The Importance of Agriculture and its Transportation Issues Presented By: Dr. Steve Amosson Regents Fellow Professor and Extension Economist Texas Freight Advisory Committee Meeting Amarillo, Texas October 2, 2013
Presentation Outline Impact of Texas Agriculture Texas High Plains Agriculture Transportation Issues Concerning Texas Agriculture
IMPACT OF TEXAS AGRICULTURE
Impact of Agricultural Production and Agribusiness on the Texas Economy, 2012 Percentage of Total Economic Impact by Minor Category* Cotton 11.1% Feed Crops 17.0% Vegetables 1.8% Oil Crops 1.1% Fruits & Nuts 1.1% Misc. Crops 7.2% Poultry 7.5% Milk 6.8% Food Grains 3.9% Ag-Related 6.8% Livestock Products 0.1% Other Meat Animals 1.9% Beef 34.1% Total = $44.55 billion *Estimates are based on output multipliers for agricultural commodities from farm gate back through supply chain within Texas. (Minnesota IMPLAN Group, Inc. 2010. IMPLAN Professional Version 3.0 Stillwater, Minnesota)
Agricultural Production in Texas, 2012 Percentage of Total Value by Top Ranked Commodities Nursery 5.3% Feed Corn 5.5% All Other 56.0% Cotton Lint 6.0% Feed Beef 13.6% Other Beef 13.6%
Agricultural Production in Texas, 2012 Production Value by Major Category
Extension District Totals Ranked by Total Value of Agricultural Production and Related Items, 2012
AGRICULTURE IN THE TEXAS HIGH PLAINS
it would rank: #2 in fed cattle marketed just behind Kansas #11 among all states in market value of all agricultural products sold #12 among all states in swine production after having virtually no hogs in 2000 #13 in wheat production #15 in production of each of the following commodities: corn, cotton, sorghum and dairy
Annual Total Agricultural Cash Receipts, Government Payments & Agribusiness Payroll, High Plains Trade Area 2005-2008 Agricultural Cash Receipts $3,738,761,000.00 Government Payments $146,142,000.00 Agribusiness Payroll $1,130,781,000.00 VALUE OF AGRICULTURE IN THE HIGH PLAINS TRADE AREA Total $5,015,684,000.00 3% 23% 74% Agricultural Cash Receipts Government Payments Agribusiness Payroll In Millions of Dollars $5.0 Billion Dollar Industry
Average Annual Agricultural Cash Receipts, High Plains Trade Area, 2005-2008 Value ($1,000) Percent of State Total Regional Economic Impact ($1,000) State Economic Impact ($1,000) Crops: Corn $421,766 52.2% $681,359 $711,938 Wheat $303,074 50.7% $489,613 $511,586 Cotton $238,984 10.6% $368,017 $381,172 Sorghum $110,053 18.6% $177,790 $185,769 Ensilage $89,838 60.9% $155,582 $160,332 Hay $30,958 4.0% $53,614 $55,250 Other Crops $117,792 $203,993 $210,220 Total Crop Receipts $1,312,464 $2,129,967 $2,216,266 Livestock and Livestock Products: Fed Beef $1,508,688 73.6% $2,880,099 $3,279,859 Other Beef $399,077 9.1% $761,841 $867,585 Hogs $206,723 93.7% $283,165 $311,392 Dairy $298,753 24.0% $420,897 $466,059 Other $2,996 $4,104 $4,513 Total L & LP $2,416,236 $4,350,106 $4,929,408 Other Ag-Related $10,060 $13,177 $14,716 Total Agricultural Receipts $3,738,761 $6,493,251 $7,160,390
Millions of Head FIVE-YEAR AVERAGE CATTLE FED IN 26-COUNTY AREA 6 5 4 3 2 1 0 Years 65-69 70-74 75-79 80-84 85-89 90-94 95-99 2000-04 2005-08
HIGH PLAINS TRADE AREA & STATE HOG INVENTORY 1990-2008 1200 1000 800 600 400 200 0 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 High Plains Trade Area State Inventory
Dairy Inventory-Milk Cows, High Plains Trade Area, 2000-2009 160 140 1,000 Head 120 100 80 60 40 High Plains Milk Cow Inventory, High Plains Trade Area, 2000-2009 20 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Years Year High Plains State Head 2000 3,700 350,000 2001 2,000 345,000 2002 5,200 315,000 2003 13,400 320,000 2004 21,300 317,000 2005 38,000 318,000 2006 52,500 325,000 2007 79,600 347,000 2008 126,000 400,000 2009 141,400 430,000 Total 483,100 3,467,000
Head 250,000 Dairy Cow Inventory All States - Milk Cows 200,000 150,000 100,000 Colorado Kansas New Mexico Oklahoma Texas 50,000 0 1975 1980 1985 1990 1995 2000 2005 2010
High Plains County Ag-Related Employment Private Sector Farm and Ranch Number of Employees Annual Payroll $1,000,000 37,645 $884.75 13,451 $185.54 Total 51,096 $1,070.28 *Employment estimates do not include ag-related public sector/government employees
Public Sector Not Accounted For Texas AgriLife Extension Service Texas AgriLife Research West Texas A & M University USDA-AMS Farm Service Agency National Resource and Conservation Service Parks and Recreation Texas Veterinary Medical Diagnostic Laboratory Clarendon Community College Others
TRANSPORTATION ISSUES FOR TEXAS AGRICULTURE
Miscellaneous Ag Facts Approximately the equivalent of 800,000 semiloads of feed & cattle move every year in the High Plains to support the Fed Cattle Industry Annual U.S. Ag. Exports Total Ag. exports: 102.9 billion Ag. trade surplus: 37.4 billion Annual Ag. trade with Mexico Ag. exports to Mexico: 18.3 billion Ag. Imports from Mexico: 15.8 billion
Transportation Issues in Texas Agriculture Texas Cattle Feeders Association Texas Corn Producers Association Plains Cotton Growers Association Texas Grain Sorghum Producers Association Texas Wheat Producers Association
Transportation Issues in Texas Agriculture Enhanced Export Competitiveness Panama Canal expansion Improved highway & port efficiency Road Maintenance Increased oil & gas traffic Development of wind energy impacts Rail pricing & Access in less trafficked areas Lack of a Public Port Interstate Issues such as truck weight limits between OK and TX
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