policy issues

Animal Food Industry Contributes Billions to US Economy

More than 6,200 manufacturing facilities across America produce millions of tons of animal food annually, helping farmers and ranchers keep their livestock and poultry growing well and Americans’ pets healthy. But that is not all they do. These facilities generate billions of dollars in sales and taxes and employ hundreds of thousands of hard-working Americans.

economic reportA report released from the Institute for Feed Education and Research (IFEEDER), the American Feed Industry Association’s public charity, in 2017 quantified exactly how vital the animal food industry is to the U.S. economy. Working with Decision Innovation Solutions, an economic research and analysis firm, IFEEDER analyzed 2016 economic data from a variety of sources to develop an overall picture of the entire animal food manufacturing industry’s contribution to the U.S. economy.

The results were staggering. In 2016, the U.S. animal food manufacturing industry contributed $297.1 billion in U.S. sales, including roughly $102 billion in value-added contributions, and over $22.5 billion in local, state and national taxes. The industry employed over 944,000 people and paid nearly $56 billion in wages.

Five states in particular — Missouri, California, Iowa, Pennsylvania and Texas — topped all economic measures, contributing a combined 337,000 jobs, $105.1 billion in total sales and roughly $8.3 billion in local, state and national taxes.

“Now, we have the data to prove to our nation’s leaders that this industry is an integral part of the agricultural economy, providing hundreds of thousands of jobs and generating billions of dollars in taxes and revenue to support local and state communities.”

—Paul Phillips, IFEEDER’s 2017-18 Board of Trustees chair

The IFEEDER report listed a number of factors that play a role in the animal food industry’s ongoing economic output and said the odds are good the industry will adapt and continue to grow stronger. To read the full report or learn more about how the animal food industry is contributing to your congressional district and state, visit AFIA’s Feed Industry Stats page.