The Economic Importance
of Food and Fiber
A Spotlight on Franklin County, Georgia
Prepared for:
Franklin County Cooperative Extension Service
November, 2005
Presented by:
John C. McKissick
The Center for Agribusiness and Economic Development
College of Agricultural and Environmental Sciences
The University of Georgia
Total Population
Franklin County
2010 Trend CAED
23,488
23,280
21,453
20,285
2010 Proj. OPB
2004 Est.
2000
16,650
15,185
12,784
13,274
14,446
1990
1980
1970
1960
1950
15,612
15,902
1940
1930
0
5,000
10,000
15,000
20,000
25,000
Primary data sources: U.S. Census Bureau, decennial censuses & estimate; CAED (Center for Agribusiness &
Economic Development); OPB (State Office of Planning & Budget).
Population Change: 2000-2004
LOSS
0 – 4.3%
4.3 – 7.8%
7.8 – 15.7%
15.7 – 34%
Franklin Co.
5.8%
GA = 7.8%
US = 4.3%
Primary data source: U.S. Census Bureau
Components of 2004 Property Tax Gross Digest
Franklin County
Residential
33.6%
Ag-PreferentialEnvironmental
36.2%
Timber *
0.05%
Mobile Home
2.0%
Motor Vehicle
7.7%
Public Utility
2.9%
Industrial
5.6%
Commercial
11.9%
40% Assessment Value
Gross Digest = $729,577,179
STATE Homestead & Property Exemptions = $140,692,301
Net M&O Digest = $588,884,878
Primary data source:
GA Dept. of Revenue
Value of Exempt Property = $39,271,820
* Timber taxed at 100% based on previous year sales
Percent of Land in Cropland & Forestland: 2002
23.1 – 68.7%
68.7 – 77.5%
77.5 – 83.4%
83.4 – 87.0%
87.0 – 98.0%
GA Total = 78.5%
GA Avg. Co. = 77.3%
Franklin Co.
76.3%
Primary data sources:
U.S. Census of Agriculture, 2002
Forest Statistics for Georgia, 1997
County Property Tax Digest Comparisons: 2004
County
FRANKLIN
BANKS
ELBERT
HABERSHAM
HART
JACKSON
MADISON
Avg. GA Co.
% ResiDential
33.6
35.4
34.9
41.7
54.1
41.7
46.8
40.8
Primary data source: GA Dept. of Revenue
% Agri- % Com- % In% Motor
cultural mercial dustrial Vehicle
36.2
31.2
25.9
23.7
18.1
17.1
26.4
20.8
11.9
14.4
15.8
11.7
6.2
8.5
6.5
13.2
5.6
5.4
8.1
6.2
11.5
20.0
0.8
7.8
7.7
9.1
9.5
10.0
6.4
8.4
10.6
9.0
%
Other
5.0
4.5
5.8
6.7
3.7
4.3
8.8
8.4
Expenditures per $1 in Revenue by Land Use
(including schools)
$2.50
$2.00
$1.50
$1.00
$0.50
$0.00
Appling
Cherokee
Dooly
Jones
Residential
2.26
1.6
2.07
1.24
Comm/Ind
0.17
0.12
0.5
0.65
Farm/Forest
0.36
0.2
0.27
0.35
Dorfman et al., Department of Ag & Applied Economics, January 2002.
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
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
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 2004 Farm Gate Value was
$10.3 billion. Adding $3.2 billion of
ag/landscape services and logging
raises the total value of agricultural
production in Georgia to $13.5 billion.
¾ Total food and fiber production and
directly related businesses account for
a $49.3 billion impact on Georgia's
$557 billion economy.
Production Agriculture: 2004
Georgia Total
Agricultural
Production Value
$13.5 Billion
Poultry &
Eggs
39.8%
Ag Services
& Logging
13.8%
Other Income
3.9%
Fruits & Nuts
1.9%
Forestry &
Products
5.1%
Ornamental
Horticulture
5.5%
Vegetables
6.1%
Livestock &
Aquaculture
10.9%
Row & Forage
Crops
12.9%
$0 - $20
$20 - $45
$45 - $80
$80 - $200
$200 - $325
2004 Farm Gate
Value by County
in Millions of Dollars
What We Know
about Franklin County
¾ 2004 Farm Gate Value in Franklin Co.
was $324.8 million. Adding
Ag/landscape services and logging
increased the total agricultural
production value to $325.8 million.
¾ The highest value commodity group
was poultry & eggs, representing
95% of the total agricultural
production value.
Franklin County
2004 Agricultural Production Value
2004 Agricultural Production
Forestry
Livestock0.1%
Aquaculture
3.3%
Row-Forage
crops
1.0%
Veges-FruitsNuts Orn Hort
Other Income
0.2%
0.1%
0.2%
Ag Services &
Logging
0.3%
Poultry-Eggs
94.8%
2004 Top Farm Gate Commodities
Timber All Other
0.1%
0.5%
Greenhouse
0.1%
Watermelon
0.1%
Straw
Hay
0.1%
0.7%
Breeder Pullet
Units
Horses
0.9%
1.3%
Beef
2.0%
Total AG Value = $325.8 million
Broilers
84.8%
Layers
9.5%
Trends in Franklin County:
Number of Farms & Average Farm Size
Number of Farms, Franklin County
Average Farm Size
300
2500
Franklin Co.
Georgia
2000
Acres
200
1500
100
1000
500
Source: 1945-2002 (quinquennial) Censuses of Agriculture
R
02
20
97
92
19
19
87
19
78
82
19
19
69
74
19
19
59
64
19
19
54
19
19
1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997R 2002
19
45
0
49
0
Trends in Franklin County:
Land in Farms & Farms by Size
100
90
80
70
60
50
40
30
20
10
0
19
45
19
50
19
54
19
59
19
64
19
69
19
74
19
78
19
82
19
87
19
9
19 2
97
R
20
02
Acres X 1,000
Land in Farms
Franklin County
Percent of Farms by Size, 2002
50
Franklin Co.
Georgia
40
30
20
10
0
1-9
acres
Source: 1945-2002 (quinquennial) Censuses of Agriculture
10-49
acres
50-179
acres
180-499 500-999
acres
acres
1000+
acres
Trends in Franklin County
Number of Farms by Commodity
600
1987
1992
1997
2002
500
400
300
200
100
0
Cattle & Calves
Any Poultry
Broilers sold
Source: 1987-2002 (quinquennial) Censuses of Agriculture
Hay
How Do We Compare ?
Georgia, Franklin, and Surrounding Counties
Farm Gate Value
$ Per Farm (thousands)
$8,000
$7,000
$6,000
$5,000
$4,000
$3,000
$2,000
$1,000
$0
$ Per Acre
$7,125
$3,771 $3,732
$3,571
$3,218
$2,469
$957
$394
$209
$351
$1,066
$154 $531
rt
IA
ks
lin
am
e
n
G
k
h
b
a
l
R
n
E
B
O
ers
Fra
b
GE
Ha
$412
$269
$322
n
rt
on
s
so
i
Ha
k
d
Jac
Ma
Sources: 2002 Census of Agriculture and 2004 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?
Franklin County Economy
Production Agriculture - OUTPUT
Output in $ Millions
325.781
0.131
56.797
327.904
90.589
89.401
35.500
138.101
87.505
Percent
28.3
0.0
4.9
28.5
7.9
7.8
3.1
12.0
7.6
Agriculture
Mining
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total County Economic Output = $1.15 Billion
Franklin County Economy
Production Agriculture + Directly Related Businesses
Agriculture + Direct
Output in $ Millions
435.005
0.131
56.797
218.681
90.589
89.401
35.500
138.101
87.505
Percent
37.8
0.0
4.9
19.0
7.9
7.8
3.1
12.0
7.6
Mining
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total County Economic Output = $1.15 Billion
An Economic Snapshot
of Franklin County
¾ How much of Franklin County’s total
economic output comes from food and
fiber production?
¾ AG value alone of $325.8 million
consisting of Farm Gate Value, AG
services, and logging comprises 28.3% of
the county’s economy.
¾ AG plus directly related businesses (ex.
animal food mfg., etc.) comprise 37.8% of
the county’s economy.
Food and Fiber Production, Processing and Direct
Manufacturing as % of Total Output
0 - 10%
10 - 20%
20 - 40%
40 - 60%
60 - 84%
Franklin Co.
37.8%
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
Franklin County
Production Agriculture IMPACT
Agriculture
Direct $ Millions
325.781
Indirect $ Millions
18.460
0
0.000
Mining
0
1.062
Construction
0
1.823
Manufacturing
0
14.130
Trans-Utilities-Info
0
11.732
Trade
0
5.470
Finance-Ins-RE
0
15.961
Services
0
8.261
Government
325.781
76.897
Total
Total Impact of Production AG = $402.7 million—35% of Total Economy
Franklin County
Agriculture and Directly Related Businesses IMPACT
Agriculture + Direct
Mining
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total
Direct $ Millions
325.781
0
0
109.224
0
0
0
0
0
435.005
Indirect $ Millions
18.460
0.000
1.811
5.625
20.495
16.902
7.603
22.860
11.737
105.492
Total Impact of AG+ Directly Related = $540.5 Million—47% of Total Economy
Franklin County
Production Agriculture + Directly Related Industries
Employment IMPACT
Direct
2,260
0
0
0
0
0
0
0
0
Indirect
113
0
21
35
217
250
67
462
14
Agriculture + Direct
Mining
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total Impact of AG + Directly Related Employment = 3,440 Jobs
What These Numbers Mean:
A Brief Explanation
¾ Direct impact is $435 million. This
includes food and fiber production,
processing and directly related
manufacturing.
¾ Indirect impact from the Trade sector is
$16.9 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.
Franklin County Food and Fiber
Impact Conclusions
¾ The total impact of food and fiber
production, processing and direct
manufacturing is $540.5 million.
¾ The total output is $1.15 billion.
¾ Thus, food and fiber (directly and
indirectly) account for 47% of the
total output.
Food and Fiber Production, Processing and Direct
Manufacturing Impact as % of Total Output
0 - 10%
10 - 20%
20 - 40%
40 - 60%
60 - 100%
Franklin Co.
47%
Contact Information
Prepared by:
John McKissick, 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
#05-19A
November, 2005