Business owners and municipal leaders in Nackawic, New Brunswick are bracing for the economic aftershocks of the planned closure of the AV Nackawic pulp mill, the community’s largest employer, as the town looks to chart a path forward without it.
The mill is expected to shut down Nov. 4, a move that will put 228 unionized workers out of a job and affect hundreds more employees, contractors and others tied to the facility. The plant has anchored the local economy for more than half a century, and business owners say the ripple effects will extend well beyond the mill gates.
Anita Fox, owner of the Waterfront Pub, said the mood in town is one of uncertainty and disappointment, made worse by the fact that Nackawic has already lived through a major mill closure once before. She said the loss of household income across the community will likely change how often people spend money at businesses like hers, including on recreational activities such as trail riding and snowmobiling that have historically brought customers through her doors.
Ripple Effects Across Local Businesses
Greg MacFarlane, deputy mayor of Nackawic-Millville and longtime owner of Ryan’s Pharmacy, a business that has been in his family since 1970, said anxiety over the closure is spreading through the local business community. He noted the impact is already being felt personally, with three of his employees having husbands who recently lost their jobs at the mill.
MacFarlane pointed to the scale of what the town stands to lose, citing 350 direct jobs paying around $100,000 a year and an estimated $35 million to $40 million in direct economic impact. He said replacing that kind of activity once it disappears will be difficult. He also drew comparisons to the community’s previous mill closure in 2004, saying Nackawic has weathered hardship before and can find a way through this challenge as well.
Municipality Looks to Diversify
Mayor Tim Fox said the municipality is turning its attention to other economic strengths as it plans for life after the mill. The town’s existing strategic plan is centred on growing its tax base and population, and officials have already worked on creating new housing as an initial step. Attention is now shifting to expanding industrial capacity, with the mayor noting the current industrial park is at capacity and that the municipality has been discussing acquiring adjacent land to make room for new or expanding businesses.
Fox said the mill’s closure adds urgency to that work, though he cautioned that no single initiative will replace what the community is losing. He said the investments needed to keep the mill running sustainably were not made, and that going forward the town will need to rely on sustained effort and new ideas rather than any quick fix.
Looking Ahead
MacFarlane said part of the municipality’s focus will be on protecting the tax base, supporting affected workers and families, and preserving mill-site assets that could have future use, with hope that the site could eventually be reopened, refurbished or repurposed in some form. He acknowledged the road ahead will be difficult, particularly for younger workers with mortgages and other financial obligations, but said he is trying to remain optimistic.
Fox echoed that sentiment, saying resilience does not mean denying the closure will hurt, but rather ensuring the community continues moving forward despite the setback.
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