Search Site   
News Stories at a Glance
Final MAHA draft walks back earlier pesticide suggestions
ALHT, avian influenza called high priority threats to Indiana farms
Kentucky gourd farm is the destination for artists and crafters
A year later, Kentucky Farmland Transition Initiative making strides
Unseasonably cool temperatures, dry soil linger ahead of harvest
Firefighting foam made of soybeans is gaining ground
Vintage farm equipment is a big draw at Farm Progress Show
AgTech Connect visits Beck’s El Paso, Ill., plant
Red crown rot confirmed in Ohio soybeans for first time
Agro-forestry company keeps trees growing, producing income
MSU debuts dairy cattle teaching, research center
   
Archive
Search Archive  
   
Indiana building on hardwoods strength to grow the industry


INDIANAPOLIS, Ind. — Citing plenty of trees to meet demand for high-quality timber, Indiana officials are taking aim at growing the state’s hardwoods industry.

The state has launched a new strategy to expand an industry contributing $10 billion annually to its economy and supporting more than 70,000 high-wage jobs, they said. Lt. Gov. Suzanne Crouch said Indiana has both the reputation as a top-quality hardwoods producer and the sustainable forest base to expand current and attract new wood-processing facilities.

She said some of the $230 million of sawmill products coming in from outside the state might as well be made here. “We want to provide that supply chain link and help capture some of that economic activity in Indiana,” Crouch explained.

Another reason given for wanting to expand is timber makes a greater economic impact than any other agriculture commodity because of how much the value of product goes up after processing.

“For every dollar invested on a finished wood product, an additional 80 cents is generated by companies that support the production process,” said Bruce Kettler, director of the Indiana State Department of Agriculture. “This is a significant sector within Indiana’s agricultural economy, and we look forward to using this strategy to take it to the next level.”

According to the strategic plan, the focus includes connecting suppliers of raw material with users, working with existing businesses to increase innovation and expand operations; recruiting new businesses into the state to fill voids in the industry; and promoting within schools the quality of jobs available to increase the number of new workers.

Connecting with colleges, universities and trade schools on developing training programs to support new technologies in the industry; creating and finding new markets for existing products; and marketing Indiana hardwoods to builders, architects and other consumers are among other steps.

Lawmakers, under the plan, will also be informed on a regular basis about the importance of the state’s hardwoods industry and what is needed to grow it. Public outreach about the sustainability of wood and its advantages over artificial products, along with best forest management practices, are included in the budding effort to expand the industry.

Total acres of timberland in Indiana have steadily increased since the 1960s, officials said. The density of forests has also grown, to three times as many trees emerging than what’s taken out each year, they said.

Jim Steen, president of Pike Lumber Co., said expansion of the industry could bring more competition but he feels his and other wood product making companies will see a net gain. Pike operates saw mills at Akron, Carbon and Milan.

Boards are primarily made for makers of higher-end cabinets, flooring, moldings and trim worldwide. The center of each log, or the knottiest part of the tree, is sold to the makers of pallets and railroad ties.

Steen said he’d have more of those consumers to sell to and lower shipping costs from them being closer to home. Landowners whose trees are purchased for use in making wood products could also expect an increase in business.

Pike, for example, draws its timber out of forests the company owns or manages for other landowners. “The bottom line is, I believe more demand for hardwoods in Indiana is good for all folks,” he said.

Eight jobs are created in the state for every 10 directly related to hardwoods, officials said. In 2017, Indiana exported $250 million in hardwoods to countries like China and Canada. Demand for logs from outside the state has increased in the past decade; there’s also been growth in demand for paperboard products, veneer and other value-added items from timber, according to the state.

Indiana has 4.9 million acres of forested land. Eighty-four percent is privately owned while the remainder by local, state and federal governments. According to the USDA, the forest products industry is among the top 10 manufacturing sector employers in 48 states and generates more than $200 billion in sales annually.

It also produces $54 billion in annual payroll from about 1 million workers. Alaska by far has the most forested land, followed by Oregon and California.

2/13/2019