This is part one of a series evaluating the impacts of Hurricane Helene on timber markets in Georgia.

On September 26, 2024, Hurricane Helene made landfall in the Big Bend region of Florida as a Category 4 storm. Helene entered Georgia as a strong Category 2 storm, crossing the entire state before heading into North Carolina as a tropical storm. Helene was the first major hurricane to hit Georgia since Hurricane Michael in 2018. Based on initial damage assessments, it appears that the impacts of Helene will far exceed those of Michael, which will have significant short- and long-term impacts on the forestry industry in Georgia.

Extent of the Damage

Hurricane Helene brought sustained winds of up to 120 mph, causing widespread tree blowdowns, uprooting, and breakage. Initial assessments by the Georgia Forestry Commission (GFC) found that Helene traversed 8.9 million acres of Georgia’s timberland, which is approximately 37% of the total timberland in Georgia. Additionally, the GFC conservatively estimates a total timber resource impact of $1.28 billion. By comparison, Hurricane Michael impacted approximately 2.4 million acres of timberland and caused timber value loss of $763 million.

Immediate Market Impacts

After the storm, landowners have been scrambling to salvage what they can from their timberland. This has resulted in an influx of damaged timber flooding the market, and as a result prices for pulpwood and sawtimber are expected to drop temporarily due to oversupply. Forisk has received reports of landowners receiving as little as $2-3 per ton for their salvage wood, approximately 10% of current pine sawtimber stumpage prices in Georgia.

In addition to the damage to timberland, Helene also impacted mills. Many mills in the path of the storm experienced downtime ranging from a few days to up to a week. Now, many mills are operating on quota due to the influx of salvage wood into the market.

Stay tuned for Part II, which will take a closer look at the impact of Hurricane Helene on timber markets in south Georgia.

If you are interested in evaluating how major events like a hurricane or a mill closure can affect local timber markets, Forisk’s Custom Market Forecast (CMF) can provide detailed insights into pricing and demand trends. The CMF offers customized forecasts to help the forestry industry make informed decisions during times of uncertainty.