Economic Impacts of the Aquaculture Industry in Alabama in 2005 by Tom Stevens, Alan Hodges, and David Mulkey January 12, 2007 University of Florida, Institute of Food and Agricultural Sciences, Food and Resource Economics Department P.O. Box 110240 University of Florida, Gainesville, Florida 32611-0240 352-392-1845
[email protected] economicimpact.ifas.ufl.edu Prepared under contract for Auburn University, Department of Agriculture Economics and Rural Sociology. Economic Impacts of the Aquaculture Industry in Alabama, 2005. Executive Summary The positive economic impacts of aquaculture on the State of Alabama in 2005 were evaluated using an IMPLAN® input-output computer model of the State’s economy. This analysis was facilitated by the recent publication of the 2005 Census of Aquaculture by the U.S. Department of Agriculture, and cost of production data provided by the Alabama Cooperative Extension System and Auburn University. Aquaculture in Alabama has grown rapidly since the 1980s, from nominal sales of less than $8 million (M) in 1981, to more than $102 M in 2005. In 2005 there were 201 aquaculture operations in Alabama with 594 paid and unpaid workers. Using data from the Census of Aquaculture and the Alabama Cooperative Extension System, an IMPLAN model of the State of Alabama was modified to more accurately represent its aquaculture industry. Economic impacts were estimated under the assumption that 95.6 percent of Alabama’s aquaculture production was sold outside the State. Direct, indirect and induced impacts for the State of Alabama were estimated for output, value-added, labor income, other property type income, indirect business taxes and employment.