UF/IFAS Economic Impact Analysis Program analyzed the economic contribtutions of the citrus industry in Florida. The final report was prepared for the Florida Department of Citrus.

1. ECONOMIC CONTRIBUTIONS OF THE
FLORIDA CITRUS INDUSTRY IN 2015-16
PRESENTATION TO THE FLORIDA CITRUS COMMISSION
MAY 17, 2017
Christa D. Court, PhD | Assistant Scientist
Alan W. Hodges, PhD | Extension Scientist
Mohammad Rahmani, PhD | Economic Analyst
Thomas J. Spreen, PhD | Professor Emeritus FOOD AND RESOURCE ECONOMICS DEPARTMENT

2. Scope of the Florida Citrus Industry, 2015-16
Florida Commercial Citrus Production Areas
• Largest citrus producer in the U.S.
̶ 49% of total U.S. citrus production
̶ U.S. is 4th largest producer in the world
• 27 counties have citrus production
̶ 5 commercial citrus production areas
• 480,000+ acres of grove lands
̶ 435,000+ acres of bearing grove lands
• 32 packinghouses ship fresh fruit to
global markets
• 19 processing facilities that process
citrus juice and byproducts

3. Study Purpose
• Estimate the economic contributions of
the citrus industry in Florida for 2015-16
season
– Fruit production
– Packinghouse operations
– Citrus juice manufacturing
• Estimate impacts for five commercial
citrus production areas
– Northern
– Western (peninsular)
– Central
– Indian River
– Southern
• Compare results to previous studies
– 2012-13 season
– 2014-15 season
• Update estimates for the economic
impacts of citrus greening disease (HLB)
Source: UF/IFAS

4. Data Sources and Methods
• U.S. Department of Agriculture (USDA)
– National Agricultural Statistics Service (NASS)
• Citrus acreage, fruit production by type, grower prices
– Foreign Agricultural Service (FAS)
• World citrus production, consumption, and exports
• Florida Department of Agricultural and
Consumer Services (FDACS)
– Fruit shipments to packinghouses and processing
plants
• Florida Department of Citrus (FDOC)
– Juice shipments, wholesale and retail prices
(Nielson), byproduct prices (industry survey)
– Byproduct volumes
• IMPLAN regional input-output software and
data
– Captures the direct, indirect, and induced
multiplier effects of industry activities in all
economic sectors
Source: UF/IFAS
Source: UF/IFAS

5. y = -20,628x + 763,555
R² = 0.9398
0
100
200
300
400
500
600
700
800
AcresBearing(Thousands)
0
100
200
300
400
500
600
Yield(boxesperacre)
Grapefruit Orange
0
50
100
150
200
250
300
350
ProductionUtilized(millionboxes)
Trends in Florida Citrus Acreage, Production, Yields, and Value, 2000-16
Declined by 42% Grapefruit declined by 39%
Orange declined by 46%
Declined by 68%
Source: USDA-NASS
Note: Data are for calendar years and 2016 data are preliminary
0.0
0.5
1.0
1.5
2.0
2.5
ProductionValue(billiondollars)
Acres Bearing Yield
Production Utilized Production Value

6. Trends in World Citrus Production, Consumption, Exports,
and Orange Juice Consumption, 2011-12 – 2015-16
Source: USDA-FAS
8.81
8.42
8.90 8.92 9.36
0
1
2
3
4
5
6
7
8
9
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
1.8
2.0
2011-12 2012-13 2013-14 2014-15 2015-16
WorldExports
(thousandmetrictons)
Country/RegionExports
(thousandmetrictons)
World China South Africa Turkey United States Egypt
88.93 86.29
89.91 90.14 88.49
0
10
20
30
40
50
60
70
80
90
0
5
10
15
20
25
30
35
2011-12 2012-13 2013-14 2014-15 2015-16
WorldConsumption
(millionmetrictons)
Country/RegionConsumption
(millionmetrictons)
World China Brazil European Union United States Mexico
89.63
86.69
90.84 90.89 89.21
0
10
20
30
40
50
60
70
80
90
0
5
10
15
20
25
30
35
2011-12 2012-13 2013-14 2014-15 2015-16
WorldProduction
(millionmetrictons)
Country/RegionProduction
(millionmetrictons)
World China Brazil European Union United States Mexico
Production Consumption
Exports Orange Juice Consumption
2,058 2,070
1,959
2,055
1,892
0
500
1000
1500
2000
0
100
200
300
400
500
600
700
800
900
1000
2011-12 2012-13 2013-14 2014-15 2015-16
WorldOrangeJuiceConsumption
(thousandmetrictons)
Country/RegionOrangeJuiceConsumption
(thousandmetrictons)
World European Union United States Japan China Canada

7. 10.1
84.1
0
10
20
30
40
50
60
70
80
90
Fresh Processed
Utilization(millionboxes)
Tangerines
Tangelos
Red seedless
grapefruit
White seedless
grapefruit
Valencia
orange
Non-Valencia
oranges
Florida Citrus Production Volumes and Grower Values
for Fresh or Processed Utilization, 2015-16
• Total volume of citrus fruit production
94.2 million boxes
• 81.6 million boxes of oranges
• 10.8 million boxes of grapefruit
• 1.8 million boxes of specialty citrus
(tangelos and tangerines)
• Fresh market: 11 percent
• Processing: 89 percent
• Total value of citrus fruit production
$825 million
• Oranges: $682 million
• Grapefruit: $108 million
• Specialty citrus: $35 million
• Fresh market: $170 million
• Processing: $656 million
170
656
0
100
200
300
400
500
600
700
Fresh Processed
Value(milliondollars)
Tangerines
Tangelos
Red seedless
grapefruit
White seedless
grapefruit
Valencia
orange
Non-Valencia
oranges

8. Florida Fresh Citrus Shipment Values and
Packinghouse Margins, 2015-16
The wholesale margin on fresh
packed fruit is the difference
between the value of shipped fruit
and the value paid to growers.
Volume of certified fresh shipments:
17,458 thousand 4/5 bushel cartons
̶ Non-Valencia oranges: 3,153
̶ Valencia oranges: 2,862
̶ White seedless grapefruit: 980
̶ Red seedless grapefruit: 8,091
̶ Tangelos: 414
̶ Tangerines: 1,959
53
40
19
128
6
48
0
20
40
60
80
100
120
140
Non-
Valencia
oranges
Valencia
orange
White
seedless
grapefruit
Red
seedless
grapefruit
Tangelos Tangerines
Oranges fill Grapefruit fill Specialty Citrus
Value(milliondollars)
Value paid to growers
Packinghouse margin

9. Wholesale Value of Florida Citrus Juice, 2015-16
• Total volume: 810 million gallons
̶ Orange juice: 771 million gallons
̶ Grapefruit juice: 38 million gallons
• Total producer value: $2.8 billion
̶ Orange juice: $2.7 billion
̶ Grapefruit juice: $115 million
• Total in-state sales: $157 million
̶ Frozen concentrate: $42 million
̶ Single strength: $116 million
• Total out-of-state sales: $2.6 billion
̶ Frozen concentrate: $692 million
̶ Single strength: $1.9 billion
• 94% of the value of citrus juice sales is
shipped out-of-state
733
2,057
0
500
1,000
1,500
2,000
2,500
Frozen Concentrate Single Strength
Value(milliondollars)
Out-of-state In-state
697
36
1,978
79
0
400
800
1,200
1,600
2,000
Orange Grapefruit Orange Grapefruit
Frozen Concentrate fill Single Strength
Value(milliondollars)
Packaged Bulk

10. Volume and Value of Processed
Citrus Byproducts, 2015-16
Sources: www.svfeeds.com; www.gardeningknowhow.com; www.primafleurbotanicals.blogspot.com

11. Economic Contributions of Florida Citrus Industry Activities, 2015-16
15,563
27,872
1,987
0
5,000
10,000
15,000
20,000
25,000
30,000
Growers Processors Packinghouses
Employment(fulltimeandpart-timejobs)
Direct Indirect Induced
2,559
4,230
8,632
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
Labor Income Value Added Industry Output
(milliondollars)
Growers Processors Packinghouses
Total contributions by citrus industry sector
Total employment contributions by type and citrus sector

12. State and local tax contributions:
$271 million
Tax Contributions of Florida Citrus Activities, 2015-16
Tax on Production
and Imports:
Sales Tax
46%Tax on
Production and
Imports:
Property Tax
36%
Personal Tax:
NonTaxes
(Fines- Fees)
5%
Tax on Production
and Imports:
Other Taxes
4%
Corporate
Profits Tax
4%
Other
5%
Federal tax contributions:
$547 million
Personal Tax:
Income Tax
34%
Social Ins Tax-
Employer
Contribution
23%
Social Ins Tax-
Employee
Contribution
21%
Corporate
Profits Tax
16%
Tax on
Production and
Imports: Excise
Taxes
4%
Other
2%

13. Total Employment Contributions by Industry (Jobs), 2015-16
Agriculture, forestry,
fishing & hunting,
8065, 18%
Manufacturing, 6425, 14%
Health & social
services, 4088, 9%
Retail trade,
3861, 8%
Government & non-
NAICs, 3746, 8%
Accommodation&
food services, 2439,
5%
Professional,
scientific & technical
services, 2314, 5%
Wholesale trade,
2119, 5%
Other services,
2110, 5%
Construction, 1704,
4%
Other, 8552, 19%

14. Florida Citrus Production by County, 2015-16
Source: FDACS
• Top five producing counties
1. Hendry
2. DeSoto
3. Polk
4. Highlands
5. Hardee
• County and area level estimates of
economic contributions were
allocated based on the proportional
distribution of production volume
Citrus production by county, 2015-16

15. Economic Contributions of the Florida Citrus Industry
by Production Area, 2015-16

16. Economic Contributions of the Florida Citrus Industry
by Production Area, 2015-16
• Central, share of 2015 economy
̶ Employment contributions: 2.7 percent
̶ Value added contributions: 3.5 percent
• Southern, share of 2015 economy
̶ Employment contributions: 2.1 percent
̶ Value added contributions: 2.7 percent
• Western (peninsular), share of 2015 economy
̶ Employment contributions: 0.9 percent
̶ Value added contributions: 1.0 percent

17. Direct Employment and Value Added Contributions as a Share of
2015 Employment and Value Added by County
Employment Shares
6.01% - 13.00%
4.01% - 6.00%
1.01% - 4.00%
0.51% - 1.00%
0.01% - 0.50%
Value Added Shares
10.01% - 25.00%
4.01% - 10.00%
2.01% - 4.00%
0.51% - 2.00%
0.001% - 0.50%

18. Comparisons with Past Studies
29,448
19,942
15,563
34,037
27,877 27,872
2,960 2,149 1,987
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
2012-13 2014-15 2015-16
Employment
(FulltimeandPart-timeJobs)
Growers Processors Packinghouses
4,007
2,713
2,118
8,043
6,303 6,206
465 334 308
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
2012-13 2014-15 2015-16
IndustryOutput
(MillionDollars,2016)
Growers Processors Packinghouses
Declines in total employment
contributions by sector:
̶ Growers: 47%
̶ Processors: 18%
̶ Packinghouses: 33%
Declines in total output
contributions by sector:
̶ Growers: 47%
̶ Processors: 23%
̶ Packinghouses: 34%
Overall employment, labor income, value added, and industry output contributions have
all decreased by 31 percent in constant dollar terms between 2012-13 and 2015-16 and
by 8-9 percent between 2014-15 and 2015-16.

19. Economic Impacts of Citrus Greening (HLB)
Cumulative total losses attributable to HLB from 2006-07 – 2015-16 were estimated at:
̶ $4.643 billion in industry output (annual average of $464 million)
̶ $2.768 billion in value added (annual average of $277 million)
̶ $1.760 billion in labor income (annual average of $176 million)
̶ 34,124 job-years (annual average of 3,412 ongoing full- and part-time jobs)
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
Totalgrowerrevenuesreceived(million$)
Without HLB With HLB

20. Economic Impacts of Citrus Greening (HLB)
Cumulative total losses attributable to HLB from 2012-13 – 2015-16 were estimated at:
̶ $4.393 billion in industry output (annual average of $1.098 billion)
̶ $2.631 billion in value added (annual average of $658 million)
̶ $1.673 billion in labor income (annual average of $418 million)
̶ 31,778 job-years (annual average of 7,945 ongoing full- and part-time jobs)
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
Totalgrowerrevenuesreceived(million$)
Without HLB With HLB

21. Corresponding Author
Contact Information:
Christa D. Court
ccourt@ufl.edu
(352) 294-7675
Alan W. Hodges
awhodges@ufl.edu
(352) 294-7674

22. Connect. Explore. Engage.
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