Economic Aspects of the California Nursery and Floral Industry, 2001–2009
No 121696, Information Series from University of California, Davis, Giannini Foundation
California’s nursery and floral industry is the largest in the United States with a farm value for product sales totaling $3.78 billion in 2009. When floral and nursery product sales are combined, the industry ranks second among all California agricultural products, following the dairy industry. Production is in 55 of California’s 58 counties, although 16 counties account for more than 87% of the value of production. San Diego County dominates the industry with annual sales over $1 billion in 2007, 2008, and 2009. Since its 2008 and 2009 sales increased while California’s statewide sales decreased, San Diego County increased its share of California sales from 26% in 2007 to 30.3% in 2009. California is the largest single retail market for lawn and garden products in the United States, accounting for 7.6-10.4% of estimated total annual U.S. sales since 1997. Total 2009 California retail sales of lawn, garden, and floral products were estimated at more than $9.3 billion. The recession of 2008 and 2009 had a significant impact on retail sales and retail outlets. California florists’ sales plunged almost 62%, from a high of $1.2 billion in 2007 to $461 million in 2009. Farm and garden store sales also decreased 25.3% from 2007 to 2009. A regional economic model is used to trace the direct, indirect, and induced effects of California nursery and floral production and lawn and garden retailing through the California economy.
Keywords: Agribusiness; Crop Production/Industries; Production Economics (search for similar items in EconPapers)
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