Abstract

Coordinated mail surveys of logging businesses in the Lake States of Michigan, Minnesota, and Wisconsin were conducted in spring 2017 to assess the status and capacity of the sector in 2016. Many similarities among logging businesses were noted across the region. Despite the presence of many small logging businesses, much of the volume (58 percent) is produced by a few large producers (13 percent) who seem to have an advantage over their smaller counterparts. Businesses and business owners are aging (average business duration, 27 years and average owner age, 54 years), and the majority are producing below their full operational capacity and achieving break-even profit levels. About one-fourth of the businesses intend to exit the market in the next 5 years, and there is a lack of factors attracting new workforce members into business. Differences exist among states in terms of harvesting systems used, source and method of timber procurement, and transportation strategy adopted.

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