Sustainability Transition in Peripheral Small-Scale Forest Industries: Case Studies from Finland and Sweden

Abstract

The sustainability transition is reshaping the operational landscape of forest industries and their societal roles. While much attention is directed towards major forest companies and units situated in central regions of a country, smaller forest actors in remote areas have received comparatively less focus. In this chapter, we delve into forest industries operating in regional inland peripheries in northeast Finland and northern Sweden—locations characterised by their atypical circumstances. These forest industries are relatively small-scale compared to major players in the sector. Our case studies are strategically positioned amidst nationally and globally significant forest resources, placing them at the forefront of the sustainability transition. We explore how peripheral forest industries interpret their interrelations with sustainability transition agendas and the socio-economic environment. Additionally, we investigate how these industries navigate the dynamic currents of agendas, markets, and crises. Our inquiry is informed by the perspectives of local policymakers and representatives from peripheral forest industries. Interviews reveal that prospects are generally optimistic, particularly in light of the momentum generated by green growth initiatives and related sustainability agendas, as well as the proximity to forest resources. However, the process of adaptation has become increasingly unpredictable and challenging due to rapid and sometimes conflicting changes, as well as persistent socio-economic disadvantages.