The Economic Importance of Food and Fiber A Spotlight S tli ht on Putnam P t County, C t Georgia G i Prepared p for Putnam County Cooperative Extension January, y, 2011 by: The Center for Agribusiness and Economic Development College C ll off Agricultural A i lt l and Environmental Sciences The University of Georgia Total Population Putnam County 24,855 , 23,023 20,495 18 812 18,812 2020 OPB Proj. 2015 OPB Proj. 2009 Estimate 2000 14,137 1990 10,295 1980 8,394 7,798 7,731 1970 1960 1950 8,514 8 367 8,367 1940 1930 0 5,000 10,000 15,000 20,000 25,000 Primary data sources: U.S. Census Bureau, decennial censuses & estimate; GA Office of Planning & Budget projections. Population Change: 2000-2009 LOSS 0 – 9.1% 9 1 – 20.1% 9.1 20 1% 20.1 – 40.0% 40.0 – 77.4% Avg. GA County = 12.0% GA = 20.1% US = 9.1% Primary data source: U.S. Census Bureau (3/10) Population Change: 1930-2009 40 Perc centage Ch hange 30 20 10 0 -10 -20 1930-40 1930 40 1940-50 1940 50 1950-60 1950 60 U.S. Primary data source: U.S. Census Bureau 1960-70 1960 70 1970-80 1970 80 Georgia 1980-90 1980 90 1990-00 1990 00 2000-09 2000 09 Putnam Co. % of Land in Cropland & Timberland 14 - 64% 64 - 75% 75 - 83% 83 - 92% 92 - 99% Putnam Co. = 73% GA Avg. Co. = 76% GA Total = 78% GA Metro = 68% GA Nonmetro = 83% Primary data sources: U.S. Census of Agriculture, 2007 USDA Forest Service, 2007 Graphic by Center for Agribusiness & Economic Development, UGA Components of 2009 Property Tax Gross Digest Putnam County Ag-PreferentialEnviron-Conserv 8.7% Commercial 7.7% Industrial 2.4% Residential 69.4% Heavy Equipment 0.01% Primary data source: GA Dept. of Revenue Public P bli Utilit Utility 7.6% Motor Vehicle 3.8% Mobile Home 0.3% Timber * 0.1% 40% Assessment Value of Property Gross Digest = $1,781,271,534 Homestead & Property Exemptions = $246,123,679 N t M&O Di Net Digestt = $1 $1,535,147,855 535 147 855 Value of exempt property = $52,283,841 * Timber taxed at 100% based on previous year sales County Property Tax Digest Comparisons: 2009 County % Resi- % Agri- % Comdential cultural mercial % Industrial % Mo% % % UtilMotor bile Timity Veh Home ber PUTNAM 69.3 8.7 7.7 2.4 7.6 3.8 0.3 0.1 BALDWIN 55 0 55.0 85 8.5 16 6 16.6 53 5.3 56 5.6 78 7.8 11 1.1 01 0.1 GREENE 69.8 15.2 8.1 2.2 1.4 2.7 0.2 0.3 JASPER 39.7 44.4 3.0 3.0 3.8 5.4 0.4 0.4 JONES 54 3 54.3 18 9 18.9 90 9.0 22 2.2 55 5.5 92 9.2 06 0.6 01 0.1 MORGAN 33.4 45.5 10.6 4.3 1.6 4.1 0.3 0.2 Avg. GA Co. 42.2 24.7 12.9 6.7 4.8 7.2 0.9 0.7 Primary data source: GA Dept. of Revenue (preliminary avg. co. 12/20/10—Hart and Marion counties’ digests not verified) Agriculture g in Georgia g ¾ Georgia's Georgia s 2009 Farm Gate Value was $11.3 billion. Adding the $2.3 billion of landscape p services increased the total agricultural production value to $13.6 billion. ¾ Total food and fiber production and di directly tl related l t d businesses b i accountt for f a $68.8 billion output impact on Georgia's Georgia s $727.3 $727 3 billion economy. economy Production Agriculture: 2009 Georgia Total Agricultural Production Value $13.6 Billion Fruits & Nuts Forestry & 2.7% Products 3.7% Landscape S i Services 17.0% Poultry P l & Eggs 38.2% Other Income 4.0% Ornamental Horticulture 5.1% Vegetables 6.7% Livestock & Aquaculture 8.6% Row & Forage Crops 13.9% $0 - $20 $20 - $45 $45 - $80 $80 - $200 $200 - $443 2009 Farm Gate Value by County in Millions of Dollars Food and Fiber Production and Directly Related Manufacturing g as % of Total Economic Output p 0 - 10% 11 - 20% 21 - 30% 31 - 50% 51 – 77% What We Know about b t Putnam P t County C t ¾ 2009 Farm Gate Value in Putnam Co. was $ $82.2 million. Adding g$ $3.9 million of landscape services increased the total agricultural production value to $86.1 million. ¾ The highest value commodity group was poultry-eggs, representing 32.8% of the total agricultural production value. Putnam County 2009 Agricultural i l l Production d i Value l 2009 Agricultural Production Orn Hort Landscape Fruits-Nuts 0 8% 0.8% 0 1% Other services 0.1% 4.5% Vegetables 7.1% 0.5% Silage 3.1% Forestry 6.1% 6 % LivestockAquaculture 26.2% Row-Forage crops 5.0% 2009 Top Farm Gate Commodities PoultryEggs 49.8% Hunting Leases 3.1% Ag-Tourism 3.2% H Horses 3.3% Beef 4.7% Timber 6.3% Sweet Corn Hay 0.5% Rest of 2.1% commodities 2.5% Dairy 19.0% Total AG Value = $86.1 million Layers 52.1% Trends in Putnam County: Number of Farms & Average Farm Size Number of Farms, Putnam County 400 Putnam Co. Georgia 300 A c re s 215 212 176 200 100 Source: 1945-2007 (quinquennial) Censuses of Agriculture 07 02 20 20 97 92 19 19 87 82 19 78 19 19 74 69 19 19 64 59 19 19 54 49 19 1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997 2002 2007 19 45 0 19 1000 900 800 700 600 500 400 300 200 100 0 Average g Farm Size Trends in Putnam County: L d in Land i Farms, F Harvested H t dC Cropland l d & Farms by Size Land in farms 160 140 120 100 80 60 40 20 0 Percent of Farms byy Size,, 2007 40 Putnam Co. Harvested cropland Georgia 30 20 37 7 37.7 07 02 20 97 20 19 92 87 19 82 19 78 19 74 19 69 19 64 19 59 19 19 54 19 19 19 50 8.6 45 Acres X 1,0000 A Land in Farms & Harvested Cropland Putnam County 10 0 11-99 acres Source: 1945-2007 (quinquennial) Censuses of Agriculture 10-49 10 49 acres 50-179 50 179 acres 180-499 180 499 500-999 500 999 acres acres 1000+ acres How Do We Compare ? Georgia, Putnam and Surrounding Counties Farm Gate Value $ Per Farm (thousands) $ Per Acre $2,500 $2,000 $1,500 $2,178 $1,305 $1,000 $885 $1,109 $436 $500 $0 $395 $235 ia g r o Ge $382 in m a w tn ld a Pu B $77 $292 ne e e Gr $150 er p Jas Sources: 2007 Census of Agriculture and 2009 Farm Gate Value Report es n Jo $62 What We Did C County t Economy E Modeled M d l d ¾ The Center for Agribusiness and Economic Development performed an analysis of the county’s economy, focusing on the role of food and fiber. ¾ How much of the county county’s s total current economic output comes from food and fiber production and directly related processing? (A Snapshot of the Economy) ¾ What is the total (direct and indirect) Impact of food and fiber production and directly related industries? Putnam County Economy Agriculture OUTPUT Output in $ Agriculture Percent 86,074,281 7.9% Construction 109,402,970 , , 10.0% % Manufacturing 238,660,738 21.8% Trans-Utilities-Info 232 405 645 232,405,645 21 2% 21.2% Trade 94,964,665 8.7% Finance Ins RE Finance-Ins-RE 123 905 994 123,905,994 11 3% 11.3% Services 107,237,470 9.8% G Govt. & non-NAICS NAICS 102 81 381 102,781,381 9 4% 9.4% Total County Economic Output = $1.1 billion Putnam County Economy Agriculture g + Directly y Related Businesses OUTPUT Output in $ Agriculture + Direct Percent 226,939,007 20.7% Construction 109,402,970 , , 10.0% Manufacturing 97,796,013 8.9% Trans-Utilities-Info Trans Utilities Info 232 405 645 232,405,645 21 2% 21.2% Trade 94,964,665 8.7% Finance Ins Real Est Finance-Ins-Real 123 905 994 123,905,994 11 3% 11.3% Services 107,237,470 9.8% G t & non-NAICS Govt. NAICS 102 781 381 102,781,381 9 4% 9.4% Total County Economic Output = $1.1 billion Putnam County Employment Total Jobs = 9,471 Construction 1 141 1,141 12.0% AG + Directly Related 954 10.1% Manufacturing 517 5.5% Trans-Utilitieso Info 662 7.0% Trade 1,891 20.0% State & Federal Government 993 10.5% Public Education 916 9.7% Finance-InsFinance Ins Real Est 353 3.7% Other Services 1 460 1,460 15.4% Professional Services 584 6.2% Primary data source: Center for Agribusiness & Economic Development, UGA An Economic Snapshot off P Putnam t C County t ¾ How much of Putnam County’s County s total economic output comes from food and fiber production? p ¾ AG value alone of $86.1 million consisting of Farm Gate Value and landscape services comprises 7.9% of the county’s co nt ’s economy. econom ¾ AG plus directly related businesses (ex. (ex , pesticide/ag chemical mfg., sawmills, etc.) comprise 20.7% of the county county’s s economy. What is the Impact? p ¾What is the total (direct and indirect) impact of food and fiber production and directly related industries? ¾This 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 d i and d processing i in i the h county. What Impact Means: A Brief Explanation ¾ The impact numbers capture the ripple effects that food and fiber create in the county’s county s economy economy. Many other sectors rely in part on the existence of food and fiber for sales. sales Labor Seed Utilities Putnam County Agriculture IMPACT Direct $ Agriculture Indirect $ 86,074,281 86 074 281 0 Construction 0 580,300 Manufacturing 0 17,423,006 Trans-Utilities-Info 0 5,872,705 Trade 0 3,586,225 Finance-Ins-Real Est 0 7,961,614 Services 0 5,494,855 Government 0 768,774 , Total 86,074,281 41,687,479 Total Impact p of Production AG = $127.8 $ million 11.7% of total economy Putnam County Production Agriculture + Directly Related Businesses IMPACT A i lt Agriculture + Direct Di t Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-Real Est Services Govt. & non non-NAICS NAICS Total Direct $ Indirect $ 226,939,007 226 939 007 0 0 0 0 0 0 0 226,939,007 0 1,388,074 17,497,051 12,031,592 7,316,158 12,262,859 , , 14,822,693 1,424,729 66,743,154 Total Impact of AG + Directly Related = $293.7 million 26.8% of total economy Putnam County Production Agriculture + Directly Related Industries Employment IMPACT Direct Agriculture + Direct Indirect 954 0 Construction 0 17 Manufacturing 0 17 Trans Utilities Info Trans-Utilities-Info 0 57 Trade 0 108 Fi Finance-Ins-Real I R l Est E t 0 41 Services 0 216 Govt. & non-NAICS 0 6 Total Impact of AG + Directly Related Employment = 1,416 Jobs 15% off total t t l employment l t What These Numbers Mean: A Brief Explanation ¾ Direct impact is $226.9 $226 9 million million. This includes food and fiber production, processing and directly related manufacturing. ¾ Indirect impact from the Trade sector is $7.3 million. This captures $ p 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) ¾ As local stores increase their output, they may demand more stock from local wholesalers h l l (also ( l in i the th Trade T d sector). t ) Local wholesalers demand more from local manufacturers, manufacturers thus increasing activity in the Manufacturing sector. ¾ Local stores also hire employees to assist farmers. They y take home wages g and buy y groceries at the local store which increases demand there. Putnam County Food and Fiber Impact Conclusions ¾ Th The totall impact i off ffood d and d fib fiber production, processing and directlyrelated l d manufacturing f i is i $293.7 $293 7 million. ¾ The total county output is $1.1 billion. billi ¾ Thus, h ffood d and d fib fiber (directly (di l and d indirectly) account for 26.8% of the totall county output. Contact Information Prepared by: Sue Boatright and Sharon Kane Center for Agribusiness & Economic Development “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 “Georgia Statistics System” Special County Area Report #1101A January, 2011