Texas forest industry remains steady with large economic, ecological impact

“We’re a huge state that is home to eight of the 15 fastest-growing cities in the nation,” said Aaron Stottlemyer, Ph.D., Texas A&M Forest Service Forest Analytics Department head and adjunct professor in the Texas A&M College of Agriculture and Life Sciences Department of Ecology and Conservation Biology. “That growth, and the need for housing in particular, places demand on the forest sector for wood construction materials.”

While Texas is home to more than 55 million acres of forestland, it is the roughly 12 million acres of timber-producing pine forests across 43 East Texas counties that fuel the state’s forest industry.

Stottlemyer said the value of harvested timber consistently ranks among Texas’ top 10 agricultural commodities. According to a Texas A&M Forest Service report, in 2024 the Texas forest sector directly contributed $27.4 billion in industry output and employed over 73,000 people.

Texas forest sector reaches beyond state lines

Stottlemyer said around 85 sawmills currently operate in Texas, transforming raw timber into products like dimensional lumber, plywood and oriented strand board.

“We’re one of the top wood panel producing states in the nation,” he said.

While Texas is considered a net importer of forest products, the state maintains a healthy rate of international and domestic exports.

In 2024, Texas’ international forest product exports totaled $2.1 billion.

“Our two biggest trade partners, both in terms of imports and exports of finished goods, are Mexico and Canada,” he said.

Secondary forest products contribute to economic impact, industry stability

Although primary forest products like lumber and wood panels may be the most recognizable elements of the industry, Stottlemyer said Texas’ secondary forest products manufacturing sector is exceptionally important and provides stability from fluctuations in the housing market that affect demand for solid wood products such as lumber and panel.

“These secondary manufacturers take wood pulp and turn it into value-added products like paper and paperboard products,” he said. “Those companies comprise a huge market share of the Texas forest sector.”

He said these facilities, located primarily in the northern and central parts of the state, account for more than 65% of the state’s forest sector economy.

Stottlemyer said there is also growing interest in the use and construction applications of engineered wood products like mass timber, which includes cross-laminated timber and glue-laminated timber, known as glulam.

Family forests support industry but face challenges of scale

More than 90% of timberland in East Texas is privately owned, with family forest landowners accounting for 58% of that ownership.

Stottlemyer said compared to other crops, timber is a long-term investment of 20-30 years that offers a relatively stable return for landowners. Thanks to management activities like thinning operations during growing cycles, forests can produce revenue throughout the full crop rotation.

Despite the stability, challenges persist, especially for small-scale forest owners.

“An issue across the entire nation is an oversupply of small-diameter pine trees and lack of new markets,” he said. “We’ve seen an unprecedented closure of pulp and paper mills across the South, and we’re not seeing investments in new facilities or manufacturers to take the place of those that we’ve lost.”

Due to a combination of factors, including improved tree genetics, advanced silvicultural practices and improved sawmilling efficiency, Stottlemyer said East Texas is growing nearly 300% more wood volume than is being harvested annually.

Another challenge facing small-scale landowners — typically 100 acres and less — relates to an “economy of scale.”

“The minimum acreage depends on the timber harvester, but for most, there is a threshold where they can’t financially justify moving their equipment and operations around to harvest smaller timber parcels,” he said.

Environmental goods and services and nontraditional markets

Stottlemyer said Texas A&M Forest Service is actively working to develop solutions and find market opportunities to resolve these challenges.

“There’s a lot of interest in biochar and its potential uses, from amending soil to agricultural and bioremediation applications,” he said. “Other market opportunities could be sustainable aviation fuel from forest biomass, carbon and ecosystem service markets, and wood pellets for renewable energy.”

There is also growing recognition of the valuable non-timber resources Texas forests provide, including recreation, wildlife habitat, carbon sequestration, improved air quality, and water quality and quantity.

“We cannot talk about water without talking about forests and what the forestry sector does in terms of ensuring that the citizens of our state continue to have access to clean drinking water,” Stottlemyer said.

Texans can learn more about the state’s forest resources and access a diverse portal of landowner tools, interactive reports and more at texasforestinfo.tamu.edu.

AgriLife Extension district reporters compiled the following summaries:

Panhandle

Hot, dry and windy conditions dominated the week, with high temperatures reaching 103 degrees in some areas. Light, scattered moisture was reported with up to half an inch in the eastern portions of the district. Topsoil and subsoil moisture were very short to adequate. Extreme heat stressed corn, grain and forage sorghum, and native rangelands, and yield potential continued to decline in all dryland fields. Cotton progressed through squaring and boll set, though conditions ranged from poor to fair. Pasture and rangeland were in very poor to good condition, and available forage decreased. Livestock conditions ranged from very poor to good, with animals in the driest counties struggling.

South Plains

Triple-digit temperatures gripped the district. High winds accelerated evaporation and rapidly dried surface soils. Rain was needed. Dryland cotton was deteriorating quickly, while irrigated cotton continued to bloom and set bolls, with plants ranging from pinhead square to near peak bloom. Producers noted the heat units were beneficial for cotton progress where moisture was available, but square retention remained a concern. Irrigated grain sorghum was coloring across parts of the district, and oat fields had burned up in the driest areas. Native grasses were dwindling, and grazing pastures needed rainfall. Cotton was in fair to good condition; sorghum was in poor to fair condition, and livestock remained in fair to good condition, with some producers relying on supplemental feed.

Rolling Plains

Extreme heat pushed temperatures to 109 degrees in some areas, and hot winds stripped what little topsoil moisture remained after the prior week’s rains. Cotton was stressed under the heat and wind, and in some areas failed fields had already been removed. Sudan grass plantings burned up in the driest portions of the district, and native pastures took on the appearance of winter dormancy. Some irrigation wells were reported sucking air. Cotton improved slightly where rain fell the previous week, and coastal Bermuda and Sudan/haygrazer hay yields were strong, though quality suffered where cut hay was rained on repeatedly. Corn harvest was underway with fields fully dented, and grain sorghum was coloring and nearing harvest, although high humidity slowed dry-down. Tillage moved forward as producers fought summer weeds in fallow ground ahead of wheat planting. Livestock conditions ranged from poor to excellent, and some producers were moving water for cattle.

North

A punishing heat wave settled across the district, with heat indexes reaching near 115 degrees, with daily highs around 100 degrees for much of the week. Topsoil moisture was depleted rapidly, even in areas that had received recent rain, and no relief was in the forecast. Corn harvest for grain began, and corn silage harvest was nearly finished. Grain sorghum harvest started, and early planted soybeans were approaching maturity. Hay harvest was in full swing. Grape and okra harvest continued in some areas, while other fruit and vegetable production wrapped up until cooler weather returns. Livestock were in fair to excellent condition, and pastures held up reasonably well despite the heat. Feral hog activity remained steady in some areas.

East

Hot, humid weather set in following prior rains, and topsoil dried out quickly across much of the district. Hay production was in full swing, with a second cutting yielding an average of three to four round bales per acre in some counties, and the quality was holding up well. Bermuda stem maggot and fall armyworm activity was reported in pastures and hay meadows, and producers were urged to scout warm-season forages closely. Pasture mealybug continued to spread and was a growing worry among forage producers. Watermelon and pea production was slowing. Livestock markets were mixed — one sale barn moved nearly 2,500 head with bred cows topping at $4,300 per head and cow-calf pairs at $4,900. However, feeder calves under 400 pounds sold for $6 to $10 lower per hundredweight and pairs softened at another market by roughly $750 per pair. Goat markets strengthened by about $50 per head in one report. Livestock were in fair to excellent condition, staying in the shade during the hottest parts of the day.

Far West

Persistent heat with daily highs from 99 degrees to 103 degrees were common across much of the district. The Big Bend area saw cooler temperatures and widespread rainfall in the first part of the week, with rangeland reported to be in its best condition in recent memory. Elsewhere, isolated thunderstorm chances produced little measurable rain, and evaporation rates climbed. Irrigated cotton continued to bloom and set bolls with good vigor, while dryland cotton showed uneven growth and moisture stress. Grain sorghum advanced through grain fill and coloring, with irrigated acreage outperforming dryland fields. In the El Paso area, Pima and upland cotton looked healthy with little insect pressure. Alfalfa cutting continued, and pecan orchards showed stink bug, yellow aphid and some black aphid activity. Pasture and rangeland conditions varied from very poor to good, and livestock were in poor to good condition, with supplemental feeding continuing in the driest areas.

West Central

Temperatures were over 100 degrees every day in most areas. Topsoil moisture from previous rains dried out quickly. Areas of the district that received 4-6 inches of slow, soaking rain earlier in the month fared better, with pastures greened up enough to outpace grazing cattle in a few locations. However, intense upstream rainfall caused the San Saba River to flood, destroying fences and riverbanks for landowners who had just replaced fences from prior flooding. Cotton continued to progress where moisture was available, and summer haygrazer perked up following the earlier rains. Livestock conditions ranged from poor to excellent, with cattle in good shape and good grazing available in the wetter areas. One sale barn reported stocker steers selling $10 to $15 lower per hundredweight and packer cows and bulls trading $3 to $4 higher per hundredweight. Wildfire danger was expected to climb as forages cured in the extreme heat.

Central

Hot and dry weather set in after a week of unusually heavy rainfall, with temperatures topping 100 degrees on multiple days. Corn harvest began across the district, and yields were reported as above average so far, though rapid dry-down before rains may pull some test weights lower. Cotton continued to progress, and the earliest-planted fields were opening bolls. Aphids and spider mites were becoming a concern under the extreme heat, though overall pest pressure in cotton was minimal. Pasture mealybug was the biggest concern among producers, with confirmed complete pasture dieback on some Bahia and coastal Bermuda grass hayfields reported. Hay growers were baling aggressively to manage losses and slow the pest’s spread, and hay prices were already climbing. Watermelon harvest continued, with excellent quality reported. Stock tanks were full, and livestock remained in good body condition thanks to the abundant spring rainfall.

Southeast

Recovery efforts from the previous weekend’s severe flooding continued across parts of the Texas Hill Country, with up to 24 inches of rain reported in some areas. Producers were assessing fence and property damage as well as livestock and wildlife losses. Weaning and shipping of lambs and goats was underway, though sheep and goat market prices weakened due to New World screwworm concerns. Hot, dry weather with highs near 100 degrees returned for the week. Corn reached maturity and harvest was expected to begin within the next couple of weeks. Sorghum looked good despite some midge damage from uneven germination. Pasture mealybug damage continued to be reported, with extensive damage to pastures and hay fields in parts of the district. Rangeland continued to improve overall thanks to rain that began in April, and livestock were in poor to good condition. Fungal issues appeared in trees and ornamentals following the recent rains.

Southwest

Hot and humid conditions continued across the district, with high heat indexes creating dangerous working conditions and pushing cattle off feed in some areas. Tropical Storm Bertha brought wind and rain to portions of the district, adding to already surplus topsoil moisture along the Upper Gulf Coast, though impacts were minimal. Rice was fully headed and roughly 10%-15% harvested. Rice harvest moved into full swing in some counties. Row crops were in good shape, with most corn dried down and cotton in bloom. Low-lying cotton fields were beginning to dry out from the recent heavy rains. Pasture mealybug reports increased. Pasture and rangeland conditions ranged from poor to excellent, and livestock were in fair to excellent condition.

Coastal Bend

Dry, hot weather dominated the week, allowing corn and grain sorghum harvest to move ahead across much of the district. Rice harvest began, with yields lower than expected and crop conditions looking good. Cotton was maturing, with several fields receiving their first shot of defoliant and pickers expected to roll soon. Remnants of Tropical Storm Bertha dropped anywhere from a trace to more than 1 inch of rain in scattered locations, which will delay harvest on clay soils that were still drying from the prior week’s 6-plus inches. Pasture mealybug pressure was severe and worsening, with forage growers seeking labeled control measures. Hay yields for the current cutting looked good, and producers rushed to harvest ahead of further mealybug damage. Livestock were in fair to excellent condition, and pasture and rangeland conditions were poor to excellent.

South

Extreme heat with temperatures near or above 100 degrees were prevalent across the district, and hot winds accelerated the drying of pastures and row crops. Rainfall was highly variable — some areas received 1 inch or more from a passing storm system, while others recorded no measurable rain. Recent flooding along the Frio and Nueces rivers damaged sorghum, sunflower, cotton, corn and hay fields, with producers reporting standing water, delayed field activities and some livestock losses. Corn harvest was largely complete in the Lower Rio Grande Valley, and grain sorghum harvest was winding down as later-planted fields entered coloring. Cotton defoliation was underway with harvest expected soon. Sesame planting continued in some areas, and peanut fields progressed well. Hay baling was active across much of the district, with producers rushing to complete cuttings ahead of forecasted tropical weather. Livestock were in fair to excellent condition, though calf and feeder cattle prices weakened at some auctions while cow and bull markets held steady. New World screwworm concerns and prolonged heat kept producers cautious, and some continued to sell cull cows and calves into strong market prices. Whitetail fawning was underway, and quail and turkey hatches were reported in some areas.