Palmetto State Boasts Healthy Forests Industry
Staff Report From South Carolina CEO
Tuesday, September 20th, 2016
The forest products industry continues to yield jobs and investment in South Carolina.
The S.C. Department of Commerce recently reported a $32 million capital investment announcement by Carolina Chips Inc. in Orangeburg County. The new facility will produce wood chips and processed bark for the KapStone paper mill in North Charleston and is expected to create 15 jobs.
The news follows a series of similar announcements over the past 12 months:
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In May, a $1 million capital investment by Central Packaging and Crating Inc. in Greenwood County.
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In January, Black Water Barrels LLC announced it would create 57 jobs and invest $3.6 million in Bamberg County.
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In December 2015, Boise Cascade Co., a manufacturer of plywood and engineered wood products, announced a $23.5 million expansion in Chester County that is expected to create 52 jobs.
The S.C. Forestry Commission estimates the forest products sector has an $18.6 billion annual economic impact from in the state. Its economic analysis included estimates that the sector is responsible for more than 90,000 jobs and pays annual wages of $4.5 billion. It is responsible for $1.5 billion in exports through the Port of Charleston and is the state’s No. 1 agribusiness crop.
The Forestry Commission also estimates that the October 2015 floods resulted in $100 million in damage to the industry, mostly due to lost productivity and infrastructure damage.
“Most mature forest stands can withstand short-term saturation. Seedlings under water for a week or more may not survive,” the Forestry Commission reported.
According to the U.S. Forest Service, forest land covers 766 million acres nationwide, which is about one third of the total land area of the United States. Timber land constitutes 521 million of those acres.
The Forest Service quotes American Forest and Paper Association estimates that nationally, the forest products industry employs 1 million workers and generates $54 billion in annual payroll, accounting for 6 percent of manufacturing gross domestic product.