The Economic Importance of Food and Fiber A Spotlight on Elbert County, Georgia Prepared for Elbert County Cooperative Extension January 2013 by: The Center for Agribusiness and Economic Development College of Agricultural and Environmental Sciences The University of Georgia Trends in Elbert County: Number of Farms Number of Farms, Elbert County 600 500 400 300 200 100 0 1978 1982 1987 1992 Source: 1978-2007 (quinquennial) Censuses of Agriculture 1997 2002 2007 Trends in Elbert County: Land in Farms, Harvested Cropland & Farms by Size Land in Farms & Harvested Cropland Elbert County Percent of Farms by Size, 2007 Elbert Co. 50 70000 Land in farms Georgia Harvested cropland 40 60000 50000 30 40000 20 30000 20000 10 10000 0 0 1992 1997 2002 2007 1-9 acres Source: 1992-2007 (quinquennial) Censuses of Agriculture 10-49 acres 50-179 acres 180-499 acres 500-999 acres 1000+ acres Food and Fiber Production Plus Directly Related Sectors as % of Total Economic Output Catoosa Dade Towns Fannin 0 - 10% 10 - 20% 20 - 30% 30 - 45% 45 - 58% Rabun Union Murray Whitfield Walker Gilmer White b Ha Lumpkin Gordon Chattooga er sh am Stephens Pickens Dawson Cherokee Bartow Franklin Banks Hall Floyd Jackson Polk Barrow Gwinnett Cobb Paulding Madison Oglethorpe Ro ck da le Fulton Lincoln Wilkes Walton DeKalb Douglas Elbert Clarke Oconee Haralson Hart Forsyth Clayton Carroll Morgan Newton Taliaferro Columbia McDuffie Fayette Warren Coweta Heard Pike Hancock Lamar Meriwether Richmond Putnam Jasper Butts Spalding Troup Greene Henry Glascock Baldwin Burke Jefferson Jones Monroe Washington Upson Bibb Wilkinson Jenkins Crawford Talbot Twiggs Emanuel Peach Taylor ch ee Muscogee Bulloch Effingham ery oo Candler Treutlen Macon Ch at ta h Laurens Bleckley Houston Marion Screven Johnson Pulaski Schley Dodge Dooly Wheeler Stewart Webster Sumter Montgom Harris Evans Toombs Bryan Tattnall Chatham Wilcox Telfair Crisp Quitman Liberty Randolph Terrell Lee Jeff Davis Ben Hill Long Appling Turner Irwin Clay Dougherty Calhoun Worth Coffee Wayne Bacon McIntosh Tift Early Pierce Baker Berrien Mitchell Miller Atkinson Brantley Colquitt Cook Glynn Ware Lanier Seminole Decatur Grady Clinch Thomas Brooks Lowndes Echols Updated 1/16/13 Camden Charlton Agriculture in Georgia Georgia's 2011 Farm Gate Value was $13.0 billion. Adding the value of $2.1 billion of landscape services increased the total agricultural production value to $15.1 billion. Total food and fiber production and directly related businesses account for a $71.1 billion output impact on Georgia's $763.6 billion economy. What We Know about Elbert County 2011 Farm Gate Value in Elbert Co. was $117 million. Adding $479.8 million of landscape services increased the total agricultural production value to $117.5 million. The highest value commodity group was Poultry and Eggs, representing 86.4% of the total agricultural production value. Elbert County 2011 Agricultural Production Value Other 1.2% Row-Forage Crops Fruits-Nuts 0.0% 3.0% Vegetables Ornamental 0.3% Horticulture 2.1% Forestry 1.3% Livestock 5.5% Poultry-Egg 86.4% What We Did County Economy Modeled The Center for Agribusiness and Economic Development performed an analysis of the county’s economy, focusing on the role of food and fiber. How much of the county’s total current economic output comes from food and fiber production and directly related processing? (A Snapshot of the Economy) What is the total (direct and indirect) Impact of food and fiber production and directly related industries? Elbert County Economy Agriculture OUTPUT Output in $ Agriculture Percent 117,464,475 9.75% Mining 68,005,844 5.64% Construction 39,531,016 3.28% Manufacturing 417,060,550 34.61% 28,557,177 2.37% Trade 126,708,659 10.51% Finance-Ins-RE 194,092,546 16.11% Services 114,576,926 9.51% Trans-Utilities-Info Govt. & non-NAICS 99,034,546 Total County Economic Output = $1,205.0 million 8.22% Elbert County Economy Agriculture + Directly Related Businesses OUTPUT Output in $ Agriculture + Direct Percent 310,352,733 25.75% Mining 68,005,844 5.64% Construction 39,531,016 3.28% Manufacturing 224,172,291 18.60% 28,557,177 2.37% Trade 126,708,659 10.51% Finance-Ins-Real Est 194,092,546 16.11% Services 114,576,926 9.51% Trans-Utilities-Info Govt. & non-NAICS 99,034,546 Total County Economic Output = $ 1,205.0 million 8.22% Elbert County Employment Total Jobs = 8,767 Mining 239 2.7% Construction 526 6.0% AG + Directly Related 1,087 12.4% Manufacturing Trans-Utilities1,257 Info 14.3% 215 2.5% Trade 1,318 15.0% State & Federal Government 866 9.9% Finance-Ins- Real Est 665 7.6% Public Education 612 7.0% Other Services 1,124 12.8% Professional Services 858 9.8% Primary data source: Center for Agribusiness & Economic Development, UGA An Economic Snapshot of Elbert County How much of Elbert County’s total economic output comes from food and fiber production? AG value alone of $117.5 million consisting of Farm Gate Value and landscape services comprises 9.75% of the county’s economy. AG plus directly related businesses (ex. Ag Support Services, Processing, etc.) comprise 25.75% of the county’s economy. What is the Impact? What is the total (direct and indirect) impact of food and fiber production and directly related industries? This scenario illustrates how other industries are affected by the presence of food and fiber in the county. The indirect impacts measure output created due to food and fiber production and processing in the county. What Impact Means: A Brief Explanation The impact numbers capture the ripple effects that food and fiber create in the county’s economy. Many other sectors rely in part on the existence of food and fiber for sales. Labor Seed Utilities Elbert County Agriculture IMPACT Direct $ Agriculture Indirect $ 117,464,475 0 Mining 0 97,339 Construction 0 603,682 Manufacturing 0 40,259 Trans-Utilities-Info 0 2,645,526 Trade 0 3,849,942 Finance-Ins-Real Est 0 6,073,060 Services 0 2,941,371 Govt. & non-NAICS 0 520,215 Total 117,464,475 16,771,395 Total Impact of Production AG = $134.2 million 11.1% of total economy Elbert County Production Agriculture + Directly Related Businesses IMPACT Direct $ Agriculture + Direct Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-Real Est Services Govt. & non-NAICS Total Indirect $ 310,352,733 0 0 0 0 0 0 0 0 310,352,733 Total Impact of AG + Directly Related = $357.5 million 29.7% of total economy 0 145,210 1,549,797 104,839 8,620,524 9,527,778 15,408,041 9,903,309 1,862,496 47,121,993 Elbert County Production Agriculture + Directly Related Industries Employment IMPACT Direct Agriculture + Direct Indirect 1,087 0 Mining 0 1 Construction 0 25 Manufacturing 0 1 Trans-Utilities-Info 0 72 Trade 0 91 Finance-Ins-Real Est 0 56 Services 0 174 Govt. & non-NAICS 0 13 Total Impact of AG + Directly Related Employment = 1,520 Jobs 17.3% of total employment What These Numbers Mean: A Brief Explanation Direct impact is $310.4 million. This includes food and fiber production, processing and directly related manufacturing. Indirect impact from related sectors is $47.1 million. This captures the effects of farmers (direct source) buying supplies (seed, fertilizer, work boots) from local stores. These stores must increase their output to meet farmer demand. What These Numbers Mean: A Brief Explanation (continued) As local stores increase their output, they may demand more stock from local wholesalers (also in the Trade sector). Local wholesalers demand more from local manufacturers, thus increasing activity in the Manufacturing sector. Local stores also hire employees to assist farmers. They take home wages and buy groceries at the local store which increases demand there. Elbert County Food and Fiber Impact Conclusions The total impact of food and fiber production, processing and direct manufacturing is $357.5 million. The total county output is $1,205 million. Thus, food and fiber (directly and indirectly) account for 29.7% of the total county output, considering the multiplier effects. Contact Information Prepared by: Sharon P. Kane and Karen Stubbs Center for Agribusiness & Economic Development Dr. Kent Wolfe, Director “Adding Value to Georgia's Agricultural Economy Through Research and Extension“ To learn more about your county, go to: http://www.caed.uga.edu/ ...click on “Resources”, then “Georgia Statistics System” Ag Profile Report #13-04A