Family farms are a key driver of Iowa's economy

October 1, 2024

Iowa’s 86,911 family farms continue to be a key driver of Iowa’s economy, contributing 32% more to the state economy than in 2017, according to a new study commissioned by the Coalition to Support Iowa’s Farmers (CSIF). The study shows that more than 22% of Iowa’s total economic output came from Iowa agriculture in 2022.

The study analyzed data from the 2022 UDSA Census of Agriculture, USDA/NASS datasets, the IMPLAN modeling system, and the 2022 IMPLAN dataset to determine the contributions of Iowa agriculture. The agriculture industry goes beyond just impacting the total economic output of the state. Nearly one in every five Iowans are employed due to agriculture and ag-related industries, accounting for more than 385,000 jobs.

“This study underscores how productive and innovative farmers continue to be, despite some very challenging times during Covid,” said Spencer Parkinson of Iowa-based Decision Innovation Solutions (DIS), which conducted the study. “In fact, since the first report of this nature was completed by DIS in 2009, the labor income finding its source in agriculture and related industries has more than doubled, increasing from $12.6 billion to $25.8 billion in 2024 — these earnings benefit more than just those in agriculture, they support
all Iowans.”

Family ownership

Even with this growth, Iowa’s farmers maintain their roots. More than 96% of farms in Iowa are family owned and operated with farm size averaging 345 acres.

“The agriculture industry remains a vital part of Iowa communities,” said Brian Waddingham, CSIF Executive Director. “We see this every time we host an open house with livestock farmers. It’s common to see hundreds of community members attend to celebrate what a new barn means to their community: jobs, kids in school and a boon to local businesses.”

Waddingham noted that livestock farming and related industries account for $20.4 billion in value-added contributions for the state, up nearly $5 billion from 2017. It also accounts for nearly 170,000 jobs across Iowa.

“It’s a testament to the tenacity of livestock farmers, in particular, who have persevered through a global pandemic, low commodity prices, tariffs and Mother Nature to actually see an increase in economic output related to livestock in the state. There’s no question that the livestock industry is a critical piece to Iowa’s overall economy,” said Waddingham. “It’s also key to keeping farm families living and working on the land.”

“In the 20 years since the Coalition was formed, we’ve assisted more than 5,300 farm families wanting to responsibly grow their farms and bring young people back to rural Iowa. Diversification seems to be a key component to Iowa’s thriving livestock industry, from established livestock farmers to crop farmers adding livestock for the first time. Calls to CSIF for assistance remain high as farmers want to discuss which options are best for their farms.

Whether it’s a new and beginning farmer or an existing and well-established farmer calling us, there is a great deal of optimism about adding livestock to the farm,” he added.

Waddingham noted that the calls for assistance include concerns over DNR and EPA inspections, neighbor relations, siting new livestock and poultry barns as well as raising shrimp.

There are many opportunities in Iowa’s livestock industry today which will continue to evolve to provide farmers additional opportunities in the future. “As agriculture evolves so will CSIF and the services we provide to ensure the success of livestock agriculture in our state,” he said.

The study also noted that crop farming and processing account for 99,271 jobs, and $16.2 billion in value-added contributions to Iowa, up from $11.1 billion in 2017.

The Coalition to Support Iowa’s Farmers was created by farmers to help farmers raise livestock successfully and responsibly. It’s a partnership involving the Iowa Beef Industry Council, Iowa Cattlemen’s Association, Iowa Corn Growers Association, Iowa Farm Bureau Federation, Iowa Pork Producers Association, Iowa Soybean Association, Iowa Turkey Federation, Midwest Dairy and the NC Poultry Association. The non-profit, non-partisan organization provides assistance to farmers at no cost. CSIF does not lobby or develop policy. Farm families wanting a helping hand can contact the coalition at 800.932.2436.

For more information on the study and a county-by-county break out, visit supportfarmers.com/iowaagintel.

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