The industry contributes nine percent of locally derived revenues

The industry contributes nine percent of locally derived revenues for ,education from property and personal property taxes, corporate income tax and taxes paid by employee^. When all of this is taken into account, it is likely that no industry is as important to Virginia’s school systems as the forest industry.

Two-thirds of the commonwealth’s land is covered with forest. These forests have been providing raw materials for the growing industry for over 300 years. Because of the good protection and wise use of this resource, the industry continues to expand.

Since January 1983, 12 forest products firms have begun or announced plans forsji new plant construction. A dozen others are carrying out significant expansion plans. These new additions are expected to create over 1000 jobs and will involve over one-half billion dollars in capital expansion.

The value of this resource begins with the thousands of landowners across the state. Timber is Virginia’s largest cash crop. Landowners receive over $100 million per year for their timber. The sale of this timber by the owners begins a chain reaction unseen in most other industries.

Each year over one billion board feet cof sawtimber and veneer, enough to build more than 80,000 homes and two million cords of pulpwood are delivered to mills and wood yards from Virginia’s forests. Every $1 earned by^a landowner from the sale of timber generates $27.65 in economic activity.

This cycle provides employment for one of every seven Virginians involved in manufacturing and furnishes $1 of every $8 of salary and wages and $1 of every $9 in value added through manufacturing. This industry ranks first in employment, first in total expenditure of salary and wages and third in value added from manufacturing compared to other manufacturing industries.

Relatively few Virginians have a real view of the economic impor* tance of the forest in the state. It is, in fact, an enormous industry that is among the largest in Virginia and has only begun to tap the potential growth.

“The report illustrates that trees do have an importance in the economy of the commonwealth and it emphasizes another opportunity for economic development in the state that has been long overlooked. Virginians, for a long time, have failed to notice the forest for the trees,”