forest product manufacturing in georgia
TRANSCRIPT
Forest Product Manufacturing and
Sustainability in Georgia
Legislator’s Orientation at GFA
Forsyth, GA
December 3, 2014
Devon Dartnell
Georgia Forestry Commission
1-800-GA-TREES
www.GaTrees.org
2
•Native tropical forests
– Hardwoods
– Many species
– Non-sustainable forestry
•Plantation
– Hardwoods and softwoods
– Few species
– Very intensive forestry
– Sustainable
•Boreal (taiga) and temperate native forest
– Mainly softwood
– Few species
– Extensive forestry
– Sustainable management
Source: McKinsey team analysis, 2005; Cubbage and Siry 2001
Southern US Forests in a Global Context
Title
Direct Impacts
• Output - $16.4 billion
• Jobs – 49,497
• Wages & Salaries - $3.1 billion
Total Impacts
$28.9 billion
135,732 jobs
-
50,000
100,000
150,000
200,000
250,000
-
5,000
10,000
15,000
20,000
25,000
30,000
35,000
Job
s
US
$ M
illio
n
Output Employment
Economic Impact of Georgia’s Forests
2013 Timber Product Output Survey
Pulpmills, 12
Sawmills, 86
Veneer & Panel Products, 11
Post and Pole, 15
Chipmills, 21
Miscellaneous, 34
179 Primary Wood-Using Mills Operating in Georgia
At least 49 primary mills export now, compared to 45 in 2009 Mills report that 100% of residues are utilized 10 new mills since 2009
Forestry Management, Logging, and Misc. Forest
Products6%
Lumber, Veneer, Plywood, Panels
13%
Pulp and Paper Products
67%
Furniture, Windows, Doors, Machinery, Pre-
fab Buildings14%
Economic Output by Sector
Source: “Economic Benefits of the Forestry Industry in Georgia:”,by Bill Riall, Enterprise Innovation Institute,
Georgia Institute of Technology
Economic Impact Trends by Sector
Source: “Economic Benefits of the Forestry Industry in Georgia:”,by Bill Riall, Enterprise Innovation Institute,
Georgia Institute of TechnologyNote: Output is inflation adjusted to 2010 US dollars
-
5,000
10,000
15,000
20,000
25,000
30,000
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
2004 2005 2006 2007 2008 2009 2010
Em
plo
ym
en
t
Th
ou
san
ds $
Forest Mgt. Output Pulp and Paper Output Lumber & Panels Output
Forest Mgt. Jobs Pulp and Paper Jobs Lumber & Panels Jobs
Forest Resource Use Trends in Georgia
Source: Timber Product Output Reports, Southern Research Station, US Forest Service, 2011
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
1995 1997 1999 2001 2003 2005 2007 2009
Tho
usa
nd
Gre
en
To
ns
Softwood
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
1997 1999 2001 2003 2005 2007 2009
Tho
usa
nd
Gre
en
To
ns
Hardwood
Other Industrial
Posts, poles and pilings
Fuelwood
Composite panels
Pulpwood
Veneer logs
Saw logs
Annual timber utilization ranges from 40 – 50 million green tons.
0
10
20
30
40
50
60
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
$ p
er
gre
en
to
n
Acr
es
in T
ree
Pla
nti
ng
Tree Planting Pine sawtimber Pine CNS Pine pulpwood
CRP Tree PlantingIncentives
Forest Product Markets Affect Reforestation
8
Timberland Acreage Through Time in Georgia
21.4
25.8
23.6
24.6 24.4
18
19
20
21
22
23
24
25
26
27
28
1936 1953 1961 1972 1982 1989 1997 2004 2009 2010
Mill
ion
Acr
es
Survey Year
Source: US Forest Service FIA Data 2010
Top Ten US States in Total Timberland Acreage
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
Acr
es
Private
Public
All ownerships Private ownership
91% of Georgia’s Timberland is private - #1 in the U.S.!
Georgia Timberland Ownership – 24.4 mil ac
Georgia Forest Industry Leads Nation
UGA Forestry
Workshop
Statesboro, GA
April 25, 2012
Nathan McClure
Source: Johnson, et al; The South’s Timber Industry – An Assessment of Timber Product Output, 2009; Southern Research Station, USFS, 2011.
Georgia leads Nation in pulpwood production
AAAAAAAAAAA
0 2 4 6 8 10 12
Oklahoma
Kentucky
Tennessee
Texas
Virginia
Arkansas
Florida
North Carolina
Louisiana
South Carolina
Mississippi
Alabama
Georgia
Cords (million)
Softwood
Hardwood
Sta
te
Pulpwood Production by State and Broad Species, 2011¹
All Forest Types Growth, Removals, Mortality
-250,000,000
250,000,000
750,000,000
1,250,000,000
1,750,000,000
2,250,000,000
1983-1989 1989-1997 1997-2004 2005-2010
Net Growth
Removals
Net Gain/Loss
Cu
bic
Fe
et
Survey Period
Georgia’s forest volume growth is exceeding removals
• 78% more cubic feet of volume than fifty years ago
• Georgia’s Forests Growth exceeds removals by 41%
• Excess growth is 20 million tons / year
Georgia’s Forest Volume Growth
Bioenergy is Renewable Energy
Coal26%
Natural Gas17%
Petroleum37%
Nuclear12%
Hydro 1%
Wood 5%
Fuel Ethanol2%
Other biomass
0%
Solar 0%
Wind0%
Renewable8%
Georgia Total Energy Consumption Profile: 2009
Coal21%
Natural Gas25%
Petroleum 37%
Nuclear9%
Hydro 3%
Geothermal0%
Solar 0%
Wind1%
Biomass4%
Renewable8%
U. S. Total Energy Consumption Profile: 2009
Bioenergy Drivers
2005 - 2014
Energy Security
Economies of Rural America
Environmental Concerns – primarily
by European Countries
Forestry
Dependency Based
on Employment
The Forest Bioenergy Concept
Forests Conversion Facility
Energy Product
•Logging residues
•Forest thinnings
•Timber harvests
•Mill by-products
•Wood Waste
•Wood boilers
•Co-firing
•Gasification
•Fermentation refineries
•Pellet mill
•Heat
•Steam
•Electricity
•Ethanol
•Pellets
Forest Biomass Feedstocks
Logging residues –
integrated harvest system
Logging residues: 2-
pass harvest system
Mill residues
Small diameter
timber – thinnings,
etc.Urban wood
waste
Understory hazard
fuel reduction
Forest Bioenergy Projects in GeorgiaAnnounced and Operating
Appling County Pellets (FRAM)
Georgia Biomass LLC
Biomass-to-Electricity
MultiTrade Rabun Gap
Rollcast – Piedmont
Green Energy
Cellulosic Biofuels
Range Fuels Project bought by LanzaTech
GFC provides forest resource information
to assist companies with facility location
Local Sustainability is the Key
1. Procurement area: < 75 mile radius
2. Use FIA and TPO data – retrieve by county and use combined results
3. Identify specific biomass sources Timber buyers and loggers Mills Land clearing contractors Landowners
4. Explore possibility of supply contracts
Timberland by Forest Type and Age –
75 mi radius of Cordele
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
0-5years
6-10years
11-15years
16-20years
21-25years
26-30years
31-35years
36-40years
41-45years
46-50years
51-55years
Acr
es
Planted pine Natural pine Oak / pine group
Oak / hickory group Bottomland hardwood Nonstocked
Source: Forest Inventory and Analysis program, US Forest Service, 2011 data
Pine Volume Trends by Tree Diameter
75 mi radius of Cordele
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
Cu
bic
Fe
et
Wood Volume in Pines by Diameter Class - 75 mile radius Cordele
2002
2005
2008
2011
Source: Forest Inventory and Analysis program, US Forest Service, 2011 data
Annual Wood Growth and Removals –
75 mi radius of Cordele
-
100,000,000
200,000,000
300,000,000
400,000,000
500,000,000
600,000,000
Cu
bic
Fe
et W
oo
d
Growth
Removals
Difference
27% (4.1 mgt)
21% (2.4 mgt)
Source: Forest Inventory and Analysis program, US Forest Service, 2011 data
Documenting Sustainability Through
Forest Certification
American Tree Farm System (1941);
NIPF Landowners
Forest Stewardship Council (1993);
Corporate & NIPF Landowners
Sustainable Forestry Initiative (1995);
Industry Lands and Some Public Lands
-
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
Acr
es
Other forestland
ATFS
SFI
FSC
U.S. South
17% “certified”FSC1%
SFI10%
Tree Farm6%
Other Forests
83%
Opportunities & Challenges – certified forests
Summary
Georgia leads the nation in forest acreage, wood
production, and forest products as a result of
strong infrastructure
Increases in forest wood volume continue with a
slight shift to larger trees
Bioenergy has always been integral to the forest
products industry
Electrical power production and wood pellet
production have recently successfully developed
as a part of our forest products industry
Policy and markets will demand documented
sustainability in the future
