The closure of Roseburg Forest Products in Missoula and Pyramid Mountain Lumber in Seeley Lake put 250 workers out of a job this year.
Samuel Scott is a forest economist with the Bureau of Business and Economic Research at the University of Montana.
In a presentation Friday requested by the Montana Forest Collaboration Network, Scott said the mill closures could lead to a 20% reduction in Montana’s timber harvest, if the lumber industry isn’t able to add processing capacity.
“That's not saying this is going to happen immediately. This is sort of a worst case scenario of where we could be headed if nothing changes,” said Scott.
It’s unclear how or when the work done by Pyramid Mountain and Roseburg could be replaced.
Pyramid Mountain began auctioning off its machinery and equipment last week. The company says the mill is working with a potential buyer and that they would likely bring in all new equipment if they complete the purchase.
Scott says the total economic benefit of the former mills, which included business supported by the mills and workers’ spending, was over 900 jobs and more than $40 million a year to the Montana economy.
Scott said a reduction in harvest would impact industry and government’s ability to manage forests for fuel reduction and wildfire risk.
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President Donald Trump signed an executive order telling federal public land agencies to open more lands for timber harvest. Montana’s timber industry has been steadily declining for decades. The handful of mills that remain say increasing the number of logs could help. But supply is only one of the challenges facing the often volatile industry.
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The Montana Department of Labor and Industry received federal grant funding to help laid-off lumber workers find new jobs. Fishing restrictions go into effect on some Montana rivers due to heat.
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Pyramid Mountain Lumber's owners said a changing economy and a housing crunch made it impossible to stay in business. Now, mill workers and Seeley Lake residents are grasping for a future that may not include timber.
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More than 30 business leaders and government officials met in Missoula Friday to discuss ways to keep western Montana’s wood products industry afloat after two sawmills announced closures.
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Missoula County’s last traditional lumber mill is shutting down after 75 years in business. Pyramid Mountain Lumber’s owners said they can no longer weather the current economy.