The Economic Importance of Food and Fiber Prepared for:

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The Economic Importance
of Food and Fiber
A Spotlight on Burke County, Georgia
Prepared for:
Burke County Cooperative Extension
January, 2007
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
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 Burke County
¾ 2005 Farm Gate Value in Burke Co.
was $85.9 million. Adding $237
thousand of landscape services
increased the total agricultural
production value to $86.1 million.
¾ The highest value commodity group
was row & forage crops, representing
43.6% of the total agricultural
production value.
Burke County
2005 Agricultural Production Value
2005 Agricultural Production
Fruits-Nuts Other
15.4%
5.0%
Landscape
services
0.3%
Orn Hort
2.6%
2005 Top Farm Gate Commodities
Row-Forage
crops
43.6%
Rest of
Commodities
22.8%
Cotton
20.2%
Hay
2.4%
Horses
2.8%
Vegetables
0.3%
Timber
11.5%
Silage
3.9%
Forestry
12.9%
LivestockAquaculture
19.9%
Hunting
Leases
4.6%
Pecans
4.8%
Beef
5.3%
Total AG Value = $86.1 million
Peanuts
10.6%
Dairy
11.2%
Trends in Burke County:
Number of Farms & Average Farm Size
Number of Farms, Burke County
Average Farm Size
800
2500
700
2000
Acres
600
1500
1000
494
500
500
Burke Co.
Georgia
443
400
300
218
200
100
0
1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997R 2002
Source: 1945
-
19
45
19
49
19
54
19
59
19
64
19
69
19
74
19
78
19
82
19
87
19
92
19
97
R
20
02
0
2002 (quinquennial) Censuses of Agriculture
Trends in Burke County:
Land in Farms & Farms by Size
Percent of Farms by Size, 2002
40
450
400
350
300
250
200
150
100
50
0
Burke Co.
Georgia
30
219.0
20
10
9
19 2
97
R
20
02
87
1-9 acres
19
82
19
78
19
74
19
69
19
64
19
59
19
54
Source: 1945
-
19
19
19
19
50
0
45
Acres X 1,000
Land in Farms
Burke County
2002 (quinquennial) Censuses of Agriculture
10-49
acres
50-179
acres
180-499 500-999
acres
acres
1000+
acres
Trends in Burke County
Number of Farms by Commodity
160
146
1987
1992
1997
2002
140
120
100
80
60
54
54
50
41
36
40
20
0
Corn for Grain Wheat for Grain
Source: 1987
-
Cotton
Soybeans
2002 (quinquennial) Censuses of Agriculture
Peanuts
Beef Cows
How Do We Compare ?
Georgia, Burke and Surrounding Counties
Farm Gate Value
$ Per Farm (thousands)
$ Per Acre
$1,400
$1,200
$1,370
$1,000
$800
$957
$600
$392
$400
$200
$0
$209
ia
g
r
o
Ge
$174
e
k
r
Bu
$294
$85
$375
$133
$360
$142
$299
$122
$159
l
s
n
n
en
o
nd
i
ue
v
s
o
k
n
r
e
n
a
fe
cr
hm
Je
S
c
Em
i
Jef
R
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?
Burke County Economy
Agriculture OUTPUT
Output in $ Millions
Percent
Agriculture
86.096
5.9
Construction
21.531
1.5
Manufacturing
203.358
14.0
Trans-Utilities-Info
807.990
55.7
Trade
82.272
5.7
Finance-Ins-RE
27.842
1.9
Services
103.255
7.1
Government
117.979
8.1
Total County Economic Output = $1.45 billion
Burke County Economy
Agriculture + Directly Related Businesses OUTPUT
Output in $ Millions
Percent
Agriculture + Direct
99.607
6.9
Construction
21.531
1.5
Manufacturing
189.847
13.1
Trans-Utilities-Info
807.990
55.7
Trade
82.272
5.7
Finance-Ins-RE
27.842
1.9
Services
103.255
7.1
Government
117.979
8.1
Total County Economic Output = $1.45 billion
An Economic Snapshot
of Burke County
¾ How much of Burke County’s total
economic output comes from food and
fiber production?
¾ AG value alone of $86.1 million consisting
of Farm Gate Value and landscape
services comprises 5.9% of the county’s
economy.
¾ AG plus directly related businesses (ex.
logging, animal slaughtering, etc.)
comprise 6.9% 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%
Burke Co.
6.9%
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
Burke County
Agriculture IMPACT
Direct $ Millions
86.096
0
0
0
0
0
0
0
86.096
Indirect $ Millions
0
0.086
0.410
3.878
4.756
2.218
4.593
3.633
19.574
Agriculture
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total
Total Impact of Production AG=$105.7 million—7.3% of total economy
Burke County
Production Agriculture + Directly Related Businesses IMPACT
Agriculture + Direct
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total
Direct $ Millions
99.607
0
0
0
0
0
0
0
99.607
Indirect $ Millions
0
0.090
0.488
4.225
5.328
2.434
5.088
3.954
21.609
Total Impact of AG + Directly Related = $121.2 million—8.4% of total economy
Burke County
Production Agriculture + Directly Related Industries
Employment IMPACT
Direct
1,041
0
0
0
0
0
0
0
Indirect
0
1
3
21
68
21
95
4
Agriculture + Direct
Construction
Manufacturing
Trans-Utilities-Info
Trade
Finance-Ins-RE
Services
Government
Total Impact of AG + Directly Related Employment = 1,254 Jobs
What These Numbers Mean:
A Brief Explanation
¾ Direct impact is $99.6 million. This
includes food and fiber production,
processing and directly related
manufacturing.
¾ Indirect impact from the Trade sector is
$5.3 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.
Burke County Food and Fiber
Impact Conclusions
¾ The total impact of food and fiber
production, processing and direct
manufacturing is $121.2 million.
¾ The total output is $1.45 billion.
¾ Thus, food and fiber (directly and
indirectly) account for 8.4% 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%
Burke Co.
8.4%
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
#0702A
January, 2007
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