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ANNOUNCEMENT

June 20, 2024

 CKCA Members Elect 2024/2025 Board of Directors

The Canadian Kitchen Cabinet Association held their 2024 Annual Meeting on Thursday,

June 20 at 1pm (ET) via Zoom.

Members voted to elect by acclamation the Board of Directors for 2024/2025. Immediately following the Annual Meeting, the newly acclaimed and Board then appointed the Executive Officers.  We are pleased to provide the following update:

Executive:

As Directors, these representatives also hold executive officer roles.

• Amrita Bhogal, Sunrise Kitchens – President (Continues second term as Director and newly appointed as President for two years)
• Luke Elias, Muskoka Cabinet Company – Vice-President (Continues second term as Director and newly appointed as Vice-President for two years)
• James Dewinetz, Pacific Rim Cabinets – Treasurer (Continues third term as Director and as Treasurer)
•  Pete Fournier, Triangle Kitchen – Past-President (Continues third term as Director and first year of a two-year term as Past President)
•  Sandra Wood, CKCA Staff – Secretary (Annual appointment)

Directors:

Terms of office are 3 years and may run for 3 consecutive terms.

• Rick Hurst, Richelieu Hardware – Director (Begins first of term)
• James McKenna, Glenwood Kitchen – Director (Begins first term)
• Trevor Chaulk, Chaulk Woodworking – Director (Continues first term)
• Craig Atkinson, Marathon Hardware – Director (Begins second term)
• Joerg Brauns, Cyncly – Director (Begins second term))
• Giuseppe Castrucci, Laurysen Kitchens – Director (Begins second term)
• Heidi Boudreault, Denca Cabinets – Director (Continues third term)
• Chris Havey, CNC Automation – Director (Continues first term)
• Gerald Van Woudenberg, Van Arbour Design – Director (Begins third term)

CKCA would also like to acknowledge and sincerely thank departing Board members Varun Gajendran, Lucvaa Kitchens who served for 6 years and Earl Ducharme, Hafele Canada who served for 3 years. Through their continued support, CKCA has been able to deliver more programs and services to the membership.

Link to Board members photos and bios can be found here.

CKCA President, Amrita Bhogal says:

 “CKCA continues to evolve as the national voice for the industry. The CKCA Board are committed to representing the interests of the membership. We believe the Canadian industry is innovative and embraces a skilled and talented workforce that is an integral part of the Canadian housing industry. We are proud of what we do, and we love what we do. As your newly appointed President, I look forward to continuing the amazing work that my colleague, Pete Fournier has done to lead this organization and I look forward to working with Luke Elias, Vice-President and the Board on the many important initiatives we have underway that support our industry.”

The CKCA National Forum will be held October 2 – October 4 in Winnipeg, MB. Registration opens this summer.

CKCA established in 1968, is a national trade association representing the kitchen cabinet industry in Canada. CKCA works to inspire progress and innovation in the industry, by promoting excellence, facilitating continuous improvement and working to ensure high standards for design and manufacturing are upheld.

For more information:

Sandra Wood, CKCA Executive Director

613-493-5858

sandra@ckca.ca

CKCA continues to reach out to members and non-members across the country. When an opportunity to hold an event in Edmonton on May 9, 2024 thanks to our local meetup champion, Selen Yuen of Selenium Interiors, we couldn’t pass it up! Selene rounded up companies to attend this event and the turnout was impressive.  An evening of updates about trends coming out of Eurocucina, combined with great conversation with industry made the evening valuable for building a stronger community for the kitchen cabinet industry in the Edmonton and surrounding areas.

Selene was proud of what was accomplished at this meeting and told us:

“A good turnout with lots of energy. Richelieu did a super job of creating a warm, welcoming space with great food. They set the bar high for the next event and put CKCA in a positive, professional light. It was great to see people from the local college attend because it added extra depth to the conversations.”

Thank you Selene and thank you Richelieu for your sponsorship. You are both the reason this event was a great success.

We can’t wait to be back in Edmonton for future meetups!

 

 

CKCA continues to reach out to members and non-members across the country. When an opportunity to hold an event at Richelieu’s brand new distribution centre in Calgary came along we grabbed it! An evening of updates about trends coming out of Eurocucina, combined with great conversation with industry made the evening a great success. CKCA Past President and President of Denca, Heidi Boudreault, was the “local champion” who helped get this event off the ground.

Heidi was so excited about having this event she posted this on social media:

As someone deeply passionate about the cabinet industry and having served as the past CKCA president, I’m thrilled to champion this Calgary event for the CKCA Local MeetUps in Alberta. These gatherings hold special significance to me as they offer a platform to raise awareness for the CKCA and to connect with potential manufacturing members. CKCA membership warmly welcomes cabinet manufacturers, millwork manufacturers, suppliers, dealers and associates from all corners of Canada. Let’s come together to strengthen our community and shape the future of our industry. Join today at ckca.ca

Thank you Heidi and Richelieu for making this event a great success. We look forward to hosting next next meetup in Edmonton on May 9 and here’s to future meetups and all the valuable connections that are yet to be made!

 

 

Dear CKCA Members,

As the woodworking industry continues to evolve, finding skilled and innovative talent is essential to staying ahead of the curve. We’re excited to announce an exceptional opportunity for CKCA members to partner with the University of British Columbia’s Centre for Advanced Wood Processing | CAWP at UBC Forestry Co-op Program and access a pool of talented students ready to tackle your company’s most pressing challenges.

 Why Choose UBC Co-op Students?

UBC’s Wood Products Co-op Program currently has students available for 4 or 8 month terms starting in May/June.  Students would be ideal for projects such as:

1. Quality Control: Ensure the highest standards of quality in your products by engaging co-op students to assist in quality control measures and process improvement initiatives.
2. Development of Standard Operating Procedures (SOPs): Streamline your operations and enhance efficiency by working with students to develop and refine SOPs tailored to your company’s unique needs.
3. Facility Layout: Optimize your workspace for maximum productivity and safety with the help of co-op students skilled in facility layout design.
4. Production Planning and Scheduling: Improve your production processes and minimize downtime by enlisting co-op students to assist in production planning and scheduling tasks.
5. Machinery Evaluation: Evaluate and optimize your machinery and equipment to ensure they meet your company’s production requirements and goals.

Benefits of Partnering with UBC Co-op Program:

1. Access to Specialized Skills: Leverage the expertise of students trained in Wood Products Processing to address specific challenges and opportunities within your organization.
2. Flexible Work Terms: Choose between 4-month and 8-month work terms to accommodate your company’s needs and project timelines.
3. Cost-Effective Solutions: Benefit from cost-effective staffing solutions while gaining access to motivated and talented individuals eager to contribute to your company’s success.  (BC companies may qualify for Wood First Funding)

 Connect with Us:

Ready to take advantage of this exciting opportunity? Reach out to alberto.renteria@ubc.ca  to learn more about how you can partner with UBC’s Co-op Program and harness the potential of our talented students.

Let’s work together to drive innovation, efficiency, and growth within the woodworking industry!

Jason Chiu  B.Sc

Managing Director

UBC – Centre for Advanced Wood Processing

2939 – 2424 Main Mall

Vancouver, BC  Canada  V6T 1Z4

Tel: 604 822-0082

Email: jason.chiu@ubc.ca

   

CKCA recently sent a group of kitchen cabinet manufacturers to Europe to attend the world’s largest kitchen show – Eurocucina.

This trends setting show is packed full of all the latest in kitchen design and functionality and serves to inspire the transformation of our living spaces.

Blum Canada hosted the group as sponsor and have put an excellent summary together of the trends they saw from the show. We also got the perspective of one of the participants, CKCA member Trevor Chaulk from Chaulk Woodworking. Their two perspectives combined offer valuable insight into what’s trending for the kitchen cabinet industry.

Trevor Chaulk, Chaulk Woodworking

I would like to start off by saying a large thank you to Blum, CKCA, Richelieu and many others who helped make this experience memorable.   The hospitality we have experienced was second to none as usual with CKCA events.

To see many Blum plants in one day and observe how this large company operates, the experience  was really inspiring. From the unified feel across all plants to how they engineer and manufacture all their own machinery(with help from machine companies) and above all their skilled trades apprenticeship programs, it showed me that progress and innovation are not only required but needed for growth and future stability.  The apprenticeship program especially stuck with me as I believe it is imperative for companies to assist with skills training.  The joy and aspiration of their apprentices was uplifting and I would like to see this culture closer to home…It all starts somewhere.

The Eurocucina event was very large.  The amount of effort put forward for a show like this is tremendous!   We toured the Kitchen and Bath Halls, and we identified the importance of creative design and uniqueness of the end consumers of Kitchen and Bath Cabinets (Furniture), fixtures and overall feeling of the space environment.  The innovation is really showcased at this event mainly in new materials being introduced to the marketplace that have vibrant colours, textures and durability.  We noticed the amount of mixed materials in the designs and the element of a modern but grounded feel.  There was a fair amount of new hardware features that we would like to implement back here in Ontario, Canada.  I look forward to attending this show in the future.

Blum Canada

Here’s what Blum had to say about the tour.

Here’s a report Blum has prepared highlighting the trends at Eurocucina.

Thank you to our sponsors for making this a great program!

     

In response to the Federal Government’s Budget 2024, announced April 17, 2024.

Analysis from our partners is now available, CFIB (Canadian Federation of Independent Business) and CME (Canadian Manufacturers and Exporters).  CFIB Press Release  CME Press Release. CKCA is pleased to support both these organizations and their position and response to the budget.

Other reputable sources include, The Conference Board of Canada (Press Release here) and RBC Economics (Press Release here) both publishing their commentary. All of this is helpful for obtaining a summarized version of the more than 400 pages of budget documentation.

So what does it mean for the kitchen cabinet industry?

Background:

• The Canadian kitchen cabinet industry is comprised of more than 4,000 manufacturing shops across Canada making us part of the “economic engine” of Canada and one of many manufacturing sectors that contribute to the GDP.
• In 2023 we generated more than $5 billion in gross revenue sales and employ more than 25,000.
• We supply  essential infrastructure (kitchens, bathrooms and other millwork) to the housing industry and are comprised of mostly small to medium sized business (1-500 employees).
• We are an industry in transition that is being impacted by the volatility in the market (interest rates, housing shortages etc.), the skilled labour shortage, an aging demographic of workers and business owners retiring, environmental conditions affecting supply (such as forest fires), advances in automation, complex trade and supply chains and a new generation of workers and business entrepreneurs entering the industry.
• We are a resilient industry that continued to operate through Covid because we were considered an essential industry sector.
• We are considered a “high mix, low volume” industry because we produce a highly customizable product that makes our manufacturing process complex.
• We adhere to Canadian employment standards and safety protocols,  environmental standards and we live and work and contribute to communities across Canada.
• Our industry is grass roots and, like so many businesses in Canada, we are comprised of workers and business owners who have brought their woodworking skills to Canada from all over the world.

Our concerns:

• The cost of doing business continues to rise for our sector with increasing taxes, business fees, cost for supplies, labour and more.
• Our industry continues to adopt new technologies and automation that requires significant  financial investment. This also comes with increased business risk from cyber attacks and requires retraining/reskilling our employees. It also requires increased  dependency and consumption on the power grid (utilities) to run our facilities, all of which is costing more each year.
• Remaining competitive is challenging and we are being impacted by offshore, cheaper product entering Canada at 40-70% cheaper making it impossible to compete, especially on lower end housing. Our industry’s response to this has been to move into the mid to higher end markets to survive.
• Fluctuation and volatility in the market, with inflation impacting interest rates, not only slows the market it increases financial pressures on our businesses who must navigate long lead times and delays before full payment is received, creating risk to both borrowers and lenders.
• The increasing population is growing faster than our ability to build homes which further adds pressure on the housing and rental markets.
• Cycle times on building remain long and since our industry installs some of the more final components in the home, we are frequently faced with costly delays.
•  Our sector’s profit ratios remain below the national manufacturing average of just over 9% (we are between 7-8%) which leaves little room for market changes and can create very difficult financial conditions for even the most successful of companies in our industry.
• While many have the perception that our industry did well through Covid, many companies struggled to operate during these challenges times and are still recovering from the unprecedented changes that occured. As one member who has been in business over 40 years told us: “Since Covid, although a few costs have come down, the major contributing costs (our fixed costs) will not come down and if they do, its minimal due to the new cost of doing business. Even though we raised our prices 30-40% during Covid and had a record year in sales due to this increase in 2023, we still had a $2 million shortfall in order to break even.”

Our comments on the budget:

• What Government decides and how it budgets impacts our industry. Our partners have all echoed concerns around the new capital gains taxes and we share their concerns.
• Canada’s GDP has slowed, productivity in Canada has slowed to levels that the Bank of Canada has declared “an emergency” and it is concerning that capital gains taxes on business may de-incentivize further investment in Canadian business.
• We are pleased to see increase funding for SR&ED that supports R&D, our industry is one of many that need more R&D to drive innovations.
• We echo CFIB’s comments that the Employee Ownerships Trusts, that allows business owner to access a special capital gains exemption of up to $10 million when selling a business to their employees, is good as our industry is seeing an increasing number of businesses changing hands and we will continue to see this as our aging workforce retires.
• We are also pleased to finally see some Carbon Tax rebates being returned to small business and commend CFIB for working hard on that issue to represent small business.
• We echo the concerns of the CME who are deeply concerned about the pace of implementation of previously announced measures by Government.
• It is good to see the budget has earmarked $409.6 million over four years, starting in 2025-26, to the Canada Mortgage and Housing Corporation to launch a new Canada Secondary Suite Loan Program, enabling homeowners to access up to $40,000 in low-interest loans to add secondary suites to their homes.
• Increasing affordability for housing, including subsidized housing paid by Government (using taxpayers money) is an important initiative, but creates additional pressure to produce product at the lowest possible price which will likely attract more off-shore cheaper product, even though we can and do manufacture kitchens in Canada. Off-shore product is counterproductive to the Government’s efforts to improve our environmental performance when we know “made in Canada” offers many environmental benefits.
• The budget proposes more support for modular and pre-fab building techniques, this is interesting, but it is too early to know if this will make the significant dent in the housing crisis. A lot will depend on whether the pre-fab industry can scale up quickly enough to respond to high demand and it could further perpetuate cheaper off-shore product entering Canada as a result.
• It is good to see amendments that will help first time buyers afford a home (increasing amortization to 30 years from 25)
• We are pleased to see housing gaining more attention and being prioritized by Government. Our industry wants to be part of the housing solution and to be recognized as a valued stakeholder.
• We look forward to learning more about the Canadian industrial strategy for homebuilding as well as improved data collection from CMHC and StatsCan who will receive $20 million over four years to enhance their data collection and dissemination of housing data, including municipal-level data on housing starts and completions.
• There is no one clear solution to the housing crisis, it is a multi-faceted and complex issue that requires a multi-pronged and innovative approach.

Our message:

While the push to build more homes continues, all levels of government need to ensure they create policy to foster the right conditions that enable Canadian business to effectively supply to an already pressurized housing industry. Our industry’s ability to compete and be successful is at a vulnerable crossroads. With demand for housing never being higher, our industry is not only working through skilled labour shortages and the cost of automation upgrades, it is also changing hands as we see an exodus of people from our sector and businesses being handed down to the next generation. This combined with higher interest rates, carbon tax, increased labour costs, increasing material costs, increasing property and rent costs, higher insurance and more, creates significant risk  for many businesses who are looking to Government to provide support as business evolves. The ability to move business from one generation to the next needs to have every opportunity to be successful and viable for those taking over. Federal, provincial and municipal budgets must come with constructive policy and nimble regulations that provide for a positive future and a healthy competitive environment for the next generation of business owners.

Every home has a kitchen. CKCA wants that kitchen to be made in Canada.