Alabama agriculture and forestry industries contribute $77.3 Billion to state’s economy

In a special announcement by the Alabama Agribusiness council, state leaders revealed the economic impact of Alabama’s agriculture and forestry industries. 

According to the newly released study, agriculture and forestry contribute a staggering $77.3 billion annually to Alabama’s economy, making it one of the top industries in the state. These industries account for 273,271 jobs, representing 10% of the state’s total workforce.

“For those of us who work in the ag and forestry industries, these are not just empty numbers to us,” said Grace Ellis, Executive Director of the Alabama Agribusiness Council. “They are numbers that testify to the significant work that we do to feed, clothe and to shelter all of us.”

The report, commissioned by the Alabama Agribusiness Council and conducted by researchers from the Alabama Cooperative Extension System and Auburn University, examines the economic impact across commodity sectors and ten geographic regions based on U.S. Department of Agriculture definitions.

The top economic contributors were identified as timber production and processing, which generates $30.6 billion and supports 91,372 jobs, and poultry and egg production, which contributes $19 billion and provides 47,205 jobs.

Other notable contributors include soybean, corn and wheat production at $812.4 million, beef production at $703.6 million, and cotton production at $566.9 million. Additionally, the study found that every dollar of income generated in the agriculture and forestry industries creates an additional 66 cents of income in other local industries.

RELATED: Alabama’s food, agriculture sector provides $51.2 billion economic impact, more than 334,548 jobs (2024)

“The prosperity and sustainability of Alabama’s economy is heavily influenced by agriculture and these allied industries, and I’m proud to represent the hardworking people employed in those endeavors,” said Alabama Commissioner of Agriculture and Industries Rick Pate.

“Commodities produced in our state help feed and clothe people across the globe. They also add beauty to our environment and protect our natural resources.”

Pate highlighted the importance of these industries to Alabama’s communities, stating, “We understand rural Alabama and what’s at stake for all of us to hold our rural communities together.”

Alabama Farmers Federation President Jimmy Parnell highlighted the potential for even greater economic growth in these industries.

“Agriculture and forestry have been in the past and continue to be an extremely important part of Alabama’s economy,” said Parnell. “What’s really exciting is to think about how much this number could grow in the future if our state would focus on more economic development that supports these industries.”

The study will be reassessed every two years to ensure the data remains current and accurate, allowing the agriculture and forestry sectors to communicate their contributions to the state’s economy.

Grace Heim is a state and political reporter for Yellowhammer News. You can follow her on X @graceeheim or email her at [email protected].