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Early on, Lincoln (formerly called Mattanawcook) was a saw milling town. During the winter of 1825-6 alone, over five million feet of pine logs went down the Mattanawcook Stream through the town and to the saw mills.

The Lincoln Pulp and Paper Company was established in 1882. After being repeatedly sold and re-named in the intervening years, the mill was purchased in 2004 from the bankrupt Eastern Pulp & Paper Company by Keith Van Scotter and the First Paper Holding Company for $23.7 million and is now known as Lincoln Paper and Tissue.

The plant has been busy modernizing and securing its specialized product niche ever since. It is currently one of only two integrated producers of deep-dyed tissue in the world, which is used by party goods, airline and food service companies to create colorful napkins, towels, table covers and other specialty tissue products. Lincoln Paper and Tissue also produces the heavier stock paper that is used for magazine reply card inserts.

Today, the mill employs approximately 350 people.

In September 2004, Lincoln Paper and Tissue received the "Economic Development Project of the Year" award from the Northeastern Economic Development Association (NEDA), an organization of economic developers in eleven states with headquarters in Boston.