The Economic Importance of Food and Fiber A Spotlight on Tattnall County, Georgia Prepared for: Tattnall County Cooperative Extension October, 2006 by: The Center for Agribusiness and Economic Development College of Agricultural and Environmental Sciences The University of Georgia 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 Landscape services 14.0% Poultry & Eggs 36.7% 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 Tattnall County ¾ 2005 Farm Gate Value in Tattnall Co. was $232.9 million. Adding $9.7 million of landscape services increased the total agricultural production value to $242.7 million. ¾ The highest value commodity group was poultry-eggs, representing 53.6% of the total agricultural production value. Tattnall County 2005 Agricultural Production Value 2005 Top Farm Gate Commodities 2005 Agricultural Production Other & Fruits-Nutsagritourism Orn Hort 2.4% 3.2% 0.1% Vegetables 22.3% Landscape services 4.0% Tobacco 1.0% Cotton 1.8% Rest of Commodities 13.3% Broilers 50.8% Beef 2.0% Pork 2.2% Forestry 3.4% LivestockAquaculture 5.5% Watermelon 0.8% Poultry-Eggs 53.6% Row-Forage crops 5.6% Pecans 2.3% Timber 3.3% Layers 4.7% Onions 17.7% Total AG Value = $242.7 million Trends in Tattnall County: Number of Farms & Average Farm Size Number of Farms, Tattnall County Average Farm Size 300 2000 1800 1600 1400 1200 1000 800 600 400 200 0 Tattnall Co. Georgia 223 218 A cres 200 644 100 Source: 1945 - 2002 (quinquennial) Censuses of Agriculture R 02 20 97 87 92 19 19 19 78 82 19 19 69 74 19 19 59 64 19 19 49 54 19 19 1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997R 2002 19 45 0 Trends in Tattnall County: Land in Farms & Farms by Size Land in Farms Tattnall County Percent of Farms by Size, 2002 50 Tattnall Co. Georgia Acres X 1,000 250 40 200 143.4 150 30 100 20 50 10 0 9 19 2 97 R 20 02 87 19 82 19 78 19 74 19 69 19 64 19 59 19 54 Source: 1945 - 19 50 19 19 19 45 0 1-9 acres 2002 (quinquennial) Censuses of Agriculture 10-49 acres 50-179 acres 180-499 acres 500-999 acres 1000+ acres Trends in Tattnall County Number of Farms by Commodity 250 200 1987 1992 1997 2002 176 150 97 100 45 50 44 27 34 25 0 Beef Cows Hogs-Pigs inv inv Source: 1987 - Broilers sold Soybeans for Beans 2002 (quinquennial) Censuses of Agriculture Cotton Tobacco Peanuts How Do We Compare ? Georgia, Tattnall and Surrounding Counties Farm Gate Value $ Per Farm (thousands) $ Per Acre $2,000 $1,500 $1,625 $1,000 $884 $985 $1,119 $1,078 $897 $874 $1,254 $500 $0 $205 $362 $204 $186 $222 ia all ng ns ler g i n l a d r t p n o t Ev Ap Ca Ta Ge $335 $218 $237 ne nuel ng mbs y o L o Wa Ema To Sources: 2002 Census of Agriculture and 2005 Farm Gate Value Report $294 $85 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? Tattnall County Economy Agriculture OUTPUT Output in $ Millions 242.656 2.798 29.106 49.456 36.409 60.699 27.057 97.657 157.097 Percent 34.5 0.4 4.1 7.0 5.2 8.6 3.8 13.9 22.3 Agriculture Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total County Economic Output = $702.9 million Tattnall County Economy Agriculture + Directly Related Businesses OUTPUT Agriculture + Direct Output in $ Millions 279.852 2.798 29.106 12.260 36.409 60.699 27.057 97.657 157.097 Percent 39.8 0.4 4.1 1.7 5.2 8.6 3.8 13.9 22.3 Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total County Economic Output = $702.9 million An Economic Snapshot of Tattnall County ¾ How much of Tattnall County’s total economic output comes from food and fiber production? ¾ AG value alone of $242.7 million consisting of Farm Gate Value and landscape services comprises 34.5% of the county’s economy. ¾ AG plus directly related businesses (ex. logging, sawmills, etc.) comprise 39.8% 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% Tattnall Co. 39.8% 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 Tattnall County Agriculture IMPACT Direct $ Millions Indirect $ Millions 242.656 0 Mining 0 0 Construction 0 0.433 Manufacturing 0 0.367 Trans-Utilities-Info 0 7.996 Trade 0 14.492 Finance-Ins-RE 0 4.129 Services 0 11.531 Government 0 12.311 242.656 51.257 Agriculture Total Total Impact of Production AG=$294 million—41.8% of total economy Tattnall County Production Agriculture + Directly Related Businesses IMPACT Agriculture + Direct Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total Direct $ Millions 279.852 0 0 0 0 0 0 0 0 279.852 Indirect $ Millions 0.000 0.000 0.459 0.457 8.395 15.956 4.710 12.926 13.269 56.171 Total Impact of AG+Directly Related = $336 million—47.8% of total economy Tattnall County Production Agriculture + Directly Related Industries Employment IMPACT Direct 2,713 0 0 0 0 0 0 0 0 Indirect 0 0 6 5 96 281 37 273 17 Agriculture + Direct Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total Impact of AG + Directly Related Employment = 3,427 Jobs What These Numbers Mean: A Brief Explanation ¾ Direct impact is $279.8 million. This includes food and fiber production, processing and directly related manufacturing. ¾ Indirect impact from the Trade sector is $16 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. Tattnall County Food and Fiber Impact Conclusions ¾ The total impact of food and fiber production, processing and direct manufacturing is $336 million. ¾ The total output is $702.9 million. ¾ Thus, food and fiber (directly and indirectly) account for 47.8% 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% Tattnall Co. 47.8% 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 #06-20A October, 2006