Incheon Port has many advantages for import of log and timber for furniture. More than 50% of lumber which was imported is through Incheon Port. However, most companies move and set up their business by taking lease of workshop. Because of expensive cost of transportation, it is suggested to construct a lumber Industrial district in the North Port in Incheon. By researching the national plans about the North Port and Incheon Ports, an adequate acquaintance of lumber industry in Incheon has been realized. ills study conducted the economic effect analysis for lumber industry clustering and the necessity of cluster composition is derived. Then effectiveness analysis for lumber industry cluster composition is sequentially operated.