the berries from being crushed. Small portable coolers with a snap top work well and berries can be easily emptied into them from the rakes. Berries should not be washed after harvesting as this leads to faster deterioration of the berries (Vasquez, 2009). A Good Agricultural and Collection Practices (GACP) program has recently been developed that applies to both agricultural and wild harvest production; following these guidelines will assist producers in ensuring their product is of a high quality and safe for consumers. The program has been approved by the Canadian Food Inspection Agency (CFIA) and training programs are available8. Large retailers are growing increasingly aware of the need for a program that guarantees a safe product, and it seems likely that programs such as this will grow in importance and possibly become mandatory over time. Jonathan Forbes of Forbes Wild Foods buys and sells wild blueberries from north-eastern Ontario and believes the highest quality berries are those that can be shipped and reach market quickly and without refrigeration (Forbes, pers. comm.). Forbes believes berries produced in the NSFC region (he used the example of Wawa) would require refrigeration to reach the Toronto market in good condition. Under proper storage conditions (refrigerated storage at 5 degrees Celsius) berries should last up to two weeks after harvest (Vasquez, 2009). Market Potential and Value-Added Opportunities Market trends and competition Market trends over the past decade or more have shown a steady increase in demand – nationally and internationally – for blueberry products. This demand is driven in a significant way by the awareness of the past decade or more of the health benefits of blueberries. Mark Villata of the US Highbush Blueberry Council, contends that the blueberry “health halo” remains a key driver in consumer decisions to purchase blueberry products (Villata, 2009). But competition for the attention of the health conscious consumer is growing quickly from a number of other agricultural products including pomegranates, plums and cranberries. As Villata points out, “(w)e’ve (the blueberry industry) been surfing the blue wave and now it’s starting to crest... We were the media darlings, but we’re not alone now” (Western Farm Press, 2009). 8 Contact the Canadian Herb, Spice and Natural Health Products Coalition (shsa@sasktel.net) for more information on the GACP program. In response to the steadily increasing demand for blueberries, the last decade especially has seen an enormous increase in blueberry plantings. In the years 2005-2008 alone, the area planted to highbush blueberry in North America increased by 33%. Significant plantings are also being made in South America, and berries from that region are already being marketed in North America. The production of berries has also increased dramatically – perhaps five-fold over the years from 1968 to 2008 with a more rapid increase over the past decade (Villata, 2009). For wild blueberry production, five year averages in production from 1980 to 2005 have shown a steady increase to close to 200 million pounds of production in North America from approximately 40 million pounds in 1980; also an approximately five fold increase but over a shorter period (Yarborough, 2009). As production from new plantings comes on line, the impact on prices is already being felt. In California, Highbush blueberry producers serving the fresh market reported that prices were down over 1/3 this past season from 2008 and are at just over 30% of what prices were in 2002 (Western Farm Press, 2009). Highbush producers in BC received prices less than the cost of production for 2009 – approximately $0.70 per lb versus $0.90 a lb (BC Business Online, 2009). Lowbush (wild) producers have not been immune – this past year saw significant competition from domesticated blueberries (Vaccinium corymbosum) grown mainly in British Columbia but also in Quebec and Ontario. Prices dropped below the cost of production in Eastern Canada with prices in Nova Scotia estimated at only a third of what they were in 2007 (Atlantic Farm Focus, 2009). With production costs reported at around $0.70 per pound, farmers were being paid $0.35 per pound, presumably for the processing market. Given the amount of area planted to highbush blueberry in the last few years and the delay in these plants reaching productive age, global production will likely continue to increase for at least another seven years. In the US, the volume of blueberries being held in cold storage has climbed to a projected 130.9 million pounds in 2009, from 94.6 million pounds in 2008 (BC Business Online, 2009). As noted in the Commercial Blueberry Production Business Plan, most blueberries are sold primarily into the frozen market and secondarily into the fresh market. The frozen processing market is normally the lowest value market but – where possible – can utilize machine harvesting which keeps labour costs down significantly. The frozen market will clearly absorb significant volumes of berries, and will likely remain available to take berries from low-cost producers or from producers with berries excess to fresh or other market needs. It may be that recently announced efforts by the US Highbush Blueberry Council to grow domestic and overseas markets will be successful which would almost certainly lead to spill over effects for ‘wild’ (lowbush) blueberry markets. This promotional strategy entitled ‘Blueprint2015’ includes such activities as: Expanding health-related research on blueberries and moving to human clinical trials Reaching out to larger audiences, further exploring new markets and uses Maintaining consumer awareness of blueberries and health given more aggressive claims by other fruit and vegetable groups Expanding current promotional activities and broadening audience reach through advertising programs Supporting good management and food safety practices (Villata, 2009). Downward pressure on blueberry prices has clear implications for the economically viable production of lowbush blueberries in the NSFC region, especially if the strategy over the longer term is to focus on processors, food wholesalers and larger markets as implied in the Commercial Blueberry Production Business Plan prepared for the NSFC (2008). This market is already well-served by existing producers and the competition for these markets is intense and largely price-driven. Although product differentiation is a laudable goal, it’s unclear whether or not the price sensitive, frozen berry markets will reward northern Ontario branded blueberries. Recent developments in the wild blueberry market9 suggest a need to move beyond ‘commodity’ production as a marketing strategy. The goal of developing a successful blueberry industry in the NSFC region requires producers in the region to explore the potential for value-added products derived from blueberries and other potential berry species (i.e., highbush cranberry) as well as market development initiatives for northern Ontario berries and berry products. The next section will outline some potential valueadded products and provide some details on value-added market potential. There is also the clear need for consumer education including a branding initiative for differentiating wild northern Ontario blueberries from competitor’s products in higher value markets. Value-added products The list of value-added products that can be made from blueberries and other wild berries is very large, and to a certain degree only limited by the imagination. It is estimated that more than 1,400 new blueberry products were introduced in North America in 2008 alone (Western Farm Press, 2009). A sampling of possible berry-based value-added products or related byproducts might include: Jams, jellies, syrups Salad dressings, marinades, chutney Dried berries (i.e., similar to the ‘craisins’ made from dried, sweetened cranberries) Powdered encapsulated berries for the supplement market or bulk as a food additive Berry fruit leather Dairy products (i.e., yogurt) Chocolate covered berries Pie fillings and baked goods Juice drinks Alcoholic beverages including wines and liqueurs Berry herb teas made from leaves and dried berries of various Vaccinium species 9 See http://watch.ctv.ca/news/ctv-national-news/sept-19/#clip215179 for a news report on the impact of competition from domesticated highbush blueberries. Bulk blueberry leaf sold into the medicinal herb market Blueberry stems sold into the decorative market as twig bundles or incorporated into wreathes, swags, or other decorative products The last three items on the list can all be produced as relatively simple by-products of blueberry production activities. It is also important to recognize that ‘adding value’ may not even involve the physical transformation of the product, but value can also be added through marketing campaigns and market selection. For example, targeting gourmet restaurants with fresh berries may add value through market selection. Of course, as is the case with adding value by physically transforming the product, decisions about whether or not to add value through a specific approach will need to be critically assessed on a case-by-case basis. Is it worth it to try and serve diverse markets directly or better to take a lower price to sell to a broker who can handle distribution for you? The latter is probably a better approach for producers located at a distance from the target market. Investment is also required into developing regional and provincial markets for grown in Ontario berries and berry products. Blueberries produced in the NSFC region will face stiff competition from low priced ‘wild’ (lowbush) berries out of eastern Canada and highbush blueberries from BC. The population of the NSFC region is relatively small, and a significant proportion of the local population may harvest blueberries and other wild products for their own purposes. However, other relatively close regional centres (i.e., Timmins, Sault Ste. Marie) provide an opportunity to possibly grow regional markets for berries and associated products. Another potentially important local market is the visitors who pass through the region each year. Statistics for 2007 (the most recent year data was available) indicate that Algoma District receives approximately 1.1 million visitors annually relatively evenly split between overnight and same day visits (http://www.tourism.gov.on.ca/english/research/rtp/2007/cd57/index.htm). Presumably a significant proportion of these visitors would pass through Wawa and White River on the Trans-Canada (Highway 17). Attractive and easily accessible roadside stands with blueberry (and possibly other wild) products, coinciding with the peak visitor season of July through September, would likely provide good returns to producers without the cost of shipping product over significant distances. An American wild rice buyer sells most of his product from road-side stands in Minnesota and grosses around $100,000.00 each summer10. Working with local businesses such as restaurants to encourage them to utilize berry products in their menus and/or make them available on their shelves would be another strategy to access tourist and local markets. This strategy has been employed successfully in parts of the northern US where communities focus tourism strategies around wild berry harvesting and berry festivals. Northern Idaho and Montana, well known for their wild berry resources, attract scores of harvesters from 10 Greggar Isaksen personal communication, 2009. outside the region every year. The local restaurants have got in on the act by offering special wild berry (in this case huckleberry) products to the tourist trade. Tourists can have wild berry sauce on their waffles and then purchase the same products when they’re paying their bill. Huckleberry “raisins” and huckleberry chocolate candy are examples of unique products of northern Idaho and western Montana that have found a commercial niche market (Thomas and Schumann, 1993). Promoting wild products in regional/national markets: the Arctic Flavours story There are numerous strategies that might be used to promote the wild products industry. In this section, we’ll highlight the approaches used by a Finnish industry organization – Arctic Flavours (Arktiset Aromit) – dedicated to promoting the development and use of wild products11. Over the past decade, Arctic Flavours has embarked on an ambitious program of market development and consumer awareness-raising of wild products. Arctic Flavours reports that wild berry consumption in Finland (mainly the lingonberry and bilberry – close relative to the blueberry) in the last few years averages over 8 kg per person per year. In comparison, the average per capita consumption reported for fresh and processed blueberry (likely the most commonly consumed ‘wild’ equivalent berry) products for Canada and the US in 2008 was approximately 0.8 of a kg (Villata, 2009). Acknowledging that Finnish culture likely has a different relationship with wild products, these numbers do suggest that there remains room for growth in North American markets for wild berry products. Many of these approaches are not only relevant to blueberry or wild berry industry promotion but to the wild products industry as a whole. Similar strategies could play a role in developing a wild products industry in the NSFC region. Train volunteers/opinion leaders in villages, including delivering information and new material to them and arranging for their training Develop a broad network of different organisations (i.e., 4 H, Rural Advisors, Lions Club, etc.) to spread information and cultivate support for organization activities Arrange competitions to target new/different groups; Arctic Flavours was first established through arranging a nation-wide wild berry picking competition. This raised the profile of the sector and led to the collection of addresses for 4,400 pickers and 400 buyers (the constituency for the future organization). The competition continues to attract interest and raise profile of organization activities each year Arrange events in schools for children, parents, teachers (for example, organize a ‘picking day’) Invite newspapers and local radio to all events. Send information to them weekly during the summer months. Arrange demonstrations of products in shops, at fairs and other locations where you encounter consumers 11 This section is partly based on a presentation by Simo Moisio, The NTFP Sector in Finland. 2006. Promote the increased use of products to consumers by discussing benefits such as health, benefits to local/domestic economy, etc. Their website, which has extensive materials in English, is http://www.arktisetaromit.fi/index.php?la=en. Marketing strategies: promoting the health benefits of wild berries Much of the interest and growth in demand for blueberries in recent years is connected to the health benefits of blueberry consumption. Although berries provide many health benefits, much attention has been paid to the antioxidant levels found in berries, including many berry species native to northern Canada. Antioxidants are biochemicals with an important role in the human diet – common examples of these chemicals being vitamins C and E. Medical research over the past decade has demonstrated the potential beneficial effects of antioxidants on heart disease, macular degeneration, some cancers, diabetes, diseases related to aging, and others. Some of the most important antioxidants are groups of chemicals known as flavonoids and anthocyanins that are found in fruits and vegetables (Holloway et. al., 2006). Dark coloured fruits (including blueberries, grapes, pomegranates) are especially rich in anthocyanins. One of the commonly accepted methods for measuring antioxidants in foods is through a test called oxygen radical absorptance capacity or ‘ORAC’. The ORAC scale is the most widely recognized method of comparison among food groups to show relative antioxidant activity (ibid). Prior to the rise of the pomegranate as the most recent ‘superfruit’, earlier research on antioxidants and commercial fruit showed that cultivated blueberries had the highest ORAC levels with a score of approximately 20. Holloway et. al. (2006) note that any ORAC score above 40 is considered ‘very high’. Research conducted by the authors (Ibid.) on Alaskan wild berries determined that these berries are excellent sources of antioxidants, often far outstripping the ORAC scores obtained by related domesticated species. A synthesis of research results on antioxidants undertaken by the Arctic Flavours Association in Finland showed that anthocyanin content of wild blueberries exceeds the levels found in the cultivated blueberry by anywhere from 2.5 to over 5.5 times. The Alaska research found there is significant variation between different wild berry species as there is between wild and domesticated berries. Lingonberry and highbush cranberry had the highest recorded ORAC scores (7 to 8.5 X higher than cultivated blueberry) and the dwarf blueberry scored nearly 4 X as high as the domesticated blueberry (Holloway et. al., 2006). The Alaskan research as well as work done in Finland has examined the impact of processing on antioxidant levels, demonstrating that processing does not eliminate antioxidant levels. The Arctic Flavours Association (no date) has stated that flavonoids in bilberries (V. myrtillus) are best preserved in fresh unprocessed or frozen berries; heating the berries to produce sauce or jams may reduce flavonoid content by 20 – 40%. Holloway et. al. (2006) found that most processing methods also reduced antioxidant levels from the levels seen in frozen berries, although antioxidant content remained relatively high compared to many other fruits. However, drying the berries either as a final product or as fruit leather significantly increased the antioxidant levels in each gram of product by concentrating the skin and pulp (Holloway et. al., 2006). Per gram of material, dried products contained 5-6 times the levels of antioxidants found in frozen specimens. Given the importance clearly accorded to the health promoting aspects of antioxidants in various fruits and especially blueberries, focusing on the superior qualities of wild berries may be a potentially profitable approach to marketing these products. To do this, provide accessible, succinct descriptions of the potential health benefits of increased berry consumption. This may increase harvesting for personal use, but not all consumers – in the region or farther afield – will be interested or able to harvest the amounts of berries recommended for daily consumption12. Arctic Flavours in Finland puts out a wide variety of extension materials including booklets containing information on health benefits as well as recipes that enable consumers to easily incorporate products into their meal planning and increase berry consumption. Hang tags and other consumer information tools can also highlight the benefits of consuming wild berry products, as is done effectively by other segments of the fruit and vegetable industry (i.e., on pomegranate products marketed by Pom Wonderful). It will also be important to take every opportunity to allow consumers to taste products. It should be clear to anyone tasting a ‘wild’ blueberry (whether harvested from wild stands or from a managed system) that it has greatly superior flavour compared to a domesticated highbush blueberry. Fruit leather example Consumers are on the lookout for healthy snack foods that are easy to consume, are healthy, and taste good. Value-added products such as fruit leathers and dried berries are examples of products that are relatively low-cost to produce and can be produced using fairly simple technology. Products such as fruit leather are therefore suited for cottage scale production (i.e., hundreds or thousands of pieces) up to a more industrial level scale. The Northern Forest Diversification Centre (NFDC) in The Pas, MB undertook a development process for fruit leather production from lingonberry13. To complete this work, they contracted with the Food Development Centre in Portage, MB for formulation, processing and packaging assistance. The product made it as far as the testing stage and received favourable reviews from consumers. The closure of the NFDC left the product in limbo, but the concepts behind the creation of a wild berry fruit leather appear to warrant further research. According to research undertaken in Alaska with wild berries, drying fruits and making fruit leather concentrated the skin and pulp, significantly increasing the antioxidant levels in each gram of product to extremely high levels (Holloway et. al., 2006). It will be important to differentiate this product from the current inexpensive fruit leathers on the market which may contain additives and clearly do not provide the health promoting benefits of a wild berry fruit leather. 12 Recommended at 100 gm or equivalent per day by Arctic Flavours. In Ontario, the Guelph Food Technology Centre (http://www.gftc.ca/default.aspx) appears to provide similar services to the FDC in Manitoba. 13 Current pricing Current pricing for wild harvested berry products varies according to the buyer. A buyer selling fresh product (good quality) in the Toronto market reports paying as much as $4 per pound for blueberries in the Temiskaming region14. Prices in Manitoba for wild berries (blueberries and lingonberries) range from $3 lb. and up. Recent prices for wild blueberries in coastal BC were $4 – 5 per pound. An experienced picker using a rake can pick as much as 12 litres per hour in a reasonably productive patch. Linked initiatives Please also see the discussion on birch sap in the section on birch products for a discussion on the potential of creating a ‘functional’ (health maintaining or promoting) drink based on birch sap mixed with fruit juices. On a more basic scale, the section on wreathes and decorative products will discuss the potential to use blueberry cuttings (a waste product) in wreathes. 14 Jonothan Forbes, Personal Communication Birch Sap and Syrup Overview Over the past decade, interest in the production and marketing of birch syrup has grown in North America, though relative to the production of maple syrup in Eastern Canada and the northeast US, birch syrup production is very much still in its infancy. Dixon-Warren15 (2007) notes that only ten (10) commercial birch syrup operations were known to exist in 2007 in Canada, only one of them in Ontario. Recent growth in interest in birch syrup production and the demonstrated niche market demand – coupled with anecdotal evidence – suggest that additional producers are at the exploratory or start-up phase of production. As Dixon-Warren (2007) notes, all producers report that demand for their product exceeds supply; discussions with companies marketing birch syrup also suggest that supply is inadequate to meet demand from retailers. The production of birch syrup has a number of similarities to the production of syrup from sugar maple, but with some important differences. The period of suitable sap production in birch is relatively short, estimated at 3-5 weeks, but will vary according to weather conditions, location and year-over-year variability (Mitchell, 2007 in Dixon-Warren, 2007). Due to lower sugar content in the sap, it also takes much more sap (80 – 120 litres) to make 1 litre of birch syrup compared to the approximately 40:1 ratio of sap to syrup for sugar maple. The carbohydrate (sugars) content of birch sap is about 0.9 percent compared with the 2 to 3 percent sugar found in the sap of sugar maple (United States Forest Service, 1990). The sugars in maple and birch sap also differ significantly: while the main maple sap carbohydrate is sucrose, birch sap sugars are composed mostly of glucose and fructose (Maher, 2005). Value-added potential exists with birch syrup (into salad dressings, marinades, candy, etc.) but an option also exists to create products from the birch sap without first processing it into syrup. An obvious attraction of producing products on the basis of sap rather than syrup is that not only does each tree produce potentially large volumes of sap (as much as 50 litres or more over the season according to Maher, 2005), but sap production greatly reduces the energy inputs that are required for reducing sap into syrup. However, there are numerous challenges (technical, market development, and others) to be overcome in developing a business based on birch sap. 15 A good reference document for producers considering birch syrup production is The Birch Syrup Production Manual by Heloise Dixon-Warren, Quesnel, BC. The manual was drawn heavily on for this section of the report. Information on purchasing copies of the manual can be obtained from: birch@quesnelcorp.com or info@moosemeadowsfarm.ca Resource Base Different species of birch can be tapped for birch sap and syrup production (Maher, 2005). White or paper birch (Betula papyrifera) – a good source of sap – is the dominant birch species in the NSFC region. Experts in forest ecology contacted for the report16 describe white birch as ‘common’ or ‘very common’ in the area. It behaves as both an early and late successional species, and is especially common close to Lake Superior. In the Big Pic forest, there are birch dominated stands in southern areas adjacent to Lake Superior, then mixed with aspen on sites with loamier soils further inland. According to the Forest Resources of Ontario 2006 report17, the NSFC region has some of the highest concentrations of white birch in the province. Yellow birch (Betula alleghaniensis) has much more limited distribution in the region, restricted largely to Wawa and south. Experts contacted for the report also note that birch cover or cover of forest units containing significant amounts of birch are quantified for most forest management plans, providing a solid source of information for identifying best sites for this species. Paper birch is classed as a shade-intolerant tree and does not grow well when overtopped by other trees or shrubs when young; it does respond well and quickly once individuals are released by removal or thinning of competing vegetation. Birch grows well on burned over or logged sites where it can form almost pure stands (Dixon-Warren, 2007). Well-stocked stands created by fire may have over 1,000 stems per hectare at year 10 (United States Forest Service, 1990). In the natural succession of species, paper birch usually lasts only one generation and then is replaced by more shade tolerant species (Ibid). White birch is considered a relatively short-lived tree, reaching maturity by 60-70 years of age, and rarely living beyond 140-200 years (United States Forest Service, 1990). Determination of the suitability for tapping is most often based on tree diameter (DBH – ‘diameter at breast height’). The general consensus for producers is that trees should not be tapped unless they have reached an approximate size of 20 cm DBH, although trees in far northern regions such as the Northwest Territories and Alaska are sometimes tapped at 15 cm DBH due to the short growing season and slow growth of trees in these areas (Dixon-Warren, 2007; Maher, 2005). It can take approximately 30 years for individual trees to reach a diameter of 20 cm (United States Forest Service, 1990), although on productive sites, trees may reach 20 cm DBH in only 20 years (Dixon-Warren, 2007). Access rights Birch tapping requires a level of investment that sets it apart from many other wild harvesting activities that can occur on Crown land18. Establishing trails, clearing underbrush, laying out tubing lines, possibly even building a sugar shack for processing the syrup, all require a level of effort and cash investment that may be difficult to justify without some certainty of access. 16 Please see Appendix 5 for a list of experts in forest ecology contacted for the report. http://www.mnr.gov.on.ca/MNR_E005108.pdf 18 Recognizing that some birch syrup producers also tap on private land, or a blend of private and adjacent crown land. 17 Tenure arrangements (in the form of short or long-term permits or other arrangements) for tapping birch are still largely on an ad hoc basis across Canada. In Ontario, Boreal Birch Syrup in Thunder Bay applied for a received and received a Land Use Permit on crown land that is for 10 years and provides the right to tap a certain number of trees, allows for creating a small trail system, and to set up a temporary camp. There is an annual fee associated with the permit. A separate Building Permit was required to build a sugar shack (Dixon-Warren, 2007). The permit does not allow use of the surrounding birch trees for firewood, so a separate Firewood Permit for another area was obtained to bring in the 10 cords of birch firewood needed to run the evaporator (Wilson, 2006). Producers across Canada tell similar tales of needing to educate local resource managers about the potential for the industry, how the trees will be used, and why they require some sort of tenure certainty for a set period of time in order to invest in birch syrup production. A Manitoba producer notes that different ‘levels’ of permits allow varying uses on the land – i.e., some types of permits allow for the construction of buildings and may be transferable if the operation is sold at a later date, important considerations for a syrup business. Dixon-Warren (2007) notes that without proper authorization for birch tapping, producers risk prosecution for damaging timber, establishing an illegal camp, etc. or they risk losing their investment should activities incompatible with tapping occur on the same site (logging, road construction, etc.). The author (ibid) goes on to provide a number of recommendations for area-based agreements to support birch syrup industry development, including: exclusive use of birch trees on the site, with other uses only allowed if compatible with tapping activities; the right to practice stand tending such as brush clearing, thinning, etc.; the right to develop a trail network for tree access and sap removal; and a minimum term of 10 years for leases with an option for renewal. Production and Harvesting Considerations As demonstrated by Maher’s (2005) work on sap production in Alaska, sap yields vary significantly based on a number of factors. With that in mind, the following statements may not hold true in all cases, and variability in production should be expected in any birch tapping operation. Significant variations are also encountered in maple tapping, but maple syrup production is a much more researched area, not surprising given the value of maple syrup production in Canada (estimated at approximately $180 million) relative to birch syrup and related production (unknown, but almost certainly well under a million dollars for syrup and birch sap derived products such as wine). Sap yields from birch are variable between trees, between years and from one day to the next. Timing The timing for birch tapping varies from year to year depending on the weather, but in general sap flow season for birch begins and ends later than for sugar maples (United States Forest Service, 1990). In Alaska, tapping begins sometime in April and generally continues for approximately 3 weeks. In interior BC, tapping can begin early in April and again runs for approximately 3 weeks. Maher’s (2005) research on sap yields and timing of sap flows in the Fairbanks Alaska region demonstrates the impact of weather on sap production and timing. 2002 and 2003 (the years of her study) had strongly contrasting weather patterns which affected sap yields. In general, trees yielded more sap in the wet, cool spring of 2002 than the dry, warm spring of 2003. Larger diameter trees yielded more sap in both years, although this correlation was stronger during the dry, warm spring. While the sap season lasted approximately the same length of time, sap began flowing much later in the cool April of 2002 than it did in 2003. Unlike the maple sap season, the birch sap season is not based on the freeze/thaw cycle; because of root pressure, birch sap can flow during the night, and the birch sap season is not dependent on the occurrence of freezing periods (Maher, 2005). Tapping ends when bud break occurs and the sap develops a bitter taste or fermented smell and is no longer suitable for syrup production. As is true for maple syrup production, long hours and intense work can be expected during the short tapping season. Determining when to begin tapping depends on approximate guidelines and careful observation. Keeping records from year to year recording variables such as minimum-maximum temperatures, moisture levels, behaviour of trees at different elevations and exposures (i.e., south slope, north slope, position at edge or centre of stand) may all help in developing a more efficient, and therefore more financially rewarding, approach to syrup production (DixonWarren, 200719). For inexperienced tappers, Dixon-Warren (ibid) suggests: Identify three trees that appear to be generally representative of the stand at different elevations and exposures (though not all operations will be on a landbase with significant differences in elevation) In late March or early April, tap all three when night time temperatures are below freezing and daytime temperatures are above freezing Monitor the trees daily – when at least two of the trees are flowing, begin tapping the remaining trees. Trees should not be tapped when frozen, and tapping too early may lead to reduced production of sap in some trees (Dixon-Warren, 2007). Tree and site selection Numerous factors will go into selecting a site for tapping, including what the producer has available on his or her property and what other sites may be readily accessible. Under an ideal situation, based on her research in Alaska, Maher (2005) recommends selecting a south-facing stand with a high abundance of willow, fireweed, and dwarf dogwood. Her research indicated that stands with trembling aspen, balsam poplar, wintergreen, and northern bedstraw may not be as prolific sap producers, especially during dry, warm springs. It should be noted that this 19 Dixon-Warren (2007) provides a suggested list of over 20 items as a starting point for record keeping. research took place over a short time frame and may not hold true over the longer-term; results related to plant associations should be viewed with caution. Large trees generally produce the most sap. Maher (2005) found that larger girth trees ranked higher in sap harvest than smaller girth trees. The correlation between dbh and size of the root system likely explains this trend: a larger root system enables the tree greater ground coverage from which to draw in water and stored store food reserves. Dixon-Warren (2007) provides a number of recommendations for site selection: In an ideal situation, selecting trees growing in relatively dense stands reduces the time required to travel between trees and, if the topography of the site allows it, may enable the set-up of a tubing system that carries sap to a collector or the sugar shack for processing. Select a healthy stand – indications of stand health include large, spreading limbs, an absence of dead or broken tops, a broad root base, as well as the presence of some large diameter trees that indicates a good growing site. Design the system so that the sugar shack is downhill from the harvest site; especially if transporting the sap with human labour. Sap is heavy and there will be plenty of it, even in a small commercial operation. Birch is shallow-rooted and prone to root disturbance; design quad or other vehicle trails to minimize compaction and ground disturbance. The latter may be challenging given that the soil will be thawing and wet during tapping season. Tapping and processing Very detailed information on equipment requirements, tapping trees and processing birch sap into syrup can be found in Dixon-Warren (2007) and will not be reproduced here in detail. Obtaining a copy of her birch syrup production manual is recommended as a starting point for anyone considering a birch syrup enterprise. Only a limited number of key points that should be considered by someone considering a birch syrup operation will be touched on in this section. All equipment should be secured well in advance of the season, once a decision has been made on the scale of the operation. Equipment for birch tapping is interchangeable with maple tapping equipment and many suppliers serve that industry in Canada20. Deciding on the number of taps you will run in an operation will help you determine equipment needs and how you will handle your sap. Starting out in the first year with a smaller number of taps will help you decide if you enjoy the process of tapping as well as how big you want to get and how fast. Even a hobby tapper working with only 10 trees (one tap per tree) will still end up with 840 litres of sap to deal with (transporting and processing) over a three week season (Dixon-Warren, 2007). The author (ibid.) makes the important point that a basic requirement of anyone considering syrup production is ‘time’. For the syrup production stage alone and utilizing a wood fired evaporator 20 For example, https://www.atkinsonmaple.com; www.domgrimm.com with 12 sq ft of evaporation pan space (at the smaller scale of a commercial evaporator), processing the production of 200 taps over a three week season will require approximately 15, 10 hour days. That does not include tapping, transporting, filtering sap or bottling the finished product. By way of comparison, Kahiltna Birchworks, Alaska’s largest producer of birch syrup taps over 4,000 trees each season with a seasonal staff of six to seven. In the 2009 season they collected 63,000 US gallons of sap which produced 690 gallons of pure birch syrup (Kahiltna Birchworks, 2009). Most commercial producers tap in the hundreds of trees. Dixon-Warren (2007) notes that a 600 tap operation, utilizing the same size of wood fired evaporator described previously, would take nearly 47, 10 hour days – indicating a larger evaporator is clearly required. One manufacturer of maple syrup industry equipment recommends a 25 sq ft evaporator for a 500 tap operation (www.atkinsonmaple.com). Once the number of trees being tapped grows to any significant size, and provided the topography of the site allows it, consideration should be given to setting up a tubing or hybrid tubing system. This involves using tubing to connect a number of taps to collection points which can then be connected to the sugar shack. At approximately four litres per day per tree of sap production (and for some trees, twice that amount), any reasonably-sized operation will involve moving enormous amounts of heavy sap; this demand on time (and wear and tear on the body) should be reduced if possible. Once the sap is exposed to air it spoils quickly and cannot be stored for any significant length of time. Operations of 1,000 or more taps should consider investing in a mini reverse osmosis (RO) machine which employs a semi-permeable membrane to remove water from the sap, concentrating sugar levels in the remaining sap to 5% (Kahiltna Birchworks, 2009). The concentrated sap is then finished in a wood fired evaporator, saving significantly on the time and fuel required for processing into syrup. Dixon-Warren (2007) provides the following comparison of using a wood fired evaporator alone versus using an evaporator in combination with a small reverse osmosis unit for a 600 tap operation: Sap volume 600 trees/taps, 2,400 litres per day, 50,400 litres over 21 days As above Dixon-Warren, 2007 Equipment Wood fired evaporator (12 sq ft) only Time 467 hours Wood fired 308 hours evaporator (12 sq ft) and mini RO (capacity of 300 litres per hour) Explanation Evaporation is 7.5 to 9.5 litres per sq ft per hour for a combined rate of approximately 96 to 120 litres per hour Reverse osmosis will reduce 2,400 litres to 720 litres of concentrate in 8 hours, requiring approx 6.6 hours in the evaporator to complete Maher (2005) reports that at the time of her study, half of the commercial producers in Alaska were using a RO machine in the syrup-making process. The purchase of a RO machine is a significant investment (approximately $6,000 and up) requiring large amounts of sap to justify the expenditure. Dixon-Warren suggests that if a group of smaller producers were operating in the same area, it could be feasible for the group to purchase a RO machine to use cooperatively. We are also aware of at least one birch syrup operation in Alaska that boosted the amount of syrup they processed by purchasing sap from residents in the area. Since sap is mostly water, the value would be low, but some people enjoy the process of tapping and getting some return for their efforts. One processor of bigleaf maple syrup on Vancouver Island has used a system of providing a percentage of the finished syrup to those who bring in raw sap for processing (i.e., for every litre of syrup produced from the sap they bring in, that person would receive less than 50% of the finished syrup). A careful determination of all the costs involved in processing would be needed before entering into these types of arrangements. Proper training would also be required – for receptacles that could be used, quality of sap to be provided, etc. – to ensure the sap was of a quality that could be used in producing syrup. Large energy inputs are required to produce syrup. Most producers use wood fired evaporators because wood is generally the cheapest source of fuel available. Paying significant amounts for fuel (including purchasing firewood) will severely impact the economic viability of an operation. Dixon-Warren (2007) estimates that one cord of seasoned firewood is required to produce 2550 litres of finished syrup. Other fuel sources are much more costly; for example, Backlund and Backlund (2004) estimated that making bigleaf maple syrup with propane cost as much as $12 per litre of syrup, which may be acceptable for producing syrup for home use but not viable for a commercial operation. For birch this could work out to $25 or more in fuel costs per litre of syrup. Dixon-Warren (2007) suggests a propane stove is only used for ‘finishing’ the syrup to the desired sugar concentration. Dixon-Warren (Ibid.) has a detailed discussion of finishing the syrup to the desired sugar density. She notes that this is one of the more exacting tasks for a syrup producer and that no clear standards exist for birch syrup production in Canada. Maple syrup on the other hand has precise guidelines requiring 66% soluble solids by weight, also known as 66° Brix if the product is to be sold in Canada as maple syrup. No such requirements exist for birch syrup in Canada, though the Alaska Birch Syrupmakers Association have set similar standards to those for maple syrup. Maple syrup with a sugar concentration below 66° Brix is likely to spoil more quickly, while syrup with a density greater than 67° Brix will likely form sugar crystals, reducing the quality of the finished product. Some birch syrup producers are finishing their syrup below the maple standards and others add fructose (a naturally occurring and sizeable component of the carbohydrates in birch sap) to both stretch the amount of syrup produced from the same amount of sap, and to bring the finished product up to the desired ° Brix. Dixon-Warren identifies sugar density recommendations/requirements for birch syrup as an important area for further research, along with syrup stability under typical storage conditions. She believes it is possible that the ideal Brix for birch syrup will be 61 - 62°. Determining the ideal concentrations will be an important development for future producers, and producers should keep on top of latest developments on this topic. Food grade plastic and glass bottles are the commonly used containers for birch syrup. Metal containers as are sometimes used for maple syrup are not suitable for birch because the acidity of birch syrup will erode the metal and impart an unpleasant taste (Humphrey, no date in DixonWarren, 2007). Syrup should be ‘hot packed’ to ensure any potential contaminants present inside receptacles are destroyed, and containers should be inverted after filling to ensure the inside of the caps are also sterilized. Dixon-Warren (2007) provides a detailed list and estimate of expenditures required to establish a birch syrup operation at different levels of production. A 600 tap operation – not including labour, fuel, or any vehicles for moving sap – would cost just under $20,000 in fixed costs. Major expenditures identified for this scale of operation include the construction of a sugar shack and the purchase of a wood fired evaporator and reverse osmosis machine. These three expenditures amount to 65 – 70% of the start up costs for an operation of this size. Market Potential Even with the recent growth in the number of producers of birch syrup, it remains a little known, ‘niche’ product that is still in its infancy in terms of consumer awareness and acceptance. At the same time, producers and companies dealing with the product indicate that demand currently outstrips production, and may continue to do so for the foreseeable future if current consumer trends continue into the future. Maher (2005) notes that although the companies involved in birch syrup production in Alaska are quite small and usually only have one to three year-round employees, the number of companies steadily increased from 1990 to 2005. A similar trend appears to be developing in Canada with new producers being reported in BC, Manitoba, and Ontario over the past 2-3 years. Among the factors driving the interest in birch syrup is novelty and the interest in local foods and supporting local economies. Dixon-Warren (2007) makes the point that birch syrup has a very different flavour from maple syrup, behaves differently in cooking, is more costly to produce than maple syrup and is a unique special product. Emphasizing the differences from maple syrup (in a positive way) is important because not all consumers will enjoy birch syrup if it is used in the traditional way that maple syrup is used (i.e., as a topping for pancakes and waffles). Markets for birch syrup Although birch syrup is still relatively little known by Canadian consumers, there is a small but growing domestic market for this product. Producers sell direct to consumers (for example via farmer and other markets, over the Internet, etc.) and wholesale their products to companies such as Forbes Wild Foods in Ontario (http://www.wildfoods.ca/) and Gourmet Sauvage (http://www.gourmetsauvage.ca/) in Quebec. These companies in turn sell direct to consumers as well as supplying chefs in high-end restaurants looking for unique and unusual local foods and flavours. Jonathan Forbes of Forbes Wild Foods reports that there is a continuous and growing demand for birch syrup and that he is having problems sourcing adequate supplies of the product at this time. He believes there is strong potential demand for product out of Ontario and stressed that the demand is for pure birch syrup, not syrup with fructose added21 (sometimes sold as ‘breakfast syrup’). For producers interested in bulk and/or overseas markets, opportunities also exist to sell products abroad. One producer in Alaska (now retired from syrup production) was selling organically certified syrup to a health food distributor in Western Europe; the distributor re-packaged it to sell as a tonic that was to be dissolved in hot water before drinking. A Manitoba producer is also selling bulk syrup into the European market at $40 a litre. That producer feels that demand currently well outstrips available supplies. With proper labelling (including a nutritional analyses label) he feels he could have easily sold all his production into domestic markets within a relatively short time after the end of the production season. The pricing of birch syrup varies considerably. Dixon-Warren (2007) has a summary table that provides some guidance on the range of syrup pricing, a portion of which is reproduced below. Quantity (litres) Price range – Pure birch syrup (Canada) 4 litres $88.50 - $153.00 1 litre $30.98 - $53.55 250 ml $13.28 - $22.95 50 ml $8.85 - $15.30 After Dixon-Warren (2007) Price range – Pure birch syrup (US)22 $78.00 - $198.00 $27.30 – $69.30 $11.70 – $29.70 $7.80 – $19.80 Dealing directly with high-end markets can provide good returns. One producer in Manitoba notes that he visited a high end gourmet shop in Winnipeg where they were retailing 125ml of birch syrup for $24.95. Again, it will be important to educate consumers on the differences between relatively expensive birch syrup and the less expensive maple syrup. It should be noted that the potential exists for numerous value-added products to be produced from birch syrup. Marinades, salad dressings, candies, even dog treats have been produced with birch syrup. All of the companies responding to the survey of birch syrup producers in Alaska produced birch syrup from the sap that they harvested, but a majority also produced additional value-added products from the syrup (Maher, 2005). 21 Fructose in granular form is generally added during the sap production process to increase palatability for some consumers who find pure birch syrup to be too strong tasting and to increase the amount of syrup produced from a given amount of sap (Dixon-Warren, 2007). 22 Exchange rate at the time was $1.00 CDN = $0.85 US Birch sap products If birch syrup is little known product for most North American consumers, products made from birch sap are off the radar by comparison. However, in parts of Europe and Asia, drinks made with birch sap are well known and widely consumed. Birch sap is considered an early spring tonic bestowing many health benefits on those who drink it. The sap is as clear as water when it exits the tree and has a very delicate, slightly sweet flavour. The key challenges faced in developing and marketing a birch sap-based drink appear to be in the areas of technology and building consumer awareness. Birch sap spoils quickly and must be stabilized and preserved preferably without heat treatment or the addition of chemical preservatives, especially given the recommended approach to marketing the sap as a health drink. This approach is followed closely by Nordic Koivu, a birch sap producer in Finland23. With language such as ‘nature’s prescription’ and ‘nature’s own health drink’ the marketing strategy of the company is focused on the health providing aspects of birch sap which is already recognized and accepted on a broad scale in Scandinavian and eastern European countries. Nordic Koivu has developed a proprietary preservation system that enables preservation of the sap with no heat treatment (i.e., pasteurization) or added preservatives. Discussions with a producer in Canada suggest that UV treatment is the most likely method that would enable long-term shelf-life without additions of preservatives or use of heat. Further research – with the assistance of a food laboratory such as the Guelph Food Technology Centre24 – would be required to confirm this. In Russia, citric acid is added to sap to preserve the product although the shelf life is unknown. Only one other Canadian producer of birch sap was identified to date, although others may be in the early development stage. Sap World, located in Newfoundland, produces birch sap wine and vodka, and claims to be launching an unflavoured sap beverage in December 200925. DD Leobard Winery in Winnipeg is also producing a birch sap wine26. In 2009, bulk birch sap was sold to the winery for .40-.45 cents per litre. An interesting potential value-added product that combines the abundant resources of both wild berries and birch sap found in the region is a functional berry flavoured sap drink. This product would require significant research and investment to bring to market. However, the result would be a unique, value-added product with many of the attributes that consumers are looking for in healthy beverages – good taste, very significant health benefits from wild berries and birch sap, convenience, all natural components, and a fascinating story27. As outlined by the journal Nutraceutical World, “(s)uperfruits represent one of the most promising directions…. There will probably be a lot of superfruit drinks, but the total sales volume of each one will be 23 http://www.waldwissen.net/themen/holz_markt/forstliche_produkte/wsl_birkensaft_EN http://www.gftc.ca/default.aspx 25 http://www.sapworld.ca/prod_sap.htm 26 http://www.ddleobardwinery.com/birch.html 27 http://www.nutraceuticalsworld.com/contents/view/14143 24 small. However, sales values will be high. These will be low volume, high value, high margin niches, which is the current and future situation for most functional food brands”28. No flavoured sap producers were identified in either Canada or the US; one producer was identified on the Internet in the Czech Republic. “Solex Agro” produces birch sap flavoured with rose hip (Rosa canina), lingonberry (Vaccinium vitis-idaea) and chokeberry (Aronia melanocarpa). Their website provides more detailed information on the functional qualities of the various ingredients29. A full-blown feasibility study on birch sap production and market potential is obviously outside of the scope of this study. Given the significant investment required to get such a product to market, even at a limited scale, our recommendation is that a thorough feasibility study be done by a food development expert (preferably with some expertise in beverages) before moving down the path of product development. If the results of the feasibility study are positive, partnering with an institution with food development expertise early on would be essential in overcoming some of the challenges in terms of preservation and formulation with natural berry juices. 28 Julian Mellentin, editor, New Nutrition Business, in Nutraceutical World, July 2008 (http://www.nutraceuticalsworld.com/contents/view/13952) 29 http://www.solexagro.cz/produkce/juices.aspx Floral Greens and Other Decorative Products Overview A wide range of decorative products can be made from wild harvested materials. We use the term ‘floral greens’ to refer to a range of plant products used for decorative applications. The most common type of floral greenery available for harvesting in northern Ontario is evergreen conifer boughs (balsam fir and cedar) that are used mainly for wreathes, swags and garland for the Christmas market. Other uses of floral greens include decorative fresh cut materials that can be included in floral arrangements, centerpieces, displays, etc. and dried materials that can be used in wreathes and woven into other decorative items such as wall hangings, rustic shelving, etc. Other plants and plant parts commonly used for decorative purposes include moss, twigs, bark, and cones. Though floral greenery is typically weighted toward developing products for the Christmas season, activities can be diversified to some degree to serve different markets at different times of the year. However, most of the harvesting activity related to floral greenery will take place in the fall and winter after hard frosts have ‘set’ the needles on evergreen conifers and leaves have dropped from the deciduous shrubs that also have market potential. Creating successful businesses in the NSFC region based on floral greenery and other decorative products will likely depend on the producer’s ability to develop a marketing strategy that focuses on serving specialized markets, building relationships with buyers and providing excellent quality and service. The distance to major markets for producers in the NSFC region presents some challenges in terms of additional costs for transportation. A carefully thought out marketing strategy focused on identifying alternative markets and based on the creation of strong relationships with those markets, will help in overcoming barriers of distance and the resulting higher costs. Resource Base The variety of species that can be used to create these decorative materials is as broad as the range of different products that can be made from them. Balsam fir (Abies balsamea) is common in the region and a favourite for both Christmas trees in eastern Canada and the US and for wreath production due to its beautiful form and pleasant aromatic smell. White cedar (Thuja occidentalis), although less common overall in the area than balsam fir, is locally abundant (i.e., in the Chapleau area). It can be used to create wreathes, swags and garland. Various species of willow (Salix sp.) are also in demand for decorative purposes. The willow generally assigned the common name of ‘pussy willow’ is Salix discolor but other willow species that display decorative catkins (flowers) in the late winter/early spring are often given the same name and may be used for similar purposes. Willows are in demand as cut stems but can also be used in decorative wreathes. Redstem dogwood (sometimes known as red willow) can be used in a similar way to willows, but is also sometimes woven into different designs (i.e., hearts) for use as long-lasting wall hangings, or as decorative rustic shelves. Sweet gale (Myrica gale) can be found ringing numerous lakeshores and large ponds in the region. When the leaves have dropped, the dark stems make for attractive cut stems and possible use in twig wreathes. The same is true of blueberry stems after the leaves have dropped; in this case, the taller Vaccinium sp. are likely the most useful for cut stems as florists appear to prefer longer stems for decorative use. Given the need to cut blueberries to ensure on-going berry productivity, the use of these stems may be an additional value from otherwise discarded material. Below is a summary list of some of the potential products that could be produced from resources known to be present in the region. This list should only be taken as a starting point. Visiting floral distributors, floral tradeshows30, surfing the web for product ideas, and, very importantly, learning as much as possible about the range of resources in the region that have potential in the markets, will open up new opportunities for producers. Some potential species of interest for decorative products Common name Scientific name Balsam fir Abies balsamea White cedar Thuja occidentalis Pussy willow Salix sp. Redstem dogwood (also Cornus sericea known as red willow) Sweet gale Myrica gale Blueberry and related species Vaccinium sp. Wild rose Rosa sp. Clubmoss (roundbranch groundpine, flatbranch groundpine) Lycopodium sp. 30 Examples of potential use Wreathes, swags, garland Wreathes, swags, garland Cut stems, dried wreathes Cut stems, dried wreathes (winter stems), decorative woven items Cut stems, dried wreathes (after leaf drop) Cut stems, dried wreathes (winter stems) Wreathes or wreath additions (with hips intact) Decorative highlights for wreathes and in floral arrangements For example, Landscape Ontario Horticultural Trades Association (http://www.horttrades.com/) organizes the annual Garden and Floral Expo which is a good opportunity to learn about trends, markets, and potential customers. Harvesting and Production Considerations Before beginning any floral greenery harvesting for the market, keep in mind that buyers of floral greens will have specific requirements based on the needs of the market. It is essential that you research your market (whether it’s direct to consumers, to the wholesale market, etc.) to see what the size and quality standards are, what type of floral greens are of interest, etc. Some buyers may also demonstrate what commercial quality products look like, suggest methods of harvest, and provide information on how best to handle and store floral greenery once it is picked (Centre for Non-Timber Resources, 2006). Sustainability Harvesting materials for floral greenery is a sustainable activity provided certain harvesting guidelines are followed. Most of the species of interest for floral greenery in northern Ontario respond very favourably to proper pruning and will readily generate new growth after cutting. The State of Minnesota has produced a detailed brochure31 on the sustainable harvesting of balsam fir boughs for use in wreath making – an estimated $20 million industry in the state. To protect the long-term health of the industry, bough harvesters are required to use techniques that enhance the future production of suitable boughs such as harvesting boughs only from the bottom half of the tree, leaving part of each branch uncut to allow for regeneration, and not pruning any tree under 2 metres (6-7 feet) in height. To ensure maximum usability of the material and to encourage regeneration, harvested branches should have ends no larger in diameter than a pencil (University of Minnesota Extension Service, no date). As a very rough estimate, approximately 1,000 pounds of bough material is required to make 200 wreathes. Equally detailed ‘best harvesting practices’ are not available for all other floral greenery species discussed above, but shrubs such as willow, redstem dogwood, sweet gale, Vaccinium sp., and wild rose are all known to respond well to pruning. Done properly, pruning of redstem dogwood and willow will likely lead to superior product for future harvesting from the same plant in terms of longer and straighter stems. In the case of cedar, indications from research on related species in British Columbia suggest there may be no positive or negative effects from harvesting boughs from the lower portions of the tree. Cedar does not appear to regenerate new branches from partially cut boughs. The brochure available on-line from the University of Minnesota Extension Service also provides recommendations (timing, harvest methods, time period between harvests) for the harvesting of clubmoss. In some cases (redstem dogwood, willow) it may be possible to prune the same plant every year or every second year. Guidelines in Minnesota recommend a rotation of 5 – 6 years between bough harvesting from the same tree to allow for proper regeneration of the smaller branchlets (University of Minnesota Extension Service, no date). 31 Available at http://files.dnr.state.mn.us/forestry/um/carefulharvest_brochure.pdf Ensuring the sustainability of harvesting practices is the responsibility of both the harvester and of the buyer/broker/wholesaler that purchases the product. In the absence of regulations aimed at enforcing sustainable harvesting practices (as is the case in Minnesota), it will be up to harvesters to follow sustainable practices, and to local buyers to ensure the products they purchase from harvesters appear to have been harvested using proper methods. In an area such as the NSFC region, where current harvesting is minimal and an industry is more or less being built from the ground up, the opportunity exists to demonstrate leadership in terms of the local industry following appropriate harvesting techniques. Not only is this approach the ‘right thing to do’ but it also supports a marketing program focused on sustainable and ethical production, not something the industry can legitimately claim in many cases. More details on methods for supporting sustainable harvest will be provided later in the report. Harvest timing, specifications, and post-harvest handling Most floral greenery is harvested in the fall-winter. For Christmas greenery (wreathes, swags, garland) this serves two purposes: Product is in the best possible condition in the lead-up to the main sales season (November-December) A minimum of two hard frosts are required to improve needle retention. Harvesting generally begins in early October and carries through into December, creating an intensive period of work in harvesting and producing wreathes and other products. Harvesting of other products is also generally concentrated in the fall-winter period. For redstem dogwood, blueberry, and sweet gale, the product of interest is the stems and the colour they turn often after a few frosts. None of these plants retain their leaves for any length of time after cutting. Although the materials are harvested after the leaves have dropped, not all the products are or need be marketed during this time. Cut stems will dry quite well and can be stored for later processing into twig wreathes. Further information on harvest timing, specifications and storage needs are summarized in the table below. Product Evergreen boughs (balsam fir, cedar) Harvest timing After minimum of 2 hard frosts (generally late September/early October to December Specifications Boughs are cut in lengths of 27– 36” for bulk sales. Specific lengths may vary depending on end use (i.e., garland making or wreathes). Storage Cool location, out of sun. North side of building suitable. Bales of boughs should be stacked on skids or pallets, with Notes If selling to wreath manufacturers, season will end by November. Boughs should be free of blemishes or frost burn Pussy willow Spring (when catkins appear – at early bud break stage) Redstem dogwood, blueberry Fall – Winter after leaf drop; best colour after frosts Sweet gale As above Wild rose Fall – leaves off but hips still in good condition Clubmoss Late summer – (Lycopodium) fall After CNTR, 2006. Bundle 20 2832” stems into a bunch. Some buyers prefer stems to be 39”, bundled in tens. Stems should be 28 – 32” in length. Bundle 20 stems into a bunch. Depending on end use; consult with buyers. Good material for twig wreathes. Branches with many hips on them; the colourful red hips are the desirable feature Aerial stems spaces between stacks to prevent overheating. Bales should be stacked no higher than 1 metre. Cool location, base in bucket of water for fresh market Temperature of 4–5 °C is ideal. Outside or shed storage is fine if the weather is cool enough and material is protected from the weather (sun, wind, snow, rain). Cool, out of sun. Hang in bunches Cool, out of sun. Hang in bunches Cool, out of sun. Can dry in tight bundles hanging in dry, dark location Some buyers prefer longer, sturdier branches to be used alone or in large displays – check before harvesting. Market Potential Other regions of North America have demonstrated the clear potential for developing significant sized industries based on floral greenery. New Brunswick is the largest greenery exporting province in Canada with approximately 4,500 full-time seasonal jobs and a value estimated at over 20 million dollars in annual sales. In a normal year, the province produces over 4.5 million Christmas wreaths and other types of greenery such as grave blankets, kissing balls, garlands and bundled brush32. In the US, Minnesota leads the nation in the production of Christmas wreaths with a similarly sized industry to NB generating $20 million in sales industry. The Minnesota industry is interesting because of its diversified production model leading to it being described as a ‘cottage industry’. Many families assemble balsam fir wreaths in their homes, then sell them to distributors. Women of Asian descent do much of the final assembly work, painting cones and tying ribbons before the wreathes are packaged and shipped across the country. Although not based for the most part on Christmas greenery, BC also has a large floral greenery trade estimated in the range of $20 – 40 million annually. Evergreen boughs such as western redcedar are shipped across Canada, including into the Ontario market where they are sold to florists or processed into wreathes and other products. What is being proposed for northern Ontario is not quite as ambitious over the shorter term, especially as existing large-scale producers are extremely difficult to compete with on the basis of price alone. A florist contacted for the study in Sault Ste. Marie related a story of how his small floral wholesale supply operation was forced to close his operation due to competition from one of the largest wholesale florist suppliers in Ontario33. The smaller operation was undercut on ‘everything’ including balsam and cedar wreaths, twig wreaths, and greenery bundles. In his opinion, value-added is now the only way to compete in the greenery and wreath trade. Much of the success with these products will depend on building strong links with markets that will reward quality, uniqueness, sustainable production, and other intangible features that producers can bring to the production of these goods. One potentially lucrative market that should be focused on in the initial development of a floral greenery enterprise is the fundraising market. The experience of the Northern Forest Diversification Centre in The Pas, Manitoba in attempting to compete in the wreath business in northern Manitoba is instructive here. Competing in this market was challenging due to a limited local market and the popularity of low cost imported wreathes. The lack of an economically viable local market forced the NFDC to develop markets largely outside of the region, including in the fundraising market where school groups, hockey clubs, etc. use the sale of wreathes as a tool to raise funds. In general, groups 32 33 http://www.infor.ca/?section=2 Rose Bowl Florists, Sault Ste. Marie. take orders with a sample wreath as an example, and then provide these orders to be filled by producers in time for a pre-Christmas delivery. Once the program was underway, up to 12 women were kept busy producing up to 800 wreaths in November for organizations in western Canada (D. Buck, pers. comm.). A detailed example of how one small wreath making business structures their fundraising support activities is available at http://www.moosemeadowsfarm.ca/ep-fundraising.html . Linked initiatives Waste material from the wreath operation could be utilized in an essential oil operation, an area being explored by the NSFC. The waste generated by a wreath operation would likely form a small proportion of the material required for EO production. However, the ability to point to greater utilization of harvested material may form an important part of the overall message for NTFP-based development within the NSFC, especially for marketing campaigns directly targeted at consumers. Pruning waste from the blueberry operation may also form a readily and cheaply accessible source of decorative material for seasonal and dried wreathes, swags, and other products. Charging people for the pleasure of making their own wreathes and decorative swags is a small but growing activity in various regions of Canada and could profitably link with local tourismrelated or other educational activities. In Ottawa, a nursery provides free seminars for wreath making but charges people approximately $50.00 for the supplies to make them34. They also take the opportunity to sell seminar participants related products and materials. A popular workshop (selling out every year) on wreath making is run through continuing studies at Royal Roads University in Victoria. These workshops cost $65 per person and run for 4 hours, all materials included. Similarly popular workshops are organized across Canada at community centres and through private businesses. 34 http://www.canada.com/life/relationships/Making+magnificent+wreath/2265096/story.html Essential Oils and Hydrosols Overview Essential oils are highly volatile, fragrant oils obtained from plant sources, containing a broad range of concentrated chemicals from the plant. The various components of the oils impart specific scents to the oil, and oils often contain dozens or even hundreds of these different components. Essential oils have three primary commercial uses: as scents in perfumes, soaps, detergents, cleaners and other products; as flavours in candies, soft drinks, and many other foods; and as health care products in pharmaceuticals, in dental products, in aromatherapy and other therapeutic applications. Depending on the plant, different plant parts are used to produce essential oils including the flowers (rose oil), the foliage (conifer oils), or the bark or wood (some types of cedar oil). Hydrosol is the distilled water that remains after the essential oil is removed from the oil and water mix that results from the distillation process. Hydrosol contains the water-soluble particles removed from the plant material through distillation. Some hydrosols also have a market, albeit generally not as strong as the market for the essential oil itself. Finding a market for the hydrosol produced in an essential oil operation is highly desirable because many more times the volume of hydrosol is produced than essential oil through the production process. Depending on the species of origin, uses for hydrosols range from fragrance sprays, to antifungal or mildew sprays, to bath additives, to use in lotions and a host of other products. A number of shrubs and trees in the NSFC region are potential sources of essential oils including a number of conifers, sweet gale, and Labrador tea. The most common method used for essential oil extraction is steam distillation. Distillation units can be purchased or fabricated; commercially sized units range in price from approximately $20-30,000 for the smaller units and up depending on the size of the operation planned. Quality control is extremely important in essential oil manufacturing and samples for testing will be required by manufacturers prior to agreeing to purchase. Although the process of oil extraction is relatively simple, it may take time to perfect the extraction process for high quality, consistent production. Targeted training and consulting services are available on the distillation process and are recommended for new startups. Quebec is considered to be the over-all leader in Canada in terms of essential oil production, but white cedar (Thuja occidentalis) oil is produced in Ontario and western redcedar (Thuja plicata) oil is produced in British Columbia. Quebec essential oil companies have offered advice and assistance to entrepreneurs from other provinces, and some will also build steam distillation units for those wishing to enter the business. Markets for essential oils are highly competitive, especially at the bulk/commodity level. Identifying opportunities for marketing at the retail or other lower volume, higher-priced levels of the market may be key to developing a viable business in this segment of the NTFP industry. Resource Base A number of plants found in the NSFC region have potential as sources of essential oils and hydrosols. Balsam fir (Abies balsamea) is an excellent source of essential oil that is already well known in the commercial trade. The scent of balsam fir essential oil is what has made this species a favourite for Christmas trees and for wreath production. Although less common in the area than balsam fir, white cedar (Thuja occidentalis) is locally abundant and is also commonly used to produce essential oil. Of considerable interest and less well known in the essential oil trade are two species, sweet gale (Myrica gale) which can be found ringing numerous lakeshores and large ponds across the region, and Labrador tea (Ledum groenlandicum, also known by its synonym Rhododendron groenlandicum). Although the abundance of the latter species is not known with certainty for the region, the Northern Ontario Plant Database (http://www.northernontarioflora.ca/) notes that Labrador tea occurs throughout Ontario in moist to wet, peaty soils, especially in bogs and wet coniferous forests. Given the lower recovery rates for oil in Labrador tea relative to other plants, large stands of Labrador tea need to be identified prior to planning production of essential oil form this species35. Other species – including other conifer species such as spruce and larch – have potential for essential oil production. If the decision is taken to develop a detailed feasibility study for wild derived essential oils and hydrosols, developing a more complete list of potential plants for harvesting in the region would be an important step. The investment in equipment is significant; the ability to diversify production into multiple oils with potentially different market niches may contribute to the over-all viability of the operation. For an informative listing of northern species from which essential oils and hydrosols can be derived, the Aliksir company website (http://www.aliksir.com/) is useful and includes pricing information on a number of products as well as their uses. Production and Harvesting Considerations When done with proper attention to the characteristics of the plant and the resources available, essential oil production is a sustainable use of local resources. In the case of the species perceived as having the greatest potential in the NSFC region (conifers, Labrador tea, sweet gale) harvesting involves pruning material from only a portion of the plant. A sustainable harvesting protocol for Labrador tea and sweet gale would need to be developed, providing 35 The image available on the Aliksir company website provides an indication of the dense stands of Labrador tea harvested from for the production of essential oil http://www.aliksir.com/en/Essentialoil/Quebec-Essential-oil/Labrador-tea-Ledum-groenlandicum/HE-LEGR-BIO-5ml_Group.aspx guidelines on the amount of the plant that can be harvested. The protocol would be expected to evolve over time as more information becomes available on the response to pruning of targeted species. A monitoring program should also be established to assess the impact of harvesting on plants and their environment (i.e., lakeshores and pond edges where sweet gale is found). Involving a northern Ontario university in the monitoring program is recommended to ensure an appropriate program is designed and for the added value of building links with institutions for other applied research initiatives. Research will also be required into harvesting methodologies that improve the efficiency of the harvest. For example, test harvesting of sweet gale in Manitoba involved the use of small rafts that could be towed behind harvesters cutting material from lake and pond shores (sweet gale often forms dense thickets growing up to, and hanging over, the water’s edge). Mechanized harvesting may be suitable for the harvesting of some material. Test harvesting of Labrador tea using brush cutters and rakes to gather the cut material demonstrated that large volumes of material can be gathered in a short period of time. A visit to the test harvesting site the following year indicated that cut plants responded with large amounts of new growth after cutting; these initial results need to be verified with longer-term research. An ability to monitor the impacts of harvesting is increasingly important both to help address any regulatory requirements from the Ministry of Natural Resources (MNR) but also to satisfy increasing consumer sensitivities around where material originates and how it is produced. According to Hillyer and Atkins (2004), there is virtually no specific policy and regulation focused on most NTFPs in the province of Ontario. This is a situation that is in no way unique and shared with most other jurisdictions in the country. Of course, all statutes and regulations (such as the Crown Forest Sustainability Act) in a general sense will apply to those involved in the NTFP industry. In September, 2009, the Ontario government implemented a realignment of forestry from the MNR to the Ministry of Northern Development and Mines which was in turn re-named as the Ministry of Northern Development, Mines and Forestry (MNDMF). The focus of the new Ministry appears to be largely on the development of industrial forestry while the focus of the MNR will remain on sustainable management with responsibility for forest policy and legislation. MNR field operations will continue to be responsible for forest management planning and compliance, and as such are the first stop for harvesters interested in harvesting raw material for essential oil production or any other NTFP. Front line staff are the best preliminary source of information on regulatory requirements, potential harvesting areas, etc. Transporting the material for processing is normally done by pick-up truck and/or trailer. A central location for the processing facility, as close as practical to adequate stocks of raw material, is recommended both to keep transport costs down and to minimize deterioration of the raw material (essential oil evaporation) prior to processing. Raw material is best processed the same day it is harvested to reduce the amount of evaporation of the essential oils from the cut foliage (ACE Royal Roads Consulting Group, 2007). The majority of desirable oil is found in the foliage, therefore material for processing should not contain an excess of woody material (i.e., smaller branches only). The use of logging waste has been proposed as a source of raw material for essential oil extraction, but the time delay involved in being able to access the material safely from active logging sites will result in greatly reduced oil recovery and the potential for cross contamination which is a serious issue in the eyes of brokers and distributors (ibid.). The production of essential oil is most commonly done through a steam distillation process. In this process, plant materials are often shredded or crushed in some way to expose as much surface area as possible to the steam, then loaded into a sealed container into which steam is forced. The volatile essential oils evaporate into the steam which is then condensed through a cooling chamber; the resulting mixture is hydrosol and essential oil which forms a layer on top of the hydrosol. The oil is then carefully removed and sold in anything from very small to bulk amounts. The amount of oil produced from a given volume of plant material will vary significantly between and sometimes within species, depending on the level of essential oil within that particular species, how the material is prepared, timing of the harvest, skill of the distiller, etc. Because essential oils are by their nature volatile, rapid processing of cut material will improve results in terms of oil recovery. One producer of conifer oil (Herbert Strobl, pers. comm.) reports using a hammer mill to reduce the plant material to as fine a grade as possible. The trade off is that oils will escape rapidly into the atmosphere if this finely milled material is not processed immediately. In general, a heavy grade chipper/shredder will serve to chip the material to an acceptable size for processing. Careful tracking of the results from each distillation run, with information on location, aspect, timing, etc. of harvesting will be important to improving results of production. The best harvesting season for maximizing oil recovery must also be established. In Ontario, Thuja occidentalis boughs have been typically harvested from the end of April to November (Mohammed, 1999). Based on research done in British Columbia, there are indications that oil yields are not consistent across the growing season and that oil yields in late summer may be greater than other times of the year (Helbig, pers. comm.). According to research by Agriculture and Agri-Food Canada (AAFC), the essential oil yield in Labrador tea decreases over the growing season and the youngest leaves produce the highest oil yields (Anonymous, no date). Highest yields were estimated to be available in July. The study also determined that raw material must be kept in a cool place out of the sun prior to distillation to avoid oil evaporation. Whatever the target species, research and careful record keeping is required to determine when yields will be highest. The harvesting of biomass for processing into essential oil has generally been done by selfemployed bough harvesters who are paid by weight. A similar approach is recommended for any operation becoming established in the NSFC region. Determining the prices to be paid to harvesters will need to be done through a process of assessing how much weight of boughs can be harvested per day on an average site as well as the pricing structure for the finished product. The cost of setting up a distillation operation varies significantly depending on the scale of operation desired. A commercial-sized operation likely requires an investment in the range of $50 – 80,000, not including any renovations or new building costs related to housing the operation. Working with a consultant is recommended to ensure the operation is properly designed and costed out. Distillation units can be fixed or mounted on a trailer to create a mobile system. Mobile systems36 are more popular for agricultural use as they can be moved from location to location, but are limited by the size of the unit that can be mounted and therefore the amount of raw material that can be handled at one time. Distillers also fabricate their own distillation units but this is only recommended if expertise exists to guide the process. There are many examples of poorly designed distillation units that demonstrate inefficiencies either in terms of poor recovery of oil, or in the design of the retort (into which raw material is loaded and unloaded) (Goodwin, pers. comm.). An expert assessment of either the unit you’re purchasing or considering building will be an investment that may pay large dividends in future. Market Potential A variety of markets exist for essential oils and hydrosols for everything from perfumes, household and industrial cleaners, to personal care products, aromatherapy, and food additives. The range of diverse markets makes it difficult to assess overall trends in the essential oil industry with certainty. It is a highly competitive industry, secretive, and mainly national and international in scope. At the wholesale/broker level, the industry is also largely controlled by a relatively small number of firms. However, the increasing interest among the general public in the use of natural products provides some indication of the potential for further development in the essential oils market. The growth in demand for ‘local’ products also appears to be spilling over from the food sector into other areas of the economy including service sectors. For example, some Canadian aromatherapists37 have expressed interest in locally sourced essential oils suitable for aromatherapy applications38 (Caine, pers. comm.). Pricing for essential oils depends on the amount on the market, the amount being purchased at one time (a vial versus a 180 kg drum), the rarity of the oil, the difficulty of extraction, and from season to season based on competition and other factors. Therefore, lower priced oils (such as balsam fir) are generally those that are easy to produce with good oil recovery, and/or have significant competition in the market. Oils derived from plants such as Labrador tea and sweet fern that have much lower yields and more limited markets, are likely to be significantly higher priced. In 2003, the price for Labrador tea essential oil was around $1,750 per kg; the entire 36 One manufacturer of mobile stills is Newhouse Manufacturing of Oregon http://www.newhousemfg.com/html/EOStrlr.html. Their mobile unit sells for approximately $30,000 in Canada after factoring in GST and customs broker fees (Helbig, pers. comm.). 37 Aromatherapy is the art and science of using essential oils for improving and maintaining health and beauty (Canadian Federation of Aromatherapists, http://www.cfacanada.com/default.asp) 38 Based on consumer focus group research conducted in BC in 2009, „local‟ is very much a relative term in the minds of consumers. „Local‟ can in fact be used to describe by consumers to describe products originating from a region, a province, or even from Canada (Low and Davenport, 2009). supply was sold before it was produced and the demand for the oil exceeded the supply (Anonymous, no date). The Aliksir website (http://www.aliksir.com/) is a good source of information on retail pricing for a range of different essential oils. Retail pricing for a selection of the oils that could be produced in the NSFC region as of early 2010 include: Common name White cedar Scientific name Thuja occidentalis Balsam fir Abies balsamea Sweet gale Myrica gale Labrador tea Ledum groenlandicum Black Spruce Picea mariana Larch Larix laricina Sweet fern Comptonia peregrina 5 ml $68.15 $31.96 $13.08 $121.47 15 ml 50 ml Hydrosol Bulk pricing (in CDN$ except *) $13.32 $32.51 $9.50 N/A $85.00 $21.08 N/A N/A $23.12 (1 litre) $23.12 (1 litre) $23.12 (1 litre) US$184.32 (864 g)* $14.23 $27.67 $39.95 $23.12 (1 litre) US$276.48 (864 g)* $1,750 per kg39 $23.12 (1 litre) All pricing from the Aliksir website except * from the White Lotus Aromatics40 price list. The latter pricing is by weight, not volume (these prices are converted from the 32 US ounce size = 864 g) (Coburn, 2010). Essential oils sold in bulk or wholesale markets are sold by weight not volume, and producers are recommended to record production information in those terms to allow better comparison with quoted prices (Goodwin, in Coburn, 2010). The consistent pricing on Aliksir’s hydrosols suggest the focus is on attempting to derive at least some value for a byproduct that is simply a waste product in many operations. Note also that large volume pricing (i.e., for a 180 kg drum of oil) will be much less. For example, Abies sibirica (Siberian fir) essential oil from Russia may sell for as low as $20/kg for a 180 kg drum (Matovina, pers. com.). Much work remains to be done on not only researching the chemical constituents of some oils and hydrosols, but also on market development and promotion for some of the lesser known essential oils. Brokers and market development consultants need information on the chemical constituents of oils and hydrosols if they are to be able to target certain uses and markets for the product (Matovina, pers. comm.). For example, some hydrosols and oils have application as flavourings for the food industry. Chefs are using certain oils and hydrosols in their cooking, another possible market outlet for properly researched and promoted products (http://www.aliksir.com/en/1Saba.aspx). 39 The 2003 price for bulk Labrador tea essential oil quoted in http://www.gaspesielesiles.upa.qc.ca/fhtm/pfnl/en/PFNL%20anglais/1926226-Labrador%20Tea.pdf 40 http://whitelotusaromatics.com/index.html Testing your oils through a reputable lab is recommended to ensure your distillation process is appropriate and that the constituents of your oils are broadly comparable with other oils on the market41. As already noted, a description of the chemical constituents is key to understanding possible applications for oils, especially oils and hydrosols that can be described as less wellknown or ‘niche’ products (i.e., the non-conifer oils especially). Aliksir, the essential oil producer in Quebec, has made the data sheets (including results of gas chromatography analysis) for its products available on their website42 which is a tremendous benefit for new producers wishing to assess their products against those produced by an experienced distiller. Due to the widespread problems with adulteration of oils, many companies will test oils before purchasing or as part of the purchasing arrangements. Even unintended adulteration (i.e., through improper cleaning of the distillation equipment) may lead to a rejection of the order and the loss of future orders. Vera Matovina of Plant Power in Toronto notes that the essential oil from balsam fir is already popular in aromatherapy and in formula for cough syrup; while the hydrosols of Labrador tea and sweet gale are excellent for skin care and some of her client companies are using them in these applications. The market may also be set to expand significantly for sweet gale (Myrica gale) essential oil. Research in the UK has shown that the oil has properties that slow down the skin ageing process as well as being effective in combating acne43. The promise of the oil for the natural skin care industry was enough to convince public and private partners to invest close to £300,000 in research and development, in part to determine ways to economically grow the crop as wild sources are not considered adequate to provide the material required (ibid.)44. The UK pharmaceutical giant Boots has already launched sweet gale in their Botanics Sensitive range of products and anticipates products based on sweet gale becoming a £50 million global industry in the health and beauty sector, presumably if supply challenges can be overcome45. The oils and hydrosols produced can be sold as bulk products to manufacturers such as pharmaceutical companies and others as well as presenting value-added opportunities for home- based and other small business ventures. At the initial level of small-to-medium scale production anticipated in the NSFC region, we recommend a focus on value-added production rather than attempting to compete initially in highly competitive bulk markets that demonstrate 41 The Laseve Corporation laboratory in Quebec (University affiliated) charges $115.00 per sample (2 ml) for chemical analysis. http://corpolaseve.uqac.ca/En/index.html 42 See http://www.aliksir.com/en/Essential-oil/Quebec-Essential-oil/Labrador-tea-Ledumgroenlandicum/HE-LEGR-BIO-5ml_Group.aspx as an example data sheet for Labrador tea essential oil. 43 http://findarticles.com/p/news-articles/herald-the-glasgowuk/mi_8039/is_20071224/highland-plant-boots-skincare/ai_n46724819/?tag=rel.res2 44 The oil can also be used to formulate a natural insect repellent – a more traditional use of the plant. A small-scale Scottish company has developed and is now marketing sweet gale essential oil as well as several value-added products using this oil and hydrosols including organic insect sprays, candles, and head nets. www.bogmyrtle.com 45 http://www.north-star-news.co.uk/news/fullstory.php/aid/3647/ numerous barriers to entry for new producers. A period of time (1-2 years) is required as an investment in building up the expertise to be a consistent producer, getting oils tested, experimenting with the plants described and other aromatic species, and developing market contacts. Note that value-added production in this case is also considered to include the strategy of selling lower volumes but at higher prices to buyers purchasing relatively small amounts of product per year (i.e., aromatherapy retailers, small-scale manufacturers). Large volume buyers may also have the expectation that producers will have large volumes of oil stockpiled and available on demand; a potentially unrealistic proposition for new distillers just getting started. Linked Initiatives Waste material from wreath operations could be utilized as feedstock for an essential oil operation. In reality, the waste material generated by anything other than a very large wreathmaking operation would be unlikely to come close to the amount of material required for a significant essential oil production operation. However, the message of maximizing utilization of plant material may be appealing to some segments of the essential oil/hydrosol market. Leftover plant material from essential oil production is useable as mulch in landscaping; the removal of the essential oils from the material makes it suitable for any application with no potential harmful impact on other plants. The distance to larger markets may make selling mulch unfeasible, but could be explored as a potential by-product of essential oil production. If the cedar mill in Chapleau becomes operational, there is the potential to tie in cedar oil production with the harvesting plans for cedar. Bough harvesters could move in right ahead of logging operations to remove as much material as practical prior to the trees being felled. If the mill at White River begins to generate energy from burning wood waste, steam could be drawn off for distillation, significantly reducing the cost of energy input into the operation. A cheap source of steam could move the project from unviable to viable provided adequate markets can be located for the oil and ideally, some of the hydrosol by-product. Contacts/Consultants in Essential Oil Production Plant Power – Vera Matovina Consulting, marketing, brokering of essential oils for the natural cosmetic and natural health care markets. Interested in collaboration on wild harvested product development. 39 Warren Crescent Toronto, Ontario M6S 4S1 Phone: 416-766-1254 Fax: 781-723-0756 E-mail: contactus@plantpower.ca Web: http://www.plantpower.ca/ Aliksir Incorporated Distilling, marketing, training, consulting 1040, chemin du Roy Grondines, Québec G0A 1W0 Phone: 418-268-3406 Toll Free : 1-866-596-3406 Fax : 418-268-3410 E-mail : info@aliksir.com Training and workshops: ecole@aliksir.com Web: http://www.aliksir.com/ Organic Fair Inc. – Kent Goodwin Distiller, marketer, trainer, consultant in essential oils. Organic and Fair Trade certified products. 1935 Doran Road Cobble Hill, BC V0R 1L5 Phone: 250-733-2035 Fax: 250-733-2036 E-mail: info@organicfair.com Web: http://www.essentialaura.com/index.html http://organicfair.com/shop/index.html Laseve Corporation Chemical analysis, custom extraction, R & D, market analysis, general consulting on essential oils. 555, boulevard de l'Université Saguenay, Quebec G7H 2B1 Phone: 418-545-5011 extension 5071 Fax: 418-545-5012 E-mail: laseve@uqac.uquebec.ca Web: http://corpolaseve.uqac.ca/En/index.html Herbal Teas and Bulk Botanicals Overview A wide range of appropriate raw materials for the preparation of healthy and delicious herbal teas are available growing wild within the NSFC region. The production of wild harvested herbal teas offers a range of opportunities from a small home-based business, right up to producers who may wish to buy and process product from other harvesters and package or sell in bulk. For the home-based business, harvesting and drying local products can be done with little capital cost. Preparing and testing the perfect tea blend can be a ‘friends and family’ affair requiring only taste buds and the sharing of honest opinions. Packaging in bulk and into herbal tea bags for local market sales can be accomplished on the kitchen table. Course granulation of materials can be done using small, dedicated electric coffee grinders, and labels and hang tags are easily done on the home computer. Training in species identification, product safety and post harvest handling are – as with other wild harvested products – key ingredients for success. Wild-harvested herbal teas are well-placed to take advantage of some current societal trends. Not only do these teas often taste great, but many offer a variety of potential health benefits, ranging from an abundance of naturally occurring vitamins and minerals, to high levels of antioxidants. An enormous wealth of information is available covering health benefits of different plants, as well as techniques for gathering, drying, and using herbs. For those interested in ‘local’ foods, these teas can be 100% Ontario wild crafted herbs. For someone with an interest in wild edible plants and looking for a supplementary income or home-based business, the production and sale of herbal teas is a relatively low-cost, low-risk enterprise to explore. The harvesting and marketing of medicinal herbs or herbs as ingredients in personal body care products is a potentially complimentary activity to the production of wild harvested herbal teas. The same processing/drying equipment is generally required and there are potential crossovers with some products (i.e., fireweed used in personal body care products as well as tea, chaga as a medicinal, nutraceutical, or ingredient in tea). Although potential earnings are highly variable in the medicinal herbs trade, diversifying your source of income is often a good strategy in the NTFP sector and will allow a new entrepreneur to find out what sells and what does not. Resource Base There is a tremendous range of plants growing in the northern forests that can be utilized to produce herbal teas. A partial list of species known or believed likely to occur in the NSFC region includes: Fireweed (Epilobium angustifolium) In Russian this is known as Ivan chai (chai being the Russian word for tea). The dried leaves and flowers of fireweed make a good base for an herbal tea, though some people find it bitter. In Russia, the leaves are sometimes ‘cured’ over heat to give an appearance and flavour somewhat closer to black tea. Harvest for tea before it blossoms. Mild and light yellow-green, this tea is known medicinally for its mild laxative effect and is high in Vitamins A and C. Stinging nettle (Urtica dioica) Very pleasant taste, mild, soothing to the stomach, and full of vitamins and minerals, including iron, calcium, potassium, manganese, and vitamins A, C, and D. Considered to be an appetite suppressor and an energy tonic. The greens are edible when cooked. Care must be taken during harvesting – wear clean gloves and long sleeves to avoid skin irritation, keeping in mind this is a food product. Drying destroys the stinging hairs which contain formic acid. Wild mint (Mentha arvensis) An excellent base for a flavourful, mild herbal tea. It can be readily identified by its squared off stem and the smell of mint when a leaf is crushed. Apart from its pleasant taste, wild mint is also considered to be good for settling the stomach. Grows in moist riparian areas, and on lake shores and river banks. Easily transplanted into a shady site. Raspberry leaf tea (Rubus idaeus) The leaves are high in vitamin C, iron, and calcium. Raspberry leaves are best harvested before and during blossoming; reports suggest leaves picked after fruit is produced are significantly altered in flavour. Tea should only be made from fresh or completely dried leaves. Wild strawberry leaf tea (Fragaria virginiana, Fragaria vesca) Strawberry leaf is one of the highest naturally occurring sources of vitamin C available. Tea produced from the leaves has a mild fruity flavour. Young leaves can be harvested throughout the spring and summer, but during blossoming they apparently provide the finest flavour. As with raspberry leaf, do not use wilted or partially dried leaf for tea. Chaga tea (Inonotus obliquus) A black, crusty looking brittle fungus found on birch trees. Chaga has a long history in northern and eastern Europe of use as an anti-cancer tonic, but also produces quite a tasty tea. Although an infected tree will die in about 20 years, the fungus may be harvested sustainably using a chisel; the chaga will keep growing and may be harvested again in a few years. The whole fungus is sliced, dried, and ground to make tea. Reports suggest that chaga may also be extremely high in antioxidants. Wild berry tea: dried blueberry, lingonberry, etc. (Vaccinium spp.) A very simple and delicious tea can be made from the dried berries and leaves of various species of the Vaccinium genus. Both berries and leaves of blueberries can be dried together to make a tasty and very healthy tea. Sweet fern (Comptonia peregrina) Although not actually a fern, sweetfern leaves have a fern-like appearance and a pleasant odour when crushed. The dried leaves are reported to make a flavourful tea and are included in commercially available herbal tea mixtures46. A high-priced essential oil can also be distilled from the leaves of sweet fern. This list is just a sample of the many species that can potentially be used to make herbal teas. Other possible tea ingredients recommended for further exploration include giant or blue hyssop (Agastache foeniculum) which produces a pleasant, anise flavoured tea from the leaf and flowers; although only confirmed from northwestern Ontario, it may be present further east in the NSFC region. Labrador tea (Ledum groenlandicum or Rhododendron groenlandicum), not surprisingly, has a long history of being used as a tea. The taste is not everyone’s ‘cup of tea’ and it can cause drowsiness if consumed in large amounts, but it is a component of tea blends or is used on its own. Rose hip tea from a variety of species of the Rosa genus is considered to be healthy and delicious. Removing the seeds and hairs from the hip is recommended prior to making into tea. Any number of combinations of herbs may be used to create interesting and tasty tea blends. Some prefer the straight herb (i.e., just nettle, or just mint), while others find mixtures more interesting. In the absence of readily accessible recipes, experimenting with different combinations is generally the best way to come up with flavourful mixtures with the right proportions of different herbs. Medicinal botanicals of interest that grow in the NSFC region include: balsam poplar buds (Populus balsamifera), blue flag (Iris versicolor) 47, highbush cranberry (Viburnum opulus) and possibly chaga (Inonotus obliquus). Canada yew (Taxus canadensis) is already beginning to be targeted in the region by a large harvesting and processing company. That may provide another opportunity for contract harvesting for an existing buyer. There have been questions raised about the sustainability of Canada yew harvesting in various parts of Canada. Other potentially marketable medicinal plants almost certainly exist, and connecting with brokers (see contacts below) on a fairly regular basis is the best strategy for staying on top of any emerging opportunities. 46 http://www.algonquintea.com/content/teas/sweetfern-tonic.shtml Note that the identity of „blue flag‟ in commerce must still be confirmed, but is believed to be Iris versicolor. 47 NOTE: There are significant concerns and sensitivities among a high proportion of First Nations regarding the commercialization of traditionally used medicinal plants. Moving ahead with a significant scale of commercial harvesting without attempting to address these concerns may have unforeseen and negative consequences for a new enterprise. Many First Nations are quite clear that ‘consultation’ alone on topics of cultural (or other) significance is not enough – they are looking for opportunities to get involved and share in the benefits from business activities taking place on their traditional territories (Centre for Non-Timber Resources, 2005). Staff at the NSFC have worked with local First Nation partners to build a relationship based on mutual respect. It is strongly recommended that non-Aboriginal entrepreneurs considering a business based on medicinal plants (or indeed other NTFPs) contact the NSFC to discuss their plans, what sensitivities might exist, and where there might be local partnership opportunities that will create additional benefits to the business and local communities. Harvesting and Production Considerations Given the abundance and availability of most of the herbs suggested for producing herbal teas, it is unlikely that overharvesting of raw material would become an issue even for a moderately large herbal tea operation. A common-sense approach – not harvesting more than 25% of material in one patch, not harvesting at the edge of campgrounds or other sites that may impact on other forest user’s enjoyment – will likely avoid any problems. Returning to harvested sites to observe impacts and adjusting harvesting practices as needed will help you answer any questions that may arise from resource managers, other forest users, consumers, etc. about your harvesting practices. If the producer is buying raw material from other harvesters – once companies reach a certain size this allows the manufacturer to concentrate on processing, packaging and marketing – it is the manufacturer’s responsibility to ensure that sustainable and safe harvesting practices are followed. Because these are food products, harvesters should: Practice good personal hygiene (i.e., wearing clean gloves to harvest) Pick into clean, food grade containers Keep general records of what plant material was harvested from what site, should there be questions about proper identity or contamination concerns Not pick close to roadways, in drainage ditches, where chemicals have been sprayed (forest sites or farm field edges) or anywhere that contamination is suspected Please see Appendix 1 for an example of guidelines that can be developed for harvesters working with edible products. In general, plants should be purchased from harvesters in a form that allows them to be readily identified. This could be in a fresh or dried form but it should be before leaves are cut or crumbled which can make identification difficult or almost impossible if the leaves are finely ground. Although the risk of incorrect identification or cross-contamination is relatively low, marketers of herbal teas must be sure of the safety of their product. Inexperienced harvesters could, for example, mistake Labrador tea (Ledum groenlandicum) for bog laurel (Kalmia polifolia) or bog rosemary (Andromeda polifolia), both of which contain toxic alkaloids known to be poisonous to livestock (MacKinnon et. al., 1992). Prior to drying, check each bundle of herbs for dead or discoloured leaves, spider nests and any other contamination. Cleaning is much easier to do when the plant stems are flexible, rather than when the bundles are dried, and much more efficient than picking through a pile of stripped leaf material or flowers. If harvesting when the weather is hot and dry, store the harvest in the shade (i.e., on a clean tarp). Fresh harvested material contains large amounts of moisture and large piles or large bundles of herbs could heat up causing the plant material to turn brown during the drying process. Try and process the material the same day, but if this is not possible, store the plant material in a cool area, hanging if possible. Do a final inspection of each bundle before drying. Different methods can be used to dry the herbs. Leaves or cut stems (i.e., strawberry leaves, tops of fireweed) can be laid on clean screens in a warm room, out of direct sunlight with air movement provided by a fan. If you are using only a dehydrator, take the bundles apart and arrange on the drying trays. Leaves should be placed in one layer and may need to be turned to ensure proper drying. If you are hanging the bundles in a dark room with a fan, hang the bundles so they do not touch each other. Ensure that there is adequate ventilation (i.e. open windows) for the moisture to escape. If possible, use both methods so that the dried material from the dehydrator will be dried the following morning and can be stripped into a container and processed first. Drying hanging bundles until they are crisp may take several days. When the material is crisp, strip it from the stem into large clean containers, and store in large plastic bags to prevent rehydration. For long term storage, material should be stored in a dry place or a freezer. Market Potential The last decade has seen a growing interest in herbal teas and specialty teas. Many specialty tea categories, including a number of so-called “functional” or medicinally-oriented herbal teas, are experiencing rapid growth48. The growth in consumer demand in specialty tea markets is significantly outstripping growth in the demand for traditional tea by approximately 3:149. Agriculture and Agri-Food Canada attributes growth in the tea sector largely to the health benefits associated with tea consumption, including the antioxidant-rich properties of tea50. The authors of the Agriculture and Agri-Food Canada report also noted that teas were being 48 http://www.foodnavigator.com/Financial-Industry/Speciality-and-herbal-teas-to-drive-growth-inflagging-market 49 http://www.teausa.org/general/002ga.cfm 50 http://www.ats.agr.gc.ca/us/4482_e.pdf produced with popular “superfruits” such as pomegranate and blueberry to boost the healthpromoting qualities of their products. At the scale of herbal tea production we initially envision for the NSFC region, the global market for herbal tea is perhaps less relevant than the ability to create a locally branded product that tastes great and contains ingredients generally perceived to be health-promoting. Herbal tea production is inexpensive and simple to get into; lending itself to a small-scale home-based enterprise that can be grown over time. We believe good opportunities exist to serve regional markets initially – including the tourist market – and perhaps develop the business to enter larger markets over time as ‘made in the north’ teas prove themselves able to compete. An example of a possible market opportunity for local, unique, inexpensive products like herbal teas that is currently being missed is the train station in Hornpayne where the ‘Canadian’ (travelling between Vancouver-Toronto three times per week) Via Rail train makes regular scheduled stops. Based on discussions held with the economic development intern in Hornpayne, there is virtually nothing for the tourists that come from all over the world to purchase during this 35 minute stop. In fact, tourists have been reduced to purchasing nails from the local hardware store as they scramble to find something uniquely ‘Canadian’. Attractively packaged herbal teas, with an appropriate back story on sustainable harvesting, anti-oxidant qualities, etc., would almost certainly sell well. If permission could be obtained to serve free samples (ideally in biodegradable cups) on or near the platform, a tasty tea might almost sell itself. An attractive and unique sampler of a wild harvested tea collection packaged in a locally produced birch bark box would undoubtedly fetch a good price. This is only one example of a currently unrealized opportunity for selling unique NTFPs in the region. Simple unique packaging using local materials (such as birch bark) and marketing in local craft shows, gift stores, and fund raisers, will enable new entrepreneurs to develop and increase his/her marketing skills without significant risk. For those who wish to penetrate larger markets, and perhaps both harvest and buy additional product, and add value by drying, processing and packaging their teas, large garden centres, specialty gift shops, “Canadian” gift catalogues, a booth at National and International trade shows, and specialty websites are all avenues that can be explored. For wild harvesters who may wish only to harvest and dry tea raw materials, there are companies and brokers who may be interested in buying their bulk product. Kim Elkington (pers. comm.) from the Algonquin Tea Company states that the company currently purchases raw material from harvesters in Ontario and Quebec and will need to continue and possibly expand this practice in future. The regulatory framework for natural health products in Canada demands caution when it comes to promoting health benefits. Whether or not chaga fungus has a proven track record in preventing or treating cancer in other countries51, claiming on your packaging that chaga will cure cancer will get your product pulled from sale. However, discussing the impressive 51 http://www.naturalnews.com/028344_folk_remedies_cancer.html antioxidant features of chaga and a variety of wild berries and other products, can be done in a way that stays within the boundaries of the regulations. The Algonquin Tea Company website (http://www.algonquintea.com/index.shtml) provides an interesting lesson on the use of language regarding the ‘traditional’ uses of ingredients; it makes no health claims regarding the products but discusses why products were used in the past. Consumers draw their own conclusions based on the information provided. Another decision that must be made with regard to herbal tea sales is loose or in a bag? For convenience sake, many consumers are used to purchasing their herbal tea in a teabag. Although an automated tea bagging machine is an expensive investment, even small-scale tea producers can sell their products in a tea bag. The Metropolitan Tea Company in Toronto (see the next section) sells herbal tea bags made in Germany from natural materials. Purchased in bulk amounts, the price per tea bag is .05 to .08 cents. The tea bag holds two teaspoons of coarse ground tea material, or approximately 1-2g. After filling, the bag is then folded and sealed with an iron. The drawback to selling herbal tea in a bag is that consumers are unable to see how attractive the ingredients can be (flowers, dried berries, etc.). The Northern Forest Diversification Centre52 in The Pas, Manitoba which ran a wild products training and marketing centre sold tea in both bags and as loose tea to provide consumers with a choice. Algonquin Tea Company teas retail for $6.00 Canadian plus shipping for a 24g box containing 24 tea bags. The Northern Forest Diversification Centre teas retailed for anywhere from $4.90 for wild mint tea for 28g of loose tea in a coloured bag, to $7.95 for 8g of tea in individual tea bags in a decorative tin. Contacts/Resources for Herbal Tea/Bulk Botanicals Production The Algonquin Tea Company Potential buyers of bulk herbal tea products such as sweet gale, pine needles, blue hyssop, sweet fern. Contacts: Steve Marten, Kim Elkington RR5106 Augsburg Road, Eganville, Ontario K0J 1T0 Phone: 613-628-6157 E-mail: spirit@algonquintea.com Web: http://www.algonquintea.com/index.shtml Metropolitan Tea Company Ltd Wholesale only. Source of tea packaging materials, including bags, tins, etc. 41 Butterick Road, 52 The NFDC ceased operations in 2006. Toronto, Ont. M8W 4W4 Ph: 416-588-0089 Email: www.metrotea.com Web: http://metrotea.com/index.htm Lonewolf Herbal Products Inc. – Wanda Wolf Buyer and seller of bulk and value-added herbal products. Box 2245 Battleford, SK S0M 0E0 Phone: 306-937-2192 Fax: 306-937-2270 Toll free: 1-888-937-2192 E-mail: lonewolf@sasktel.net Web: http://www.lonewolfherbdir.com/ Ridge Runner Trading Company, Inc. – Anthony J. Hayes, President Botanicals broker. P.O. Box 391 Boone, NC 28607 USA Phone: 828-264-3615 Fax: 828-262-3605 E-mail: herbalogic@yahoo.com Strategic Sourcing, Inc. Botanical Division – Edward J. Fletcher Botanicals broker. 115 Snow Ridge Road Banner Elk, NC 20604 USA Phone: 828-898-7642 Fax: 828-898-7647 E-mail: Efletcher@StrategicSourcingInc.net Wild Mushrooms Overview The harvesting and marketing of wild mushrooms presents a range of economic opportunities for residents of northern Ontario. There are several species of edible and marketable wild mushrooms to be found in the region, all of which are also present across much of Canada’s forest regions. Some of the mushrooms that are in demand and have a good market include: black morel (Morchella elata) chanterelle (Cantharellus cibarius) king bolete (Boletus edulis) However, these opportunities are presently limited in the NSFC region (as they are in many other parts of Canada) because of the lack of proper training on mushroom identification, post harvest handling, dehydration techniques, and a working knowledge of markets for wild mushrooms. In western Canada, due to the relatively longer history and more developed commercial trade in wild mushrooms, trained and experienced mushroom pickers follow the buyers to areas that are producing. Depending on the year and global markets and prices, anywhere from $10 to 42 million in wild mushrooms are exported from British Columbia each year. Markets for wild edible mushrooms are international in nature. Pine mushrooms are exported almost exclusively to Japan, while chanterelles and other wild mushrooms are exported primarily to Europe and other parts of North America. Mushrooms are also commercially harvested in Europe, China, Southeast Asia and many other regions of the world. The wild mushroom industry is a true international economic sector and highly competitive for new companies to enter. Over the past decade or so, as knowledge of Canadian wild mushrooms and interest in these products among the public has developed, domestic markets are growing. It is these markets that may hold significant promise – at least initially – for new start-ups for a wild mushroom industry in northern Ontario. NOTE: Correct identification of your product is of course key to the successful and safe operation of a wild mushroom enterprise. No mushroom should ever be eaten if you are unsure of its identity. Identification guides are helpful, but are NOT a replacement for expert advice! Although fatal poisonings are rare, there are some look-alikes to common edibles (i.e., early verpa or Gyromitra in the case of morels) that could cause stomach upset or worse for inexperienced harvesters. Work with an experienced picker or take an identification workshop. This is an important investment in skill development for a would-be wild mushroom entrepreneur. Experienced pickers are a tremendous resource for new and developing entrepreneurs. With their guidance, would-be harvesters will develop confidence in the identification and handling of the most common commercially harvested mushrooms. Resource Base As is true of many other NTFPs, little concrete information is available regarding the size of the wild mushroom resource in northern Ontario. However, even a highly conservative estimate would suggest that the wild mushroom resource in the region could potentially be worth in the millions of dollars. One good sized forest fire with the required environmental conditions, reasonable road access for pickers, and the presence of buying stations might lead to a harvest worth in the hundreds of thousands of dollars. One fire outside of Canal Flats in the southeast corner of BC in the late 80’s saw one company buy mushrooms worth over a million dollars over a one month period (Foote, pers. comm.). This experience can be contrasted to Northern Manitoba where there has been very limited experience with commercial mushroom harvesting. In 2001, an experienced BC buyer (and former Manitoba resident) traveled to Grand Rapids with a portable mushroom dryer to buy morels at the site of a fire the previous year. Local First Nations residents in the area had no experience with harvesting mushrooms. After setting up his operation in a nearby campground, the buyer was able to train local residents and begin purchasing morels. Even though pickers had to be trained and the large burn was located on an island (which created some transportation challenges) local residents were paid over $80,000.00 in about 3 weeks of picking. Some residents reported making $400.00 a day (at $4.25 per lb for fresh morels) for about 6 hours of picking. Many of the most commonly harvested and highly valued wild mushrooms can be found in Ontario such as chanterelles, morels, various boletes, and the pine mushroom53. Most of these mushrooms are mycorrhizal, meaning they form a beneficial association with a plant species, often a tree (Anonymous, no date). Without this form of association, which is extremely difficult to reproduce, the mushroom will not grow; because of this, domestication is likely to prove difficult, at least for the time being. Information on tree-fungal associations for the most common commercial mushrooms is available and will assist with identifying prime locations for potential mushroom harvesting. Inventories can be somewhat challenging due to the significant year over year variations in fruiting abundance and timing. Production and Harvesting Considerations The wild mushroom industry is full of variables, and can result in a “feast or famine” phenomenon of highly productive years interspersed with very poor years in terms of mushroom productivity. A dry cold spring or fall may produce few or no mushrooms. When the conditions are right (damp and warm/hot enough) during the particular season, there may be an 53 http://www.ont-woodlot-assoc.org/sw_mushrooms_2.html abundance of mushrooms. Research is continuing to help us more fully understand the fruiting response of commonly harvested mushrooms to differing environmental conditions and habitats. On a good site under favourable conditions, large amounts of mushrooms can be harvested. An Ontario study from the 1990’s (quoted in University of Alaska, 2005) noted that the direct economic benefit from harvesting wild mushrooms was significantly greater ($197/acre/year) than for harvesting pulpwood ($138/acre/year). Good sites for chanterelles on the Gaspé Peninsula will yield over 19 kg per ha (Anonymous, no date). Depending on the end market, this amount of chanterelles could be worth between $125.00 and $500.00. Generally speaking, there are few risks to wild mushroom resources if proper harvesting practices are followed. There is much greater impact on fungal resources from habitat disruption (i.e., clearcut logging in the case of species such as pine mushrooms, or conversion of habitat to roads or development sites) than there is from harvesting. Understanding that mushrooms are actually the fruiting body of the vegetative part of the fungus that lives underground (known as the mycelium) helps us to understand that minimizing disruption to the soil will preserve the body of the fungus and future mushroom harvests. It is recommended that most commercial mushrooms are harvested by cutting to reduce soil disturbance. Harvest methods for commonly harvested wild mushrooms Common/Scientific Name(s) Boletes, ceps, porcini (Boletus edulis & other species) Harvest Method Notes Methods for harvesting boletes can range from pulling, cutting to digging. Chanterelle (Cantharellus sp.) Hand picked, normally cut at the base just above ground level. Morel (Morchella sp.) Pinch or cut the stem just above ground level. The market may dictate how Harvesting takes place starting in mid-late summer. Exact fruiting times vary depending on the location, elevation, and weather. The mushrooms must be picked young, as they tend to become infested with insects. If in doubt, slice in half lengthwise to check for infestation of small worms. Note that some Boletus species are poisonous. Harvested in the late summer and into early fall depending on temperatures and moisture. Pulling or otherwise disturbing the soil is discouraged as it is believed to negatively impact future reproduction. Most commercially harvested morels are picked from areas that have recently (the year previous is preferred) been burned by Common/Scientific Name(s) Pine mushroom (Tricholoma magnivelare or other Tricholoma species54) Harvest Method Notes much stem is left beneath forest fires. Burns can produce huge quantities of “fire morels” in the first year after fires, with yields declining sharply in subsequent seasons. A smaller, but more regular harvest, of ‘naturals’ also occurs. As with all mushrooms, weather is a critical factor in determining the production of morels. The morel harvest usually occurs with the onset of warm spring days with cool nights (May-June depending on climate and altitude) and sufficient ground moisture. Morels may cause stomach upset in some people when consumed with alcohol. Mid-late summer into fall is the primary season for harvesting pine mushrooms. Hand picked. Pine mushrooms are gently pulled from the ground, never cut. Cutting greatly reduces the value in the most important markets for pine mushrooms. After Centre for Non-Timber Resources, 2009. Many pickers use baskets or buckets that allow spores to escape after harvesting during transport off the harvest site. Pickers should also be made aware that these are food products and only food-safe containers should be used for harvesting or transporting55. Mushrooms should be kept as clean as possible after harvesting and should never be washed as this degrades the mushrooms and can lead to rapid deterioration. Shelf-life varies significantly between species. Fresh morels have a short shelf life, and need to be preserved by drying (if for the market or by freezing for personal use). Dried mushrooms may be kept for one to possibly three years, if properly dried and preserved, in anticipation of better market prices at a later date. The ideal time lag between picking and final point of sale is no more than a day (University 54 There is some debate over the exact species of pine mushroom in different parts of Canada. Recent research may indicate that the pine mushroom in northern Quebec may be a distinct species from the pine mushroom in BC (Le Gal, pers. comm.). Because of potential market advantages (due to greater similarity with the Japanese „true‟ pine mushroom) it is worth the trouble to work with a mycologist or institution to positively identify the species of pine mushroom found in the area. 55 It may seem obvious, but many pickers actually have a poor understanding of what these products are used for, including the fact that they may be a food or medicine. If you are purchasing from harvesters for resale, it is your responsibility to ensure products are properly and safely handled. of Alaska, 2005). While drying is a suitable preservation method for morels and boletes (which also spoil relatively quickly), chanterelles do not dry well and the market for dried chanterelles is quite limited (Anonymous, no date). However, chanterelles hold comparatively very well under refrigeration (two weeks or even longer) and have less problems with worm infestations than many other mushrooms (ibid.). Buying locations for mushrooms are typically mobile buying stations where transactions between harvesters and buyers are based almost entirely on cash. Many commercial harvesters are transient and travel long distances to follow the fruiting of commercial mushroom species. Buyers typically work as contractors to one of the major companies. Some of these individuals may be from the local area, but many of them are also transient. Mushroom wholesale/ distribution companies usually concentrate on acquiring one or a few species. They perform cleaning, fresh packaging or processing services (for example drying and/or canning depending on the species) before the mushrooms move on to market or other steps along the marketing chain. Before purchase, mushrooms are weighed and graded, with the final price per pound being based on size and quality criteria for some species, as well as on supply and market demand (Centre for Non-Timber Resources, 2009). Market Potential The wild mushroom industry is truly global in scope. Wild mushrooms are widely traded with the great majority of Canadian wild mushrooms destined for export markets. Like other commodities, prices for mushrooms are dependant on what is happening in other parts of the world. For example, an excellent chanterelle harvest in Poland may significantly depress prices for chanterelles coming out of BC. The timing of the harvest may also be important. Chanterelles appear in Saskatchewan earlier in the year than chanterelles in BC, resulting in SK chanterelles fetching a higher price. The fact that they are smaller and more similar in size to European chanterelles and have a delicate floral aroma also may be a factor in their popularity (Ivanochko, pers. comm.). Some of the features noted for the Alaska morel industry are also relevant to potential industry development in northern Ontario. The morel industry is dependent upon the world mushroom market and morel availability (morels come from India, China, Russia, Eastern Europe, and the Pacific Northwest). In Alaska, morel production and sale, already dependent upon weather and wildfire, is further constrained by accessibility including whether a site can be reached by boat or car, and Alaska’s remove from the major morel markets in Europe. As the report authors note, the variability in both availability and price means that Alaskan entrepreneurs must be both innovative and flexible in obtaining and marketing these mushrooms, and must develop expertise in processing, handling, and marketing (University of Alaska, 2005). Small and medium-sized wild mushroom producers consulted in Ontario, BC, and Quebec56 all perceive that the market for these products is expanding within Canada as consumer awareness grows along with interest in gourmet and local products. Businesses such as Forbes Wild Foods in Toronto are taking advantage of the growing interest among chefs for high quality mushroom products. Recent mushroom pricing Pricing on wild mushrooms varies significantly from year to year due to global competition and fluctuations in production. There does not appear to be any particular trend for mushroom prices on global markets though prices for pine mushrooms out of BC have declined significantly from prices seen in the 80’s and 90’s, due to factors such as increasing competition from global sources, quality concerns, and the Japanese economy. Prices also vary depending on the end market; the closer you can get to the consumer, the higher they will be. Many mushroom pickers know their expertise is in harvesting and prefer to leave the marketing to someone else; they also want to be paid the same day and not wait for a potentially better pay-off days or weeks later. As one picker put it, “When you ship *your own mushrooms+ there's the responsibility of getting them on the airlines, packing, weighing and paying the group. There were six of us picking. So much simpler to just pick, sell, and you're finished”. The difference in pricing was $1.50 lb between the higher price for taking care of your own shipping and marketing locally, but this picker preferred the latter market. The exception is those who pick and dry their own morels or boletes and sell them when the prices are right. Hard work for many days straight to be sure, but pay-offs of $20,000 or more for 2 months work is not unheard of providing conditions are right and the picking is good. Chefs in Toronto in 2009 were paying as much as $18.00- $20.00 lb. for fresh morels imported from the US Pacific Northwest. Prices to harvesters are $8 to $12 a pound to brokers in Toronto depending on timing (early in the season), or if they are local. In the field (i.e., at the burn site), picker prices have mainly been between $5 and $9 a lb over the past few years. Fresh morels in Toronto Farmers’ Markets were selling for approximately $36 lb in 2009. Dried morels in 2009 were going for $60.00 to $75.00 a pound to pickers, up to as high as $100.00 from mushroom brokers. The morels are then re-packaged by a company in Toronto and sold in smaller quantities at an approximately 100% mark-up. Boletes are rarely sold fresh because they spoil quickly. Companies have been buying boletes for between $5 and $10 a lb in the field and their price may reach as high as $24 in farmer markets. Dried Boletes go for about $70 kg (plus shipping) from pickers. A 50 gram package will sell at retail for about $12.00. 56 http://www.untamedfeast.com/, http://eng.gourmetsauvage.ca/, http://www.wildfoods.ca/index.html Chanterelle pricing has fluctuated significantly in recent years, settling in the range of approximately $3.00 to $5.00 (picker price) depending on location and time of season. Prices dipped below that during the height of the season on the BC coast. Chanterelles sell at markets in Toronto for $18 - $24 lb depending on how rare they are at the time. Dried chanterelles can be purchased for about $60 -$70 lb from pickers and about $80- $90 from brokers. They sell for approximately $12.00 for a 50 gram package. By comparison, retail and prices to restaurants in BC were in the range of $12 lb for the 2009 season. Building a mushroom industry in Northern Ontario What is required to get a wild mushroom industry off the ground in northern Ontario? There are a number of elements that could enhance the likelihood of building a long-term industry in the region. An educated picker workforce – even if small to begin with – and the ability to either attract a buyer to the area, or to develop the abilities of a local entrepreneur willing to get behind the industry, could make a key difference to success or failure of the initiative. The experience of northern Saskatchewan is instructive in this case. The Saskatchewan government supported a ‘Northern Agriculture Specialist’ to work on both NTFP development and wild rice through the 1980’s and 90’s. Gerry Ivanochko spent several years training residents of First Nations and Metis Communities in the proper harvesting of mushrooms. This training has paid off many times over during that period with BC and American mushroom buyers traveling to Northern Saskatchewan for the Chantrelle harvest and setting up buying/drying stations to purchase ‘fire’ morels. Hundreds of thousands of dollars have been earned by local harvesters who received their first introduction to mushroom identification and handling techniques from Gerry. There may be human resources much closer to home that could be called upon for mushroom training and to possibly support industry development. While researching the report (and unfortunately after the last trip was made to Ontario), the authors came across the website for the Parkway Motel in Wawa57. The owners of the motel highlight their knowledge of wild edible mushrooms and promote the opportunity to engage in both wild mushroom and wild blueberry harvesting. As the owners note, they both originate from Poland where there is a strong tradition of wild mushroom harvesting and they offer their services in guiding, cooking, dehydration and preparation of mushrooms. No doubt there are others in the region with an interest in harvesting and possibly marketing wild mushrooms either to buyers at the local level or possibly through a cooperative to larger markets such as Toronto. Jonathan Forbes of Forbes Wild Foods has expressed a strong interest in working with northern Ontario suppliers to gain access to the abundant mushroom, berries and other edible resources of the region. Initial discussions with an existing and supportive marketer are recommended as a good starting point to examine what opportunities exist and 57 http://www.parkwaymotel.com/blueberries.html how to bring them to fruition. Although the economic opportunity may not be as large as that presented by commercial wild blueberry production, creating an awareness and appreciation of the potential of wild mushroom harvesting to generate additional economic opportunities (as was done to get a prospective blueberry producer on board) will be essential to attract harvesters and those interested in creating businesses. The NSFC could support this process through the creation of a position or positions that would support awareness-raising, training delivery, and connecting to potential markets. Please see the section on ‘Building awareness, capacity and the support structure for the NTFP sector’ for recommendations on supporting industry development. Contacts/Consultants for the Wild Mushroom Industry Forbes Wild Foods – Jonathan Forbes One of the largest wild food businesses in Canada. Interested in collaboration and accessing wild food products (including mushrooms and berries) from northern Ontario. Box 95, 358 Danforth Avenue Toronto, Ontario M4K 3Z2 Phone: (416) 927-9106 Fax: (416) 927-8130 E-mail: forbes@wildfoods.ca Web: http://www.wildfoods.ca/index.html Association pour la commercialisation des champignons forestiers A Quebec-based organization working to ethically and sustainably develop the wild mushroom industry in Quebec. The Association works to maintain a competitive market, to share knowledge about mushroom collection and production and to help in obtaining a fair market price for producers. Marie-France Gévry Pavillon Abitibi-Price 2405, rue de la Terrasse, bureau 3187 Québec, QC G1V 0A6 E-mail: info@acchf.ca Web: http://www.acchf.ca/ Gourmet Sauvage Inc. – Gérald Le Gal Consultant and wild foods entrepreneur. Very active in developing the wild mushroom industry in Quebec. Box 5098 Sainte-Adèle Québec J8B 1A1 Phone: 450-229-3277 Fax: 450-229-3312 E-mail: gourmet.sauvage@qc.aira.com Web: http://www.gourmetsauvage.ca/ Betty Foote A pioneer in the wild mushroom industry in BC starting in the 1970’s, Betty helped build the sector into a multi-million dollar industry. Now retired, Betty will consider consulting opportunities to help grow the industry in other areas. Through her business, ‘Betty’s Best’ Betty bought and sold mushrooms from right across Canada. E-mail: trapperscabin@xplornet.com Supporting NTFP development in the NSFC Region The identification of possible NTFP opportunities for further development is an important step in NTFP sector development in any area. However, highlighting opportunities on their own are unlikely to lead to the creation of a diverse sector that provides opportunities for a broad range of the population to participate in, and benefit from – a hoped for outcome from NTFP development in the NSFC region. There are a number of barriers standing in the way of the development of a vibrant NTFP sector in the NSFC region. None of these barriers are insurmountable, and suggested approaches to address these challenges will be outlined in detail. Barriers to NTFP Development Distance to markets The distance to larger markets is a challenge, but not insurmountable. The reality is that most NTFPs harvested in Canada travel considerable distances to reach their final markets. The Northern Forest Diversification Centre58 (NFDC) in The Pas, northern Manitoba, was approximately seven hours away from Winnipeg, the closest market of any size. The NFDC negotiated an acceptable backhaul arrangement with a transportation company that served the north, providing the ability to move products on a north-south transportation hub at a reasonable cost. In the end, Winnipeg ended up being much more important as a transshipment location than as an end market. Most products ended up going into out-of-province markets, including to the US59. Entering the US market has its additional challenges (in terms of meeting Homeland Security requirements, etc.), but again, these are not insurmountable. The NFDC developed internal expertise on meeting the requirements for shipments to the US, and ex-staff would be available to provide appropriate guidance for shipping botanicals and other related products south of the border. The presence of significant numbers of visitors flowing through the region along the Trans Canada highway, and access – via the highway – to a major transport infrastructure network, 58 The NFDC operated as a part of the University College of the North from 2000 to 2006. Especially products such as sweetgrass (Hierochloe odorata) braids for the Aboriginal and spiritual market as well as bulk botanicals for the herbal market such as senega root (Polygala senega) and cramp bark (Viburnum opulus). 59 means access to markets is relatively straightforward in comparison to other areas. The creation of an appropriate marketing plan, not an approach only focused on attempting to compete in low-cost commodity markets, will also assist in overcoming the challenge of distance. Proper attention to niche, higher-value markets wherever possible will help compensate for higher transportation costs for some products. More of an issue than the distance to markets is the lack of awareness of the niche markets that should be a focus of attention, at least in the early days of sector development in the region. These are smaller scale markets but more likely to accept higher prices for unique, high quality products. Identifying and accessing these markets will require some expertise/ability and an investment of time and will be discussed in more detail in the section on building a suitable support structure for industry development. Lack of infrastructure The conditions required to support significant NTFP-related business development in the NSFC region currently do not exist. Apart from some local purchasers of wild blueberry and perhaps Canada yew, very few buyers appear to be currently operating in the area. We also were unable to identify any potential processing facilities (i.e., commercial kitchens) closer than Sault Ste. Marie or Thunder Bay that are available for use by harvesters wishing to process or otherwise add value to their raw materials. At this time, only those with capital and the ability to overcome the numerous barriers thrown up in front of any entrepreneur are practically able to participate in the industry. Much more NTFP-related commercial activity is possible with a cohesive approach to sector development that includes the establishment of supportive infrastructure. Lack of awareness and capacity The lack of awareness of the opportunities as well as the lack of knowledge on how to turn ideas into action on the ground is perhaps the largest barrier facing the development of an NTFP industry in northern Ontario. As is true of many other parts of Canada, there is little or no clear understanding within the local population of the social and economic potential of the NTFP industry. This lack of awareness and knowledge, stretching from government departments and individual bureaucrats right through to families who live next to the forest and who may be looking for alternate sources of income, represents a major roadblock to NTFP development. While there are some good examples of successes in other Provinces which can be duplicated in the NSFC region (i.e., wild blueberry production), there are many more possibilities/opportunities within the NTFP spectrum that may offer both small and large economic and social benefits. Similarly, there is a distinct lack of knowledge in general of the forest that surrounds our communities. In the course of a few generations, we have abandoned the knowledge and skills of our grandparents and great-grandparents. Many of the inhabitants of our rural communities have become detached from the surrounding environment, yet demonstrate a tremendous interest and will to re-connect with the natural world when the opportunity presents itself. Apart from the general lack of knowledge and appreciation of the opportunities, there is also limited practical support available for an entrepreneur-harvester wishing to develop a business in NTFPs. New entrepreneurs face numerous challenges in developing their business; the high failure rate of businesses over the first few years of operation is well known. Working in a ‘new’ sector such as NTFPs often means that only limited (or in some cases no) information is readily available on topics such as harvesting methods, post-harvest handling, processing, pricing, market opportunities, etc. NSFC staff have done an admirable job of compiling information on opportunities in lowbush blueberry production especially, but this is only one opportunity among many. Capacity in the area of NTFP development must also be developed among agencies that will facilitate the development of the industry, be they NTFP extension workers/trainers, resource managers working for government (provincial or First Nations), community development workers, and others. The NSFC can overcome this lack of awareness and knowledge by promoting and delivering training to harvesters, those involved in extension, resource management and community development, as well as by undertaking a complimentary campaign that educates the general public about the industry. Addressing the challenges There is strong potential for the development of a vibrant and sustainable NTFP industry in the NSFC region, an industry that welcomes participation from across the spectrum of local residents interested in everything from harvesting to value-added processing, either just selling to local buyers for a few weeks of the year or creating their own year-round business. However, to enhance the likelihood of success, the following areas need to be focused on as part of the overall strategy for industry development. Marketing At the outset, marketing efforts may appear premature given – as the old saying goes – “You can’t sell from an empty warehouse”. However it is critical that the initial leg work into potential markets begin as early as the efforts to organize community based training and potentially organize shared processing facilities (see below). Initial marketing efforts may be as simple as gathering information on all local and regional craft shows, farmers markets, speciality gift shops, and regional fairs. Times, dates, locations, and current products that are offered for sale will assist emerging NTFP entrepreneurs to determine if their newly crafted products may fit. Initial searches of the internet for products similar to those that can be produced in northeastern Ontario, will provide good insight into your competition, prices, quality, etc. As community harvesters are trained, and the initial opportunities/products are identified during the training, there will be an incubation period for test marketing, quality control, and a host of other issues to resolve. Early marketing efforts may include organizing co-operative efforts for entrepreneurs targeting even local markets. A successful marketing strategy will include developing a competitive edge by cultivating innovative niche markets such as the fund raising market, and the corporate gift market. Wild harvested products are “in” these days, especially those that are sustainably and ethically wild harvested. Developing road-side kiosks in high tourist traffic areas for unique wild products will provide additional opportunities for new NTFP entrepreneurs. One American wild rice buyer sells most of his product from road-side stands in Minnesota and grosses around $100,000.00 each summer. As production capacity increases, developing a unique booth and website to market NTFPs in major Gift, Craft, and Food trade shows will become a necessity to secure retail and wholesale customers in both North America and Europe. Most provincial and federal governments have programs designed to assist new businesses with export development. Ideally, market development and promotion should be slightly ahead of the emerging industry, to be able to motivate increased production. Ethical and sustainable wild harvests from certified trained wild harvesters will be a key component in a successful evolving marketing strategy. A marketing specialist (see below) connected to the work of the NTFP development program, could make a significant difference to the successful development of the program. Infrastructure development For a fairly limited investment it is possible to begin the development of modest infrastructure that will support the initial stages of sector development in the region. It is important to recognize that many NTFP businesses do not require processing equipment for more than a relatively short period of weeks or months, and new businesses starting out may lack the capital to invest in a lot of equipment on their own. Following the model of incubator kitchens that provide processing opportunities for new business start-ups at low cost, we propose the creation of a shared processing facility to enable harvesters/ micro NTFP businesses to access equipment that will help in developing NTFP opportunities. Shared processing facility A shared processing facility (SPF) is a facility with equipment that is available for use by a defined group, usually organized along the lines of a co-operative or non-profit venture. Depending on the activity focus, their region, and other factors, these facilities are known by a variety of names including community kitchens, shared-use commercial kitchens, and business incubators, among others. Access to the facility may be controlled through membership, but is generally open to all members of the community provided they abide by the rules of the facility. Clients using an SPF often pay a fee for use based on the amount of time they use the facility and occasionally the type of equipment within the facility that they make use of. There may be a sliding scale of fees with members in the facility paying less for access than non-members. SPFs often have an ideological basis, as most are created with the objective of developing another tool for economic development in the community. These facilities are designed to offer businesses access to affordable processing space and equipment for small scale, value added enterprises. Without these facilities, the high cost of developing comparable processing capacity on their own could create insurmountable barriers for small businesses wishing to develop value-added products. SPFs can be important for a number of reasons, among them: Better use of available resources Equipping a small enterprise with the necessary processing equipment is expensive, and depending on the enterprise, this equipment may sit idle for extended periods of time. Given an uncertain funding environment, more value for available funding can be had by making the equipment available to a larger constituency rather than merely one business. Access to equipment The main reason often given for creating these facilities is that they provide participants with access to equipment that would otherwise be out of their reach. This is especially true in projects where low-income people with few if any options to gain access to equipment are the main targets of the project. Business incubator services More than simply providing access to equipment, SPFs can also be the core of a support structure for new businesses (community or individual) wishing to become involved in value-added activities. Apart from the physical facility, the role of SPFs is also to provide assistance in the areas of business development, education for participants, marketing, and other areas as needed to ensure viable businesses are created and sustained. Business incubators are a common strategy for enhancing the likelihood of business success by participants. The records of business incubators as a whole demonstrate that this strategy shows results in terms of creating successful businesses60. Many discussions of these facilities are predicated on the view that facilities will be created ‘from scratch’. The option also exists to look for a facility or space that can be modified to suit the needs of a small but developing NTFP sector in a particular area. Un- or under-utilized commercial kitchens (i.e., in mothballed schools, at local Legion halls, etc.) can meet the needs of part of the industry and are certainly worth exploring. Given the right situation, it might be possible for new entrepreneurs to benefit from the knowledge base of the person running the existing facility. 60 Toronto Food Business Incubator http://www.tfbi.ca/01aboutus.htm A number of potential challenges for the development of a SPF can also be identified. Some will be fairly generic to these facilities wherever they are located, others may be more specific to the local context. Challenges may include reluctance to collaborate on the part of different sectors of the community and a lack of the management skills required to properly run such a facility. These challenges can be overcome through education and the careful selection of a board (or other entity) to provide oversight for the facility and its operations. Impressive people management skills will be required by whoever actually manages the facility and the access to it. The SPF may also face financial challenges depending on the basis on which it is established. Most of these facilities are reasonably heavily dependant on external funding for their early years of operation at minimum. An inability to obtain long-term funding (years, not months) could leave a SPF in a precarious financial situation. A committed board (or other body providing oversight of the facility) should make for a powerful supporting force and effective fund-raisers for the facility. Expectations that the facility will be self-sufficient within a short period of time should be tempered, especially if the facility also has a social role in providing opportunities to marginalized community members. Operations, Facilities and Equipment Initial equipment needs for the facility could start fairly small and build as required, as the facility proves its value, and as more funds (hopefully) become available. Final decisions on processing equipment will largely be determined by the opportunities that are most pursued by participants in the project, or that attract the most interest. The recommended set-up for the SPF includes: 1. Office space and meeting room Equipment required for this area will include 3 desks, meeting table with chairs, lockable filing cabinets, book shelves, computers with Internet capacity (high-speed if possible), printer, copier, fax machine, and phone lines. Depending on the location, a product showcase area/store front could be included. 2. Storage and shipping area Equipment required includes digital scales, pallet mover, plastic wrap, pallet binder, inspection platforms, boxes, wire ties, poly woven bags, and dry storage rooms. Tags, shipping labels, etc. will also be required. 3. Processing area The space required and layout of this area will depend to a large degree on the products to be processed, but considerable space may be required for this part of the operation. Requirements are likely to include: a. Drying area with heat source and ventilation, drying screens and lines for each botanical species. Depending on the products, distance to raw material product b. c. d. e. areas, transportation issues, and other factors, a mobile drying unit may also be required. These can be constructed at relatively low cost. Freezer/cooler space for berries and fresh foliage, possibly as seasonal rented space if available. Work space for wreath making, crafts, rustic furniture, etc. Packaging area for final processing, tagging, applying shrink wrap, etc. Commercial kitchen facilities for herbal tea, salve, soap, fruit leather, etc. production, including small dehydrators, juicers, slow cookers, fridges and freezers. These facilities will also serve as training and demonstration areas for specialized training that cannot be delivered in the individual communities. Note that additional dedicated classroom space would be an asset to host short term specialized training even if the majority of training programs take place in individual communities. It should also be anticipated that few producers interested in engaging in value-added activities may have the ability to develop their own processing facility – at least initially. Therefore, the Centre may also choose to act as a processing facility that can be utilized by small-scale producers. If this decision is taken, it is recommended that such processing take place under strict conditions. For example, the processor should be required to pay a small fee for the use of the facility, should undergo appropriate training ahead of time, and will need in all cases to abide by the conditions set for the use of the facility. Funding requirements This is difficult to comment on because of the range of possibilities in terms of existing structures/facilities that may be available for conversion into SPFs as well as the range of equipment that may be needed depending on the specific activities that will be undertaken at the facility. With a donated vacant building, the cost of some minor renovations, heat, hydro and telephone, and the addition of some initial basic equipment, the initial cost to open the doors could be as low as $20,000-50,000.00. Recommendations A number of questions remain to be answered prior to making a final decision on the organization of a SPF. However, should the decision be taken to move forward with a SPF, it is possible to make some preliminary recommendations. Explore opportunities to utilize existing facilities for the start-up phase of the SPF If the right situation were available, this approach would allow participants to gain valuable experience with these facilities while limiting the exposure of all partners to financial and other risks. Work closely with project participants and others to establish needs Successful SPFs identify the goals and needs for the facility early on in the development process through careful consultation and an assessment of other experiences with similar facilities. Reaching out to the broader community provides an opportunity to expand the size of the constituency that supports the facility and give it a stronger footing. Identify and secure funding Depending on the scope of the facility, the funding required is likely to be fairly modest. Both federal and provincial funding may be available for supporting the establishment of a SPF. Determine the appropriate location The final location of the facility should be determined with the involvement of the main partners in the project (NSFC board, Regional Chiefs Forum) but considerations should include ease of access to transportation routes, access by participating communities, and the presence or absence of the infrastructure required for the facility and the cost of developing or refurbishing any existing infrastructure. If more than one SPF is required because of distance and other considerations, determine which SPF will be developed first so that further development can benefit from the initial development process. Identify a suitable candidate and organize training in facility management If the facility is to be successful, a good manager with excellent organizational and dispute resolution skills will be essential. Training is available to help provide the skills necessary, including running any and all equipment in the facility. Develop clear guidelines for facility organization Careful planning and transparent policies will help avoid the conflicts that could develop over facility use. Apart from a clear dispute resolution mechanism, there must also be a system of tracking to ensure proper responsibility for activities associated with the facility. Building awareness, capacity and the support structure for the NTFP sector This is almost certainly the key to developing a diverse, sustainable NTFP sector in the NSFC region that will provide genuine opportunities to a broad range of local citizens – from those interested in supplementing their income in a small way right through to those wishing to establish their own year-round business. A proactive approach by the NSFC (as the leading organization actively pursuing NTFP development in Ontario’s north) is needed to support the delivery of an awareness program for the NTFP industry for communities, community organizations and individual citizens. A community based training program, made available to interested residents regardless of education levels and financial restraints, would kick-start the NTFP industry and provide the information needed to encourage NTFP harvester activity and the creation of small and large NTFP business. This training will also help to encourage more local use of wild foods and other resources within the region, and will help communities look at their forest with “new eyes”. Staffing needs Hopefully the case has been made that if the goal of the NTFP program is participation in the industry by representatives of all the communities in the region, support staff will be required to ensure this goal is met. If the cooperative under discussion for the region is created with a mandate to include all NTFPs (not only blueberries), staff may be employees of the co-op. Initial staff should include: A trainer/community outreach worker A trainer/marketer The first position would deliver training, and maintain contact and provide follow-up services into communities. As the main point of contact with communities, this position is essential in maintaining momentum from the training program (see below), helping individual producers solve problems, and bringing concerns and ideas back to the marketing person and NSFC management. The second position would also deliver training, but would also be responsible for the key task of directly contacting potential markets for various NTFPs, helping establish prices and quality requirements, accumulating market intelligence, and providing assistance to local producers to help them access markets. We recognize that costs are always an issue, especially for a new and unproven program. Our rationale for recommending two initial staff members is that in our experience, intensive 10 day training programs with significant hands-on activities are challenging for one instructor to run on her or his own. Further, the sheer size of the area covered by the NSFC – with a number of widely scattered communities – is an additional challenge for the delivery of services and support. Once communities become aware of the existence of a support program for NTFP sector development, the demands on staff will likely exceed that which can realistically be met by a single staff person. However, with limited training to deliver in the first year, demands on time may be such that developing two full time positions cannot be justified. In this case, it may be possible to establish one or both positions as part-time to begin with or perhaps find a complimentary arrangement with another organization (i.e., Community Futures) that would fund part of a position. A potential risk with part-time positions is that strong candidates may be lost if a part-time position is not what they’re looking for. Similarly, we discourage the idea of training people to deliver community NTFP training on a strictly contract basis. One, there will simply not be enough training delivery to keep a trainer engaged in the program on that basis alone, and two, involvement in marketing NTFPs and really understanding the ‘nuts and bolts’ of the industry (including the challenges faced by communities) will greatly strengthen the ability and credibility of trainers to deliver the program effectively. Both positions will undergo training in the development and delivery of awareness presentations and the organization and delivery of community-based NTFP training (see below). Expecting to find candidates with extensive (or any) knowledge of NTFPs and their markets may not be realistic. This is knowledge that can be learned by the right candidates. It is much more important to identify candidates who can grow into their positions. It will and should take some effort to identify the right people for this work, as they need to be exceptional individuals who enjoy working with their hands, love to acquire new knowledge, have a sense of humour, and enjoy problem solving (this work is full of challenges, large and small). The ability to work with, and listen effectively to people from a broad and diverse range of backgrounds is absolutely essential. Because actions speak louder than words about inclusiveness and the role of First Nations in developing the NTFP industry, priority should be given to hiring an Aboriginal person for one of the positions provided a suitable candidate can be identified. Both should ideally have some minimum background/experience that will help them learn, teach and promote the NTFP industry to adults in a community setting. As the program of work is developed, results from the initial program are realized, and additional investments can be justified, additional staff may be added. An administrative assistant (part time initially) to handle enquiries, contracts, record keeping, etc. If the cooperative becomes established and enters into product marketing the administrative assistant would also be responsible for the computerized inventory and invoicing system, cheques, and accounts payable and receivable. Initial efforts towards identifying markets, developing contacts, and making sales would be handled by the trainer/marketer position until increasing production or potential production for market would justify the creation of a separate marketing position. The establishment of this position, staffed by an experienced marketer, may be essential to the medium- and long-term growth of the sector in the region. In the initial stages, marketing assistance may be available as donated time from local organizations or may be contracted through CESO, a voluntary organization providing a range of business advisory services. If a separate website is developed to promote local products, an external website design specialist could be contracted to provide website development and maintenance services – or these services could be provided through existing NSFC staff. Over time, the marketing person may be given training and made responsible for maintaining the website. Unnecessary turnover in staff must be avoided. We were reminded of this issue when we met with the economic development officer in Hornepayne who was just completing her 12 month term position under a government funding program. If she was doing her job well, and had developed a number of contacts and project ideas, etc., this knowledge would be to a large degree lost. In the area of NTFPs (and of course in other sectors), a person in the position of marketer or community outreach worker is likely just hitting his or her stride in terms of knowledge and/or credibility with buyers and local communities after 12 months. A probationary period of 3-6 months is reasonable and appropriate for new staff in these positions – but if a suitable person is found, he or she should receive the time and support required to develop the necessary expertise. The pay off from investing in and maintaining committed, enthusiastic and knowledgeable staff cannot be overstated. Training Training will be a key component of the services provided by the NSFC in the area of NTFP development. Although some residents of the region may harvest these products for their own use or even to sell within communities, it is likely that relatively few have a clear understanding of issues such as the potential for the development of these resources, the end-uses of all products, or the various requirements of the target markets. Harvesters will likely require training in plant identification, appropriate harvesting and post-harvest handling methods, processing, and a host of other areas. Harvester training program One option for the harvester training program is to use the recently revised version of the 10 day training program previously offered by the Northern Forest Diversification Centre in northern Manitoba. It has been significantly updated and redesigned based on the experience of instructors and students in the original program and substantial inputs from a working group of successful NTFP entrepreneurs from Manitoba, BC, Ontario and Quebec. The course is divided into two, five day modules offered over a period of two weeks. Recognizing that different people learn in different ways, the course has a mix of classroom sessions, field trips, and hands-on activities. This is a practical course designed to provide students with the information they need to begin harvesting NTFPs responsibly and safely. The course will highlight products that can be harvested in the local area, processed locally, and offered for sale in the province, elsewhere in Canada, and internationally. Course outline (subject to change): Module 1 (week 1) An introduction to non-timber forest products Before the harvest: NTFP ecology Before the harvest: safety, regulations and ethics Harvesting equipment and proper use Sustainable harvesting and post-harvest handling Module 2 (week 2) Assessing opportunities and planning your NTFP business Developing entrepreneurial and business skills Regulations, standards and certification options Marketing your NTFPs Planning for business success in a dynamic industry Included in the course are a series of hands-on activities designed to provide students with a genuine understanding of how a number of products are made. Depending on the time available, time of year the course is held, and the products of interest in the local area, the following activities will be included in the training course: Herbal tea processing and packaging Evergreen and twig wreath making Producing fruit leather from local berries Making rustic walking sticks Skin salves using native herbs An introduction to rustic furniture An introduction to birch bark crafts Using the revised NFDC program as the template for the training course would ensure that the NSFC is utilizing a successful approach to NTFP harvester training and benefiting from previous experience in NTFP harvesting training delivery. There is a cost to become a partner in the program but it is less than the cost of developing a training program from scratch. Train-the-trainer program A ‘train-the-trainer’ program is also recommended for the trainers who will be hired to deliver awareness raising and training programs on behalf of the NSFC. This training would include the development of the following skills/knowledge: 1. Development and delivery of power point presentations to communities, NGOs and government agencies to increase awareness of the NTFP Industry and the opportunities for economic and social development for marginalized communities. 2. Organizing and delivering the community-based NTFP harvester training program. 3. Organizing and delivering one day specialty workshops into communities that may address topics including soap and salve making, herbal tea production, birch tapping, craft production, and others as required. The range of workshops provided will be based on market demand for specific products; additional workshops will be developed as funding becomes available and conditions warrant. It is recommended that the initial training for trainers would include instruction on awareness delivery presentations, followed by the initial 10 day community-based training program with a small group of harvesters or other interested parties. This initial hands-on training would allow the trainers to monitor and be part of the instructional staff while learning the process. The initial train-the-trainer program would be followed by one to two pilot training programs with 15-20 students each, offered in a NSFC community. External trainers would assist and monitor the progress during these training programs to ensure the training program and the skills acquired by the new trainers during their initial training are being applied correctly. In preparation for the delivery of the program in the NSFC it is highly recommended that the trainers identified for the NSFC take the opportunity to participate in at least one of the training programs planned to be offered in Manitoba this spring (April and May in Pine Falls and Norway house respectively). This experience would provide a valuable introduction to the process of training delivery in advance of training within the NSFC. For information on the Pine Falls training planned for April 2010, please contact: Brian Kotak Manager, Manitoba Model Forest E-mail: miette@xplornet.com For the training tentatively planned for Norway House in May 2010, please contact: Tim Brigham Centre for Non-Timber Resources Tim.Brigham@royalroads.ca Educating the public and agency representatives To ensure the success of the sector development program, the NSFC must take a pro-active role in the promotion of opportunities and ideas that may lead to the successful creation of NTFP business and social opportunities. Organizing discussion forums, NTFP conferences, addressing community organizations, engaging the media to deliver the message, attending NTFP conferences to increase the local knowledge base, organizing and promoting festivals, contests, and other events that will increase the public awareness of the opportunities to be found in the NTFP Industry, are on-going requirements for the NFSC. The NSFC will also be required to take the lead in initiating funding applications for NTFP development. Experience from other Canadian jurisdictions suggest that applications for NTFP project funding are often delayed or denied, we believe, because of a lack of understanding of the sector and the potential it holds. For this reason, an investment will be required in educating potentially supportive institutions about the work of the NSFC and the potential of the NTFP sector to provide economic and social benefits. The following is an example of how a similar problem was addressed in another sector of the economy in northern Manitoba in the 1980s. The Northern Manitoba Agency of the Fresh Water Fish Marketing Corporation spent a great deal of effort and time looking for funds on behalf of the commercial fishermen of northern Manitoba and eastern Saskatchewan. Accessing programs to assist commercial fishermen with ice harvests and rebuilding old packing facilities was a constant battle. The Management of the Northern Agency took it upon them to organize two day awareness conferences at a local lodge each year for three years, and invited federal and provincial funding program managers, and their field workers. They were provided with information about the workings of the FFMC, explaining how annual production by species was estimated each year and by lake, how the advance fish prices were set, how and where the fish was marketed, and how important were adequate ice supplies and clean, modern packing facilities to the very strict quality control program for fresh fish. In subsequent years, the agencies were given updates on the industry and information on future planned projects. After the first year, it became evident that a better understanding of the northern commercial fishing industry and its importance to the residents of northern Manitoba and Saskatchewan made all the difference in accessing funding programs. Taking the time to educate and inform government agencies and funding programs at all levels will pay great dividends in future efforts to develop the NTFP Industry in the NSFC region. Measuring Success During the development phase of a program of NTFP sector support, measuring success is not a straightforward endeavour, especially given this is a sector in the relatively early stages of development in northern Ontario. However, whatever challenges there may be in measuring success do not diminish the importance of making every attempt to track the impact of the program. Tracking impacts is key to ensuring the strategy for sector development is on the right path in responding to community needs, and in continuing to build support with partners and agencies. There are a number of possible techniques that can be used to provide an indication of program impacts. These may be a mixture of direct and proxy measurements including: new and increased NTFP business activity that can be directly assigned to the work of the program; the number of new industry participants deriving a portion of their income from involvement in NTFP harvesting, processing, and/or marketing; the number of active partnerships created between the program and other agencies/groups, including communities, provincial and federal government agencies, relevant associations, the private sector, and others; the number of community outreach activities undertaken; the number of workshops delivered through the program, or sponsored or hosted by the program; the level of recognition and awareness of the program as indicated by articles, enquiries from interested parties, level of participation in events and meetings and requests to speak and participate in a variety of events; the extension products (i.e., pamphlets and other publications) created and distributed; and the level of funding and in-kind support the program is able to attract. It is also recommended that the NSFC consider pursuing the development of a research project to establish baseline data (unemployment and social assistance rates, average income, and other measures of community ‘health’) for at least one community prior to the implementation of NTFP training and support in that community. Designed and implemented properly, a program of monitoring and controlling for these various measures over a period of years would provide an indication of what impacts, if any, the development of the sector is having on the community. The project should be developed in partnership with a research institution or other organization with the required expertise to develop a long-term research project. Collaboration on a research project is also a useful strategy for building other potentially helpful connections with an Ontario institution. Learning from Experience: The NFDC Story The best past example we have in Canada of a commitment to medium- to long-term support for NTFP sector development is the Northern Forest Diversification Centre (NFDC) in northern Manitoba. Created in 2000 by Keewatin Community College (now University College of the North – UCN) in The Pas, the NFDC was established to enhance local livelihoods by developing and promoting trade in NTFPs in northern Manitoba. It trained local people in harvesting, postharvest processing, and trade; it coordinated the collection of products from widely dispersed producers; it processed and packaged products; and it developed markets in which to sell them. By performing this range of functions, the NFDC created and built new markets for products from the local forests and marshes and provided many new opportunities for local, primarily Aboriginal, people (Belcher et al, in press). Although not without its flaws and a model that was not sustainable from the perspective of the University College due to, among other factors, costs and demands on personnel, there were some important lessons learned over the six year existence of the NFDC that can usefully inform other programs aiming to support NTFP development in rural areas of Canada61. We are not proposing that the NSFC develop a ‘clone’ of the NFDC in Manitoba. The NFDC involved major investments of funds that are likely not practical at this time in northern Ontario, especially for a program and industry that still needs to prove itself. But as a unique example in Canada of a comprehensive attempt at NTFP development in remote, northern communities, the NFDC experience can – and should – inform future activities in NTFP sector development. 1. Training must be tied into support programs to be effective Training alone will not lead to the creation of an industry that provides benefits to a diverse range of the local population, though it may support the development of activities by a relatively small number of entrepreneurs. The NFDC largely focused its activities on Aboriginal communities that can be described as being on the margins of the economy; community members generally lacked the business knowledge, experience and confidence to develop their own small businesses. Delivering training with no avenue to support on-going participation in the sector would largely have been a poor use of resources if income generation was the chief goal (which it was in the case of the NFDC). While the training courses ensured that knowledge and equipment remained in the community after the course, the NFDC also committed to following up and supporting the new harvesters. Training followed by on-going support nurtured a culture for industry development that resulted in the NFDC eventually interacting with about 400 harvesters from at least 25 communities. Support included providing information on market trends, assisting with packaging, problem-solving on transportation issues, and other advice and information for harvesters and traders. In some cases, simply 61 The following section is partly based on Belcher et al (in press). making an effort to stay in touch with new harvesters was the critical function. As one harvester expressed it: “I probably wouldn’t have continued to work on this if someone from the NFDC hadn’t kept on calling me and asking me what I was doing with the information that I learned at the training”. 2. Leadership and vision is key The NFDC was fortunate to have a committed visionary in charge of leading the program for its first five years. This individual was the driving force behind many of the innovative approaches that supported the successes the Centre could claim. But, as often happens in such situations, longevity and succession need to be considered and planned for. The departure of the Manager demonstrated how the loss of a key individual can leave an organization struggling. The lessons learned clearly show that not only are champions needed, but they must be refreshed on a regular basis. 3. Pursue innovative marketing approaches For a short period (less than two years) the NFDC benefitted from having a marketing specialist on staff that greatly assisted the Centre in developing a successful marketing program. This included new designs for packaging and labelling, identification of new markets, assistance with the pricing structure for the wide range of products the NFDC marketed, and work on quality control which is essential in finding and hanging on to customers. The presence of a person who knew what the markets were looking for and how to best serve them, helped to bring more of a business discipline to the functioning of the Centre. Although the work on the ethical harvesting and traceability program was not completed before the NFDC closed, they were intended to position the Centre as the foremost North American provider of sustainably harvested wild products. That niche remains open as an opportunity for a new organization able to provide a range of products and the credibility to demonstrate leadership in sustainable and ethical wild production. Action Plan Recommendations In this section we address the question: ‘where does the NSFC go from here?’ Identifying potential opportunities is an important part of creating an overall strategy that supports the development of a NTFP industry in the NSFC region. But it is only a part. Experience elsewhere demonstrates very clearly that the ‘build it and they will come’ approach doesn’t really hold true in much of community development in general, and not in the development of a NTFP industry in areas where no industry of any size has existed previously. What is needed is more of a combined awareness building strategy, a harvester training and support program, and an innovative market development plan. If the goal of developing an industry in the region is to ensure opportunities are created for the broadest possible range of the local population, then a fairly long-term commitment will be required to support the development of the sector and the effective participation of the local population. As the NSFC is committed to promoting and fostering an NTFP Industry for the social and economic benefit of their communities, a well thought out strategy and action plan will be an essential ingredient for success. The recommendations that follow are made for actions based on possible timing, which in turn is based on factors such as the logical progression of plan development, urgency, and complexity. Note that within each grouping of short, medium, and long-term activities, activities may occur concurrently or be undertaken in a different order. Short-term actions (to 12 months) 1. Identify potential funding opportunities for staff positions, supporting travel, etc. and the potential shared processing facility. Develop applications as needed. Ensure partnerships with First Nations to be involved in the development process are developed and maintained. 2. Gather and develop informational material in preparation for initial awareness building activities, i.e., articles on NTFPs, DVDs, videos, research papers, marketing reports, samples, etc. These could also form the basis for extension pieces focused on providing practical and brief information on products, post-harvest handling, marketing ideas, etc. Some material will already be available through CNTR in BC, Biopterre in Quebec, the group working on NTFP development in the Gaspésie, etc. 3. Determine reporting requirements for staff and oversight for the NTFP program. Refresh current committee with new participants as required. Identify strategic partners for the initiative; seek involvement of government or NGO advisor to assist with development process. Include advisory experts from First Nation partners to ensure Aboriginal concerns regarding NTFP development are addressed. 4. Complete the process of identifying two staff (see descriptions above) and arrange for their training and possibly short- to medium-term mentoring. 5. Using the local and regional media (local newspapers, radio, and TV) begin the awareness building program for each community. Submit articles for publication, and arrange for media interviews to promote events, training courses, and new opportunities. Schedule and deliver informational meetings to local community organizations (women’s groups, self-help groups, churches, schools, and school boards) to begin developing a ground swell of interest surrounding the social and economic opportunities to be developed through the sustainable harvest and value-added processing of Non-Timber Forest Resources. 6. Visit local and school libraries and provide them with the names and ISBNs of reference books and information about NTFPs, and encourage them to make them available. 7. If a decision is taken to organize a shared processing facility focused on NTFPs begin the process of identifying potentially suitable locations and existing structures. 8. Decide on the first two communities to receive training; practical and political factors may need to be taken into account, but it is recommended that an Aboriginal and non-Aboriginal community be selected to receive the first two training sessions. 9. Begin compiling information on market opportunities, pricing, quality and quantity requirements etc. for products with potential for early production in the region (i.e., wreathes, if a group interested in producing them comes out of the early discussions and training). 10. Commence test marketing of products as demand and opportunities dictate. Medium-term actions (12 months to 3 years) 1. Gather and develop material and ideas for local value-added processing and packaging (for berries and other products), and organize working groups to develop a strategy for this development. 2. Deliver training into two additional communities as funds allow, or, if no training occurred in the first year, deliver training into two communities per year. Additional communities should only be added in each year if it is clear that the support infrastructure can meet demands. 3. The NSFC should initiate discussions with community schools with regard to introduction of NTFP training at all levels. The NTFP industry is an exciting, multifaceted, and multileveled emerging industry, and offers many possibilities, both social and economic, for struggling boreal forest communities. Engaging the school system will insure that the awareness building process for NTFPs starts early and will be on-going. NTFPs touch almost every aspect of the learning process: science, natural resource management, home economics, community health, rustic carpentry, fund raising, business, marketing, ethics, and the strengthening and expansion of traditional and local knowledge are but a few areas where students can be involved. Good work has already been initiated in other areas of Canada (i.e., BC, NWT) with engaging students with the forests near their communities. This could also be an important strategy in raising awareness of the existence and work of the NSFC. 4. Seek relationship with appropriate research organization to develop research program to track impacts of the program in selected NSFC communities. 5. Develop website as part of over-all communications and marketing strategy for the NTFP program, perhaps as part of the co-op if one has been established. 6. Expand market research and market development program. 7. Begin development of fully integrated branding program for selected products. 8. Begin development of program for harvester certification, quality control, and Organic Certification/Wild Harvest Certification 9. Establish Wild Harvester’s organization with code of ethics (see Appendix 3) to support marketing initiatives 10. Assess need for inventory of resource base to meet potential increase in market demand. 11. Seek multi-year core funding to increase the stability of the NTFP program and ensure the ability to meet community needs for on-going support. 12. Make recommendations to Government regarding changes or additions to regulations surrounding NTFP use, protection and development in Ontario. Long-term actions (more than 3 years) 1. Depending on program resources, expand training and support activities to additional communities on a staggered basis. 2. Continue development of wild harvester certification program, possible organic certification for selected products, possible fair trade program implementation and certification62. 3. Hire additional staff if required to meet expanding demand for training, marketing, and other services. 4. Expand marketing program to include national and international trade shows and continued development of branding initiative (i.e., ‘Northern Ontario Wild Harvest’). 5. Host regional NTFP festivals to increase area tourism and promote products. 6. Review infrastructure and address short-comings as required and as funding allows. 7. Work towards stable long-term core funding based on the success of the program through year 3. References ACE Royal Roads Consulting Group. 2007. Cedar Oil Extraction Feasibility Study. Unpublished report. 62 Potentially one of the first implementations of fair trade certification in Canada. Aliksir Company Website. (2010). Aliksir Producteur Huiles Essentielles Biologiques. Retrieved from: http://www.aliksir.com/ Anonymous. No date. Fact Sheets: Chanterelle. Gaspé Peninsula’s Non-Timber Forest Products. Canada Economic Development, Natural Resources Canada, and L’Union des producteurs agricoles. http://www.gaspesielesiles.upa.qc.ca/fhtm/pfnl/en/PFNL%20anglais/1926226Chanterelle.pdf Anonymous. No date. Fact Sheets: Labrador tea. Gaspé Peninsula’s Non-Timber Forest Products. Canada Economic Development, Natural Resources Canada, and L’Union des producteurs agricoles. Retrieved from: http://www.gaspesielesiles.upa.qc.ca/fhtm/pfnl/en/PFNL%20anglais/1926226Labrador%20Tea.pdf Arctic Flavours Association, The. (No Date). What’s good in the Bilberry? Promotional pamphlet. Backlund, G. & Backlund, K. (2004). Bigleaf Sugaring: Tapping the Western Maple. BC Ministry of Agriculture, Food and Fisheries, Industry Competitiveness Branch. (2003, November.) Factsheet: An overview of the BC Highbush Blueberry Industry. Retrieved from: http://www.agf.gov.bc.ca/berries/publications/document/bchighbush_updatedfactshee t.pdf Belcher, B., R. Penner, A. Munier, T. Brigham and J. Griffith (In Press). Supporting Canada’s NTFP Sector: Lessons from Manitoba’s Northern Forest Diversification Centre. BC Journal of Ecosystems and Management. Bleuets NB Blueberries. (2009). New Brunswick Wild Blueberry Industry Strategic Plan. Retrieved from: http://www.nbwildblue.ca/docs/Strategy_English.pdf Burns, R. M. & Honkala, B. H. (tech. cords.). (1990). Silvics of North America: 1. Conifers; 2: Hardwoods. Washington, DC: United States Forest Service. Retrieved from: http://na.fs.fed.us/pubs/silvics_manual/table_of_contents.shtm Canadian Forest Service. (2005). The State of Canada's Forests - 15th Edition. Ottawa, ON: Natural Resources Canada. Centre for Non-Timber Resources. 2010. Adding Value to Wild Foods: A Handbook for Entrepreneurs. Centre for Non-Timber Resources (2006). Adding Value to Floral Greens: A Handbook for Entrepreneurs. Victoria, BC: Royal Roads University. Centre for Non-Timber Resources. (2005). Native Plants and First Nations: How can we create research that is equitable, sustainable and beneficial to all? Workshop Proceedings and Report. In partnership with: British Columbia Institute of Technology and Community Health Associates of BC. Retrieved from: http://cntr.royalroads.ca/files-cntr/NHPD%20Workshop%20Proceedings.pdf Ciacco, G. & Ranatunga, J. (2009). Commercialization of Wild Berries in British Columbia: Prospects, Current Problems and Future Solutions. Investment Agriculture Foundation of British Columbia. Coburn, E. (2010). Market Analysis for Conifer Oil Production. Unpublished report. Cole, D. (2009, October) Low prices threatening blueberry industry. Farm Focus of Atlantic Canada. Retrieved from: http://www.atlanticfarmfocus.ca/index.cfm?sid=285213&sc=593# Garr, A. (2009, June 3rd). Kind of Blue. BC Business Online. Retrieved from: http://www.bcbusinessonline.ca/bcb/business-sense/2009/06/03/kind-blue Hillyer, A. & J. Atkins (2004). Non-Timber Forest Products Law and Policy in Ontario. Floral and Greenery Products. http://cntr.royalroads.ca/filescntr/File/Law%20&%20Policy%20Papers/NTFP%20Law%20and%20Policy%20ON%20flor al%20products.pdf Holloway, P., Dinstel R., & Leiner, R. (2006). Antioxidants in Alaska Wild Berries. Georgeson Botanical Notes No. 35. University of Alaska Fairbanks. Ipsos Reid Survey. (2006). Canadians see many benefits of locally grown food. Edible Strategies Enterprises. Retrieved from: http://www.ediblestrategies.com/fsd/AppenN.pdf Jacobson, K. (2008). Question of the Week. Minnesota Department of Natural Resources. http://www.dnr.state.mn.us/news/question_week/dec08.html. Kahiltna Birchworks. (2009) Retrieved from: http://alaskabirchsyrup.com/index.html Kinsman, G. (1993). The History of the Lowbush Blueberry Industry in Nova Scotia, 1950 to 1990. The Wild Blueberry Producers' Association of Nova Scotia. Retrieved from: http://nsac.ca/wildblue/hist/kinsman5090/default.asp Low, W. & Davenport, E. (2009, November). ‘What do we mean by ‘wild’? Research on consumer perspectives’. Presented at the Non-Timber Forest Resource Forum: Linking Research, Policy and Economic Opportunities. Retrieved from: http://buybcwild.com/2009-ntfrforum Mitchell, D. (2009). Non-Timber Forest Products: What's Happening in Canada's Model Forests? The Canadian Model Forest Network. MacKinnon, A., J. Pojar, & R. Coupe. 1992. Plants of Northern British Columbia. Vancouver, BC: Lone Pine Publishing. Maher, K. A. C. (2005). Production and quality of spring sap from Alaskan birch (Betula neoalaskana sargent) in interior Alaska. Master’s Thesis. University of Alaska Fairbanks. Mohammed, G. (1999). Non-Timber Forest Products in Ontario: An Overview. Forest Research Information Paper No. 145. Ontario Forest Research Institute, Ontario Ministry of Natural Resources. Ontario Ministry of Natural Resources. (2006). Forest Resources of Ontario 2006 Report. Retrieved from: http://www.mnr.gov.on.ca/MNR_E005108.pdf Pollock, D. (2009). Blueberry boom sees prices decline. Western Farm Press. Retrieved from: http://westernfarmpress.com/news_archive/blueberry-prices-0626/ Solex Agro. (n.d.). Birch Juices: Flavour and health of nature. Retrieved from: http://www.solexagro.cz/download/birchjuices.pdf University of Alaska Fairbanks. (2005). Morels: a morsel after the fire. School of Natural Resources and Agricultural Sciences, Agricultural and Forestry Experiment Station. MP 2005-07. Retrieved from: http://www.uaf.edu/snras/afes/pubs/misc/MP_05_07.pdf University of Minnesota Extension Service (no date). Careful harvest brochure. Retrieved from: http://files.dnr.state.mn.us/forestry/um/carefulharvest_brochure.pdf Vasquez, S. (2009). Huckleberry Market Analysis: A Business Planning Guide for Small Forest Owners. Portland, Oregon: Institute for Culture and Ecology. Unpublished draft. Villata, M. (2009). Blueberry trends and market challenges. US Highbush Blueberry Council. Retrieved from: http://www.sfc.ucdavis.edu/events/09blueberries/villata.pdf Wetzel, S., Duchesne, L. C., & Laporte, M. F. (2006). Bioproducts from Canada's Forests: New Partnerships in the Bioeconomy. Dordrecht: Springer Publishers. Wills, R. M., & Lipsey, R. G. (1999). An Economic Strategy to Develop Non-Timber Forest Products and Services in British Columbia. British Columbia: Forest Renewal BC Project No. PA97538-ORE Wilson, J. (2006). Rare syrup coming up. Thunder Bay Chronicle Journal. Retrieved from: http://www.birchsyrup.ca/Info%20&%20Links_files/Rare%20syrup%20coming%20up2.pdf Wright, R. (2008, July). Nutraceuticals Coast in the Beverage Market. Neutraceuticals World. 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Retrieved from: http://wildblueberries.maine.edu/factsheets/Miscellaneous/CropStatistics.html Appendices Appendix 1 Product Quality Buying Standards and Inspection Procedures QUALITY CONTROL: LOT NUMBER:____________________ HIGHBUSH CRANBERRY BARK (Viburnum opulus) HARVESTER:_____________________________________________________________ HARVESTERID:___________________________________________________________ HARVESTAREA:___________________________________________________________ HARVESTDATE:___________________________________________________________ ALL BAGS, BOXES, CONTAINERS MUST BE DUMPED TO DETERMINE IF PRODUCT MEETS NFDC SPECIFICATIONS. PRODUCT ID: BARK HAS A RUSTY COLOUR ON THE UNDER SIDE OF THE BARK. THE BARK HAS A DISTINCT ODOR. HBCB IS SIMILAR IN APPEARANCE TO MANITOBA MAPLE, THE DIFFERENCE BEING HBCB WILL BREAK EASILY WHEN DRY WHILE THE MAPLE WILL BE MORE LEATHER LIKE. HARVESTING: □ Harvested where there are no sources of pollution (railways, industrial sites, dumps) □ The harvest site has no known history of herbicides, pesticides or chemical fertilizers □ Shrubs harvested were larger than ½ inch thick (leaving smaller shrubs allows for regeneration) □ Bark was harvested in a sustainable manner (harvesting using the grazing method) DRYING: □ Bark was dried on screens or tarps in layers of 2 to 4 inches □ Bark was turned with the hands as it dried to prevent mold □ A fan was used to promote air circulation STORAGE TECHNIQUE: □ Bark stored in a clean poly woven rice bag, paper bag, paper box, or clean container (Use of dirty containers is not organically acceptable. Bark may be rejected) □ Bark was stored in a dry room away from moisture □ Bark was stored in an area free of gas, oil, and other toxins ORGANIC TRANSPORT: □ Area of vehicle used for transport was clean or lined with plastic or tarps to prevent toxic contamination □ Area of vehicle used for transport was free of toxic materials (gas, oil, dirty rags) BUYING REQUIREMENTS: □ Harvester has a wild harvesters association Membership Card □ Peel consists of bark with no to little wood on the bark □ Bark is crispy dry □ No mold □ No foreign material (ex: other bark species, dirt, rocks) □ No foreign smell (ex: gas, oil) □ Accept □ Reject Inspected by: Date: Appendix 2 Template for Harvester Certification by Species TEMPLATE FOR WILD HARVESTER CERTIFICATION (by species) Note: The format for this template should be followed for each species or wild product. There should be a separate module developed for each product, which will be easily followed and understood by both the instructor and the wild harvester. 1. PLANT SPECIES IDENTIFICATION: a. Describe the plant in detail using an appropriate plant book. Check also on the internet for additional information. Include a photo of the plant in the material for distribution by the instructor. b. Include the local name, Aboriginal name, and other common names as well as the scientific names. Ensure the students are aware of the importance of the scientific names to properly identify the plant to potential customers. c. Include the habitat, and the ecosystem where the plant may be found. Use simple rather than complicated words to describe the area most favored by each plant. d. Describe how the plant reproduces in detail, as this will help determine if this plant can be sustainably harvested. 2. SUSTAINABILITY CONCERNS: Discuss this topic thoroughly, using the plants ability to reproduce, the range and quantity of the plant in the region, harvesting techniques to minimize the impact of commercial harvesting, the responsibility of each harvesters to monitor his or her harvesting impact, and to understand the plant they are harvesting. Discuss also the impact of harvesting certain parts of the plants (ie. the leaves vs. the roots) Utilize an elders advice if possible (Aboriginal vs. Western attitudes to sustainable harvesting). Ensure that the students understand the importance of the term “sustainable harvesting” as it impacts the image of the NTFP Industry and the marketing strategy. 3. LIST THE KNOWN BUYER PRODUCT QUALITY SPECIFICATIONS. Be thorough and explain in detail, with explanations, why particular qualities standards are required. 4. HARVESTING, HANDLING & STORAGE TECHNIQUES & REQUIREMENTS: Again, list in detail and explain the reasoning behind each requirement. Include appropriate photographs if possible. Stress the importance of cleanliness in harvesting, handling, and storing each product 5. BUYING DEPOT REQUIREMENTS. List these as well if different from numbers two and three. Also explain the buying procedures (ie. dumping of bags, checking for proper dryness, and what would result in product being rejected)..Give practical examples, and stress the need to earn a reputation for delivering the best possible quality product. 6. PRODUCT USES: Explain to the harvesters what the product is going to be used for by the processor (if known). This as well, should demonstrate to the harvester the requirement for harvesting, handling and marketing a quality product. 7. PRICING: Explain the pricing levels. Include everything from the anticipated harvester‟s price to the buyer‟s price, and explain the reasoning behind this range. Also be sure to explain that prices vary from year to year, and may not always remain constant throughout the season. Explain as well how the NFDC develops prices for new products. 8. ORGANIC CERTIFICATION: Explain that Harvester Certification is one step in a process for certification. Most certification organizations will require that sustainable and ethical harvesting practices are key components in the certification process. Explain that obtaining an organic certification opens up many new markets for the NTFP Industry, and more orders for harvesters and processors. Appendix 3 Manitoba Wild Harvesters Association Code of Ethics Manitoba Wild Harvesters Association Code of Ethics March, 2004 Prepared for: The Manitoba Wild Harvesters Association and The Northern Forest Diversification Centre Facilitated by: Tim Brigham Values Statement of the MWHA The Manitoba Wild Harvesters Association (MWHA) is dedicated to exploring, understanding, and adding value to the non-timber resources of our forest lands while practicing and promoting sustainable harvesting methods and respect for other forest users. The Association believes that wildcrafting has a fundamental role to play in the rational use of our forest resources and can provide important economic, social, and environmental benefits to the rural communities of Manitoba. The MWHA will provide educational programs, research, and marketing opportunities to its membership to assist in the appropriate development of non-timber resources. Membership in the MWHA shall be open to all persons committed to the ethical standards expressed in this document. Scope of the Code This Code addresses ethical standards and behaviours of members of the Manitoba Wild Harvesters Association. The Code as written, updated, and amended from time-to-time is binding upon all members of the Association. Objectives of the Code of Ethics It is the objective of the Manitoba Wild Harvesters Association that the following Code will: 1. Provide a means for individual members to evaluate their own ethical standards and behaviours regarding wildcrafting and make adjustments if necessary to meet the standards contained in this Code. 2. Provide a means to educate other stakeholders in our forest resources (including the public, resource managers, and others) about wildcrafting and to promote the high ethical standards practiced by members of the Association. 3. Provide a means for local Chapters and the Association‟s Ethics Committee to resolve grievances involving the behaviour and actions of members of the Association. 108 Standards for Members of the Association Ecological Sustainability Values Statement Members of the Manitoba Wild Harvesters Association will harvest wild products in an ecologically sustainable manner as approved by the Association and publicized through training or other means. The definition of ecological sustainability is harvesting whole or parts of wild products using methods and in amounts that do not impact the long-term productivity and viability of populations, species, or their ecosystems, so that they are available in the same quantities for use by future generations. Standards of Conduct 1. Members of the Association will not harvest endangered or „at risk‟ species. Endangered and at risk species will be considered to be those species listed as such by the provincial or federal governments. A current list of endangered and at risk species can be found in Appendix __. 2. All members of the Association are required to follow Good Wildcrafting Practices (GWPs). Please see Appendix __ for details. 3. All members of the Association are required to maintain a Log Book of harvesting activities (see Appendix __ ). 4. Members will demonstrate an awareness of all of the potential impacts of harvesting activities before commencing harvest and act to minimize any negative impacts. Apart from actual harvesting activities, these impacts may be related to activities such as accessing harvesting sites, developing harvesting/buying camps, and others. 5. Members will be expected to monitor the impacts of harvesting in their area(s) and should note any impacts positive or negative, to be shared with the local Chapter of the Association. The local Chapter should in turn share relevant information with the provincial Association. 6. Members will approach harvesting activities with a respectful attitude to the plants they are harvesting, the ecosystems where they are found, and other potential users of forest goods and services. 7. Members will follow the generally understood low-impact practices for wilderness travel in their harvesting activities, including the rule „if you pack it in, pack it out‟. 109 Relations with Stakeholders Values Statement The Association recognizes that there are many groups who have an interest in the wellbeing of the forest, its resources, and the services it provides (i.e., clean water, air, animal habitat, cultural, spiritual, and others). Members of the Association will operate in a way that shows respect for other stakeholder interests and values in the forest. Many of these operating principles are reflected in the section on „Ecological Integrity‟. Standards of Conduct 1. Wherever possible and practical, members of the Association subscribe to the view that local resources should first and foremost be developed for the benefit of local people. Association members from outside an area/region will not knowingly act in a way that negatively impacts the activities of wild harvesters already operating in that area/region. 2. Members of the Association will respect the traditional values of their community. 3. Association members will respect the property rights of others in their harvesting activities. Members will not harvest on private, reserve, or other lands with assigned rights without first seeking permission from whoever holds the rights to that land. 4. Members will select harvesting sites to avoid visual impacts that could negatively impact the enjoyment of the forest by others. Examples of this standard include not harvesting next to picnic areas and trails in parks, and not creating an unsightly impact on roadsides or the edges of lakes. Knowledge and Skill Development Values Statement The members recognize that knowledge of good wildcrafting practices, the products being harvested, and the ecosystems where they are found, comes from many different sources including experience, other harvesters, Elders, other forest users, published and unpublished materials, and formal researchers. Members of the Association also recognize that „learning wildcrafting‟ is a life-long process that should be embraced and eagerly pursued through self-study and other training opportunities. Standards of Conduct 1. Members of the Association will review the Code on at least an annual basis, and will review and ensure their understanding of any and all revisions to the Code as they 110 receive them. Members should evaluate their own activities and behaviour and make changes as needed to ensure both the spirit and letter of the Code is followed. 2. Wherever practical, the Association will promote and provide local training by, and for, local people. Included in this perspective is the use of properly trained, experienced, and knowledgeable local harvesters to provide training. The training of new harvesters to ensure they subscribe to the spirit of this Code will also be a priority for the Association. 3. Members will involve themselves in, promote, and support research on topic areas beneficial to the practice of sustainable wildcrafting, especially research that is practical and focused on the needs of forest communities. Business Activities Values Statement The MWHA is committed to promoting the economic health of the wildcrafting industry, including ensuring that high quality, safe wildcrafted products are available to consumers. Standards of Conduct 1. Members will conform to the regulatory requirements of local, provincial, and federal governments. 2. Members will conduct all business activities in a fair and truthful manner. This will include (but not be limited to) delivering the products in a form and of a quality agreed to with the buyer. 3. The safety of the consumers of wild harvested products will be a priority for members of the Association. All products being consumed as food or medicine, or being used on the body (salve, lip balm, etc.) will be harvested from, and processed in, a clean environment free of potentially harmful contaminants. 4. Members will not engage in any activities detrimental to public perceptions of the Association or the wildcrafting industry. Members in good standing may identify themselves in marketing activities as members of the MWHA, but may not claim MWHA endorsement for any of their products. 5. Members will attempt to maximize the value of wild resources wherever possible and practical. 111 Responding to Possible Violations of the Code The Code of Ethics of the MWHA is a tool for self-regulation by members of the Association. All members of the Manitoba Wild Harvesters Association are required to conform to the Code. In the event that a member is suspected to be in violation of the Code due to a specific action or actions, the following procedure will be followed. NOTE: It is the position of the Association that all attempts should be made to resolve the matter in a positive way at the local level, prior to any disciplinary action being required. Step 1: Attempt to Resolve the Issue at the Local Level In most communities, responsibility for Association activities at the local level will rest with a local or regional Chapter. Once an accusation or observation of misconduct by a member comes to the attention of another member of the Association63, the „observing‟ member is required to resolve or report the issue. The resolution of the issue may involve the member dealing with it themselves, or reporting the accusation or observation in writing to the local Chapter. If the matter is reported to a local/regional Chapter, local membership will have the opportunity to resolve the issue at the local level. The member who is the focus of the complaint will be provided the opportunity to discuss the situation with the local membership in the hopes that the matter can be resolved. Step 2: Suspension of Member Privileges If the situation is not resolved to the satisfaction of the majority64 of the total membership in the local Chapter, the Chapter has the right to suspend the privileges of the member deemed to be in violation of the Code. It is understood that with suspension comes the loss of privileges to market (including promotion AND sale) any of their products under the title of „Member of the Manitoba Wild Harvesters Association‟65. A written „Notice of Suspension‟, including the reasons for the suspension, must be completed by the local Chapter and provided to both the suspended member and the Ethics Committee for the Provincial Association within 15 days of the suspension 63 Including another harvester, a buyer, or any other member of the Association. A „majority‟ will be considered as 50% + 1 of the total local Association membership. 65 Includes any and all suggestions of membership in, or connection to, the Manitoba Wild Harvesters Association. 64 112 becoming effective. The details that will be included in the Notice are provided in Appendix __. Following suspension, the member has the right to pursue two routes to the reinstatement of privileges: appeal or reinstatement plan. Step 3: Appeal of Suspension All members that have been suspended have the right to appeal the suspension. If the member has additional information not considered in the original decision, he/she can request consideration of that information by the local Chapter. The suspended member also has the right to appeal the suspension in writing to the Ethics Committee of the provincial Association within 90 days of being notified of the suspension. The appeal will be heard within 15 days of the appeal being registered. If the appeal is successful, the member will be notified in writing and reinstated immediately with all the privileges accorded to a member in good standing of the Association. If the appeal is rejected, the member must be notified in writing of the reasons for the rejection. Step 4: Reinstatement Plan If the suspended member does not appeal, or loses the appeal of the suspension, he/she can apply to develop a „Reinstatement Plan‟. This plan must outline the reason for suspension, how the member will correct the problem, a description of remedial training that will be followed, and how the member intends to prove they are in compliance with the Code. More details on the recommended contents of the reinstatement plan can be found in Appendix __. Following acceptance of the plan by the local Chapter with or without the input of the Ethics Committee of the Association, conditional reinstatement can be granted with the understanding that the member will be on probation for a period of 6 months. 113 Appendix 4 Highbush Cranberry Bark Harvesting Practices Guidelines 114 Appendix 5 Summary of Forest Inventory Information Purpose: To determine existing and accessible knowledge with respect to the presence, cover and frequency of non-timber species in the Northern Superior Forest Community (NSFC) . 116 Methods: We consulted local and regional experts and reviewed resources related to vegetation inventories in the NSFC region. This allowed us to summarize the state of knowledge with respect to the presence and abundance of understory species in the region; to list resources available to NFSC practitioners and to community members; and to summarize information about potential non-timber species of interest (Table 1). Specific sources of information that we consulted included: Personal Communication: - Ontario Ministry of Natural Resources (MNR): - - Coordinator of Resource Inventories - Biologists / Ecologists / Foresters - Land Information Exchange - Science coordinator (Northeast Science & Information) Canadian Forest Service: - - Director - Forestry Companies active in NSFC region Resources: - MNR: website, field guides, Ecosystem Classification Manual, and associated reports - Forest management plans - Northern ON plant database - Heritage Information Centre Ecologists Results: The ecology of Ontario has been categorized into ecosites (based on soil properties and modified by the presence of indicator plants) and vegetation types (“V-types”, based on the presence or abundance of indicator plant species). Both are focused on timber species presence and abundance, and while broad assumptions are made about understory species present within the sites, it is based on little field-collected data. There are no easily-accessible maps of these sites for Ontario; keys to their identification are included in the MNR field guides and some of the forestry management plans have them mapped. Ontario’s forests are divided into Management Units (mapped at: http://www.mnr.gov.on.ca/261617.pdf). Eleven of these occur in the area of the NSFC including: Hearst, Big Pic, Pic River Ojibway, Black River, Magpie, Nagagami, White River, Superior, Algoma, Pukaskwa National Park, and Lake Superior Provincial Park. Most are managed by forestry companies under a Sustainable Forest Licence, who are required to complete a Forest Resource Inventory (FRI) and management plan approximately every 10 years. Past FRI work has been based on aerial photo interpretation and some field surveys. This work contains little information on understory species and is generally out of date. The management plans are inconsistent across management units with respect to the amount of species information and range maps included. Some management plans contain maps delineating 117 vegetation sites or ecosites descriptions, though often these are again based on little field-verified data. Some make specific reference to understory and non-timber species of interest, but not in a systematic way. A new FRI system based on eco-sites is being established for Ontario which will make classifications consistent for the whole province and will include understory species. Field sampling for the new system has not yet begun in the NSFC region; it will be undertaken from 2010 to 2014 (2010: Hearst Forest, Big Pic Forest, Pic River Ojibway Forest, Black River Forest; 2012: Magpie Forest, Nagagami Forest, White River Forest, Superior Forest; 2014 Algoma Forest, Pukaskwa National Park, Lake Superior Provincial Park). New inventories will be based to a larger extent on landform and substrate, and hence will have a greater capacity to predict the likely conditions for understory species. The Canadian Forest Service (CFS) is developing a series of 49 ‘Forest Associations’ for Ontario that will be consistent with associations being described for the whole country. The associations include information on understory species. They are not mapped as polygons, but the locations of each association (as determined from field sampling or from known occurrences) are indicated on maps. The work is still in progress, though CFS has sent CNTR draft descriptions for each Forest Association. Overall, there is little direct information available about non-timber species in Ontario’s forests. Inventory work has focused on timber species, and while this is changing, more comprehensive inventory work is in its infancy. Resources that may provide general information on non-timber species in the NSFC are listed below, though it must be kept in mind that information is often based on approximations and loose predictions rather than on field sampling, and thus may be unreliable. Available Resources: - Geographic information for Ontario is contained within ‘Land Information Ontario’. This consists of a warehouse of raw geographical data from across the province that is accessible to members (including the NSFC); GIS services are required to obtain maps from this data (www.Ontario.ca/lio) - Northeast Ontario Vegetation Types are described in MNR’s Field Guide to Forest Ecosystems of Northeastern Ontario, and by the Northern Ontario Plant Database (http://northernontarioflora.ca/vtypelist.cfm?region=ne) - Species descriptions, and records of sampling locations and habitat, are available from the Northern Ontario Plant Database (www.northernontarioflora.ca) - Forest management plans are available at https://ozone.scholarsportal.info - The MNR Geographic Profile report contains provincial maps indicating presence and categorical cover of major tree species in Ontario (including birch, cherry, balsam, and cedar), available at http://www.mnr.gov.on.ca/MNR_E005108.pdf - The Natural Heritage Information Centre has a geographic mapping tool which indicates the vegetation communities present in selected areas, and reports describing these communities, which can be accessed at http://nhic.mnr.gov.on.ca/MNR/nhic/queries/nhic.mwf 118 Table 1: Information on potential species of Interest Species Balsam fir (Abies balsamea) Notes - Blueberries (Vaccinium spp.) - Common and abundant throughout the area Subject to damage by spruce budworm Large trees (> 30 cm diameter at breast height) uncommon General provincial distribution map and associated species available at http://www.mnr.gov.on.ca/MNR_E005108.pdf Most common are velvet leaf (V. myrtilloides) and low sweet (V. angustifolium) blueberries Blueberry harvesting is an important NTP economic activity. To date, it has been directed mainly at wild berries but there are efforts to cultivate blueberries in the Wawa vicinity They are good for picking after stand burns or cuts V. angustifolium is common up to about Wawa, and restricted from around Wawa to Sault St Marie In the Hearst Forest the blueberries occur on selected sites throughout the area, but are not readily found near populated areas Oval-leafed blueberry (V. ovalifolium) and bog blueberry (V. uliginosum) are probably restricted to shorelines, lakeshores, and close to Lake Superior, where there are colder conditions Velvet leaf and low sweet blueberry are in the V-types (with ~ 2-5% unless otherwise noted): NE-V18: Jack Pine - Black Spruce – Blueberry (6-20% cover) NE-V21: Jack Pine - Blueberry - Feathermoss – Lichen (6-20% cover) NE-V22: Black Spruce - Jack Pine - Feathermoss – Lichen (6-10% cover) NE-V2: White Birch - Mountain Maple NE-V4: Trembling Aspen - Beaked Hazel NE-V6: Trembling Aspen - White Birch - Beaked Hazel - Bracken Fern NE-V7: White Birch - Black Spruce – Blueberry NE-V8: Trembling Aspen - Black Spruce - Herb Poor NE-V15: Black Spruce - Herb Rich Reference - MNR - CFS Great Lakes - OMNR - CFS Great Lakes - Forest Management Plans - MNR - Northern ON Plant Database 119 - Bush cranberries (Viburnum spp.) - Cranberries (Vaccinium spp.) - Ferns - NE-V17: Jack Pine - Black Spruce – Feathermoss NE-V19: Black Spruce - Stairstep moss NE-V20: Black Spruce - Jack Pine – Feathermoss NE-V23: Black Spruce - Labrador Tea - Speckled Alder - Stairstep Moss NE-V24: Black Spruce - Speckled Alder - Labrador Tea – Sphagnum NE-V26: Black Spruce - Leatherleaf – Sphagnum NE-V28: Black Spruce - Bog Rosemary - Bog (or Pale) Laurel - Sphagnum NE-V27: Black Spruce - Labrador Tea - Feathermoss – Sphagnum (up to 5% cover) NE-V25: Black Spruce - Larch - Speckled Alder - Stairstep Moss (present) Lowbush cranberry (V. edule) is common in upland mesic forests, especially those with lots of aspen. Viburnum trilobum is present but uncommon. The fruits are good for eating and making jelly Large and small cranberries (V. macrocarpon and V. oxycoccus respectively) are fairly common throughout the region Lingonberry (V. vitis-idaea) is not common, but may be present around shorelines, lakeshores, and close to Lake Superior where conditions are colder Harvesting wild cranberries is practiced locally, but there is little to no cultivation in this area. Both common species are used to make cranberry sauce Small cranberry is present in V-types: NE-V24: Black Spruce - Speckled Alder - Labrador Tea – Sphagnum NE-V25: Black Spruce - Larch - Speckled Alder - Stairstep Moss NE-V26: Black Spruce - Leatherleaf – Sphagnum NE-V27: Black Spruce - Labrador Tea - Feathermoss – Sphagnum NE-V28: Black Spruce - Bog Rosemary - Bog (or Pale) Laurel - Sphagnum Common species include wood ferns (Dryopteris spp), northern lady fern (Athyrium filix-femina), Thelypteris spp., oak fern (Gymnocarpium Dryopteris), interrupted fern (Osmunda claytoniana), sensitive fern (Onoclea sensibilis), Polypodium spp., bracken fern (Pteridium aquilinum), and rattlesnake fern (Botrychium spp.) - CFS Great Lakes - MNR - CFS Great Lakes - Northern ON Plant Database - MNR - MNR - CFS Great Lakes 120 - Fireweed (Epilobium angustifolium) - Labrador tea (Ledum groenlandicum) - Paper birch (Betula papyrifera) - - - - Ostrich fern (Matteuccia struthiopteris) is not generally common in the Ontario boreal forest, but is present locally in rich sites, usually in association with black ash or white spruce trees. It has been observed along the north shore of Lake Superior and elsewhere Very common, particularly in burns, old clearings, road right of ways, and cutovers Present in V-types: NE-V10: Trembling Aspen - Balsam Poplar - Speckled Alder NE-V11: Trembling Aspen - Black Spruce - Bush Honeysuckle - Herb Rich NE-V23: Black Spruce - Labrador Tea - Speckled Alder - Stairstep Moss Significant component of the most prevalent ecosites of the Big Pic forest (FMP) Present in V-types:: NE-V28: Black Spruce - Bog Rosemary - Bog (or Pale) Laurel – Sphagnum (21-40% cover) NE-V22: Black Spruce - Jack Pine - Feathermoss – Lichen (11-20%) NE-V23: Black Spruce - Labrador Tea - Speckled Alder - Stairstep Moss (11-20%) NE-V27: Black Spruce - Labrador Tea - Feathermoss – Sphagnum (11-20%) NE-V19: Black Spruce - Stairstep moss (6-10%) NE-V24: Black Spruce - Speckled Alder - Labrador Tea – Sphagnum (6-10%) NE-V17: Jack Pine - Black Spruce – Feathermoss (2-5%) NE-V20: Black Spruce - Jack Pine – Feathermoss (2-5%) NE-V25: Black Spruce - Larch - Speckled Alder - Stairstep Moss (2-5%) NE-V26: Black Spruce - Leatherleaf – Sphagnum (present) Very common, and behaves as both early and late successional species Quality varies, with better stems being of seed origin in a successional forest, not post-stump or fire origin Especially common near Lake Superior, where it behaves as a late successional species. The stands are usually mixtures of black spruce, fir, and white spruce, with cedar also present. The stands are not dense, and stems are usually single and straight, some with large diameters. They are often not of fire origin Most FMPs quantify birch cover, or cover of forest units that contain significant amounts of birch General provincial distribution map and associated species available at - CFS Great Lakes - MNR - Northern ON Plant Database - Forest Management Plans - CFS Great Lakes - Northern ON Plant Database - CFS Great Lakes - FMPs - MNR 121 - Serviceberry (Amelanchier spp.) - http://www.mnr.gov.on.ca/MNR_E005108.pdf One of the dominant species in V-types: NE-V1: White Birch - White Spruce NE-V2: White Birch - Mountain Maple NE-V6: Trembling Aspen - White Birch - Beaked Hazel - Bracken Fern NE-V7: White Birch - Black Spruce – Blueberry NE-V8: Trembling Aspen - Black Spruce - Herb Poor (up to 20% cover, in fewer than 2/3 of plots) Several species of serviceberry with succulent fruits are present in the area including A. bartramiana and A. sanguinea; A. alnifolia is less common They are picked locally, but are rarely found in abundance in Ontario’s boreal forest Present in V-types: NE-V2: White Birch - Mountain Maple NE-V5: Trembling Aspen - Bush Honeysuckle - Largeleaf Aster NE-V6: Trembling Aspen - White Birch - Beaked Hazel - Bracken Fern NE-V7: White Birch - Black Spruce – Blueberry NE-V8: Trembling Aspen - Black Spruce - Herb Poor NE-V10: Trembling Aspen - Balsam Poplar - Speckled Alder NE-V11: Trembling Aspen - Black Spruce - Bush Honeysuckle - Herb Rich NE-V12: Trembling Aspen - White Spruce – Squashberry NE-V15: Black Spruce - Herb Rich NE-V16: White Cedar - Spruce - Balsam Fir – Ferns NE-V18: Jack Pine - Black Spruce – Blueberry NE-V19: Black Spruce - Stairstep moss NE-V20: Black Spruce - Jack Pine – Feathermoss NE-V21: Jack Pine - Blueberry - Feathermoss – Lichen NE-V22: Black Spruce - Jack Pine - Feathermoss – Lichen NE-V23: Black Spruce - Labrador Tea - Speckled Alder - Stairstep Moss - MNR - CFS Great Lakes - Northern ON Plant Database 122 - Sweet gale (Myrica gale) Wild rice (Zizania aquatica) - - Yew / ground cedar (Taxus canadensis) - NE-V24: Black Spruce - Speckled Alder - Labrador Tea – Sphagnum NE-V25: Black Spruce - Larch - Speckled Alder - Stairstep Moss Common species occurring around lakeshores throughout the area, especially shorelines with mineral or organic edges Present but not abundant, perhaps due to the faster moving streams, rocky lake bottoms, rolling topography, and smaller lakes found in this region compared to areas with more wild rice cultivation (i.e. NW Ontario, Manitoba, Minnesota) Wild rice stands recorded on maps for Superior Forest Management Unit Wild rice stand propagated by local bear-baiter around an unnamed lake south of Tocheri Lake (Matthews township) in White River Forest Somewhat common in the transition from the northern hardwood forest south of Wawa; occasional in the boreal Hearst forest and OMNR have started documenting locations in the Hearst forest Present in V-type NE-V1: White Birch - White Spruce, where it occurs in less than 30% of the stands and has cover of up to 40% - MNR - CFS Great Lakes - MNR - Forest Management Plans - CFS Great Lakes - Forest Management Plans - Northern ON Plant Database 123