05/04/2005

State's Green Industry Grows to $1.9 Billion

AUBURN , Ala. — Alabama's green industry, often overlooked as part of the state's agricultural scene, could finally get the recognition it deserves in light of a new Auburn University study that shows it is the largest cash crop in the state, contributes $1.9 billion annually to Alabama's economy and provides jobs for almost 31,000 Alabamians.

The study—a joint effort by AU, the Alabama Nursery and Landscape Association, the Alabama Turfgrass Association and the U.S. Department of Agriculture—is the first-ever comprehensive economic analysis of the state's green industry, which includes nursery and greenhouse, turfgrass and sod and lawn and landscaping operations as well as retail businesses that sell plant materials and related products.

“Talk about the largest crop in the state, and most people think of cotton,” said AU agricultural economist and study coordinator Deacue Fields. “This study, which was long overdue, clearly illustrates the tremendous and far-reaching impact of the green industry to Alabama .”

A breakdown of the different sectors of Alabama 's green industry shows that:

767 nurseries and commercial greenhouses in Alabama contribute almost $306 million to the economy and employ 4,319 workers;
the state's 69 turfgrass and sod operations employ 1,030 workers and represent $99 million in total output impact;
the lawn and landscape sector, which includes only the 1,029 state-licensed operators and not those operating without a license, gives more than 8,500 people jobs and boasts an economic impact of $645.4 million;
some 727 retail establishments selling plants, shrubs and related products employ just under 7,000 Alabamians and have an total output impact of $855.6 million annually.

Output impact includes the direct impact from industry sales, indirect impacts from allied firms that supply inputs to the industry and induced effects when the industry's employees spend their paychecks.

In addition to the $1.9 billion, the industry's impact is felt through the payment of $269.4 million in state and local taxes.

Nationally, the USDA has identified the green industry as one of the largest and fastest-growing segments of U.S. agriculture. The AU study indicates the same holds true in Alabama.

“This study is extremely important because it establishes a benchmark by which we can monitor future growth and progress in the industry,” said Ken Tilt, an AU horticulture professor and Alabama Agricultural Experiment Station researcher who assisted with the study. “Another important point is that it's one of the few crops that has exhibited consistent growth over the past 10 years in the state and shows continued promise for the future. When funds are allocated by government and granting agencies for research and extension, hopefully these supporting figures will give these agencies reason to look more closely at our industry”

Data from the study show Alabama ranks third in the nation in turfgrass and sod production and sixteenth in nursery and greenhouse production.

“All of this confirms the state, regional and national significance of Alabama 's green industry,” Fields said.

-30-

News from:

Office of Ag Communications & Marketing

Auburn University College of Agriculture
Alabama Agricultural Experiment Station
3 Comer Hall, Auburn University
Auburn, AL 36849
334-844-4877 (PHONE) 334-844-5892 (FAX)

Contact Jamie Creamer, 334-844-2783 or jcreamer@auburn.edu
Contact Deacue Fields, (334) 844-4931, fielded@auburn.edu

For immediate release