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Industry Facts Our Past Papermaking has a rich and important history in the state of Wisconsin a history dating back 150 years. The first paper made in Wisconsin was produced in Milwaukee and was used to publish the Milwaukee Sentinel & Gazette on March 7, 1848. It would be another three months before President Polk signed legislation enabling Wisconsin to become a state. The paper was made from rags at a mill located at the junction of the Milwaukee and Menomonee Rivers. Production climbed to 90 reams a week, "enough to supply the entire press of the state." A plentiful supply of fresh water is necessary for good papermaking, so it was natural for the industry to begin developing further north along the banks of some of the states major rivers, including the Fox, Wisconsin, Chippewa, Menominee, Peshtigo, Eau Claire, Flambeau and others. In 1872, a significant event helped shape what has become Wisconsins paper industry. The Keller groundwood process was introduced to the Fox River Valley, enabling papermaking from wood pulp. Several rag paper manufacturers already were operating in the Appleton, Neenah, Menasha and Kaukauna areas, but with the new wood pulping process, attention turned to making paper from trees.
Today, Wisconsin is the nation's #1 paper manufacturing state and papermaking is the backbone of the state's economy.
Wisconsin is America's #1 Papermaking State Wisconsin has led the nation in papermaking for more than 50 years. More than 5.3 million tons of paper and over 1.1 million tons of paperboard are produced annually. Pulp, paper and allied firms employ more than 40,000 men and women, representing one in every 12 Wisconsin manufacturing jobs.
Over $2.55 billion in above-average wages are earned annually by the industry's workforce. Papermakers earn about 24 percent more than the manufacturing sector average and about 60 percent more than the average wage for all employment in Wisconsin. A $4.38 billion benefit surges through Wisconsin's economy as the industry's workforce spends some of its earnings on goods and services such as food, clothing, personal items, medical care and recreation. Some of the monies return to communities and neighborhoods in the form of public services supported by corporate and personal taxes paid by paper companies and their employees. Thousands more jobs are closely linked to Wisconsin's papermakers. Several thousand people work for companies that design and manufacture papermaking machines and related equipment. They produce several hundred million dollars in goods annually for use in Wisconsin, the United States and the world. Installation of new paper machines, plant expansions and facility upgrades provide employment for several thousand construction and trades workers annually. This new equipment and technology, combined with outstanding management and a talented work force, have helped to improve productivity 109 percent during the 1960-1999 timeframe. During that period, employment increased 32.4 percent, while production of paper and paperboard increased 177 percent. Convenient access to quality Wisconsin-made paper is a big reason why there's a vigorous, growing printing industry here. More than 54,700 printers earn $1.8 billion in annual wages. Those economic benefits are shared across the state as about half of all printing and publishing jobs are in Milwaukee and southeast Wisconsin. All of this economic vitality is only part of the paper industry's tremendous impact on the state.
Papermaking is the largest component of the forest products industry that employs more than 103,000 people. This includes timber producers (loggers and transporters), plus people employed in sawmills and businesses producing lumber, furniture and related products.
The value of shipments from Wisconsin's paper companies tops $12.4 billion annually, while combined shipments of paper, lumber and wood products are valued at nearly $16.8 billion. Additionally, papermaking indirectly supports jobs for 125,350 more people, according to the Department of Urban and Regional Planning at the University of Wisconsin Madison. Paper production, jobs and income are important to Wisconsins economic well-being, but there is much more that the paper industry contributes. The industry is a leader in environmental protection and an outstanding corporate citizen. Wisconsin's papermakers are demonstrating that a strong and growing economy is compatible with a healthy, vibrant environment.
The Paper Industry is Prepared for Future Challenges The paper industry's future is crucial to Wisconsin's quality of life. What is the outlook for this key industrial sector, the "backbone" of Wisconsin's economy? Competition in the national and international paper is intense. Wisconsin's paper industry is working to assure that it will continue to compete successfully, manufacturing high quality, economically-priced paper products. Its investments in capital projects and environmental protection are important to the industry's competitive abilities and Wisconsin's economy. This "reinvestment" upgrades or provides new manufacturing capacity and efficiencies, helping assure a bright future for the industry. Capital spending in the paper industry is a demonstrated commitment that Wisconsins papermakers are taking the necessary steps today to assure that their equipment and facilities are prepared for tomorrows challenges and opportunities. It is also a commitment to Wisconsin, ensuring strength in our states economy. Investments are made on a variety of projects, including warehouse expansions, rebuilding or constructing paper machines, modernizing electrical systems, and computer system enhancements. Regardless of how it is analyzed, the industrys investments in new papermaking capacity and environmental protection capability sends a clear message a message that the pulp, paper and allied industries in Wisconsin will continue to be key economic factors in the states economic well-being for many years into the future.
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