This power point presentation was developed to introduce a new publication series addressing the economic impact of forestry and forest products to Mississippi’s predominantly forested counties. The presentation has been adapted for county specific audience throughout Mississippi.

1. Economic Impact of Mississippi’sForest ResourcesLogging, Solid Wood Products,Pulp and Paper, and Wood Furniture ManufacturingJames E. HendersonAssistant Extension ProfessorDepartment of Forestry

2. Mississippi’s Forest Resources 19.6 million acres 65% of the state’s total land area Major component of Mississippi’s economic base Source: Forest Inventory & Analysis Factsheet Mississippi 2006, U.S. Forest Service Percentage of land in forest by county < 25% 25 – 49 50 – 74 >75%

3. Mississippi’s Forest Resources Over $1 billion worth of forest products harvested annually and delivered to mills and other manufacturing plants Timber harvesting and product manufacturing has impact on state economy Source: Forest Inventory & Analysis Factsheet Mississippi 2006, U.S. Forest Service Percentage of land in forest by county < 25% 25 – 49 50 – 74 >75%

4. Photo by Laurie Grace

5. Economic Impact of Forest Products Industry Henderson, J.E., I.A. Munn, G. Perez-Verdin, D.L. Grebner. 2008.

6. The importance of forestry and forest products is well documented at the state level. But what impact does it have at the county level? Introducing a new publication series to address that question. Economic Impact of Forest Products Industry

7. The Economic Contribution of Forestry and Forest Products to Mississippi Counties

8. Forest Products Industry Impacts Economy In Three Ways: Forestry & Forest Products Purchases from supporting sectors Employee spending Direct Effect Indirect Effect Induced Effect Total Effect

9. Input – Output Analysis Economy divided into 440 sectors. Depicts inter-industry relations of an economy. Shows how output of one industry is an input to other industries or sectors of the economy. IMPLAN: input-output modeling software

10. Economic Impact on Mississippi’s Economy Measured by: Employment the number of full- and part-time jobs in the sector Employee compensation the wages paid by the sector Output the sector’s total value of production Value-added total sector output minus the costs of purchased inputs

11. The Economic Contribution of Forestry and Forest Products to Mississippi Counties

16. Jobs

17. Jobs Direct Effect 695 jobs 17.6% of county

18. Jobs Direct Effect 695 jobs 17.6% of county Indirect and Induced 590 jobs 14.9% of county

19. Jobs Direct Effect 695 jobs 17.6% of county Indirect and Induced 590 jobs 14.9% of county Total Impact 1,285 jobs 32.5% of county

20. Income

21. Income Direct Effect $58 Million in income 36.3% of county

22. Income Direct Effect $58 Million in income 36.3% of county Indirect and Induced $18 Million in income 11.5% of county

23. Income Direct Effect $58 Million in income 36.3% of county Indirect and Induced $18 Million in income 11.5% of county Total Impact $76 Million in income 47.8% of county

24. Output

25. Output Direct Effect $352.8 Million 46% of county

26. Output Direct Effect $352.8 Million 46% of county Indirect and Induced $57 Million 7.5% of county

27. Output Direct Effect $352.8 Million 46% of county Indirect and Induced $57 Million 7.5% of county Total Impact $410 Million 53.5% of county

28. Value Added

29. Value Added Direct Effect $95.5 Million 35% of county

30. Value Added Direct Effect $95.5 Million 35% of county Indirect and Induced $33.9 Million 12.5% of county

31. Value Added Direct Effect $95.5 Million 35% of county Indirect and Induced $33.9 Million 12.5% of county Total Impact $129.4 Million 47.6% of county

35. Timber Harvest Value (2007)

36. Forest Products Facilities Source: U.S. F.S

37. Population Economic Impact (in percentage terms): Greater in rural counties Smaller in urban counties

38. Total Jobs ImpactAs Percent of County Total Total Jobs ImpactDirect, Indirect, & Induced Economic Impact: Greater in rural counties Smaller in urban counties

39. Total Jobs ImpactAs Percent of County Total Total Jobs ImpactDirect, Indirect, & Induced Economic Impact: Smaller in urban counties

40. Total Jobs ImpactAs Percent of County Total Total Jobs ImpactDirect, Indirect, & Induced Economic Impact: Greater in rural counties

41. Standing Timber Value Estimation process: 2007 Product Prices applies to standing timber volume estimates: Hardwood and Softwood Sawtimber and Pulpwood Source: Mississippi Institute for Forest Inventory (MIFI)

42. Standing Timber Value

43. The Economic Contribution of Forestry and Forest Products to Mississippi Counties

44. This information is available online! www.MSUCares.com

48. Thank You