Produce shipments are big business out of the Salinas Valley, according to a new report.
Agriculture pumped $8.1 billion into the economy of California’s Monterey County in 2014. The report, Economic Contributions of Monterey County Agriculture was prepared by Agricultural Impact Associates for Eric Lauritzen, the county’s agricultural commissioner. The last such analysis was for 2011.
California’s drought is now in its fourth year, but has had little effect thus far on total production in the county, compared to the Central San Joaquin Valley and its dependence on federal and state water projects. Agriculture’s share of Monterey’s direct economic output was unchanged from 2011 at 18.5 percent, but rose from $5.1 billion to $5.7 billion.
The $8.1 billion in 2014 impacts amounts to nearly $1 million every hour – $926,757, to be exact – according to the report. Farm production totaled about $7 billion; value-added food processing, $1.1 billion. Wineries accounted for nearly half of value-added.
Crop diversity has slowly declined since 2005, the report finds, making the region more vulnerable to fluctuations in the strawberry market, for one. That’s so even though as many crop types are grown in the area as ever.
“It means that a small number of crops have grown to represent larger pieces of the economic pie,” the report says. “Strawberry shipments for example, accounted for 10.7 percent of the county’s overall production value in 2004, but expanded to 19.9 percent a decade later.”
Nevertheless, Monterey’s diversity was rated higher than three other coastal counties: Santa Cruz, San Luis Obispo and Santa Barbara.
The agriculture industry employed 55,702 in 2014, or 23.7 percent of all local jobs, up from 45,140 and 20 percent.
Salinas Valley vegetables and strawberries – grossing about $5500 to Atlanta.