Montrose Forest Products Searches For New Owner

Northeast of town, back behind the Montrose Regional Airport, there’s a sawmill. Since 2012, the mill has operated as Montrose Forest Products, owned by Neiman Enterprises. After 14 years and more than $60 million in upgrades, Neiman has been searching for a buyer to take over operations.

The city of Montrose knows that if the mill closes, it could mean job losses and canceled logging contracts. Many people have no idea the local mill is directly connected to Western Slope timber suppliers and Colorado’s forest-management efforts.

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What Just Happened at Montrose Forest Products?

A Colorado Sawmill Is Up for Sale With Jobs on the Line — Montrose County Government via Facebook

Montrose Forest Products owners Nieman Enterprises issued WARN notices affecting around 90 employees on September 8. These notices are a first step in announcing changes and potential layoffs as the company searches for a buyer. Right now, Montrose Forest Products is still operating. November 6th is the last day on the WARN notice. A closure seems likely after that, but not certain.

What Happens If Nobody Buys the Mill?

A report from the Montrose Business Times indicates that, in a worst-case scenario, if no buyer or solution emerges, the mill closes. According to Neiman, Montrose Forest Products works with eight independent logging contractors, and that represents about 50 people. Right now, two contractors are working with the mill.

Montrose Has Been Here Before

Montrose and Montrose Forest Products have faced uncertainty before. Neiman bought the company out of receivership in 2012, and then they invested heavily in modernization. By 2020, a Montrose EDC report indicated that contracted labor supported more than 250 jobs at MFP and nearly $30 million in annual payroll. Without Montrose Forest Products, it becomes harder and more expensive to remove timber through local forest-management projects in Montrose County.

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