the state of forestry in the commonwealth charlie becker utilization and marketing manager
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The State of Forestryin the Commonwealth
Charlie BeckerUtilization and Marketing Manager
15.9 Million Acres
Virginia Forest Cover
Percentage of Forest
Virginia Forestland Acres
1907 1940 1957 1966 1977 1986 1992 2001 2007 20100
2
4
6
8
10
12
14
16
18
Year
Mil
lio
n a
cre
s
19771980
19831986
19891992
19951998
20012004
20072010
20132016
20192022
20252028
20312034
20372040
20432046
20492052
20552058
12500000
13000000
13500000
14000000
14500000
15000000
15500000
16000000
16500000
Trend & Projection of Timberland area for Virginia (Southern Forest Futures Project & FIA)
High Projection
Trend & Average Projection
Low ProjectionAcre
s
SFFP Projection for average annual loss of timberland in VA is 20,800 acres with a high projection of 30,600 acres and a low projection of 11,300 acres.
Source: USFS – FIA & SFFP
Upland Hardwoods
61%
Birch-Beech-Maple
2%
Lowland Hardwood
5%
Oak-Pine11%
Natural Pine7%
Pine Plantation13% Non-Stocked
1%
Forest Type Groups, Virginia 2012
(2001 % in red)
Source: USFS-FIA
(64%)
(1%)(10%)
(9%)
(10%)
(5%)
(2%)
Projection of Forest Types
199216.0 million acres
201215.9 million acres
Reduction in total acres since 1992.Most significant reduction of ownership has been with forest industry.
Individual /Fam-ily
62%Corporate
18%
Forest Industry1%
Public19%
Individual /Family67%
Corporate10%
Forest Industry
10%
Public13%
Forest Ownership
374,000 landownersTypical NIPF owner:55-64 years old, white, male, BS/BA, retiredAcquired property by
purchasing or inheriting from familyReasons for owning: beauty, protect environment, land investment, home site
1-9
10-4
9
50-9
9
100-
499
500-
999
1000
+0
500
1000
1500
2000
2500
3000
3500
Ownership Size (acres)
Acr
es (
1000
)
source: National Woodland Owners Survey http://www.fia.fs.fed.us/nwos
Non-Industrial Private Forest Ownership
VDOF inspects over 5,000 harvests annually with an average size of 40 acres.
Protecting Virginia’s Water Quality
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 20120
1,000
2,000
3,000
4,000
5,000
6,000
7,000
0
50,000
100,000
150,000
200,000
250,000
300,000
Timber Harvests in Virginia (1997-2012)
Number of Harvests Acres Harvested
Fiscal Year
Nu
mb
er
of
Ha
rve
sts
Nu
mb
er
of
Ac
res
Ha
rve
ste
d
19601963
19661969
19721975
19781981
19841987
19901993
19961999
20022005
20080
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
Pine CordsHardwood Cords
Year
Cord
s
20% Harvest Decline
Pulpwood Harvest
19601962
19641966
19681970
19721974
19761978
19801982
19841986
19881990
19921994
19961998
20002002
20042006
20082010
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
MBF Pine SawtimberMBF Hardwood Saw-timber
Year
1000
Boa
rd F
eet
Sawtimber Harvest
30+% Harvest Decline
1940 1957 1966 1977 1986 1992 2001 20100.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0Hardwoods
Softwoods
Vo
lum
e (
Bi ll
i on
cu
. ft.
)
Since 1940, total volume has more than doubled from 15.5 to 33.6 billion cubic feet.
YEAR
Forest Growth(Volume of Live Trees on All Timberland)
2001 2007 2011 20120.00
5.00
10.00
15.00
20.00
25.00
30.00
Statewide Annual Net Growth & Removals for Softwood & Hard-
wood (MM Tons)
Softwood GrowthSoftwood RemovalsHardwood GrowthHardwood Removals
Source: USFS-FIA
Annual Net Growth and Removals
Coastal Plain Southern Piedmont
Northern Piedmont
Northern Mountains
Southern Mountains
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
Net Growth & Removals by FIA Unit for Softwood & Hardwood, 2012 (MM Tons)
Softwood GrowthSoftwood RemovalsHardwood GrowthHardwood Removals
Source: USFS-FIA
Net Growth and Removals By FIA Unit
2001 2007 2011 20120.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
Coastal Plain Annual Net Growth & Removals for Softwood and Hardwood
(MM Tons)
Softwood GrowthSoftwood RemovalsHardwood GrowthHardwood Removals
Source: USFS-FIA
Coastal Plain Net Growth and Removals
2001 2007 2011 20120.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
Southern Piedmont Annual Net Growth and Removals for Softwood and Hard-
wood (MM Tons)
Softwood GrowthSoftwood RemovalsHardwood GrowthHardwood Removals
Source: USFS-FIA
Southern Piedmont Net Growth and Removals
Virginia Forestland Provides
Virginia’s 15.9 million acres of forestland provides:
IncomeJobsShelterFoodHousehold and other goods
Other natural resourcesRecreationWildlife habitatClean waterCleaner airImproved 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 itselfIndirect - Output from businesses that directly serve a given industry/businessInduced - Output from employee spendingTotal - Summation of Direct, Indirect and Induced Outputs
Types of Economic Output
Stumpage Values19
90
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
$0
$50
$100
$150
$200
$250
$300
$350
HardwoodSoftwood
Mill
ions
40% Harvest Value De-cline
Stumpage Values
Industry Trend
Number of wood-using mills by type, Virginia, 1992-2009
Sawmills
Veneer or plywood
mllls Pulpmills
Composite panel mills
Other mills
1992 276 9 9 3 141995 254 8 9 3 151999 254 7 9 4 162001 217 5 9 3 142003 204 5 9 3 132005 168 4 8 3 13
2007 155 4 8 3 9
2009 129 3 8 3 8
Source: Brandeis, et al. (2012)
Industry Trend
Agriculture & Forestry Total Employment Impact Changes, 2006 and 2011
Sector 2006 2011 Change % Change
Ag Total 357,105 310,861 -46,244 -13%Forest Total 144,380 103,848 -40,532 -28%Ag + Forest Total 501,485 414,709 -86,776 -17%
Forest Industry Employment Impact
Imports
Housing Starts
Impacts of Forestry-Related Industries
Impact Output (Million $) Employment Value-added (Million $)
Direct 8,855 37,704 3,154.0
Indirect 2,231 14,010 1,407.0
Induced 6,131 52,133 4,187.0
Total 17,217 103,848 8,748.0
Multiplier 1.94 2.75 2.77
Exports
Direct, Indirect, and induced Impacts of Impact of Virginia's Forestry-Related Industry Exports, 2011
Forestry Total Output (Million $) Employment Value Added (Million $)
Direct Effect 789.3 2,723 275.0
Indirect Effect 319.3 2,114 175.1
Induced Effect 473.8 3,987 331.7
Total Effect 1582.4 8,824 781.9
Wildlife Recreational Impacts
Wildlife Recreation Economic Impacts in Virginia, 2006
ActivityParticipants (thousands)
Total Output ($ million) Employment
Freshwater fishing 622 809.2 9,213Hunting 413 880.2 9,376Wildlife watching 2,312 1582.4 17,489Total 3,347 3271.8 36,078
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 Acres 15,907,038
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)
Forest Industry Direct Impacts $8.885 Billion Indirect Impacts $2.231 Billion Induced Impacts $6.131 Billion Forest/ Wildlife-Related $3.0 Billion Recreation Ecological Values $6.385 Billion TOTAL $26.632 Billion
Annual Benefits from Virginia Forests
Expected New User of Forest Resource
Enviva Pellet Mills (1 VA, 2 NC)Franklin Pulp & PaperFranklin SawmillKlausner Number 2 Sawmill (NC)4 Dominion Biomass Power PlantsNOVEC Power PlantMeadWestvaco Biomass Power Project
1985 1992 2001 2007 201158
60
62
64
66
68
70
72
74
76
78
Tons/Acre Yield of 21-25 Age Class Loblolly Pine in VA
Tons/Acre
Source: USFS - FIA
Loblolly Pine Yield in VA
Tons/Ac0
20
40
60
80
100
120
140
160
180
200
Potential Yield of 25 Year Old Loblolly PlantationVA 2013 - No Thin
30 years agocurrentcurrent + site prepcurrent, s.p., fertilize oncecurrent, s.p., fertilize twicecurrent, s.p., fertilize twice, tree improvement
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, CFUtilization & Marketing ManagerVirginia Department of Forestry
900 Natural Resources Dr., Suite 800Charlottesville, VA 22903
434-220-9115434-296-2369 fax