Facts About Maine's Pulp and Paper Industry

Maine's paper industry has for decades been a major economic engine in rural Maine. Maine is the 2nd leading papermaking State by volume, producing more paper than any state other than Wisconsin.

Maine’s paper production has consistently increased since 1990, and in recent years Maine has produced more paper than ever before. This is shown on the graph on the following page.

Approximately 7,400 people in Maine are directly employed in pulp and paper manufacturing as of December 2010. Their average annual salary is approximately $64,000, and comes with excellent benefits. This salary is nearly twice the average Maine per capita income. Direct statewide payroll in paper manufacturing in Maine in 2010 was reported by the Maine Department of Labor to be over $470 million.

For each paper-manufacturing job in Maine 3.28 direct jobs are created for suppliers and contractors to the mills according to PriceWaterhouse Coopers. The paper industry indirectly supports tens of thousands of other jobs in the logging, transportation, retail and other fields—an estimated 5 to 7 jobs are created for every job directly in a paper mill.

The paper industry produces more than 4% of the Maine’s gross domestic product. The contribution of the industry is disproportionately high in the rural portions of the state.

Maine paper mills pay a significant portion of the local property tax. Most mills pay 60 to 80% of the municipal property tax in their town.