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The Economic Contribution of Forestry and Forest Products - Grenada County

Publication Number: M1672
View as PDF: M1672.pdf

Grenada County

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

Employment and Income Contributions

Forest-related economic activity in Grenada County during 2018 generated 993 jobs and over $54.2 million in income. That’s about 7.1% of jobs and 9.7% 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 $335.0 million, or about 14.5% of economic output in Grenada County. Forest-related value added amounted to over $108.9 million, or about 11.4% 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 $18.43 million in tax revenue for federal, state, and local governments. This represents an estimated tax revenue of $11.23 million for federal and $7.2 million for state and local governments.

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

 

Number of Jobs

% of County

Income ($)

% of County

Direct Contributions from Forest-Related Sectors

Misc. Forest Products

1

0.01

41,176

0.01

Logging

88

0.63

4,426,068

0.79

Solid Wood Products

220

1.57

15,561,901

2.78

Wood Furniture

0

0.00

0

0.00

Pulp & Paper

275

1.96

19,247,078

3.44

Subtotal

584

4.17

39,276,223

7.01

Indirect and Induced Contributions on Sectors

Misc. Manufacturing

91

0.65

2,387,243

0.43

Misc. Services

84

0.60

2,438,779

0.44

Wholesale & Retail Trade

84

0.60

3,346,728

0.60

Transport. & Comm. Services

60

0.43

3,281,633

0.59

Financial & Real Estate

33

0.23

1,104,281

0.20

Health Services

22

0.16

990,997

0.18

Resource Services

7

0.05

80,226

0.01

Domestic Services

7

0.05

441,404

0.08

Construction

6

0.04

179,904

0.03

Recreation & Amusement

4

0.03

44,064

0.01

Utility Services

4

0.03

209,765

0.04

Education

3

0.02

59,003

0.01

Government

2

0.01

188,679

0.03

Transportation Equipment

2

0.01

113,900

0.02

Agricultural Products

1

0.01

33,063

0.01

Mining

0

0.00

607

0.00

Machinery & Equipment

0

0.00

21,047

0.00

Metal Industries

0

0.00

11,364

0.00

Glass, Stone, & Clay

0

0.00

4,948

0.00

Petroleum & Chemicals

0

0.00

1,476

0.00

Food Processing

0

0.00

1,487

0.00

Agricultural Processing

0

0.00

25

0.00

Farm Inputs & Machinery

0

0.00

17

0.00

Fabric Mills & Leather

0

0.00

0

0.00

Technology Industries

0

0.00

0

0.00

Subtotal

410

2.93

14,940,641

2.67

TOTAL CONTRIBUTIONS

993

7.10

54,216,864

9.68

Rest of County

12,998

92.90

506,015,599

90.32

Total in County

13,992

100.00

560,232,463

100.00

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

 

Output ($)

% of County

Value Added ($)

% of County

Direct Contributions from Forest-Related Sectors

Misc. Forest Products

63,008

0.00

41,892

0.00

Logging

7,156,809

0.31

4,272,528

0.45

Solid Wood Products

75,397,090

3.26

31,808,023

3.33

Wood Furniture

0

0.00

0

0.00

Pulp & Paper

196,483,643

8.49

45,557,803

4.77

Subtotal

279,100,549

12.06

81,680,246

8.55

Indirect and Induced Contributions on Sectors

Misc. Manufacturing

6,662,379

0.29

2,936,465

0.31

Misc. Services

6,503,847

0.28

3,457,668

0.36

Wholesale & Retail Trade

12,102,621

0.52

6,425,286

0.67

Transport. & Comm. Services

12,157,661

0.53

5,303,242

0.55

Financial & Real Estate

9,462,056

0.41

4,983,109

0.52

Health Services

1,908,758

0.08

1,046,014

0.11

Resource Services

124,553

0.01

71,839

0.01

Domestic Services

2,634,314

0.11

1,316,724

0.14

Construction

925,377

0.04

229,628

0.02

Recreation & Amusement

317,312

0.01

106,948

0.01

Utility Services

1,730,587

0.07

602,684

0.06

Education

115,637

0.00

54,933

0.01

Government

212,035

0.01

187,392

0.02

Transportation Equipment

674,694

0.03

135,712

0.01

Agricultural Products

57,882

0.00

16,425

0.00

Mining

94,117

0.00

4,260

0.00

Machinery & Equipment

143,282

0.01

42,546

0.00

Metal Industries

37,991

0.00

12,958

0.00

Glass, Stone, & Clay

29,907

0.00

9,346

0.00

Petroleum & Chemicals

19,141

0.00

3,014

0.00

Food Processing

4,811

0.00

1,252

0.00

Agricultural Processing

433

0.00

32

0.00

Farm Inputs & Machinery

374

0.00

34

0.00

Fabric Mills & Leather

0

0.00

0

0.00

Technology Industries

0

0.00

0

0.00

Subtotal

55,919,770

2.42

26,947,513

2.82

TOTAL CONTRIBUTIONS

335,020,319

14.48

108,627,759

11.37

Rest of County

1,978,589,407

85.52

847,008,209

88.63

Total in County

2,313,609,726

100.00

955,635,968

100.00

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

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

Total forestland acres, 2018

149,558

Private ownership acres

124,330

Public ownership acres

25,228

Forestland assessed value, 2018

$4,454,397

Ad valorem tax collections from forestland, 2018

$444,905

Value of standing timber, 2018

$250,686,420

Value of timber harvested, 2019

$7,818,032

Timber severance tax collections (100%), 2019

$23,071

Tax to Forest Resource Development Program (80%)

$18,457

Tax returned to county government (20%)

$4,614

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.


M1672 (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- Grenada 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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