The Economic Importance of Food and Fiber Prepared for:

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The Economic Importance
of Food and Fiber
A Spotlight on Pierce County, Georgia
Prepared for:
Pierce County Cooperative Extension
April, 2007
by:
The Center for Agribusiness
and Economic Development
College of Agricultural and Environmental Sciences
The University of Georgia
Total Population
Pierce County
18,480
17,452
2010 Trend CAED
2006 Est.
15,636
2000
13,328
11,897
1990
1980
9,281
1970
9,678
11,112
1960
1950
11,800
1940
12,522
1930
0
5,000
10,000
15,000
Primary data sources: U.S. Census Bureau, decennial censuses & estimate; CAED (Center for
Agribusiness & Economic Development).
20,000
Population Change: 2000-2006
LOSS
0 – 6.4%
6.4 – 14.4%
14.4 – 34%
34 – 53.4%
Avg. GA
County = 9.1%
GA = 14.4%
US = 6.4%
Pierce Co.
11.7%
Primary data source: U.S. Census Bureau
Percent of Land in Cropland & Forestland:
2002
23 – 40%
40 – 55%
55 – 70%
70 – 85%
85% or more
GA Total = 78.5%
GA Avg. Co. = 77.3%
Metro Avg. Co. = 70.7%
Nonmetro Avg. Co. = 82.6%
Pierce Co.
80.1%
Primary data sources:
U.S. Census of Agriculture, 2002
Forest Statistics for Georgia, 1997
Components of 2005 Property Tax Gross Digest
Pierce County
Residential
43.3%
Ag-PreferentialEnviron-Conserv
21.6%
Timber *
1.6%
Commercial
10.5%
Mobile Home
3.0%
Motor Vehicle
11.3%
Public Utility
4.1%
Industrial
4.6% 40% Assessment Value of Property
Gross Digest = $354,504,681
STATE Homestead & Property Exemptions = $30,094,077
Net M&O Digest = $324,410,604
Primary data source:
GA Dept. of Revenue
Value of exempt property = $14,741,212
* Timber taxed at 100% based on previous year sales
County Property Tax Digest Comparisons: 2005
% ResiDential
% Agri- % Com- % In- % Motor
%
cultural mercial dustrial Vehicle Other
Pierce
43.2
21.6 10.5
4.6
11.3
8.7
Appling
17.4
10.5
8.1
2.9
6.6
54.4
Bacon
30.3
24.4 13.7
9.6
12.1
9.9
Brantley
37.7
17.8 12.9
0.0
14.4 17.1
Ware
43.0
7.0
3.8
10.6 12.3
Wayne
29.9
14.3 12.9 27.8
8.7
6.3
Avg. GA Co.
41.5
21.7 13.3
8.4
7.8
County
Primary data source: GA Dept. of Revenue
23.3
7.9
Revenue : Expenditure Ratios
$ of Revenue for Each $ of Expenditure
$1.92
$2.86
Farm/Forest
$1.01
$1.18
$2.70
$3.19
$1.17
Commercial
$1.93
$1.25
$3.45
Residential
$0.00
Cherokee
Jones
Carroll
Oconee
US Avg
$0.64
$0.87
$0.83
$0.90
$0.87
$1.00
$2.00
$3.00
Dorfman, Jeffery, The Economics of Growth, Sprawl and Land Use Decisions (presentation), Dept. of Ag &
Applied Economics, UGA, January 2004.
$4.00
Agriculture in Georgia
¾ Georgia's 2005 Farm Gate Value was
$10.6 billion. Adding the value of
landscape services increased the total
agricultural production value to $12.3
billion.
¾ Total food and fiber production and
directly related businesses account for
a $52.7 billion output impact on
Georgia's $614 billion economy.
Production Agriculture: 2005
Georgia Total
Agricultural
Production Value
$12.3 Billion
Poultry &
Eggs
36.7%
Landscape
services
14.0%
Other Income
5.4%
Fruits & Nuts
2.2%
Forestry &
Products
5.7%
Ornamental
Horticulture
7.3%
Vegetables
5.2%
Livestock &
Aquaculture
10.6%
Row &
Forage Crops
13.0%
$0 - $20
$20 - $45
$45 - $80
$80 - $200
$200 - $317
2005 Farm Gate
Value by County
in Millions of Dollars
What We Know
about Pierce County
¾ 2005 Farm Gate Value in Pierce Co.
was $54.5 million. Adding $582
thousand of landscape services
increased the total agricultural
production value to $55 million.
¾ The highest value commodity group
was row & forage crops,
representing 40.3% of the total
agricultural production value.
Pierce County
2005 Agricultural Production Value
2005 Agricultural Production
Other
12.5%
Landscape
services
1.1%
Fruits-Nuts
15.0%
Poultry-Eggs
4.9%
Row-Forage
crops
40.3%
Orn Hort
1.3%
Vegetables
6.0%
2005 Top Farm Gate Commodities
Forestry
8.6%
LivestockAquaculture
10.3%
Peanuts
13.4%
Rest of
commodities
32.2%
Pecans
3.0%
Cucumbers
3.6%
Tobacco
3.7%
Total AG Value = $55 million
Cotton
10.0%
Dairy
7.9%
Corn
3.9%
Hay Blueberries
6.9%
7.6%
Timber
7.8%
Trends in Pierce County:
Number of Farms & Average Farm Size
Number of Farms, Pierce County
Average Farm Size
300
1600
1400
1200
A cres
200
1000
800
600
227
218
Pierce Co.
Georgia
100
434
400
200
Source: 1945-2002 (quinquennial) Censuses of Agriculture
R
02
20
97
92
19
19
87
19
82
19
78
19
74
19
69
19
64
19
59
19
54
19
19
1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997R 2002
19
45
0
49
0
Trends in Pierce County:
Land in Farms & Farms by Size
A c re s X 1 ,0 0 0
Land in Farms
Pierce County
Percent of Farms by Size, 2002
40
180
160
140
120
100
80
60
40
20
0
Pierce Co.
Georgia
30
98.5
20
10
9
19 2
97
R
20
02
19
87
19
82
19
78
74
19
69
19
64
19
19
59
19
54
19
50
19
19
45
0
1-9 acres
Source: 1945-2002 (quinquennial) Censuses of Agriculture
10-49
acres
50-179
acres
180-499
acres
500-999
acres
1000+
acres
Trends in Pierce County
Number of Farms by Commodity
200
1987
1992
1997
2002
180
160
140
120
117
120
100
72
80
72
59
60
28
40
17
20
0
Beef Cows
Hogs and
Pigs
Inventory
Corn for
Grain or Seed
Cotton
Source: 1987-2002 (quinquennial) Censuses of Agriculture
Tobacco
Soybeans for
Beans
Hay
How Do We Compare ?
Georgia, Pierce and Surrounding Counties
Farm Gate Value
$ Per Farm (thousands)
$ Per Acre
$1,400
$1,200
$1,254
$1,000
$800
$874
$957
$600
$0
Ge
$782
$749
$553
$400
$200
$974
$209
ia
g
r
o
$126
e
c
r
Pie
$186
ng
i
l
p
Ap
$196
$151
$94
n
o
ey
l
c
t
a
n
B
Br a
$237
re
ne
a
y
W
Wa
Sources: 2002 Census of Agriculture and 2005 Farm Gate Value Report
What We Did
¾ The Center for Agribusiness
and Economic Development
performed an analysis of the
county’s economy, focusing
on the role of
food and fiber.
What We Asked
County Economy Modeled
¾ 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)
¾ What is the total (direct and indirect)
Impact of food and fiber production
and directly related industries?
Pierce County Economy
Agriculture OUTPUT
Output in $ Millions
Percent
Agriculture
55.061
10.4
Construction
52.607
9.9
Manufacturing
115.492
21.7
Trans-Utilities-Info
62.113
11.7
Trade
75.553
14.2
Finance-Ins-RE
31.022
5.8
Services
66.125
12.4
Govt & Other
73.544
13.8
Total County Economic Output = $531.5 million
Pierce County Economy
Agriculture + Directly Related Businesses OUTPUT
Agriculture + Direct
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Output in $ Millions
Percent
127.194
52.607
43.358
62.113
75.553
31.022
66.125
73.544
23.9
9.9
8. 2
11.7
14.2
5.8
12.4
13.8
Total County Economic Output = $531.5 million
An Economic Snapshot
of Pierce County
¾ How much of Pierce County’s total
economic output comes from food and
fiber production?
¾ AG value alone of $55 million consisting
of Farm Gate Value and landscape
services comprises 10.4% of the county’s
economy.
¾ AG plus directly related businesses (ex.
logging, sawmills, animal slaughtering,
etc.) comprise 23.9% of the county’s
economy.
Food and Fiber Production and Directly
Related Manufacturing as % of Total Output
0 - 10%
10 - 20%
20 - 30%
30 - 50%
50 – 77%
Pierce Co.
23.9%
What is the Impact?
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 and processing in the
county.
What Impact Means:
A Brief Explanation
¾ 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
Pierce County
Agriculture IMPACT
Direct $ Millions
Indirect $ Millions
55.061
0
Construction
0
.167
Manufacturing
0
.187
Agriculture
0
1.237
Trans-Utilities-Info
0
3.484
Trade
0
1.395
Finance-Ins-RE
0
2.847
Services
0
2.479
Government
55.061
11.797
Total
Total Impact of Production AG = $66.9 million–12.6% of total economy
Pierce County
Production Agriculture + Directly Related Businesses IMPACT
Agriculture + Direct
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total
Direct $ Millions
Indirect $ Millions
87.971
0
39.223
0
0
0
0
0
127.194
0
.281
3.011
3.478
8.232
2.861
6.155
4.323
28.341
Total Impact of AG+Directly Related=$155.5 million—29.3% of Total Economy
Pierce County
Production Agriculture + Directly Related Industries
Employment IMPACT
Direct
Indirect
928
0
Construction
0
3
Manufacturing
0
13
Trans-Utilities-Info
0
31
Trade
0
103
Finance-Ins-RE
0
21
Services
0
125
Government
0
4
Agriculture + Direct
Total Impact of AG + Directly Related Employment = 1,227 Jobs
What These Numbers Mean:
A Brief Explanation
¾ Direct impact is $127.2 million. This
includes food and fiber production,
processing and directly related
manufacturing.
¾ Indirect impact from the Trade sector is
$8.2 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)
¾ 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.
¾ Local stores also hire employees to assist
farmers. They take home wages and buy
groceries at the local store which
increases demand there.
Pierce County Food and Fiber
Impact Conclusions
¾ The total impact of food and fiber
production, processing and direct
manufacturing is $155.5 million.
¾ The total output is $531.5 million.
¾ Thus, food and fiber (directly and
indirectly) account for 29.3% of the
total output.
Food and Fiber Production and Directly Related
Manufacturing IMPACT as % of Total Output
0 - 10%
10 - 25%
25 - 40%
40 - 60%
60 - 84%
Pierce Co.
29.3%
Contact Information
Prepared by:
Sue Boatright and Archie Flanders
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
#0711A
April, 2007
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