The Economic Importance of Food and Fiber A Spotlight on Colquitt County, Georgia Prepared for Colquitt County Cooperative Extension May, 2008 by: The Center for Agribusiness and Economic Development College of Agricultural and Environmental Sciences The University of Georgia Total Population Colquitt County 46,027 45,442 44,814 42,053 36,645 35,376 32,200 34,048 33,999 2010 Trend CAED 2010 OPB 2007 Est. 2000 1990 1980 1970 1960 1950 33,012 30,622 1940 1930 0 10,000 20,000 30,000 40,000 Primary data sources: U.S. Census Bureau, decennial censuses & estimate; OPB (State Office of Planning & Budget); CAED (Center for Agribusiness & Economic Development). 50,000 Population Change: 2000-2007 LOSS 0 – 7.2% 7.2 – 16.6% 16.6 – 39.0% 39.0 – 61.5% Avg. GA County = 9.9% GA = 16.6% US = 7.2% Colquitt Co. 6.6% Primary data source: U.S. Census Bureau (3/08) 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% Colquitt Co. 85.8% Primary data sources: U.S. Census of Agriculture, 2002 Forest Statistics for Georgia, 1997 Components of 2007 Property Tax Gross Digest Colquitt County Residential 42.2% Ag-PreferentialEnviron-Conserv 15.6% Heavy Equipment 0.04% Commercial 20.2% Timber * 0.7% Mobile Home 2.4% Motor Vehicle 10.8% 40% Assessment Value of Property Gross Digest = $819,963,223 COUNTY Homestead & Property Exemptions = $67,396,358 Net M&O Digest = $752,566,865 Value of exempt property = $95,559,382 * Timber taxed at 100% based on previous year sales Public Utility 3.9% Primary data source: GA Dept. of Revenue Industrial 4.2% County Property Tax Digest Comparisons: 2007 County % Residential % Agri- % Com- % In% Motor cultural mercial dustrial Vehicle % Other COLQUITT 42.2 15.6 20.2 4.2 10.8 7.0 BROOKS 27.4 44.5 6.3 7.8 7.6 6.5 COOK 32.1 27.4 20.1 6.2 8.2 5.9 MITCHELL 28.4 35.7 14.2 8.6 6.9 6.2 THOMAS 37.1 24.9 20.5 5.2 8.2 4.1 TIFT 37.1 11.8 24.0 13.0 9.6 4.6 WORTH 33.2 37.6 9.5 2.7 9.7 7.4 Avg. GA Co. 41.9 22.5 12.8 7.6 7.4 7.7 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 2007 Farm Gate Value was $11.6 billion. Adding the value of landscape services increased the total agricultural production value to $13.6 billion. ¾ Total food and fiber production and directly related businesses account for a $59 billion output impact on Georgia's $735 billion economy. Production Agriculture: 2007 Georgia Total Agricultural Production Value $13.6 Billion Poultry & Eggs 39.8% Landscape services 15.3% Fruits & Nuts 1.8% Forestry & Products 4.4% Other Income 4.5% Ornamental Horticulture Vegetables 5.6% 6.6% Livestock & Aquaculture 9.8% Row & Forage Crops 12.3% $0 - $20 $20 - $45 $45 - $80 $80 - $200 $200 - $390 2007 Farm Gate Value by County in Millions of Dollars What We Know about Colquitt County ¾ 2007 Farm Gate Value in Colquitt Co. was $389.2 million. Adding $984 thousand of landscape services increased the total agricultural production value to $390.2 million. ¾ The highest value commodity group was poultry/eggs, representing 46.8% of the total agricultural production value. Colquitt County 2007 Agricultural Production Value 2007 Agricultural Production Fruits-Nuts 0.5% Orn Hort 1.9% Other 4.5% 2007 Top Farm Gate Commodities Landscape services 0.3% Poultry-Eggs 46.8% Vegetables 27.7% Rest of commodities 22.5% Cantaloupe 1.4% Broilers 42.7% Beef Cows 1.5% Peanuts 2.6% Layers 3.0% Forestry 1.3% LivestockAquaculture 4.2% Row-Forage crops 12.8% Cucumbers 3.5% Bell Peppers Greens 4.9% 4.1% Total AG Value = $390.2 million Cotton Cabbage 7.5% 6.4% Trends in Colquitt County: Number of Farms & Average Farm Size Number of Farms, Colquitt County Average Farm Size 500 4000 3500 Colquitt Co. Georgia 400 Acres 3000 2500 2000 388 300 218 200 1500 588 500 100 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 1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997R 2002 19 45 0 49 0 19 1000 Trends in Colquitt County: Land in Farms & Farms by Size Land in Farms Colquitt County Percent of Farms by Size, 2002 40 Colquitt Co. Georgia Acres X 1,000 350 30 300 250 228.2 200 20 150 100 10 50 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 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 Colquitt County Number of Farms by Commodity 350 1987 1992 1997 2002 300 250 244 200 148 150 139 100 59 50 16 14 N/A 0 Beef cows Layers 20+ wks Broilers sold Cotton Source: 1987-2002 (quinquennial) Censuses of Agriculture Peanuts Veges sold How Do We Compare ? Georgia, Colquitt and Surrounding Counties Farm Gate Value $ Per Farm (thousands) $1,800 $1,600 $1,400 $1,200 $1,000 $800 $600 $400 $200 $0 $ Per Acre $1,674 $1,519 $1,441 $1,706 $907 $1,076 $684 $533 $662 $235 $412 ia ks itt g o u r o o lq Br Ge Co $404 $537 $412 $207 ll k as e o h o m C o tc Th Mi t Tif Sources: 2002 Census of Agriculture and 2007 Farm Gate Value Report $251 rth o W What We Did County Economy Modeled ¾ The Center for Agribusiness and Economic Development performed an analysis of the county’s economy, focusing on the role of food and fiber. 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? Colquitt County Economy Agriculture OUTPUT Output in $ Millions Percent Agriculture 390.215 17.4 Construction 88.770 3.9 Manufacturing 785.113 34.9 Trans-Utilities-Info 99.435 4.4 Trade 216.311 9.6 Finance-Ins-RE 110.945 4.9 Services 260.478 11.6 Govt & Other 296.885 13.2 Total County Economic Output = $2.248 billion Colquitt County Economy Agriculture + Directly Related Businesses OUTPUT Output in $ Millions Percent Agriculture + Direct 667.426 29.7 Construction 88.770 3.9 Manufacturing 507.903 22.6 Trans-Utilities-Info 99.435 4.4 Trade 216.311 9.6 Finance-Ins-Real Est 110.945 4.9 Services 260.478 11.6 Govt & Other 296.885 13.2 Total County Economic Output = $2.248 billion Colquitt County Employment Total Jobs = 22,325 AG + Directly Related 5,951 26.7% Construction 931 Manufacturing 4.2% 2,539 11.4% Trans-UtilitiesInfo 1,046 4.7% State & Federal Government 1,393 6.2% Public Education 2,476 11.1% Other Services 2,799 12.5% Trade 2,759 12.4% Professional Services 1,676 7.5% Primary data source: Center for Agribusiness & Economic Development, UGA Finance-InsReal Est 755 3.4% An Economic Snapshot of Colquitt County ¾ How much of Colquitt County’s total economic output comes from food and fiber production? ¾ AG value alone of $390.2 million consisting of Farm Gate Value and landscape services comprises 17.4% of the county’s economy. ¾ AG plus directly related businesses (ex. poultry processing, sawmills, etc.) comprise 29.7% of the county’s economy. Food and Fiber Production and Directly Related Manufacturing as % of Total Output 0 - 10% 10 - 20% 20 - 30% 30 - 50% 50 – 77% Colquitt Co. 29.7% 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 Colquitt County Agriculture IMPACT Direct $ Millions Indirect $ Millions 390.215 0 Agriculture 0 0.776 Construction 0 10.125 Manufacturing 0 14.704 Trans-Utilities-Info 0 25.914 Trade 0 11.457 Finance-Ins-RE 0 29.646 Services 0 19.554 Government 390.215 112.176 Total Total Impact of Production AG = $502.4 million 22.4% of total economy Colquitt County Production Agriculture + Directly Related Businesses IMPACT Direct $ Millions Indirect $ Millions 667.426 0 Agriculture + Direct 0 1.390 Construction 0 11.871 Manufacturing 0 28.823 Trans-Utilities-Info 0 39.031 Trade 0 17.539 Finance-Ins-RE 0 46.920 Services 0 26.069 Government 667.426 171.642 Total Total Impact of AG + Directly Related = $839.1 million 37.3% of total economy Colquitt County Production Agriculture + Directly Related Industries Employment IMPACT Direct Indirect 5,951 0 Construction 0 16 Manufacturing 0 62 Trans-Utilities-Info 0 346 Trade 0 467 Finance-Ins-Real Estate 0 105 Services 0 782 Agriculture + Direct 0 27 Government Total Impact of AG + Directly Related Employment = 7,757 Jobs 34.7% of total employment What These Numbers Mean: A Brief Explanation ¾ Direct impact is $667.4 million. This includes food and fiber production, processing and directly related manufacturing. ¾ Indirect impact from the Trade sector is $39 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. Colquitt County Food and Fiber Impact Conclusions ¾ The total impact of food and fiber production, processing and direct manufacturing is $839 million. ¾ The total county output is $2.2 billion. ¾ Thus, food and fiber (directly and indirectly) account for 37.3% of the total county output. Food and Fiber Production and Directly Related Manufacturing IMPACT as % of Total Output 0 - 10% 10 - 25% 25 - 40% 40 - 60% 60 - 84% Colquitt Co. 37.3% 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 #08-08A May, 2008