November 2, 2009
EAST LANSING- Yesterday, the Michigan Commission of Agriculture heard special testimony from the Michigan Department of Agriculture's (MDA) Agriculture Development Division highlighting the growth and achievements of Michigan's agri-food industry over the past 12 years and the role MDA has played. From the birth of the state's renewable fuels sector to expanding agriculture-based businesses to identifying ways consumers can buy local foods, MDA's Agriculture Development (AgD) Division helped bring these initiatives to fruition.
"In just 12 short years, thanks in part to the tremendous efforts of MDA's Agriculture Development Division, the state's agri-food sector in Michigan has grown from $55 billion in 1997 to $71.3 billion in 2009. That's a 129 percent increase," said James Byrum, Commission chair. "As one of the few economic bright spots in the state, it is essential that the Commission recognize the intrinsic role the food and agriculture industry play in Michigan's economic well-being."
Below are some of the highlights from yesterday's presentation:
· Employs more than one million Michigan residents, nearly 25 percent of the state's workforce.
· Exports about one-third of its agricultural commodities each year, generating more than $1.68 billion and supporting more than 19,691 jobs in 2008, and this has almost doubled when one compares the USDA statistics of $869.8 million for agricultural exports in 1997.
· Produces over 200 commodities, the second most agricultural diverse state in the U.S.
· Michiganleads the nation in the production of 20 commodities. AgD has worked with most commodity groups in Michigan since 1997 and provided oversight to commodity check-off groups, commodity coordination, as well as economic development and marketing assistance to new "infant" industries in Michigan getting started, namely aquaculture, chestnuts, cranberries, and organic agriculture.
· In 2000, Site Magazine ranked Michigan 5th in the nation in food processing plant expansions; over 525 large food processors and 800 small food processors.
· AgD and other partners assisted in the formation and successful launch of Michigan Turkey Producers Cooperative and Michigan Sugarbeet Growers, Inc. These two farmer-owned cooperatives now operate very successful value-added processing plants in Michigan that provide over 1,500 jobs, assure ready-markets for growers, and are key partners in promoting "Select Michigan" products.
· The green jobs and bioeconomy has been a driver of economic growth for Michigan's food and agriculture industry. There are now five corn-based ethanol plants operating with total production capacity at 267 million gallons per year, $600 million annual total economic impact, 220 direct jobs, and using 90 million bushels of corn annually. Also, two biodiesel plants are operating on a partial basis in the state with about 20 million gallons capacity and approximately 20 direct jobs. The direct investment in state biofuels facilities, both in plants and equipment, equals nearly $1 billion.
In 2009, consumer purchase preferences for Michigan grown and/or processed products have soared as a mega-trend as part of the buy local movement and residents want to help Michigan in every way possible.
The first year the Select Michigan Program was conducted in the West Michigan, sales of fresh fruits and vegetables on average increased 111 percent. Sales have subsequently increased approximately 10-20 percent per year thereafter.
"I applaud the efforts of MDA's Agriculture Development Division and the fingerprint their efforts have made in the growth of the state's second largest industry," said Byrum. "Their commitment to agriculture, agri-business growth, producers and others is unparalleled. Continued investment in Michigan's agriculture industry is vital as we work to turn Michigan's economy around."
For more information, visit www.michigan.gov/mda and click on "Food and Agribusiness."
###
Find us on Facebook! Go to www.facebook.com, search for Michigan Department of Agriculture and become a fan today.
Follow MDA on Twitter @MichDeptofAg.
Follow International Agriculture Marketing and Exports @MiAgExport.