The Economic Contributions of Forestry and Forest Products - Tippah County
Tippah County
Forestry and forest products are a major component of Tippah 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 Tippah County, Mississippi.
Employment and Income Contributions
Forest-related economic activity in Tippah County during 2018 generated 1,257 jobs and over $44.8 million in income. That’s about 12.7% of jobs and 13.4% 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 $217.2 million, or about 15.0% of economic output in Tippah County. Forest-related value added amounted to over $67.6 million, or about 11.3% 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 $14.43 million in tax revenue for federal, state, and local governments. This represents an estimated tax revenue of $9.67 million for federal and $4.76 million for state and local governments.
Contributions from forest-related sectors on employment and income in Tippah County, Mississippi, 2018.
|
Number of Jobs |
% of County |
Income ($) |
% of County |
|
|---|---|---|---|---|
|
Direct Contributions from Forest-Related Sectors |
||||
|
Misc. Forest Products |
13 |
0.14 |
502,852 |
0.15 |
|
Logging |
46 |
0.46 |
2,189,914 |
0.66 |
|
Solid Wood Products |
89 |
0.90 |
4,480,370 |
1.34 |
|
Wood Furniture |
763 |
7.74 |
26,801,104 |
8.03 |
|
Pulp & Paper |
0 |
0.00 |
0 |
0.00 |
|
Subtotal |
911 |
9.24 |
33,974,240 |
10.18 |
|
Indirect and Induced Contributions on Sectors |
||||
|
Wholesale & Retail Trade |
90 |
0.91 |
3,635,601 |
1.09 |
|
Misc. Manufacturing |
61 |
0.62 |
1,018,253 |
0.31 |
|
Misc. Services |
53 |
0.53 |
1,247,408 |
0.37 |
|
Transport. & Comm. Services |
50 |
0.51 |
2,426,204 |
0.73 |
|
Financial & Real Estate |
39 |
0.40 |
777,251 |
0.23 |
|
Health Services |
16 |
0.16 |
747,589 |
0.22 |
|
Recreation & Amusement |
7 |
0.07 |
10,690 |
0.00 |
|
Education |
5 |
0.05 |
126,782 |
0.04 |
|
Domestic Services |
5 |
0.05 |
141,339 |
0.04 |
|
Utility Services |
4 |
0.04 |
261,591 |
0.08 |
|
Construction |
4 |
0.04 |
151,926 |
0.05 |
|
Government |
4 |
0.04 |
241,201 |
0.07 |
|
Resource Services |
3 |
0.03 |
46,561 |
0.01 |
|
Agricultural Products |
3 |
0.03 |
3,119 |
0.00 |
|
Petroleum & Chemicals |
1 |
0.01 |
39,575 |
0.01 |
|
Mining |
0 |
0.00 |
883 |
0.00 |
|
Metal Industries |
0 |
0.00 |
4,319 |
0.00 |
|
Glass, Stone, & Clay |
0 |
0.00 |
3,241 |
0.00 |
|
Transportation Equipment |
0 |
0.00 |
4,324 |
0.00 |
|
Machinery & Equipment |
0 |
0.00 |
552 |
0.00 |
|
Food Processing |
0 |
0.00 |
203 |
0.00 |
|
Farm Inputs & Machinery |
0 |
0.00 |
8 |
0.00 |
|
Agricultural Processing |
0 |
0.00 |
0 |
0.00 |
|
Fabric Mills & Leather |
0 |
0.00 |
0 |
0.00 |
|
Technology Industries |
0 |
0.00 |
0 |
0.00 |
|
Subtotal |
345 |
3.50 |
10,888,619 |
3.26 |
|
TOTAL CONTRIBUTIONS |
1,257 |
12.74 |
44,862,860 |
13.44 |
|
Rest of County |
8,608 |
87.26 |
288,900,714 |
86.56 |
|
Total in County |
9,865 |
100.00 |
333,763,574 |
100.00 |
Contributions from forest-related sectors on total output and value added in Tippah County, Mississippi, 2018.
|
Output ($) |
% of County |
Value Added ($) |
% of County |
|
|---|---|---|---|---|
|
Direct Contributions from Forest-Related Sectors |
||||
|
Misc. Forest Products |
771,421 |
0.05 |
514,720 |
0.09 |
|
Logging |
3,671,628 |
0.25 |
2,169,266 |
0.36 |
|
Solid Wood Products |
26,038,218 |
1.79 |
8,589,891 |
1.43 |
|
Wood Furniture |
140,171,731 |
9.65 |
35,301,916 |
5.90 |
|
Pulp & Paper |
0 |
0.00 |
0 |
0.00 |
|
Subtotal |
170,652,999 |
11.75 |
46,575,793 |
7.78 |
|
Indirect and Induced Contributions on Sectors |
||||
|
Wholesale & Retail Trade |
14,247,981 |
0.98 |
7,429,858 |
1.24 |
|
Misc. Manufacturing |
3,278,575 |
0.23 |
1,131,048 |
0.19 |
|
Misc. Services |
3,725,608 |
0.26 |
1,821,409 |
0.30 |
|
Transport. & Comm. Services |
7,902,934 |
0.54 |
3,234,674 |
0.54 |
|
Financial & Real Estate |
10,418,071 |
0.72 |
4,659,695 |
0.78 |
|
Health Services |
1,274,322 |
0.09 |
745,808 |
0.12 |
|
Recreation & Amusement |
97,436 |
0.01 |
36,215 |
0.01 |
|
Education |
313,086 |
0.02 |
169,659 |
0.03 |
|
Domestic Services |
1,052,767 |
0.07 |
308,074 |
0.05 |
|
Utility Services |
2,451,499 |
0.17 |
837,987 |
0.14 |
|
Construction |
681,101 |
0.05 |
191,652 |
0.03 |
|
Government |
535,399 |
0.04 |
295,581 |
0.05 |
|
Resource Services |
75,723 |
0.01 |
49,311 |
0.01 |
|
Agricultural Products |
113,752 |
0.01 |
43,796 |
0.01 |
|
Petroleum & Chemicals |
347,870 |
0.02 |
82,623 |
0.01 |
|
Mining |
49,114 |
0.00 |
3,831 |
0.00 |
|
Metal Industries |
13,295 |
0.00 |
4,815 |
0.00 |
|
Glass, Stone, & Clay |
25,751 |
0.00 |
6,290 |
0.00 |
|
Transportation Equipment |
18,923 |
0.00 |
5,592 |
0.00 |
|
Machinery & Equipment |
3,496 |
0.00 |
1,070 |
0.00 |
|
Food Processing |
1,120 |
0.00 |
319 |
0.00 |
|
Farm Inputs & Machinery |
185 |
0.00 |
16 |
0.00 |
|
Agricultural Processing |
0 |
0.00 |
0 |
0.00 |
|
Fabric Mills & Leather |
0 |
0.00 |
0 |
0.00 |
|
Technology Industries |
0 |
0.00 |
0 |
0.00 |
|
Subtotal |
46,628,008 |
3.21 |
21,059,324 |
3.52 |
|
TOTAL CONTRIBUTIONS |
217,281,007 |
14.95 |
67,635,117 |
11.30 |
|
Rest of County |
1,235,641,085 |
85.05 |
531,038,586 |
88.70 |
|
Total in County |
1,452,922,092 |
100.00 |
598,673,703 |
100.00 |
Economic contributions developed using 2018 IMPLAN® software and data (reported in 2020 dollars).
Tippah County forestland acreage, ownership, value, and taxes collected.
|
Total forestland acres, 2018 |
235,195 |
|
Private ownership acres |
225,292 |
|
Public ownership acres |
9,903 |
|
Forestland assessed value, 2018 |
$5,897,961 |
|
Ad valorem tax collections from forestland, 2018 |
$808,139 |
|
Value of standing timber, 2018 |
$286,534,546 |
|
Value of timber harvested, 2019 |
$4,791,530 |
|
Timber severance tax collections (100%), 2019 |
$15,907 |
|
Tax to Forest Resource Development Program (80%) |
$12,726 |
|
Tax returned to county government (20%) |
$3,181 |
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.
M1710 (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.
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