The Economic Importance
of Food and Fiber
A Spotlight on Morgan County, Georgia
Prepared for:
Morgan County Cooperative Extension Service
September, 2005
by:
The Center for Agribusiness and
Economic Development
College of Agricultural and Environmental Sciences
The University of Georgia
Agriculture in Georgia
¾ Georgia's 2004 Farm Gate Value was
$10.3 billion. Adding $3.2 billion of ag
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
Ag Services
& Logging
13.8%
Poultry &
Eggs
39.8%
Row &
Forage Crops
12.9%
Other Income
3.9%
Fruits & Nuts
Ornamental
1.9%
Horticulture
5.5%
Forestry &
Products
5.1%
Livestock &
Aquaculture
Vegetables
10.9%
6.1%
$0 - $20
$20 - $45
$45 - $80
$80 - $200
$200 - $325
2004 Farm Gate
Value by County
in Millions of Dollars
What We Know
about Morgan County
¾ 2004 Farm Gate Value in Morgan Co.
was $125.5 million. Adding Ag
services and logging raises the total
production agriculture value to
$137.8 million.
¾ The highest value commodity group
was poultry & eggs, representing
42.7% of the total agricultural
production value.
Morgan County
2004 Agricultural Production Value
2004 Agricultural Production
Orn Hort
6.1%
Forestry
3.0%
LivestockAquaculture
34.5%
Fruits-NutsVeges-Other
Inc
1.3%
Row-Forage
crops
3.0%
AG Services +
Logging
9.5%
Poultry-Eggs
42.7%
2004 Top Farm Gate Commodities
% of Total Value
Rest of
commodities
Silage
3.3%
0.6%
Hay
2.0%
Timber
2.8%
Layers
5.1%
Beef
6.0%
Field Nursery Horses
6.3%
6.8%
Total AG Value = $137.8 million
Broilers
42.1%
Dairy
15.9%
Quail
9.2%
Trends in Morgan County:
Number of Farms & Average Farm Size
Number of Farms, Morgan County
Average Farm Size
Morgan Co.
400
1600
Georgia
1400
300
Acres
1200
1000
800
600
200
100
400
200
Source: 1945-2002 (quinquennial) Censuses of Agriculture
R
02
20
97
92
19
19
82
87
19
19
74
78
19
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 Morgan 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
Morgan Co. Land in Farms
Percent of Farms by Size, 2002
Morgan 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 Morgan County
Number of Farms by Commodity
1987
1992
1997
2002
300
250
200
150
100
50
0
Beef Cows
Milk Cows
Layers/pullets
Source: 1987-2002 (quinquennial) Censuses of Agriculture
Broilers
Hay
How Do We Compare ?
Georgia, Morgan and Surrounding Counties
Farm Gate Value
$ Per Farm (thousands)
$ Per Acre
$2,500
$2,000
$2,211 $2,183
$1,500
$1,000
$957
$1,408 $1,066
$1,379
$770
$467
$500
$0
$209
$239
$218
$334
$59
$291
$395
n
ia
er
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ee
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t
g
n
e
r
l
s
n
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e
o
o
w
t
Ja
Wa
Gr
Oc
Mo
Ge
Pu
Ne
Sources: 2002 Census of Agriculture and 2004 Farm Gate Value Report
$75
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?
Morgan County Economy
Production Agriculture
Output in $ Millions
Percent
Agriculture
137.838
17.5
Construction
42.047
5.4
Manufacturing
261.471
33.3
Trans-Utilities-Info
18.172
2.3
Trade
83.109
10.6
Finance-Ins-RE
43.432
5.5
Services
118.014
15.0
Government
81.793
10.4
Total County Economic Output = $785.9 Million
Morgan County Economy
Production Agriculture + Directly Related Businesses
Output in $ Millions
Percent
Agriculture + Direct
159.214
20.3
Construction
42.047
5.4
Manufacturing
240.095
30.6
Trans-Utilities-Info
18.172
2.3
Trade
83.109
10.6
Finance-Ins-RE
43.432
5.5
Services
118.014
15.0
Government
81.793
10.4
Total County Economic Output = $785.9 Million
An Economic Snapshot
of Morgan County
¾ How much of Morgan County’s total
economic output comes from food and
fiber production?
¾ AG production value alone of $137.8
million consisting of Farm Gate Value, AG
services, and logging comprises 17.5% of
the county’s economy.
¾ AG plus directly related businesses (ex.
sawmills, manufacturing pesticides and
animal food, etc.) comprise 20.3% 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%
Morgan Co.
20.3%
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
Morgan County
Production Agriculture IMPACT
Direct $ Millions
Indirect $ Millions
137.838
20.094
Construction
0
.628
Manufacturing
0
1.250
Trans-Utilities-Info
0
2.801
Trade
0
9.726
Finance-Ins-RE
0
6.198
Services
0
7.252
Government
0
4.777
Agriculture
Total Impact of Production AG = $190.6 Million – 24.3% of Total Economy
Morgan County
Agriculture and Directly Related Businesses IMPACT
Direct $ Millions
137.838
Indirect $ Millions
20.095
Construction
0
.695
Manufacturing
21.375
1.501
Trans-Utilities-Info
0
3.642
Trade
0
11.715
Finance-Ins-RE
0
6.686
Services
0
8.268
Government
0
5.324
159.214
57.928
Agriculture + Direct
Total
Total Impact of AG + Direct = $217 Million – 27.6% of Total Economy
Morgan County
Production Agriculture + Directly Related Industries
Employment IMPACT
Direct
Indirect
2,170
300
Construction
0
8
Manufacturing
0
7
Trans-Utilities-Info
0
24
Trade
0
137
Finance-Ins-RE
0
46
Services
0
165
Government
0
9
Agriculture + Direct
Total Impact of AG + Directly Related Employment = 2,865 Jobs
What These Numbers Mean:
A Brief Explanation
¾ Direct impact is $159.2 million. This
includes food and fiber production,
processing, and directly related
manufacturing.
¾ Indirect impact from the Trade sector is
$11.7 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.
Morgan County Food and Fiber
Impact Conclusions
¾ The total impact of food and fiber
production, processing and direct
manufacturing is $217 million.
¾ The total county economic output is
$786 million.
¾ Thus, food and fiber (directly and
indirectly) account for 27.6% 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%
Morgan Co.
27.6%
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
#05-18A
September, 2005