In the final days of the legislative session, Georgia lawmakers approved several bills to support the state's forestry industry, which is facing a crisis from paper mill closures and the aftermath of Hurricane Helene. The measures include allowing conservation tax benefit recipients to participate in carbon markets and incentives to attract manufacturers. Governor Brian Kemp has signed the state budget with research funding but must act on the other bills by May 12.
Georgia ranks first in annual timber harvest volume and forest product exports, with its managed forests offsetting about a third of the state's greenhouse gas emissions. However, recent paper mill shutdowns, following Hurricane Helene's devastation in 2024, have strained landowners. About 92 percent of the state's forests are privately owned, mainly by individuals and families relying on timber for income like college tuition or retirement, officials noted. Without viable revenue, many may sell land to developers or switch to other uses, warned experts from Georgia Tech's Renewable Bioproducts Institute. Chris Luettgen of the institute said, “Forest owners have a tremendous amount of pressure on them to give in to urban growth or to turn over their land to maybe an annual crop.” But some of this land is perfect for trees and not really too easy to grow a crop on. And so they’re kind of stuck.” Last week, legislators passed a bill enabling forest landowners with state conservation tax benefits to join carbon markets, amid efforts to create a Georgia-specific market. They also approved a tax credit update to draw forestry manufacturers and a measure preventing local governments from banning mobile sawmills on agricultural land. A proposal to eliminate sales tax on timber harvesting passed the House but stalled in the Senate. The state budget, already signed by Governor Kemp, allocates nearly $9 million for research into wood pulp alternatives to fossil fuel products, such as textiles and pharmaceuticals. Luettgen's team at Georgia Tech will use sawdust, bark, and wood chips to develop scalable replacements for items like acetaminophen, the active ingredient in Tylenol, and nylon. “Things that typically have come from fossil fuels and the cracking of crude oil, we believe we can instead make out of wood-based products,” Luettgen stated. The funding will help scale lab demonstrations to larger operations.