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Michigan's food and Ag business continues to grow

An updated Michigan State University (MSU) study on the impact of Michigan’s food and agriculture supply chain shows the industry contributes an estimated $91.4 billion to the state’s economy. That’s an increase of nearly 50% between 2004 and 2010. Though the largest growth numbers came from the wholesale and retail distribution portion of the supply chain, the largest percentage of growth came from farming. The farming line encompasses food, energy and horticultural crops, as well as animal production and turf production. “The impact of Michigan’s farms and the commodities they produce is 12% of the overall total, and their economic contribution has nearly doubled from less than $7 billion to more than $13 billion,” said Chris Peterson with MSU’s Product Center who conducted the study. “You’d be hard-pressed to find another business sector that has pulled through the recession with those kinds of numbers in just six years.” The study was first conducted in 2006 using 2004 data. Then, the food and agriculture sector was determined to be valued at $60.1 billion. An interim study in 2009 showed an increase in value to $71.3 billion. The newest study shows that the food and agriculture system is on a consistent growth trend. The report can be seen at www.productcenter.msu.edu.

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