Courtesy Virginia Farm Bureau Federation
Results of a newly released economic impact analysis have found that Virginia’s seafood industry contributes $1.1 billion to the state’s economy.
The latest Virginia Seafood Agricultural Research and Extension Center economic impact study found that in 2019 Virginia’s seafood industry supported 7,187 jobs and generated over $26 million in tax revenue from local, state and federal taxes. The study, sponsored by the Virginia Marine Products Board, also found that 24%, or $6.3 million, of the total tax generated was local.
“The study clearly demonstrates the economic value of Virginia’s local seafood production and processing,” said Tony Banks, senior assistant director of agriculture, development and innovation for Virginia Farm Bureau Federation. “Seafood aquaculture, primarily oyster and clams, is a major contributor to this $1.1 billion industry. Virginia aquaculture is poised for continued growth as technology related to shellfish, algae and aquaponics advances.”
Virginia’s seafood industry provides valuable employment opportunities for watermen, aquaculture farmers, processors, distributors and others. The total employment effect of the industry was estimated to benefit 7,187 people, with a direct result of 6,050 jobs, an indirect effect of 523 jobs and an induced effect of 614 jobs. The total labor income was estimated to be $168.1 million, and the total value-added benefits were estimated to be $545 million.
The economic benefits of the seafood supply chain to the overall state economy demonstrate the magnitude and reach of the Virginia seafood industry. Watermen, aquaculture farmers, processors and distributors sustain jobs and support other economic sectors that amplify their contribution to Virginia’s economy. Those economic sectors include polystyrene foam product manufacturing, boat building, sporting and athletic goods manufacturing, commercial and industrial machinery and equipment repair and maintenance through direct expenditures by seafood businesses.
The report also found that the industry’s economic multiplier is 1.24, which indicates that every dollar spent in the seafood business generated an additional 24 cents of output in the Virginia economy in 2019.
Leave a Reply