By Emmy Powell
Communications Specialist
A new report highlights the significance of the U.S. food and agriculture sectors in feeding the American economy.
A study commissioned by 25 food and agricultural groups, including the American Farm Bureau Federation (AFBF), found food and agriculture supports more than 46 million jobs and contributes over $8 trillion to the U.S. economy each year, while exports contribute another $202 billion.
The total food and agriculture industry’s economic impact is up 22% since 2019.
“American agriculture is really the foundation of our lives and our economy. This study reveals the numbers, and maybe some of the spirit, of this one indispensable sector,” Roger Cryan, AFBF chief economist, said.
Millions of farmers, ranchers, agricultural laborers, food scientists, food inspectors, factory workers, truck drivers, grocery store employees and countless other Americans link together in the food supply chain every day to bring the food grown on U.S. farms and ranches to grocery stores, restaurants and dinner tables across the nation.
The report, Feeding the Economy, considered direct economic impact, supplier economic impact and induced economic impact. The study provides data on jobs, wages and economic output. It also illustrates the food and agriculture sector’s impact on local and nationwide economic activity.
The results also underscore this sector’s resilience and reliability amid unprecedented global and domestic crises, including the commodity shock following the war in Ukraine and continued supply chain disruptions.
The seventh annual report shows the U.S. food and agriculture sector directly provides $927 billion in wages and is vital to rural communities across America.
The strength and growth highlighted in this year’s report reinforce that agriculture is evolving and innovating to meet the demands of the 21st Century. Land use for agriculture decreased by 28% while land productivity grew nearly four times and labor productivity grew more than 10 times, according to the U.S. Department of Agriculture. In fact, agriculture’s total factor productivity growth rate is among the highest of U.S. sectors.
In Texas, food and agriculture supports an estimated 4.25 million jobs with an economic impact of $733.5 billion annually.
Click here to view the full report.
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