GEORGETOWN COUNTY, S.C. — The timber industry in South Carolina is facing severe challenges following the closure of major mills, such as the International Paper mill in Georgetown and the WestRock plant in Charleston. These shutdowns have left local loggers scrambling to find new markets for their products, particularly pulpwood, which is crucial for paper production.
A Vital Industry for South Carolina’s Economy
The forestry sector plays a vital role in South Carolina’s economy, contributing over $23 billion and employing a significant number of people in the state, according to the South Carolina Forestry Commission. Despite its importance, the loss of pulpwood markets due to mill closures has sparked concern across the industry.
Chip Campsen, chairman of the Senate Fish, Game, and Forestry Committee, emphasized the scale of the problem. “A lot of people are shocked to hear that, but that’s true. The number one industry by payroll. The problem is we have lost the market for our pulpwood,” said Campsen.
He added, “If you lose your market for pulpwood, you really can’t economically grow any timber in South Carolina,” underscoring the critical impact of these closures on the state’s forestry economy.
The Economic Impact of Market Loss
Data from the Bureau of Economic Analysis reveals that the value of forest agricultural products in South Carolina has dropped by 85%. This loss is compounded by difficulties in expanding infrastructure at the Charleston port to handle wood products, with Campsen mentioning that Port Authority resistance has hindered progress on this front.
“There’s good reason to be concerned, but we know that there are markets that will buy our wood, but we need to have infrastructure that enables us to capitalize upon those markets,” Campsen said. “We need to be able to ship via ship because that’s the cheapest way to carry wood chips or pulpwood. We know there are markets overseas for that.”
Possible Solutions: Biomass Plant and Market Expansion
One potential solution being discussed is converting the site of the former International Paper mill into a biomass plant, which could provide a new market for pulpwood. Campsen noted that such a plant could be an “important source of a market for pulpwood,” offering a glimmer of hope for the industry.
However, even with these potential alternatives, the lack of infrastructure to transport pulpwood remains a significant hurdle. The need for effective shipping methods to connect with overseas markets has never been more urgent.
The Urgency to Act
The growing concern is the imminent risk of logging crews and timber owners being forced to shut down their operations due to an inability to sell their products. Campsen expressed his fear that timber operations might not return once they are forced to close. “When you have logging crews and timber owners who can’t bring their product to market, they’re going to have to just shut down, and they’re not going to come back,” he warned.
As the timber industry grapples with these challenges, the urgency to find new markets for pulpwood and develop better infrastructure has never been greater. Industry leaders are calling for swift action to prevent a collapse of the timber sector in South Carolina and ensure its future sustainability.
