The U.S. Meat Industry: Economic Contributions. Economic Impact Meat and poultry are the largest sector of U.S. agriculture. In 2008, meat and poultry.

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Presentation transcript:

The U.S. Meat Industry: Economic Contributions

Economic Impact Meat and poultry are the largest sector of U.S. agriculture. In 2008, meat and poultry industry sales totaled $159.6 billion, up $9 billion from The total contribution of the meat and poultry industry in terms of economic output to our economy is more than $832 billion – nearly 6 percent of total GDP

Meat = Jobs Although meat and poultry plants are not located in every American city, our products are transported and sold in every city and town in the country, creating millions of jobs and an economic multiplier effect nationwide. Through its production and distribution linkages, the industry impacts firms in all 509 sectors of the US economy. The meat and poultry industry directly and indirectly employs 6.2 million people, paying almost $200 billion in wages and benefits.

Contribution to the Public Finances of the Community Through direct taxes paid, these companies and their employees provide $81.2 billion in revenues to federal, state and local governments. The consumption of meat and poultry generates $2.4 billion in state sales taxes.

Impact on Local Economy Right here in [insert congressional district], the meat and poultry is responsible for XXXX jobs, including XXXX in meat packing/processing and XXXX directly involved in retail sale of meat and poultry products. In addition, the district is home to XXXX jobs in firms supplying the industry. All told, the meat and poultry industry generates $XXX billion in economic activity here in (insert).

Production Statistics In 2008, the meat and poultry industry processed: –9.1 billion chickens –32.4 million cattle –271 million turkeys –2.6 million sheep and lamb –116.5 million hogs In 2008, American meat companies produced: –26.6 billion pounds of beef –23.3 billion pounds of pork –6.2 billion pounds of turkey –317 million pounds of veal, lamb and mutton –37.5 billion pounds of chicken Total meat and poultry production in 2009 reached more than 93.9 billion pounds. Top Livestock and Poultry Slaughtering States: –Cattle: Nebraska, Kansas, Texas –Hog: Iowa, North Carolina, Illinois –Chicken: Georgia, Arkansas, Alabama –Turkey: Minnesota, North Carolina, Arkansas There are 6,032 federally inspected meat and poultry slaughtering and processing plants in the U.S.

Production Statistics (cont’d) Since 1990, the U.S. has increased meat production by almost 50 percent, milk production by 16 percent and egg production by almost 33 percent. This is equally impressive because animal agriculture's contribution to greenhouse gas emissions has remained nearly constant over the same time. Today's American farmer feeds about 144 people worldwide.

Meat & Poultry Exports: A Major Success Story U.S. is the third largest beef exporter in the world behind Brazil and Australia, exporting 897,437 metric tons in % of its beef and veal production, valued at $3.08 billion. On a volume basis, the top markets for U.S. beef, accounting for 89% of beef exports, were Mexico, Canada, Japan, South Korea, Vietnam, Taiwan, Egypt, China/Hong Kong and Russia. Poultry exports reached 3.89 million metric tons, valued at $4.2 billion. Top three markets were Russia, China and Mexico.

Meat & Poultry Exports (cont’d) The U.S. is the world’s third-largest pork producer and exporter, behind China and the EU, with pork exports topping 1.86 million metric tons, worth $4.33 billion in The U.S. exported 22.5% of total pork production in 2009 and set new pork export records in Mexico, Australia, Central America, the Philippines, Taiwan, Dominican Republic and New Zealand. USDA estimates that every $1 received from agricultural exports generates another $1.48 in supporting activities.

Growth Potential What these all of these figures demonstrate is just how important the meat and poultry industry is to the vibrancy of the whole economy. Our growth potential, and thus our economic potential, are only restricted by our market size.

World Population Growing The UN estimates global population will increase by 50 percent, from six billion to more than nine billion by the year Current food production levels will have to increase by about 70 percent to meet the demand.

Opportunities The “Middle Class” in developing countries is expected to increase by 160% by China (157% growth) and India (112% growth) two fastest growing middle classes. With meat consumption rising along with economic development and population in many nations, we have billions of hungry, potential customers. If the United States is not there to fill their plates, other major exporting nations will.

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