1. Forest and Natural Resource Based Economic Opportunities in the South Bill Hubbard Southern Regional Extension Forester

2. Natural Resources  For this presentation includes: Forest resourcesForest resources WildlifeWildlife Alternative forest uses and productsAlternative forest uses and products  Does not include OilOil GasGas Other “natural resources”Other “natural resources” http://home.comcast.net/~j.tavares/gas-prices.jpg

3. Implications for Community, Rural and Economic Development  Forests of the South and nation are vast.  Value added options are limitless.  Impact on local, regional and state economies is large.  Offers an untapped opportunity for professionals working in CRED. http://www.timberline.ca/newsletter/september2002/loggers.jpg

4. A Vast Resource…..

5. Diverse ownerships…..

6. Private owners dominate in the South….

7. Economic Impact is Impressive….

9. New Bureau of Census Data (2002) # of establishments Sales ($) Payroll ($) # of employees Wood Product Manufacturin g 16,846 88.7 billion 15.8 billion 532,000 Paper manufacturi ng 5,485 151.8 billion 20.8 billion 478,000 Furniture and related product manufacturi ng* 21,930 73.9 billion 16.7 billion 577,000 Total44,261 314.4 billion 53.3 billion 1.587 million *furniture manufacturing includes non-wood products as well.

10. The importance of forest management and timber harvests in local economies: A Mississippi example (data from Dr. Bob Daniels, Miss. St.)

11. Wildlife-Related Opportunities   In 1996 wildlife- related recreation expenditures in the U.S. totaled $101 billion.   40 million Americans went hunting or fishing.   63 million observed, fed or photographed wildlife.

12. Nature Tourism  Nature Observation Bird and butterfly toursBird and butterfly tours Plant and wildlife toursPlant and wildlife tours Astronomy and star gazing toursAstronomy and star gazing tours Photography and paintingPhotography and painting Self-guided wildlife viewingSelf-guided wildlife viewing http://www.wonderwoodinc.com/art/butterflies.jpg

13. Nature Tourism  Educational Tours and Talks Forest/Wildlife histories and cultural toursForest/Wildlife histories and cultural tours Outdoor survival skillsOutdoor survival skills Horsemanship clinicsHorsemanship clinics Guided nature toursGuided nature tours http://www.greenline.org.lb/new/images/projects/ecotourism.jpg

14. Nature Tourism  Outdoor Recreation Hiking and horseback ridingHiking and horseback riding Fee fishing and huntingFee fishing and hunting Camping and picnickingCamping and picnicking Sport clay shootingSport clay shooting Off-road vehiclesOff-road vehicles Agriculture and technical toursAgriculture and technical tours Mountain bikingMountain biking http://ag.arizona.edu/azaqua/aquaculture_images/az/nelson2.jpg http://www.campallstar.com/images/photoalbum/mountain-biking.jpg

16. Nature-Based Recreation’s Dual “Punch”  Draws Temporary Visitors to an Area Employment and Income Impacts of ExpendituresEmployment and Income Impacts of Expenditures  Introduces the Area’s Special Qualities and Characteristics to Outsiders  Lays the Basis for Amenity- Based In-Migration New Permanent ResidentsNew Permanent Residents Economic Vitality Associated with New Residents and the Economic Activity Tied to ThemEconomic Vitality Associated with New Residents and the Economic Activity Tied to Them http://www.naturegate.com/images/pics_about_us.jpg

17. B-6147Nature Tourism: A Guidebook for Evaluating Enterprise Opportunities By: Andrew N. Skadberg, Jeremy James, Miles Phillips, James R. Kimmel, Carson E. Watt. Texas Cooperative Extension

18. Alternative Forest Products  Pine straw  Shiitake mushroom production  Medicinals  Greenery http://texaspinestraw.tamu.edu/media/image04.jpg http://www.ginseng-seed.com/images/Geneti1.jpg http://www.srs4702.forprod.vt.edu/pubsubj/pdf/02t4.pdfhttp://www.shiitakecenter.com/lentinus.jpg

19. The case for “agroforestry”  The collective word for all land-use systems and practices in which trees and shrubs are deliberately grown on the same land management unit as crops and/or animals.

20. Types of agroforestry  Forest Farming  Alley Cropping  Silvopasture and  Buffers (Buffers include Integrated Riparian Management; Windbreaks, Shelterbelts and Boundary Plantings; Community Greenways and Urban Buffers).

21. Resources – Non timber forest products  http://www.sfp.forprod.vt.edu/

22. Resources – Non timber forest products  http://texaspinestraw.tamu.edu/

23. Basic Information Needs – Resource Assessment   Is the availability of timber resources a barrier to the development of the value- added secondary forest products industry?   Is the focal region located within reasonable transporting distance of significant standing timber inventory?   What are the trends: ownership, forestland acreage, growing stock, growth/removals, sawtimber, diameter classes, species, etc.

24. Basic Information Needs – Industry Structure   What is the structure of the established primary and secondary forest products industry base?.   What types of manufacturing processes and equipment do current companies use?   Is there the presence of sawmills, dry kilns, millwork plants, OSB production which could support significant development?   Are companies able to compete in the markets they serve?   How have these companies which have grown and prospered done so? (Exploiting specialty niches, cutting costs, etc.)

25. Basic Information Needs – Products and Markets   What is the product mix of the companies?   What are the current markets and customer bases? (Both domestic and export)?   What is the quality and level of acceptance in current markets?   What is the distribution reach?

26. Basic Information Needs – Economic Impact   What economic impacts result from forest-based industry development?   What are the ramifications at the community, regional, and state levels?

27. Forces driving Southern forest changes: Insights for rural developers   Increasing demand, positive markets and changing utilization.   Attractive investment returns in Southern forests.   Changing private non-industrial owners   Forest industry changes.   Financial institutions ownership trend.   Environmental concern

28. Opportunities  Improve forest management  Attract new forest industry  Expand/diversify current forest industry  Improve performance, efficiency and utilization of current industry

29. Other issues/opportunities  Carbon sequestration credits  Watershed payments  Conservation easements  Small diameter situation  Biomass options  Niche markets Animal beddingAnimal bedding Engineered wood productsEngineered wood products