With the U.S. housing market meltdown and the global recession chopping down the Canadian forest industry in size, what choice did it have?

Some of the country’s biggest forestry companies will agree to freeze logging on parts of the northern forest. In return, environmental groups will pull marketing campaigns denouncing logging practices and will even go so far as to give the companies a green endorsement.


Over the years, Greenpeace has pressured forestry companies to focus only on areas that were already fragmented. Without divulging specifics of the new deal, a spokesman from the group called it “globally significant.”

While details of the agreement have been scant, the industry side of the negotiations have been led by the Forest Products Association of Canada, which represents some of the giants of Canadian forestry, including AbitibiBowater, Canfor Corp. and Weyerhaeuser Co.

“Essentially, it has no choice, but it’s co-operating,” Mr. Kelertas said. “The environmental groups get what they want for now and the industry looks like good citizens.”

Greenmail obviously works.