News & Updates

Growth in the New Year

As we close the door on 2016 and begin to focus on 2017, we find ourselves overlooking a sea of wood.

According to the South Carolina Forestry Commission, 67% of SC’s land area is forested.  There are approximately 300,000 family forest owners and growth continues to exceed harvest.  In spite of the 2014 ice storm ($360M loss in timber), the 2015 historic flood ($65M negative economic impact), and the 2016 hurricane ($200M in affected forests) SC has shown its resilience and continues to cultivate a thriving crop.

The biggest challenge to the forest industry today is markets.  Export markets continue to be a strong outlet for wood and wood products; domestic markets continuing to struggle.  According to Random Lengths, housing starts in October 2016 were at a seasonally adjusted annual rate of 1.323 million units.

This presents a drastic improvement over the previous year and has certainly relieved some of the pressure of the tremendous inventory of standing wood. It is also apparent that other markets will need to emerge to create a competitive environment for forest landowners.  Carbon, wood pellets, biofuels etc. have all created some pressure on the market, but have been more of a thorn in the side rather than an economic game changer.  Ecosystem development could be a factor in the future as these markets develop further.

In summary, southeastern forests have the capacity to meet the demands of current and emerging markets for some time to come, but demand for forest products seems to be a limiting factor. Supply continues to increase while demand appears to remain stagnant.  We encourage you to stay optimistic, stay involved through landowner groups, SCFA, and others. We challenge you to continue to be a contributor, through forest management, to the nearly $18.6 billion economic impact the forest industry has in the state of South Carolina.

Let’s do this!

Our clients are saying –

"I highly recommend Milliken Forestry Company's Real Estate Services Division. They sold my property in less than 30 days after being listed! Their customer service and representation is stellar. I really felt like they knew me and my needs. Communication was done by phone, but one agent came to the closing to meet me personally! Everything they did regarding the sale of my property was above and beyond which is rare in this day and time."

Lynda B.