Alabama lumber company makes $18 million investment into Coosa County mill
An Alabama lumber company is making a large investment into one of its oldest and biggest mills in the Yellowhammer state.
Central Alabama Wood Products announced last week that it is investing $18 million into an expansion of a Coosa County sawmill in the town of Nixburg, according to the Alexander City Outlook.
The investment comes amid the need for a high-tech sawmill operation that will replace one of its current mills at the company’s Nixburg site producing hardwood crossties.
The owners of the company, Larry Jones and Pat McGinn, reflected on the history and expansion of the company over time.
“Hard to believe about 17 years ago, Pat’s dad and I made a $2 million investment,” Jones told Alexander City Outlook. “I thought that was a lot of money at the time. Never would I have guessed 15 years later would be spending nearly $18 million.”
The new expansion will double production capacity, according to Jones.
While the expansion will not create any new jobs, it will increase the pay of some jobs onsite and create different ones offsite.
“In the sawmill business today, technology and optimization come into play and that is where the majority of our investment will be,” Jones said. “Sometimes you will have a reduced number of jobs, but they will be higher-paying jobs.”
Jones explained the indirect jobs will stem from feeding the capacity of the new sawmill and said he expects 40-50 jobs to be created within trucking, logging, and timber companies.
“Railroads have been doing well because of the shortage of truck drivers,” he said. “They are continuing to reinvest in their systems.
Wetumpka has served as Central Alabama Wood Products’ corporate headquarters for 25 years and has other locations in the state.
“We own three sawmills in the state,” Jones stated. “This is our largest and oldest and this is where we are putting our largest investment.”
Local officials praised the company for the remarkable investment.
“It is a good day in Coosa County and it’s a good day in Alabama,” Lake Martin Area Industrial Development Authority (LMAEDA) Executive Director Don McClellan said. “Someone makes this kind of investment, it’s good for the entire state.”
Kyle Morris also contributes daily to Breitbart News. You can follow him on Twitter @RealKyleMorris.