County PorkBy: News Release
Apr 20th, 2017
Study: Pork a $144 million industry in Clayton County
(CLIVE, Iowa) — From jobs to sales, the pork industry in Clayton County is a significant contributor to the economic well-being of the county and the state, according to a new study commissioned by the Iowa Pork Producers Association.
The economic contribution study was conducted in late 2016 by Decision Innovation Solutions of Urbandale, which produced the results in accordance with methods prescribed and endorsed by the Minnesota IMPLAN Group. The research results are based on IMPLAN modeling data from 2015.
The pork industry, including production, processing and associated business, in Clayton County contributed $144.6 million in total sales in 2015, with $68.9 million in value added sales minus input costs. The industry generated $3.3 million in state and local taxes and $8.5 million in federal taxes.
There are 1,022 jobs in Clayton County that are directly tied to the pork industry and that provide $54.3 million in labor income.
“The pork industry is a major force in the county and state economy and we’re proud of the jobs it provides and the contributions it makes overall,” said IPPA Past President Al Wulfekuhle of Quasqueton. “Without pork production, Clayton County wouldn’t have a thousand jobs or the taxes paid by the various associated entities.”
Select County Analysis
Clayton was one of 25 counties that IPPA selected for the study and modeling to learn the industry’s economic contribution and impact in each county. U.S. Census of Agriculture statistics show that in 2012, the most recent statistics available, there were 105 hog farms in Clayton County and the number of hogs totaled 261,084, or an average of 2,486 head per farm.
Among the 25 counties selected for further analysis, the average hog inventory per county is 206,623 head, while the average number of hog farms per county is 63. This results in an average inventory per Iowa hog farm of 3,265 head. These focus counties have inventories that account for 31 percent of Iowa hogs. Additionally, these counties represent 28 percent of the farms in Iowa, with an average inventory per hog farm of 3,671 head, 406 more than the statewide average head per farm.
The hogs in the county consumed a conservative estimate of 71,610 acres of corn and 51,190 acres of soybeans from wean to market, maintaining the pork industry’s standing as one of the top markets for corn and soybean farmers.
Decision Innovation Solutions also looked at what the construction and operations effects of a new, 2,400-head wean-to-finish hog barn in Iowa would be on the local and state economy. Employment, labor income, value added and sales are all common measures of economic activity.
Construction of a new hog farm requires purchases of steel, concrete and equipment. Once completed, the farm purchases feed, veterinary care and other professional services, and several more inputs to produce hogs for sale. One new barn would generate 14.6 jobs, provide more than $869,000 in labor income; $1.1 million in value added and $2.3 million in sales, according to the study.
An Iowa hog farm relies on roughly 30 percent of its equipment, feed, transportation, maintenance and veterinary care from local businesses.