Based on official statistics on turnover, the number of enterprises and employment we investigate the economy of forestry and wood industry. The main objective of our research is the quantification of the added value in forest and wood industry including their structural development.
In 2019 the turnover of goods and services of the entire Cluster of Forest and Timber reached 183.4 Billion Euros. The gross value added generated by all industrial sectors accounts more than 57.2 Billion Euros. 1.025 Million employees were counted in 115,158 enterprises belonging to the cluster of forest and timber.
The forestry and timber cluster covers all economic activities related to forestry and wood use following the European cluster definition (COM, 1999). We compile annual statistics for these wood-based economic activities on number of enterprises and jobs, turnover and gross value added. Data sources are provided by the Federal Statistical Office and the Federal Employment Agency. To describe forestry results from the European Forest Accounting are used.
Employment is given in number of jobs and calculated as the sum of employees subject to social insurance contribution, marginal employees, and number of enterprises. The number of enterprises reflects the activity of entrepreneurs in their own companies. For all forestry and logging activities, which also include support services to forestry, we use European Forest Accounts data provided by the Thünen Institute. Employment in forestry and logging is measured in full time equivalents and already includes dependent employment and entrepreneurial activity. Thus, for forestry and logging activities, the number of enterprises is not added to calculate total employment. Furthermore, employment subject to social insurance contribution is differentiated from marginal employment.
Data on turnover and number of enterprises is provided by official statistics in value added tax returns. This data includes all enterprises having a taxable turnover of at least 17,500 Euro per year. Data is available 12 to 16 months after the reporting period has ended.
Gross value added is calculated based on cost structure statistics. The data represents enterprises with at least 20 employees and provides data on gross value added in relation to turnover. This coefficient is applied to turnover data of the economic activities of the cluster. Cost structure statistics are available 18 months after the reporting period has ended.
Official statistics availability defines the publication date the latest cluster statistics at approximately 18 months after the reporting period has ended.
COM (1999): The state of the competitiveness of the EU forest-based and related industries. Brussels (Communication from the commission to the council, the European parliament, the economic and social committee and the committee of the regions)