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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