1992 16.0 million acres 2012 15.9 million acres Reduction in total acres since 1992. Most significant reduction of ownership has been with forest industry. Forest Ownership
374,000 landowners Typical NIPF owner: 55-64 years old, white, male, BS/BA, retired Acquired property by purchasing or inheriting from family Reasons for owning: beauty, protect environment, land investment, home site source: National Woodland Owners Survey http://www.fia.fs.fed.us/nwos Non-Industrial Private Forest Ownership
Virginia Forestland Provides Virginia’s 15.9 million acres of forestland provides: Income Jobs Shelter Food Household and other goods Other natural resources Recreation Wildlife habitat Clean water Cleaner air Improved quality of life
Decline in logging and forest-related manufacturing due to collapse of housing market, deep recession, and continued global competition facing portions of industry. Forest industry sector has bottomed out and some improvement is starting to show. What has changed since previous studies?
Direct - Output from the industry or business itself Indirect - Output from businesses that directly serve a given industry/business Induced - Output from employee spending Total - Summation of Direct, Indirect and Induced Outputs Types of Economic Output
Industry Trend Number of wood-using mills by type, Virginia, 1992-2009 Sawmills Veneer or plywood mlllsPulpmills Composite panel mills Other mills 199227699314 199525489315 199925479416 200121759314 200320459313 200516848313 20071554839 20091293838 Source: Brandeis, et al. (2012)
Agriculture & Forestry Total Employment Impact Changes, 2006 and 2011 Sector20062011Change% Change Ag Total 357,105310,861-46,244-13% Forest Total 144,380103,848-40,532-28% Ag + Forest Total 501,485414,709-86,776-17%
Exports Direct, Indirect, and induced Impacts of Impact of Virginia's Forestry- Related Industry Exports, 2011 Forestry TotalOutput (Million $)EmploymentValue Added (Million $) Direct Effect789.32,723275.0 Indirect Effect319.32,114175.1 Induced Effect473.83,987331.7 Total Effect1582.48,824781.9
Wildlife Recreational Impacts Wildlife Recreation Economic Impacts in Virginia, 2006 Activity Participants (thousands) Total Output ($ million)Employment Freshwater fishing622809.29,213 Hunting413880.29,376 Wildlife watching2,3121582.417,489 Total3,3473271.836,078 Source: American Sportfishing Association (2008), Association of Fish and Wildlife Agencies (2008), and U.S. Fish and Wildlife Service (2008)
Ecological Values of Virginia’s Forestland Number of Acres15,907,038 Value per acre of Water Environmental Services$320.56 Value per acre of Air Environmental Services$80.86 Total Value of Water Environmental Services$5,099,160,101 Total Value of Air Environmental Services$1,286,243,093 Total Environmental Value$6,385,403,194 Source: Land acreage (U.S. Forestry Service, Forest Inventory and Analysis inventory data for 2008-2011; U.S. Department of Agriculture, 2007 Census of Agriculture), Costanza et al (1997)
Expected New User of Forest Resource Enviva Pellet Mills (1 VA, 2 NC) Franklin Pulp & Paper Franklin Sawmill Klausner Number 2 Sawmill (NC) 4 Dominion Biomass Power Plants NOVEC Power Plant MeadWestvaco Biomass Power Project
Source: VDOF-Research LobDSS Model Potential Yield of Loblolly Pine
Forest-Related Takeaways Forestry and forest industries still account for a sizeable portion of economic output and employment, particularly in some regions. International exports are growing and are significant markets for many companies. Forest industry employment has stabilized in 2011- 2012 and is poised for some growth, particularly with revival of housing and increased demand for wood products
Forest-Related Takeaways Continued loss and fragmentation of forest land, along with other competing forest uses will affect future availability of wood resources. As the economy and industry recovers, forests in some regions of the state may start to see removals exceed growth. Improved seedlings and growing techniques can offset some of these concerns by growing more wood on fewer acres.
Additional Information Charles W. Becker III, CF Utilization & Marketing Manager Virginia Department of Forestry 900 Natural Resources Dr., Suite 800 Charlottesville, VA 22903 434-220-9115 434-296-2369 fax email@example.com www.dof.virginia.gov