The Economic Importance
of Agriculture Series
This brochure is one of a series of publications from the Center for Agribusiness
and Economic Development.
The goal of these brochures is to inform
Georgians of the essential role agriculture
plays in the economy. Others in the series include:
∗
Poultry and Eggs
∗
Row and Forage Crops
∗
Livestock and Aquaculture
∗
Vegetables
∗
Ornamental Horticulture
∗
Forestry and Related Products
∗
Fruits and Nuts
The Center for Agribusiness and Economic
Development is a unit of the College of Agricultural
and Environmental Sciences, combining the missions
of research and extension.
Food and Fiber Production Value
Georgia, 2006
O t he r
Inc o m e
6 .2 %
F ruit s &
N ut s
3 .0 %
Economic
Importance
of Food and Fiber
Production and
Processing
in Georgia
P o ult ry &
E ggs
42 . 4 %
F o re s t ry &
P ro duc t s
6 .4 %
O rna m e nt a l
H o rt i c ult ure
7 .4 %
Row &
F o ra ge
C ro ps
14 . 5 %
V e ge t a ble s
8 .0 %
Liv e s t o c k
& A qua c ult ure
12 . 2 %
Total Farm Gate Value = $10.4 billion
Source: 2006 Georgia Farm Gate Value Survey
The University of Georgia and Fort Valley State University, the
U.S. Department of Agriculture and counties of the state
cooperating. The Cooperative Extension Service offers
educational programs, assistance and materials to all people
without regard to race, color, national origin, age, gender or
disability. An equal opportunity/affirmative action organization
committed to a diverse work force.
Scott Angle, Dean and Director
Center for Agribusiness and Economic Development
John C. McKissick, Director
The Lumpkin House, Athens, GA 30602
Phone: 706-542-0760
Fax: 706-542-8934
Email: caed@agecon.uga.edu
To access this brochure series as well as other data related
to Georgia and its counties, visit our websites at:
www.caed.uga.edu
www.georgiastats.uga.edu
Brochure Series 07-01
Center for Agribusiness and
Economic Development
“Adding Value to Georgia’s
Agricultural Economy
Through Research and Extension”
OUTPUT IMPACT
⇒ Food and fiber producers and processors create direct
•
•
•
•
The total value of agricultural production and services in 2006 was $12.2 billion.
When food and fiber processing is added to the
value, the total industry accounts for $34.5 billion.
There are 49,000 farms in Georgia encompassing
10.5 million acres with an average size of 214 acres
per farm. (USDA, ERS)
The top five commodities (by farm gate value) are:
Broilers, Cotton, Timber, Beef and Peanuts. (Center
for Agribusiness)
Georgia is a leader in the U. S. (based on cash receipts) for broilers, eggs, and cotton. (USDA, ERS)
The table below shows how agriculture impacts
each sector of the Georgia economy.
*billions
Agriculture
Mining
Construction
Manufacturing
Transp-Util-Info
Trade
Finance-Ins-RE
Services
Government
Total
Direct*
$14.106
$0
$0
$20.349
$0
$0
$0
$0
$0
$34.455
Indirect*
$0
$0.022
$0.137
$3.884
$3.104
$3.806
$2.606
$5.804
$1.426
$20.790
Total*
$14.106
$0.022
$0.137
$24.233
$3.104
$3.806
$2.606
$5.804
$1.426
$55.245
⇒ These sales, in turn, generate additional sales in the
state economy, causing another $20.8 billion worth of
indirect economic impact.
⇒ The food and fiber industry generates a total economic
impact of $55.2 billion for the State of Georgia.
Economic Impact Due to
Food and Fiber: Georgia, 2006
⇒ Businesses engaged in economic activity associated with
the food and fiber industry employ an additional 160,000
people. This indirect employment includes firms which
provide supplies and inputs to food and fiber, such as
grain elevators and equipment suppliers. Increased wage
spending creates jobs in other sectors, such as retail
sales and health services.
⇒ A total of more than 366,000 jobs are created due to
food and fiber production and processing in Georgia.
$60
Billions of Dollars
GEORGIA FOOD AND FIBER FACTS:
⇒ Food and fiber producers and processors directly employ 206,000 full-time and part-time workers.
sales in excess of $34.5 billion.
Food and fiber production and processing are key components of Georgia’s economy. Agriculture shaped
Georgia’s history and will continue to be a driving force.
One notable aspect of the food and fiber industry in
Georgia is variety. Georgia farmers produce a wide
range of commodities, from traditional items such as
cotton, peanuts, and beef cows to more nontraditional
commodities such as quail and meat goats. Processors
have located in Georgia to take advantage of these abundant resources. Types of processors in Georgia include
fresh vegetable packers, cotton gins, and first processors
of commodities. These farms and firms provide jobs and
income for Georgians, particularly in rural areas.
•
EMPLOYMENT IMPACT
$50
$55.2
Employment Due to Food and Fiber:
Georgia, 2006
$40
$30
$20
$34.5
$20.8
$10
$0
D ir ect
Ind ir ect
T o t al
Thousands of Jobs
Georgia’s
Food and Fiber
Industry
400
366
300
200
100
206
160
0
Dir ect
The pie chart below shows both the direct and
indirect economic impact of food and fiber by
industrial sectors for Georgia.
Economic Impact of Food and Fiber
By Industrial Sector
Georgia, 2006
Go vt .
2 .6 %
A gri c ult ure
25 . 5 %
S e rv ic e s
10 . 5 %
F ina nc e Ins ura nc e R eal
Estate
4 . 7 % T ra de
6 .9 %
M ining
0 . 04 %
I nd i r e c t
To t a l
STUDY METHODOLOGY
⇒ This study used an
input-output model
called IMPLAN to determine the effects of
C o ns t ruc t io n
0 .2 %
the food and fiber industry on Georgia.
⇒ Data used came from IMPLAN as well as from the
2006 Farm Gate Value Report. Production inT ra ns po rt Ut ilit ie s Inf o
5 .6 %
M a nuf a c t uring
43 . 9 %
cludes all major sectors included in this series.
Processing includes all industries which rely directly on the production of agricultural products in
Georgia.