The Economic Contributions of Forestry and Forest Products in Alcorn County

Filed Under:

Publication Number: M1660

Alcorn County

The forestry and forest products industries are a major component of Alcorn County’s economy. The forest-related economic sectors generate value not only within their own sectors but also in other sectors of the economy. The multiplier effect of economic activity in one sector and the impacts on other sectors can be estimated using input-output analysis. Using 2022 data, this study estimates the economic contribution of the forestry and forest products industries to Alcorn County, Mississippi.

Employment and Income Contributions

Forest-related economic activity in Alcorn County during 2022 generated 714 jobs and nearly $36.12 million in income. That’s about 3.71 percent of jobs and 3.81 percent 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

Over $170.38 million, or about 3.84 percent of economic output in Alcorn County, is generated by the forestry and forest products industries. Forest-related value-added amounted to over $56.88 million, or about 3.28 percent 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.

**Table 1. Contributions from forest-related sectors on employment and income in Alcorn County, Mississippi, 2022.**
Sectors	Number of Jobs	% of County	Income ($)	% of County
Direct Contribution from Forest-Related Sectors
Forest Support Service	25	0.13	1,081,759	0.11
Logging	76	0.40	4,035,907	0.43
Solid Wood Product	98	0.51	6,603,098	0.70
Pulp and Paper	66	0.34	4,807,954	0.51
Wood Furniture	232	1.21	9,628,603	1.01
Subtotal	497	2.58	26,157,321	2.76
Indirect and Induced Contributions on Sectors
Retail and Wholesale Trade	72	0.37	3,032,347	0.32
Real Estate, Finance, and Insurance	26	0.14	849,297	0.09
Services	44	0.23	2,020,242	0.21
Construction and Manufacturing	5	0.03	330,674	0.03
Health Care	14	0.07	1,164,147	0.12
Transportation and Warehousing	27	0.14	1,534,446	0.16
Government	7	0.04	396,495	0.04
Agriculture Production and Services	3	0.02	35,849	0.00
Food and Fiber	16	0.08	554,255	0.06
Hotels and Entertainment	2	0.01	34,842	0.00
Education	0	0.00	8,766	0.00
Subtotal	216	1.12	9,961,360	1.05
Total Impact from Forest-Related Sector	714	3.71	36,118,681	3.81
Rest of the County	18,526	96.29	912,695,432	96.19
Total in County	19,239	100.0	948,814,113	100.0

**Table 2. Contributions from forest-related sectors on total output and value-added in Alcorn County, Mississippi, 2022.**
Sectors	Output ($)	% of County	Value-Added ($)	% of County
Direct Contribution from Forest-Related Sectors
Forest Support Service	1,254,625	0.03	1,099,402	0.06
Logging	7,713,512	0.17	4,603,001	0.27
Solid Wood Product	43,000,823	0.97	14,007,440	0.81
Pulp and Paper	37,131,214	0.84	7,472,720	0.43
Wood Furniture	44,667,780	1.01	10,752,030	0.62
Subtotal	133,767,954	3.02	37,934,593	2.19
Indirect and Induced Contributions on Sectors
Retail and Wholesale Trade	10,948,104	0.25	5,857,133	0.34
Real Estate, Finance, and Insurance	8,104,333	0.18	4,829,507	0.28
Services	5,397,163	0.12	2,756,511	0.16
Construction and Manufacturing	3,039,798	0.07	595,300	0.03
Health Care	1,763,449	0.04	1,239,851	0.07
Transportation and Warehousing	3,472,739	0.08	1,804,989	0.10
Government	730,937	0.02	542,999	0.03
Agriculture Production and Services	213,046	0.00	77,411	0.0
Food and Fiber	2,770,233	0.06	1,160,718	0.07
Hotels and Entertainment	142,219	0.00	70,422	0.00
Education	30,974	0.00	10,063	0.00
Subtotal	36,612,995	0.83	18,944,904	1.09
Total Impact from Forest-Related Sector	170,380,949	3.84	56,879,497	3.28
Rest of the County	4,261,200,457	96.16	1,675,334,648	96.72
Total in County	4,431,581,406	100.0	1,732,214,145	100.0

Estimates developed using IMPLAN software and data. Timber harvest value according to the Mississippi Harvest of Forest Products Report.

M1660 (POD-05-25)

Revised by Sabhyata Lamichhane, PhD, Assistant Professor, Niraj Gupta, Undergraduate Student, and Sushma Bhattarai, Extension Associate I, Forestry; James E. Henderson, PhD, Extension Professor and Head, Coastal Research and Extension Center; and Donald Grebner, PhD, Professor and Head, Forestry. By Shaun M. Tanger, PhD, former Assistant Extension Professor; Marcus K. Measells, Extension Associate III, Forestry; and Ian A. Munn, PhD, former Associate Dean and Professor.

Department: MSU Extension- Alcorn County

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