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The Economic Contributions of Forestry and Forest Products - Washington County

Publication Number: M2377
View as PDF: M2377.pdf

Washington County

Forestry and forest products are a major component of Washington 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 Washington County, Mississippi.

Employment and Income Contributions

Forest-related economic activity in Washington County during 2018 generated 126 jobs and over $9.3 million in income. That’s about 0.5% of jobs and 1.0% 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 $20.1 million, or about 0.6% of economic output in Washington County. Forest-related value added amounted to over $11.6 million, or about 0.7% 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 $2.03 million in tax revenue for federal, state, and local governments. This represents an estimated tax revenue of $1.37 million for federal and $656,235 for state and local governments.

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

 

Number of Jobs

% of County

Income ($)

% of County

Direct Contributions from Forest-Related Sectors

Misc. Forest Products

34

0.15

5,643,012

0.61

Logging

6

0.02

278,725

0.03

Solid Wood Products

0

0.00

0

0.00

Wood Furniture

34

0.15

1,477,435

0.16

Pulp & Paper

0

0.00

0

0.00

Subtotal

74

0.32

7,399,172

0.79

Indirect and Induced Contributions on Sectors

Agricultural Products

0

0.00

5,862

0.00

Resource Services

8

0.03

309,689

0.03

Mining

0

0.00

84

0.00

Utility Services

0

0.00

18,374

0.00

Construction

0

0.00

13,742

0.00

Agricultural Processing

0

0.00

58

0.00

Food Processing

0

0.00

159

0.00

Fabric Mills & Leather

0

0.00

0

0.00

Misc. Manufacturing

7

0.03

241,366

0.03

Petroleum & Chemicals

0

0.00

161

0.00

Glass, Stone, & Clay

0

0.00

328

0.00

Metal Industries

0

0.00

365

0.00

Farm Inputs & Machinery

0

0.00

675

0.00

Machinery & Equipment

0

0.00

6

0.00

Technology Industries

0

0.00

165

0.00

Transportation Equipment

0

0.00

183

0.00

Wholesale & Retail Trade

12

0.05

463,199

0.05

Transport. & Comm. Services

2

0.01

128,689

0.01

Recreation & Amusement

0

0.00

10,419

0.00

Domestic Services

1

0.00

38,002

0.00

Misc. Services

11

0.05

291,699

0.03

Financial & Real Estate

4

0.02

140,285

0.02

Education

1

0.00

13,450

0.00

Health Services

5

0.02

254,058

0.03

Government

0

0.00

36,113

0.00

Subtotal

52

0.22

1,967,129

0.21

TOTAL CONTRIBUTIONS

126

0.54

9,366,302

1.00

Rest of County

23,300

99.46

923,011,847

99.00

Total in County

23,426

100.00

932,378,149

100.00

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

 

Output ($)

% of County

Value Added ($)

% of County

Direct Contributions from Forest-Related Sectors

Misc. Forest Products

6,302,959

0.18

5,683,235

0.32

Logging

453,845

0.01

268,883

0.02

Solid Wood Products

0

0.00

0

0.00

Wood Furniture

7,004,025

0.20

2,133,407

0.12

Pulp & Paper

0

0.00

0

0.00

Subtotal

13,760,829

0.39

8,085,526

0.46

Indirect and Induced Contributions on Sectors

Agricultural Products

62,612

0.00

28,709

0.00

Resource Services

339,136

0.01

279,184

0.02

Mining

16,313

0.00

769

0.00

Utility Services

230,300

0.01

64,068

0.00

Construction

52,414

0.00

17,626

0.00

Agricultural Processing

889

0.00

101

0.00

Food Processing

1,130

0.00

387

0.00

Fabric Mills & Leather

0

0.00

0

0.00

Misc. Manufacturing

510,059

0.01

277,642

0.02

Petroleum & Chemicals

2,425

0.00

316

0.00

Glass, Stone, & Clay

2,430

0.00

665

0.00

Metal Industries

972

0.00

414

0.00

Farm Inputs & Machinery

10,300

0.00

1,664

0.00

Machinery & Equipment

43

0.00

12

0.00

Technology Industries

938

0.00

321

0.00

Transportation Equipment

1,259

0.00

243

0.00

Wholesale & Retail Trade

1,629,252

0.05

911,617

0.05

Transport. & Comm. Services

332,525

0.01

157,550

0.01

Recreation & Amusement

36,821

0.00

19,989

0.00

Domestic Services

225,943

0.01

84,339

0.00

Misc. Services

814,624

0.02

427,091

0.02

Financial & Real Estate

1,548,259

0.04

915,701

0.05

Education

19,073

0.00

12,223

0.00

Health Services

493,853

0.01

284,191

0.02

Government

84,091

0.00

54,659

0.00

Subtotal

6,415,659

0.18

3,539,480

0.20

TOTAL CONTRIBUTIONS

20,176,488

0.57

11,625,006

0.66

Rest of County

3,491,365,849

99.43

1,737,932,082

99.34

Total in County

3,511,542,337

100.00

1,749,557,088

100.00

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

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

Total forestland acres, 2018

51,623

Private ownership acres

39,557

Public ownership acres

12,065

Forestland assessed value, 2018

$2,016,075

Ad valorem tax collections from forestland, 2018

$253,179

Value of standing timber, 2018

$66,163,621

Value of timber harvested, 2019

$3,522,974

Timber severance tax collections (100%), 2019

$5,125

Tax to Forest Resource Development Program (80%)

$4,100

Tax returned to county government (20%)

$1,025

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.


M2377 (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- Washington 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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