Progress 07/01/01 to 09/30/04
Outputs
For Phase I, a set of surveys was conducted to estimate the economic value of the Hawaii forest industry's revenue and employment for 2001. The term forest industry comprises all activities involving locally grown wood including forest management, wood harvest, and wood products development and distribution. The forest industry segments surveyed included landowners, timber processors, general contractors, forestry consultants, manufacturers, nurseries, and retailers. The 2001 Hawaii forest industry revenues were estimated to be $30.7 million with total full time employment at slightly more than 900 full time employees. The largest sector was retailing with revenues of $23.9 million. This 2001 value for the forest industry represents a slight nominal increase since 1991, when the value was estimated at $28.9 million but a real decrease after accounting for inflation. For Phase II, limited responses from tree producers required using a representative farm analysis. Cost
of production budgets were constructed for these representative farms. Preliminary technical efficiency analysis was also performed.
Impacts
Forestry in Hawaii is primarily about protecting the island watersheds, providing habitat for rare and endangered species, and providing recreation for local people and visitors. A small but important local forest industry is based on the harvest of native woods such as koa and ohia, traditional Hawaiian woods such as kamani and milo, and exotic woods such as eucalyptus and mango. These locally harvested timbers are made into high quality bowls, furniture, picture frames, and flooring. The 1993 forest industry study estimated the 1991 value of Hawaii's commercial forest industry to be $28.9 million with more than 800 full-time employees. The estimated value of Hawaii's forest industry in 2001 was approximately $30.7 million. Also, the industry in 2001 employed more than 900 full-time employees. When inflation from 1991 to 2001 is accounted for, the actual value of the Hawaii forest industry fell in real terms. With inflation, the $28.9 million value in 1991 would have
grown to $34.8 million in 2001. The estimated industry value of $30.7 million in 2001 represents a 13.4% decrease in value. The Hawaii forest industry remains largely based on retail sales of high-end furniture, largely made from koa. Availability of koa has decreased in the past decade. Current planting efforts, spurred by the high prices of tropical hardwood, will nonetheless take many years to produce marketable timber. While it is crucial to the long-term health of Hawaii's forest industry to continue the investments in tree planting, economic results of this investment will take years to materialize.
Publications
- Yanagida, J.F., Friday, J.B., Illukpitiya, P., Mamiit, R. and Edwards, Q. 2004. The Economic Value of Hawaii's Forest Industry in 2001. Department of Natural Resources and Environmental Management. University of Hawaii.
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Progress 10/01/02 to 09/30/03
Outputs
Phase I deals with determining the economic value of Hawaii's forest industry. Surveys were sent to the various sectors of Hawaii's forest industry (note numbers of surveys sent are shown in parentheses): retailers (866), landowners (1200), general contractors (455), manufacturers (69), nurseries (101), timber processors (36), and forest consultant (41). Preliminary results indicate an average response rate of 15-20% per sector or surveyed group. Phase II is concerned with estimating the amount of capital in the pipeline (investment in Hawaii's forest industry). A detailed survey seeking responses for production and costs over time was developed and sent to 40 tree producers.
Impacts
Preliminary results indicate that the forest industry in 2001 has grown since the benchmark year 1991. Landowners with timber holdings in Hawaii are primarily small tree farms (10-25 acres) similar to the case in 1991. Approximately 15% of landowners, with land zoned for agriculture and other uses, had timber holdings in Hawaii. There are wide variations in retail sales of locally grown wood products. The distribution of locally grown wood product sales through out the state can be described by these shares: Oahu (39%), Maui (22%), Big Island (21%), Kauai (17%), and other islands (1%). Substantial quantities of wood and wood products are imported from foreign countries and the Mainland. Leading foreign exporters of wood and wood products to Hawaii include China, Indonesia, Thailand, Malaysia, and the Philippines. Primary sources of Mainland wood are from Oregon, California, and Washington. Major competitors with koa include Australian blackwood, maple, African
mahogany, teak and bamboo. The most frequently used outlets to sell local wood products are the retail stores, catalog outlets, and galleries/museum shops.
Publications
- No publications reported this period
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Progress 10/01/01 to 09/30/02
Outputs
Current information about the Hawaii forestry industry have been collected. Six surveys were developed which capture the economic activities of this industry. The six surveys are: (i) Landowners' Survey, (ii) Industrial Landowners' Survey, (iii) General Contractors' Survey, (iv) Nursery and Forestry Consultant Survey, (v) Timber Processing and Wood Production Survey, and (vi) Retailers' Survey. These six surveys are being pre-tested before dissemination.
Impacts
Preliminary information collected from industry participants indicate that the industry is larger than the industry described in the 1993 GACC report (Hawaii's Forests: An Inventory and Analysis of Economic Potential). Instead of four surveys used to gather information for the 1993 GACC report, this research has expanded the number of surveys to capture industry components and increase the depth covered in each survey.
Publications
- No publications reported this period
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Progress 10/01/00 to 09/30/01
Outputs
No progress to report. This project was initiated on July 1, 2001.
Impacts
(N/A)
Publications
- No publications reported this period
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