The Economic Importance of Food and Fiber A Spotlight on Stephens County, Georgia Prepared for Stephens County Cooperative Extension June, 2008 by: The Center for Agribusiness and Economic Development College of Agricultural and Environmental Sciences The University of Georgia Total Population Stephens County 25,260 25,268 2010 Trend CAED 2007 Est. 25,435 23,257 21,763 2000 1990 1980 20,331 18,391 1970 1960 16,647 1950 12,972 1940 11,740 1930 0 5,000 10,000 15,000 20,000 25,000 Primary data sources: U.S. Census Bureau, decennial censuses & estimate; CAED (Center for Agribusiness & Economic Development). 30,000 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% Stephens Co. -0.7% 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% Stephens Co. 76.8% Primary data sources: U.S. Census of Agriculture, 2002 Forest Statistics for Georgia, 1997 Components of 2007 Property Tax Gross Digest Stephens County Residential 56.7% Ag-PreferentialEnviron-Conserv 6.4% Heavy Equipment 0.05% Timber * 0.05% Mobile Home 1.1% Commercial 13.2% Motor Vehicle 7.2% Public Utility 3.7% Primary data source: GA Dept. of Revenue Industrial 11.6% 40% Assessment Value of Property Gross Digest = $800,170,017 COUNTY Homestead & Property Exemptions = $133,353,112 Net M&O Digest = $666,816,905 Value of exempt property = $97,787,879 * Timber taxed at 100% based on previous year sales County Property Tax Digest Comparisons: 2007 County % Resi- % Agri- % Comdential cultural mercial % Industrial % Mo% % % UtilMotor bile Timity Veh Home ber STEPHENS 56.7 6.4 13.2 11.6 3.7 7.2 1.1 .05 BANKS 36.6 35.9 12.6 3.6 3.2 6.7 1.2 .04 FRANKLIN 31.8 38.5 14.3 5.1 2.3 6.6 1.2 .02 HABERSHAM 58.6 14.6 10.9 4.8 3.4 6.7 1.0 .01 HART 57.1 20.3 5.9 7.5 2.8 5.5 .8 .05 RABUN 57.1 6.5 5.7 1.8 25.6 2.9 .3 -- Avg. GA Co. 42.4 23.8 12.7 7.0 5.0 1.1 .9 Primary data source: GA Dept. of Revenue 7.2 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 Landscape services Fruits & Nuts 15.3% 1.8% Poultry & Eggs 39.8% Forestry & Products 4.4% Other Income 4.5% Livestock & Ornamental Aquaculture Horticulture 9.8% Vegetables 5.6% 6.6% 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 Stephens County ¾ 2007 Farm Gate Value in Stephens Co. was $64.8 million. Adding $1.6 million of landscape services increased the total agricultural production value to $66.4 million. ¾ The highest value commodity group was poultry/eggs, representing 78.8% of the total agricultural production value. Stephens County 2007 Agricultural Production Value 2007 Agricultural Production LivestockAquaculture 17.1% Veges-Fruits- Forestry Nuts 0.3% Other 0.2% 0.2% Landscape Orn Hort services 0.2% 2.4% Row-Forage crops 0.8% 2007 Top Farm Gate Commodities Hay 0.8% Layers 9.2% Beef 15.7% Deer hunting leases Timber 0.2% 0.3% Container Nursery 0.1% Horses 1.6% Poultry-Eggs 78.8% Total AG Value = $66.4 million Goats 0.1% Field Nursery Rest of 0.1% commodities 0.4% Broilers 71.5% Trends in Stephens County: Number of Farms & Average Farm Size Number of Farms, Stephens County 300 Stephens Co. Georgia 218 200 Acres 82 100 238 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 49 54 19 1945 1949 1954 1959 1964 1969 1974 1978 1982 1987 1992 1997R 2002 19 45 0 19 1000 900 800 700 600 500 400 300 200 100 0 Average Farm Size Trends in Stephens County: Land in Farms & Farms by Size 80 70 60 50 40 30 20 10 0 Percent of Farms by Size, 2002 50 Stephens Co. Georgia 40 30 20 19.527 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 Land in Farms Stephens County 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 Stephens County Number of Farms by Commodity 151 160 1987 1992 1997 2002 140 120 100 82 80 60 40 24 20 8 0 Beef cows Layers 20+ wks Source: 1987-2002 (quinquennial) Censuses of Agriculture Broilers Hay How Do We Compare ? Georgia, Stephens and Surrounding Counties Farm Gate Value $ Per Farm (thousands) $8,000 $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 $ Per Acre $7,754 $4,324 $4,269 $4,076 $3,317 $1,076 $272 $235 ia ns g e r o ph e Ge t S $2,037 $407 $426 $578 ks lin am n k h a n s B er Fra b Ha $492 $139 n rt a bu H a R Sources: 2002 Census of Agriculture and 2007 Farm Gate Value Report 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? Stephens County Economy Agriculture OUTPUT Output in $ Millions 66.360 .801 82.357 555.253 37.740 147.971 69.708 263.988 171.882 Percent 4.8 .06 5.9 39.8 2.7 10.6 5.0 18.9 12.3 Agriculture Mining Construction Manufacturing Trans-Utilities-Info Trade Finance-Ins-RE Services Government Total County Economic Output = $1.4 billion Stephens County Economy Agriculture + Directly Related Businesses OUTPUT Output in $ Millions Percent 68.856 4.9 Agriculture + Direct .801 .06 Mining 82.357 5.9 Construction 552.757 39.6 Manufacturing 37.740 2.7 Trans-Utilities-Info 147.971 10.6 Trade 69.708 5.0 Finance-Ins-Real Est 263.988 18.9 Services 171.882 12.3 Government Total County Economic Output = $1.4 billion Stephens County Employment Total Jobs = 12,696 Construction Mining 768 4 6.0% 0.03% Manufacturing 2,372 18.7% Trans-UtilitiesInfo 279 2.2% AG + Directly Related 542 4.3% Trade 1,985 15.6% Finance-InsReal Est 466 3.7% State & Federal Government 769 6.1% Public Education 1,276 10.1% Other Services 2,434 19.2% Professional Services 1,800 14.2% Primary data source: Center for Agribusiness & Economic Development, UGA An Economic Snapshot of Stephens County ¾ How much of Stephens County’s total economic output comes from food and fiber production? ¾ AG value alone of $66.4 million consisting of Farm Gate Value and landscape services comprises 4.75% of the county’s economy. ¾ AG plus directly related businesses (ex. logging, etc.) comprise 4.93% 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% Stephens Co. 4.9% 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 Stephens County Agriculture IMPACT Direct $ Millions Indirect $ Millions 66.360 0 Construction 0 .156 Manufacturing 0 .764 Trans-Utilities-Info 0 1.674 Trade 0 3.598 Finance-Ins-Real Est 0 1.541 Services 0 4.354 Government 0 1.823 Agriculture 66.360 13.910 Total Total Impact of Production AG = $80.3 million 5.75% of total economy Stephens County Production Agriculture + Directly Related Businesses IMPACT Direct $ Millions Indirect $ Millions 68.856 0 Construction 0 .158 Manufacturing 0 .779 Trans-Utilities-Info 0 1.697 Trade 0 3.722 Finance-Ins-Real Est 0 1.608 Services 0 4.450 Government 0 1.896 Agriculture + Direct 68.856 14.361 Total Total Impact of AG + Directly Related = $83.2 million 6.0% of total economy Stephens County Production Agriculture + Directly Related Industries Employment IMPACT Direct Indirect 542 0 Construction 0 2 Manufacturing 0 3 Trans-Utilities-Info 0 14 Trade 0 44 Finance-Ins-Real Est 0 12 Services 0 75 Agriculture + Direct 0 3 Government Total Impact of AG + Directly Related Employment = 695 Jobs 5.5% of total employment What These Numbers Mean: A Brief Explanation ¾ Direct impact is $68.9 million. This includes food and fiber production, processing and directly related manufacturing. ¾ Indirect impact from the Trade sector is $3.7 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. Stephens County Food and Fiber Impact Conclusions ¾ The total impact of food and fiber production, processing and direct manufacturing is $83.2 million. ¾ The total county output is $1.4 billion. ¾ Thus, food and fiber (directly and indirectly) account for 6.0% 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% Stephens Co. 6.0% 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 #0822A June, 2008