News Filed Under Forest Economics
RAYMOND, Miss. -- Despite a slow housing market and other lingering effects of the recession, Mississippi’s forests remain the state’s second most valuable agricultural commodity for 2017.
John Auel, an assistant Extension professor of forestry at Mississippi State University, estimates the value of forest products is $1.4 billion, which is a decrease of 8.6 percent from 2016. However, 2017 numbers are almost 40 percent higher than they were in 2009, when the industry experienced its lowest valued harvest of the 2007-2009 recession.
RAYMOND, Miss. -- New landowners can learn about managing timberland for profit during a five-part short course in May.
Forestland as an Investment will be offered May 2, 9, 16, 23 and 30 at the Mississippi State University Extension Service office in Forrest County. It starts at 6 p.m. and ends at 8 p.m. each night. The Extension office is located at 952 Sullivan Drive in Hattiesburg.
MISSISSIPPI STATE -- Markets for Mississippi’s sawtimber and pulpwood are bouncing back from the economic recession, but the industry is not improving across the board.
“Slowly but surely, markets for sawtimber are beginning to grow again after the sharp declines seen after the collapse of the U.S. housing market and the ensuing recession,” said James Henderson, associate Extension professor of forestry at Mississippi State University. “But the closing of the International Paper mill in Courtland, Ala. will have an impact on north Mississippi’s pulpwood markets.”
MISSISSIPPI STATE – Mississippi’s forest products bounced back into the No. 2 spot in the state’s list of agricultural commodities based on annual production values.
James Henderson, associate Extension professor in the Mississippi State University College of Forest Resources, estimated the state’s forest products 2013 harvest value to be $1.17 billion, compared to the 2012 value of $1.02 billion. That is a 14.6 percent increase over the 2012 harvest. Final figures will be available in February.
MISSISSIPPI STATE – The Mississippi State University Extension Service will offer timber tax workshops Feb. 28 in Raymond, March 1 in Coffeeville and March 29 in Oxford.
Landowners, certified accountants, consulting foresters and loggers are invited to participate in the Income Taxes and Family Forest short course. Topics include changes to capital gains tax law, basics of basis, record keeping, timber sales income, recovery of reforestation costs, casualty losses, strategic tax planning, tax forms and information sources.
MISSISSIPPI STATE – It’s not the heat or drought but the economy, specifically poor housing starts, that are causing grief for Mississippi’s forestry industry in 2011.
James Henderson, forestry economist and management specialist with the Mississippi State University Extension Service, said the slow economy is hurting the industry.
“There’s no good news for the pulpwood markets, and pine saw timber prices are the lowest they’ve been since the national housing construction downturn started in 2006,” Henderson said.
MISSISSIPPI STATE – Tornadoes that swept through Mississippi and much of the southeast April 27 caused an estimated $8.4 million of timber losses.
The Mississippi Forestry Commission compiled the estimate April 30 based on aerial surveys conducted after the storms. Russell Bozeman, director of forest protection and forest information with the commission, said the total affected area was about 26,240 acres. Of this, 15,564 were forested acres.
MISSISSIPPI STATE – A passion for the environment is drawing students to a recently redesigned economics-based degree program at Mississippi State University.
The Environmental Economics and Management degree combines courses in environmental economics, natural resource economics, environmental policy, ecology and environmental law. The EEM major was formerly an environmental and resource economics concentration under the umbrella degree Agricultural, Food and Resource Economics.
MISSISSIPPI STATE – Some Mississippi forest landowners with timber destroyed by the April 24 tornado may be eligible to claim a casualty loss.
Debbie Gaddis, Mississippi State University Extension Service forestry professor, said the tornado destroyed many privately owned forestlands in the state. Those owners who can claim a casualty loss will receive a deduction based on the loss of fair market value or their basis in the asset, whichever is less.
MISSISSIPPI STATE -- A new wrinkle in the tax code allows timber owners to deduct the cost of fertilizer as an ordinary and necessary business expense.
Deborah Gaddis, forestry specialist with the Mississippi State University Extension Service, said before the Internal Revenue Service ruling, fertilizer costs were treated as a capital expenditure and handled differently. Landowners now can deduct this cost all at once, up to certain limits, rather than recovering it over the expected life of the fertilizer, generally three years.
MISSISSIPPI STATE -- Foresters and landowners can learn about tax issues ranging from deducting expenses to taking reforestation credits during upcoming short courses offered across the state this fall.
Debbie Gaddis, forestry tax specialist with Mississippi State University's Extension Service, will teach the six-hour sessions for Webster, Forrest, Lamar, Yalobusha, Jackson, Jasper, Smith, Newton and Adams counties. Foresters and landowners from other counties are invited to attend at the most convenient location.
MISSISSIPPI STATE -- Mississippi has benefitted greatly from revenue generated from wood products in recent years, but to maximize forestry's future value, industry representatives are being encouraged not to rest on their laurels.
MISSISSIPPI STATE -- The predicted 1.2 percent decrease in value of Mississippi's timber harvest may represent a turn towards better conditions in the next few years.
Agricultural economists and forestry specialists with Mississippi State University's Extension Service are predicting the value of Mississippi's 2002 timber harvest at $1.06 billion, compared to 2001's value of almost $1.08 billion.
MISSISSIPPI STATE -- Mississippi and her sister southern states should continue to be the world's wood basket for decades to come, according to industry watchers and forestry specialists.
Bob Daniels, forestry specialist with Mississippi State University's Extension Service, said the prominent opinion is that as populations and urban areas continue to grow in the southeastern United States, Mississippi will be situated ideally for supplying wood products.
MISSISSIPPI STATE -- People spend a lot of time and money trying to keep their tax burden as low as possible, but when it comes to timber sales, many Mississippians pay too much in taxes.
Debbie Gaddis, assistant Extension professor of forestry at Mississippi State University, said proper record keeping and management can lower tax bills by allowing timber owners to take advantage of special tax programs available to them.
MISSISSIPPI STATE -- Two relatively dry years are enabling loggers to reach less accessible trees, creating an oversupply of timber during a season that traditionally has sluggish markets.
"The extended dry weather is compounding the problem with prices, especially pulpwood," said Bob Daniels, forestry specialist with Mississippi State University's Extension Service. "Pulp mills are only buying the wood needed immediately, so inventories back up in the woods."
By Chuck Dunlap
MISSISSIPPI STATE -- Forest ownership is a significant family asset that can send children to college, provide current and retirement income, and enable a better lifestyle if owners know how to manage land properly.
Dr. Glenn Hughes, Extension forestry specialist at Mississippi State University, said unfortunately, many private, non-industrial forest landowners, particularly minority or female landowners, are not realizing the full benefit of land ownership. Many encounter problems managing their forest land.
By Dawn R. Hanna
MISSISSIPPI STATE -- Mississippians have more than a billion reasons for celebrating Arbor Day on Feb. 9. Forestry is more than an asset to the state's environment; it's an asset to Mississippi's economy.
"Timber has been an important asset to Mississippi's economy, but in the last two years our forests generated more than a billion dollars in harvest value," said Dr. Bob Daniels, extension forestry specialist at Mississippi State University.
Mississippians begin celebrating tree planting week on Arbor Day, Feb. 9.