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The Economic Contribution of Forestry and Forest Products - Winston County

Publication Number: M1706
View as PDF: M1706.pdf

Winston County

Forestry and forest products are a major component of Winston County’s economy. Forest-related economic sectors generate value not only within the forest-related sectors but also in other sectors of the economy. The economic contributions of forest-related sectors and their contributions on other sectors can be estimated using input-output analysis. Using 2018 data, this study estimates the total economic contributions of forestry and the forest products industry to Winston County, Mississippi.

Employment and Income Contributions

Forest-related economic activity in Winston County during 2018 generated 583 jobs and over $28.3 million in income. That’s about 7.9% of jobs and 9.5% of income in the county. Employment is the number of full- and part-time jobs in all sectors of the economy. Income includes all forms of employment income, including employee compensation (wages and benefits) and proprietor income, also referred to as labor income.

Total Output and Value Added Contributions

Forestry and the forest products industry generated over $102.7 million, or about 9.4% of economic output in Winston County. Forest-related value added amounted to over $45.5 million, or about 9.2% of all value added in the county. The value of all goods and services produced is defined as total output. Value added is a portion of total output and represents the creation of new wealth.

Tax Contributions

Forest-related economic activity contributed an estimated $8.93 million in tax revenue for federal, state, and local governments. This represents an estimated tax revenue of $6.17 million for federal and $2.76 million for state and local governments.

Contributions from forest-related sectors on employment and income in Winston County, Mississippi, 2018.

 

Number of Jobs

% of County

Income ($)

% of County

Direct Contributions from Forest-Related Sectors

Misc. Forest Products

6

0.08

319,265

0.11

Logging

146

1.97

6,473,231

2.17

Solid Wood Products

198

2.66

12,300,492

4.13

Wood Furniture

17

0.23

666,666

0.22

Pulp & Paper

0

0.00

0

0.00

Subtotal

367

4.94

19,759,654

6.63

Indirect and Induced Contributions on Sectors

Resource Services

48

0.64

1,618,499

0.54

Wholesale & Retail Trade

43

0.57

2,679,231

0.90

Misc. Services

30

0.41

862,198

0.29

Misc. Manufacturing

26

0.35

903,946

0.30

Transport. & Comm. Services

19

0.25

750,014

0.25

Health Services

18

0.24

947,284

0.32

Financial & Real Estate

18

0.24

208,044

0.07

Government

3

0.04

203,959

0.07

Recreation & Amusement

3

0.04

28,352

0.01

Education

3

0.04

62,807

0.02

Domestic Services

2

0.03

87,930

0.03

Construction

2

0.03

59,263

0.02

Utility Services

2

0.03

109,798

0.04

Agricultural Products

2

0.02

113,118

0.04

Glass, Stone, & Clay

0

0.00

3,322

0.00

Mining

0

0.00

1,224

0.00

Petroleum & Chemicals

0

0.00

0

0.00

Food Processing

0

0.00

135

0.00

Machinery & Equipment

0

0.00

230

0.00

Agricultural Processing

0

0.00

40

0.00

Metal Industries

0

0.00

0

0.00

Transportation Equipment

0

0.00

81

0.00

Fabric Mills & Leather

0

0.00

4

0.00

Farm Inputs & Machinery

0

0.00

0

0.00

Technology Industries

0

0.00

0

0.00

Subtotal

217

2.92

8,639,477

2.90

TOTAL CONTRIBUTIONS

583

7.86

28,399,131

9.53

Rest of County

6,840

92.14

269,551,590

90.47

Total in County

7,424

100.00

297,950,721

100.00

Contributions from forest-related sectors on total output and value added in Winston County, Mississippi, 2018.

 

Output ($)

% of County

Value Added ($)

% of County

Direct Contributions from Forest-Related Sectors

Misc. Forest Products

428,355

0.04

320,920

0.06

Logging

11,211,231

1.02

6,412,761

1.30

Solid Wood Products

60,581,715

5.53

23,317,049

4.71

Wood Furniture

2,316,847

0.21

950,768

0.19

Pulp & Paper

0

0.00

0

0.00

Subtotal

74,538,149

6.80

31,001,498

6.27

Indirect and Induced Contributions on Sectors

Resource Services

1,722,361

0.16

1,361,366

0.28

Wholesale & Retail Trade

8,265,108

0.75

4,991,606

1.01

Misc. Services

2,352,604

0.21

1,262,675

0.26

Misc. Manufacturing

2,049,180

0.19

1,045,784

0.21

Transport. & Comm. Services

2,971,274

0.27

1,117,988

0.23

Health Services

2,201,201

0.20

1,089,311

0.22

Financial & Real Estate

4,741,692

0.43

2,360,086

0.48

Government

875,554

0.08

405,733

0.08

Recreation & Amusement

73,968

0.01

44,901

0.01

Education

99,390

0.01

57,832

0.01

Domestic Services

712,406

0.07

202,524

0.04

Construction

314,296

0.03

79,195

0.02

Utility Services

1,569,771

0.14

459,095

0.09

Agricultural Products

203,242

0.02

28,876

0.01

Glass, Stone, & Clay

15,656

0.00

5,334

0.00

Mining

6,362

0.00

1,420

0.00

Petroleum & Chemicals

2,495

0.00

0

0.00

Food Processing

0

0.00

211

0.00

Machinery & Equipment

1,129

0.00

377

0.00

Agricultural Processing

1,173

0.00

63

0.00

Metal Industries

1,323

0.00

0

0.00

Transportation Equipment

279

0.00

83

0.00

Fabric Mills & Leather

13

0.00

4

0.00

Farm Inputs & Machinery

0

0.00

0

0.00

Technology Industries

0

0.00

0

0.00

Subtotal

28,180,479

2.57

14,514,463

2.93

TOTAL CONTRIBUTIONS

102,718,627

9.37

45,515,960

9.20

Rest of County

993,094,441

90.63

449,208,087

90.80

Total in County

1,095,813,068

100.00

494,724,047

100.00

Economic contributions developed using 2018 IMPLAN® software and data (reported in 2020 dollars).

Winston County forestland acreage, ownership, value, and taxes collected.

Total forestland acres, 2018

288,665

Private ownership acres

253,647

Public ownership acres

35,018

Forestland assessed value, 2018

$8,348,880

Ad valorem tax collections from forestland, 2018

$368,603

Value of standing timber, 2018

$487,993,266

Value of timber harvested, 2019

$19,759,086

Timber severance tax collections (100%), 2019

$62,513

Tax to Forest Resource Development Program (80%)

$50,010

Tax returned to county government (20%)

$12,503

Sources: Forestland ownership, acreage, and timber volumes were estimated using the USDA Forest Service, Forest Inventory and Analysis Program, Forest Inventory EVALIDator web application Version 1.8.0.01. Tax collections according to Mississippi Tax Commission and Mississippi Department of Revenue. Timber harvest values according to the Mississippi Harvest of Forest Products Report.


M1706 (100-11-20)

By Shaun M. Tanger, PhD, Assistant Extension Professor, Forestry; Marcus K. Measells, MS, Senior Extension Associate, Forestry; James E. Henderson, PhD, Extension Professor and Head, Coastal Research and Extension Center; and Ian A. Munn, PhD, Associate Dean and Professor, Forestry.

Copyright 2020 by Mississippi State University. All rights reserved. This publication may be copied and distributed without alteration for nonprofit educational purposes provided that credit is given to the Mississippi State University Extension Service.

Produced by Agricultural Communications.

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Extension Service of Mississippi State University, cooperating with U.S. Department of Agriculture. Published in furtherance of Acts of Congress, May 8 and June 30, 1914. GARY B. JACKSON, Director

Department: MSU Extension- Winston County

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Authors

Portrait of Dr. Shaun Tanger
Assistant Professor
Timber Taxation, Forestry Economics, Forest Management, Forest Finance
Portrait of Mr. Marc Measells
Senior Extension Associate
Portrait of Dr. James Emery Henderson
Professor and Head
Forest Economics and Management

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