The Economic Importance of Food and Fiber A Spotlight on Dade County, Georgia Prepared for: Dade County Cooperative Extension April, 2006 by: The Center for Agribusiness and Economic Development College of Agricultural and Environmental Sciences The University of Georgia Total Population Dade County 16,993 2010 Trend CAED 16,040 2005 Est. 15,154 2000 13,147 1990 12,318 1980 9,910 1970 8,666 1960 7,364 1950 5,894 1940 4,146 1930 0 3,000 6,000 9,000 12,000 15,000 18,000 Primary data sources: U.S. Census Bureau, decennial censuses & estimate; CAED (Center for Agribusiness & Economic Development. Population Change: 2000-2005 LOSS 0 – 5.3% 5.3 – 10.8% 10.8 – 21.6% 21.6 – 42.7% Dade Co. 5.8% Primary data source: U.S. Census Bureau Avg. GA County = 7.2% GA = 10.8% US = 5.3% 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% Dade Co. 77% Primary data sources: U.S. Census of Agriculture, 2002 Forest Statistics for Georgia, 1997 Components of 2004 Property Tax Gross Digest Dade County Residential 54.4% Ag-PreferentialEnv-Conserv 11.1% Timber * 0.06% Mobile Home 1.2% Motor Vehicle 9.1% Primary data source: GA Dept. of Revenue Commercial 11.4% Industrial 5.7% 40% Assessment Value of Property Public Utility Gross Digest = $338,447,916 4.0% STATE Homestead & Property Exemptions = $18,116,699 Net M&O Digest = $320,331,217 Value of exempt property = $17,072,694 * Timber taxed at 100% based on previous year sales County Property Tax Digest Comparisons: 2004 County % ResiDential % Agri- % Com- % In% Motor cultural mercial dustrial Vehicle % Other DADE 54.4 14.1 11.4 5.7 9.1 5.2 CATOOSA 55.0 7.2 15.8 9.2 9.2 3.7 CHATTOOGA 39.6 18.2 9.6 20.0 8.9 3.6 WALKER 57.0 7.6 10.2 11.9 9.4 4.0 WHITFIELD 37.1 3.5 21.1 27.4 7.6 3.2 Avg. GA Co. 40.7 20.8 13.2 7.9 9.0 8.4 Primary data source: GA Dept. of Revenue 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 2004 Farm Gate Value was $10.3 billion. Adding the value of landscape services increased the total agricultural production value to $11.2 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 $11.2 Billion Other Income 4.1% Poultry & Eggs 41.5% Landscape services 10.2% Fruits & Nuts 2.0% Forestry & Products 5.3% Ornamental Horticulture 5.7% Vegetables 6.3% Livestock & Aquaculture 11.4% Row & Forage Crops 13.4% $0 - $20 $20 - $45 $45 - $80 $80 - $200 $200 - $325 2004 Farm Gate Value by County in Millions of Dollars What We Know about Dade County ¾ 2004 Farm Gate Value in Dade Co. was $24.6 million. Adding $661 thousand of landscape services increased the total agricultural production value to $25.2 million. ¾ The highest value commodity group was poultry/eggs, representing 78% of the total agricultural production value. Dade County 2004 Agricultural Production Value 2004 Agricultural Production 2004 Top Farm Gate Commodities Vegetables Fruits-Nuts Forestry 2.0% Other Landscape Orn Hort 0.1% 1.1% services 2.1% Livestock2.2% Aquaculture 2.6% 10.4% Row-Forage crops 1.6% Greenhouse 1.9% Timber Breeder Pullet 2.1% Units 2.9% Horses 3.9% Pumpkin Hay Irish Potatoes 1.3% 1.2% 0.6% Rest of commodities 2.4% Beef 6.7% Poultry-Eggs 78.0% Layershatching egg 21.8% Total AG Value = $25.2 million Broilers 55.4% Trends in Dade County: Number of Farms & Average Farm Size Number of Farms, Dade County Average Farm Size 300 800 Dade Co. Georgia 700 600 218 A cres 200 500 400 253 300 110 100 200 100 Source: 1945 - 2002 (quinquennial) Censuses of Agriculture R 02 20 97 92 19 87 19 19 82 78 19 19 74 69 19 19 64 59 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 Dade County: Land in Farms & Farms by Size Land in Farms Dade County Percent of Farms by Size, 2002 50 Dade Co. Georgia Acres X 1,000 70 40 60 50 40 30 30 27.873 20 20 10 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 0 Source: 1945 - 1-9 acres 2002 (quinquennial) Censuses of Agriculture 10-49 acres 50-179 acres 180-499 acres 500-999 acres 1000+ acres Trends in Dade County Number of Farms by Commodity 151 160 140 120 1987 1992 1997 2002 114 100 80 60 40 17 20 0 Beef cows Source: 1987 - Broilers sold 2002 (quinquennial) Censuses of Agriculture Hay How Do We Compare ? Georgia, Dade and Surrounding Counties Farm Gate Value $ Per Farm (thousands) $1,800 $1,600 $1,400 $1,200 $1,000 $800 $600 $400 $200 $0 ia g r o Ge $ Per Acre $1,613 $957 $209 de a D $1,341 $734 $882 $97 $148 a sa g o o to tto a Ca Ch $262 $44 $93 ld er e k i l f it h Wa W Sources: 2002 Census of Agriculture and 2004 Farm Gate Value Report $139 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. Dade County Economy Agriculture OUTPUT Agriculture Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Output in $ Millions Percent 25.246 0.110 42.702 206.101 22.279 32.603 16.119 66.764 60.720 5.34 0.02 9.03 43.61 4.71 6.90 3.41 14.13 12.85 Total County Economic Output = $472.6 million An Economic Snapshot of Dade County ¾ How much of Dade County’s total economic output comes from food and fiber production? ¾ Ag value of $25.2 million consisting of Farm Gate Value and landscape services comprises 5.3% 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% Dade Co. 5.3% What is the Impact? ¾What is the total (direct and indirect) impact of food and fiber production? 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 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 Dade County Agriculture IMPACT Direct $ Millions 25.246 0 0 0 0 0 0 0 0 25.246 Indirect $ Millions 0 0.000 0.087 0.120 0.428 0.544 0.359 1.065 0.769 3.371 Agriculture Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total Total Impact of Production AG = $28.6 million – 6.1% of total economy Dade County Production Agriculture Employment IMPACT Direct 338 0 0 0 0 0 0 0 0 Indirect 0 0 1 1 2 11 3 22 1 Agriculture Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total Impact of AG Related Employment = 380 Jobs What These Numbers Mean: A Brief Explanation ¾ Direct impact is $25.2 million. This includes food and fiber production, processing and directly related manufacturing. ¾ Indirect impact from the Trade sector is $544 thousand. 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. Dade County Food and Fiber Impact Conclusions ¾ The total impact of food and fiber production is $25.2 million. ¾ The total output is $472.6 million. ¾ Thus, food and fiber (directly and indirectly) account for 6.1% 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% Dade Co. 6.1% 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 14A April, 2006