The Marion County Forest Association held its annual meeting on Oct. 21, with a large crowd at the Expo Center. The main focus of the meeting was on the economic impact that will be felt in Marion County once the new sawmill in Lumberton is complete and open.
Shaun Tanger, assistant professor with the Mississippi State University Coastal Research and Extension Center, was the guest speaker for the evening.
Idaho Forest Group announced in December 2020 the plans to bill a sawmill in Lumberton. The mill will be its first in the southeast portion of the nation, and will also create up to 135 jobs. The mill has begun the hiring process. However, Tanger predicts the mill will begin operations by the summer 2022.
“Great news, we certainly have been needing this,” Tanger said.
Tanger said between mills expanding and new ones being built in the state, it will bring a total capital investment of $462.5 million and the creation of 518 direct opportunities for employment.
He said there have been problems for a while with there being no market and mills being closed. Things have started to turn around with mills opening back up.
Not only is there a mill coming to Lumberton, but there is another mill opening in Winona in 2022 that is owned by a different company. That same company also has a mill in Newton. Having mills opened in the area that are owned by separate companies allows for better competition for the tree farmers.
“Competition means better prices,” he said.
Currently, the southeast has the largest housing market, creating larger needs for lumber. With areas such as New Orleans, the Gulf Coast and Mobile being repeatedly hit with hurricanes and tropical storms, the location in Lumberton is ideal to allow lumber to be produced for the areas to repair and rebuild following the storms. It can also serve to provide lumber for the housing markets that not only include the coastal area but also places like Baton Rouge and Jackson.
Tanger said the lumber prices have started to come back down, and he believes the prices will not spike that high anytime soon.
Before the coronavirus pandemic hit, the housing market was doing pretty good at $1.35 million and is currently over $1.5 million. He said the mills started to cut back at the beginning of the pandemic because people were sent home during the shutdown. It took the industry by surprise when they realized that people used that time for home improvement projects, creating a larger need of lumber than was expected.
With all of the federal programs implemented to assist during the pandemic, plus the low interest rates for mortgages, Tanger said it created a perfect storm for the lumber market. Something else he mentioned is with more people working from home, a lot of people are leaving the larger cities.
“The southeast region is the fastest growing area in the country,” Tanger said.
At the end of the program, Mitchell Arrinder was recognized as the Logger of the Year and Steve Simmons was recognized as the Tree Farmer of the Year. A special award was presented to Cary Williams for his years of work and dedication to the association.
The new officers for the year include Chester Hunt, president; Baxter Rowley, vice-president; Mack Davis, treasurer; Kay Givens, secretary; and Betty Walley, membership chairman.
Steve Simmons is all smiles after being awarded the Tree Farmer of the Year award.
Cary Williams holds a plaque he received for all of his years of dedication to the Marion County Forestry Association.
