Lumber manufacturing (primary industry) and sales are a significant contributor to the Kentucky economy. Nearly half of the land acres of Kentucky are in forest cover and an estimated 684 million board feet of hardwood logs were harvested by over 2,600 loggers. The wood was processed at 671 wood, paper, and paper converting manufacturing facilitieslocated in 112 counties. The distribution of these facilities and the more than 28,000 Kentuckians they employ highlights how the $13+ billion contribution is an important economic force for both rural and urban communities. We know that the more cabinets, flooring, molding/millwork, and furniture (secondary manufacturing) made locally from the lumber produced in Kentucky, the more jobs and money that the wood from our forests generates to provide for the Commonwealth. Local wood keeps local forests healthy and productive. Each acre of harvested timber is estimated to contribute $22,737 to Kentucky’s economy.

7 Trainings focused on US Forest Service tree and log grading specifications are taught in Master logger programing, landowner and professional trainings were held. 3 Trainings focused on sawing lumber using a bandsaw mill for landowners, forestry professionals, and industry professionals as well. 

The lumber grading system in which billions of dollars and board feet of hardwood lumber are bought and sold both domestically and around the world is the National Hardwood Lumber Association (NHLA), Hardwood Lumber Grading Rules. Forest industries in Kentucky have voiced concern that there is not enough skilled labor in the region with the knowledge and ability to understand the rules and apply them properly. If someone is not properly trained in the lumber grades they could giving away product and the mill would go out of business or they could be sending material that does not meet the specifications requested for the purchaser and lead to loss of customers, financial loss, expensive disputes and even litigation. Workers with hardwood lumber manufacturing and grading knowledge can easily acquire $16-$28/hour wages depending upon specific job within the facility, and independent level of experience and return in yield and value to the lumber. We are focusing on these trainings as the skills are in high demand and there are few current professionals with the knowledge and experience to efficiently and accurately assess the quality and value of the hardwood resource that covers half of the state.

The North American hardwood lumber grading rules are utilized in both the domestic and export markets for determining quality and value. Due to the reliance of export markets the NHLA grading rules are more important now than ever in ensuring that Kentucky industries have a grading system in place that is universally fair and tailored to our domestic resource (our hardwood forests). It is also important for companies to receive the quality of products that they have purchased to discourage poor business practices. To address these area of need, University of Kentucky Forestry Extension has worked to develop a program focused on the grading rules and application. Topics of sawing, edging, handling, storage, defects and limitations, wood properties, mathematics, and basic economics are encompassed in these multi day programs. Due to depressed hardwood lumber markets caused by the  US - China trade war and supply chain issues and closures from the Covid-19 pandemic it is more important than ever for companies to have a strong reputation for manufacturing quality hardwood lumber and properly assessing grade to retain orders and stay in business.

There were 5 courses offered in the second half of 2019 and 1 in early 2020 with 78 attendee’s total. Most attendees were from Kentucky, but included students from North Carolina, Tennessee, Indiana, and Ohio. 1 facility where a training was held purchases oak lumber from over 50 sawmills in Kentucky regularly. We have also had several Amish owned operations attend and send their employees. The 21 sawmill and secondary facilities in attendance reported having a combined annual production of 284 million board feet. The facilities are mixed in production between green (non-dried) and kiln dried material. The combined value of these facilities annual production is conservatively valued at $232.1 million dollars by current market averages. Students indicated a 6.93% average improvement in proper assessment and valuation of lumber produced and purchased. The total impact of these industry trainings is estimated to be $33.49 million dollars saved or generated based on the percentage of lumber improved by proper assessment and valuation of lumber graded from the attending facilities annual production.  Actual impact could be more or less depending upon market price fluctuations and production changes.