bc-forest-industry-economic-impact-study

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ESTIMATED ECONOMIC IMPACTS OF THE BC FOREST INDUSTRY
The economic impacts that are estimated that have been generated within BC by the forest industry in 2013
are:
Total economic output of $31.4 billion.
Total GDP impact of $12.4 billion. Direct GDP was approximately $5.8 billion, which would equate
to approximately 2.5 percent of provincial GDP.
Total employment generated of approximately 145,800 FTEs. Of this, the industry directly
employed roughly 63,500 FTEs and supported an additional 82,300 FTEs in other sectors.
Total revenue generated for federal, provincial and municipal governments of almost $2.5 billion.
Of this, the federal, provincial and municipal governments received $934 million, $1.4 billion and
$150 million respectively.
The economic impacts generated by the forest industry within BC in 2013 are shown in Table 2.
Table 2. Total Estimated Economic Impacts of the BC Forest Industry in BC in 2013
Economic Impacts BC Forest Industry in 2013
Output
(millions)
GDP
(millions)
Employment
(FTEs)
Federal Tax
(millions)
Provincial
Tax
(millions)
Municipal
Tax
(millions)
Direct $15,740 $5,812 63,538 $422 $301 $62
Indirect and
Induced
Other
Government
Revenue 45
$15,637 $6,624 82,279 $512 $424 $88
$719
Total $31,377 $12,436 145,817 $934 $1,444 $150
Additional Forest-Related Revenue for the Provincial Government
The Government of BC receives revenue from the forest industry in several ways. The economic impact
model includes taxes such as excise, property and income taxes, and generated total direct, indirect, and
induced provincial tax revenue of approximately $725 million in 2013. In addition to property, excise and
income taxes, the provincial government also received other forest-related revenue, including stumpage,
fee-in-lieu of domestic manufacturing, timber sales, rentals and licences, and export fees. These additional
sources of government revenue are estimated to have been roughly $719 million in 2013/14, which would
put the total provincial revenue from forestry-related sources at approximately $1.4 billion. The estimated
impacts of provincial government tax revenue from forestry-related sources is summarised in Table 3.
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Includes other payments to government including stumpage, fee-in-lieu of domestic manufacturing, export fees, rentals and licenses
BC FOREST INDUSTRY: ECONOMIC IMPACT STUDY
MNP LLP