The agriculture industry throughout the southern U.S. continues to analyze the destruction of Hurricane Helene.
In an Oct. 8 American Farm Bureau Federation (AFBF) news article, AFBF Economist Danny Munch reports agriculture is an important part of the Southeast and has a long road to recovery.
He states, “When we overlay the counties impacted by massive power losses with the U.S. Department of Agriculture (USDA) Census of Agriculture data, we see about $14.8 billion in crop and livestock production is generated in the counties affected by Hurricane Helene.”
Recent reports state nearly $1 billion of cattle infrastructure damage has occurred in those counties, while the dairy industry is close to $500 million in damages.
According to Munch, miles and miles of pasture fencing have been lost, cattle have been sporadically spread out over the affected area and milk is being dumped, as it can no longer be sold because there’s no refrigeration.
Poultry
Munch reports poultry production is the dominant agricultural industry in the region, with an estimated $6.3 billion in poultry products produced across the affected counties in 2022.
“Over 80 percent of the poultry production value is concentrated in the most severely affected counties category,” he notes. “Georgia and North Carolina together account for more than one-quarter of the U.S. broiler supply by value and were among the hardest hit.”
Reports indicate high winds flattened numerous poultry houses. Georgia Gov. Brian Kemp announced over 107 poultry houses were either damaged or destroyed.
In Florida, reports suggest roughly one in seven broiler houses are damaged or destroyed, reducing the immediate supply of poultry and hindering local production capacity for months or even years.
“Rebuilding poultry houses, restocking flocks and addressing supply chain disruptions will be costly and time consuming,” Munch says. “Additionally, flooding from the hurricane-contaminated feed and water supplies increase the risk of disease outbreaks in surviving birds.”
These issues, combined with the financial hardship of rising insurance premiums, could force many poultry farmers out of the market.
Fruit trees and nuts
Ranchers, farmers and timber growers are reporting widespread damage from Hurricane Helene’s wind and rain.
Munch states, “Fruit and tree nut production across impacted counties totals approximately $1.9 billion annually. Of this, $808 million is attributed to berries, primarily blueberries and strawberries.”
According to recent reports, Georgia is the second-largest blueberry producer in the U.S., growing about $156 million worth of blueberries each year, and Florida accounts for 13 percent of U.S. strawberry production.
“Many farms experienced extensive flooding of fields which were prepped with raised beds in plastic for strawberries to be planted in two weeks,” Munch explains.
“Even more devastating is the loss of pecan orchards,” he adds. “Georgia is responsible for 36 percent of U.S. pecan production, with approximately $183 million in annual output from over 260,000 acres.”
Preliminary reports from the University of Georgia suggest older pecan trees have suffered a 70 percent loss, while younger trees face a 40 percent loss and the affected counties make up about 23 percent of Georgia’s pecan acreage.
The destruction of mature trees can take up to a decade to replace, resulting in long-term production declines.
“Additionally, prolonged flooding from the storm has saturated the soil, increasing the risk of root rot and other fungal diseases, further weakening or killing the surviving trees and compounding challenges to recovery,” Munch mentions.
Major apple-growing regions, predominantly in North Carolina, supplying over $20 million in fresh market production have been impacted and face challenges from tree loss and waterlogged soils.
Produce
Munch reports vegetable production in the affected region amounts to $1.1 billion annually.
“Excessive rainfall and flooding have created perfect conditions for bacterial and fungal diseases to thrive,” he states. “In South Carolina, mustard greens, rutabagas, tomatoes and brassicas like broccoli and collard greens have already shown signs of bacterial root rot and blight.”
Hurricane Helene’s catastrophic impact could reduce yields and disrupt supply chains as many of these vegetables are key elements of the fall and winter harvest.
Cucumbers and squash are also susceptible to disease due to saturated soils adding to the challenge.
Munch adds, “Under Section 402(a) of the U.S. Federal Food, Drug and Cosmetic Act, any exposed food crops, such as leafy greens, tomatoes, string beans and berries and underground crops like peanuts, potatoes and carrots cannot be sold.”
Crops with hard outer skins or shells, such as winter squash and watermelons, are considered tainted if exposed.
“This regulatory requirement amplifies the financial strain on farmers, as large portions of their harvest may be rendered unsellable,” he states.
Livestock
Cattle and dairy production are also major industries in the affected region, with nearly $1 billion in cattle production and $500 million in dairy.
“Flooding destroyed significant amounts of pastureland, and many farms lost miles of fencing, allowing surviving beef and dairy cattle to scatter,” Munch states. “This will increase the cost of recovery as producers will need to repair infrastructure and, in some cases, locate and relocate animals.”
According to reports, dairy farms were especially hard hit by power outages which disrupted milking operations and caused large quantities of milk to spoil.
Munch notes, “In coming months, producers will face further challenges from reduced feed supplies as hay stores were contaminated by floodwaters, rendering them unusable.”
Prolonged exposure to wet and muddy conditions can also lead to an increased risk of infections and the added stress can further reduce milk production.
Row crops
Munch continues, “The storm also devastated key row crops, including cotton, corn and soybeans. Counties in the affected areas produce nearly $700 million in cotton, $400 million in corn and $180 million in soybeans annually.”
Cotton had just begun to be harvested when Hurricane Helene hit and is vulnerable to wind damage, with reports of flattened fields and tangled bolls making it difficult to harvest.
“This will not only reduce yields but also lower fiber quality and affect market prices,” he states.
Helene’s economic impact
As of Oct. 8, the USDA announced the crop losses across the South alone could trigger $7 billion in insurance payouts.
Munch notes, “Over $14.8 billion in crop and livestock production is generated in the affected counties. Georgia leads with $5.66 billion in production value, followed by Florida at $3.06 billion, North Carolina at $2.64 billion and South Carolina at $2.54 billion.”
Early estimates from Florida’s Department of Agriculture and Consumer Services indicate between $500 to $800 million in crop and farm infrastructure losses in Florida alone and the Virginia Cooperative Extension estimates $125 million in agricultural damage in their state.
“Nearly 100,000 farms operate in the affected counties, underscoring the critical importance of agriculture to the region’s economic health,” he concludes.
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