Report on Minnesota’s forest products industry now available

The Minnesota Department of Natural Resources (DNR) has rolled out a new report on the important economic contribution of the state’s forest products industry.

Minnesota’s native forests, plantation forests, community forests and urban trees not only help maintain a healthy environment, provide clean water and enhance our quality of life, they also played a critical role in our state’s development. They have served as a cornerstone of the state’s economy for years. Economic Contribution of Minnesota’s Forest Products Industry – 2011 Edition shows how Minnesota’s forestry-related business sectors annually contribute $17.1 billion to the state’s economy and provides 86,775 jobs, said Dave Epperly, DNR director of Forestry.

Epperly noted, however, that housing-related wood products manufacturing sectors have been negatively impacted by the recession over the past decade. During this time, four of the state’s primary manufacturing facilities were permanently closed, resulting in an estimated cumulative loss of more than 1,500 jobs and 1 million cords of annual timber consumption. The DNR and other land management agencies are working hard to keep the existing industry competitive and attract new wood-using sectors, including heat, power, biofuels and chemicals. Other highlights from the report: . About 40 percent of all forest products manufactured in Minnesota are used locally; the balance is shipped to other states and countries. . Minnesota annually exports $707 million worth of pulp, paper and paperboard products to other countries, with China and Canada as the biggest customers. . Minnesota’s forest products industry annually generates $493 million in state and local sales, property and income tax receipts. . Minnesota’s forest landowners annually receive about $80 million in timber revenue. . Timber harvested from DNRadministered land generates $1.3 billion industry output on a yearly basis and supports 5,050 jobs through primary forest products manufacturing.

The report is a collaborative effort between the University of Minnesota-Duluth’s Bureau of Business and Economic Research and the DNR Division of Forestry. It is available on the DNR website at www.dnr.state.mn.us/ forestry/um/index.html under “Information and Reports on Forest Resources and Wood Use.”