Tuesday, March 31, 2026
The U.S. Endowment for Forestry and Communities has unveiled a $5 million funding initiative aimed at linking underutilized wood fiber with new buyers, reinforcing regional supply chains, and supporting the economic viability of working forests. Over five years, the program will invest up to $1 million annually in organizations that create sustainable market solutions, helping maintain productive forests and resilient rural economies, particularly in areas experiencing reduced processing capacity and changing market dynamics.
An additional $500,000 in funding is available for projects in Maine, New Hampshire, New York, and Vermont through a partnership with the Northern Border Regional Commission’s (NBRC) Forest Economy Initiative. “Supporting a thriving forest economy in Northern New England and New York is a core priority for the Commission,” said Chris Saunders, Federal Co-Chair of NBRC. “This innovative collaboration with the Endowment will combine our expertise and resources to benefit rural communities and their residents.”
“Strong wood markets are essential to the long-term health of working forests and the communities that rely on them,” said Matt Krumenauer, vice president, markets of the U.S. Endowment for Forestry and Communities. “This funding is designed to help communities rebuild capacity, strengthen supply chains and bring new buyers to the table.” Matt added further.
When local wood markets weaken, the effects ripple throughout communities, impacting landowners, loggers, transport businesses, and manufacturers. Without stable markets, maintaining actively managed and economically sustainable forests becomes increasingly challenging.
What the funding will support:
The Endowment expects to select three to five organizations by June 2026 for five-year agreements focused on practical market-building work, including:
Identifying and securing new buyers for wood fiber that currently has limited market options.
Strengthening regional supply chains so wood can move efficiently from forest to end use.
Supporting near-term, on-the-ground development that can scale and attract additional investment.
Priority will be given to proposals that show immediate readiness for implementation, clear growth potential, strong alignment with regional priorities, and the capacity to attract and utilize additional resources over time.
Who are eligible to apply?
Eligible applicants include U.S.-based private organizations, nonprofits, or institutions of higher education with proven experience and a strong track record in wood products manufacturing, biomass utilization, business development, economic development, or related areas.
Proposals are due by May 22, 2026, at 5 p.m. EST. Selected applicants will be notified by June 12, 2026.
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