| According to the US Forest Service, one third of | | | | finishing of the products. |
| US land -- about 302 million hectares -- is | | | | The primary sub-sectors in the wood industry are |
| forestland, and one fifth -- about 200 million | | | | sawmills, and the plywood, box and pallets and |
| hectares -- is timberland. Forestland is the | | | | coffin and casket industries. Of these, boxes and |
| number-one type of land use in the US. Both | | | | pallets cater are used for packaging purposes. |
| forestland and timberland contribute to the | | | | Pallets and crates are used to package products |
| industrial manufacturing of wood products. | | | | such as agricultural produce and bottling products. |
| Traditionally, wood has been put to extensive use | | | | Agricultural produce includes bananas, and bottling |
| for home-building products such as doors, | | | | includes wine. Contract manufacturing is employed |
| windows and furniture. Besides this, commercial | | | | by industries that need packaging solutions. The |
| purposes include manufacturing items such as | | | | capabilities of third-party vendors are |
| boats, although synthetic-fiber-reinforced materials | | | | customization, assembly and fabrication. |
| have been gradually replacing wood. Industrially, | | | | Contracting out is desirable when the business |
| wood is required for packaging purposes such as | | | | doesn't have capabilities to assemble wood-based |
| pallets and crates. Wood is a hundred-billion-dollar | | | | products and requires a regular supply of pallets |
| industry with considerable export shipments. | | | | and crates. |
| The value chain of any wood-based product | | | | Similarly, operations in the furniture industry, such |
| starts with the planting of trees, cutting the trees | | | | as assembly and finishing, can be contracted out. |
| to required sizes and shapes, and finally, the | | | | Contracting manufacturing has become a |
| manufacture of finished products. According to | | | | necessary strategy for businesses, and the higher |
| the US Forest Service, there are 86,000 | | | | number of secondary manufacturers |
| businesses in the wood industry. The value | | | | demonstrates this. |
| addition happens in the aesthetic design and the | | | | |