Urban and rural California might be miles apart geographically, but they could not be more interdependent economically.
Our recent research and report – “Southern California Economy: Contributions from the Strawberry Supply Chain” – was commissioned by the California Strawberry Commission. It found that more than $2.7 billion in annual revenue related to strawberry production is generated by non-farm businesses in Southern California counties.
Southern California plays a major role in contributing to the success of California strawberry operations by providing a diverse range of related non-farm goods and services in Los Angeles, Orange, Ventura, Riverside and San Diego counties. This supply chain is made up of dozens of niche businesses that include box and packaging companies, consultants, transportation operations and retail outlets.
Our research found that strawberries and Southern California’s urban economy are strongly linked and benefit one another.
We spoke during the course of our research to a family-owned business in Los Angeles that makes more than 75 million plastic clamshells used in the packaging of strawberries. Another family business – a San Diego County trucking company in Vista – relies on strawberries as a major part of its transport operations.
Key findings included:
• A thriving non-farm urban sector that creates a wide range of companies involved in retail, processing, packaging, brokering, shipping and other businesses.
• A diverse workforce that includes an equal number of women and men – especially Latinos and Asians – with a wide range of educational backgrounds.
California has the best climate in the world for sustainably growing strawberries – and continues to lead the United States and the world in strawberry production. California strawberry farmers are responsible for nearly 90 percent of U.S. strawberry production.
Our research did specifically not examine social benefits, but a nearly $3-billion annual infusion of revenue clearly translates into significant annual tax revenue that supports local, state and regional government services, including funds that support teachers, police and firefighters. Our research suggests that a strong strawberry industry is important to Southern California in many ways.
California continues to become more urbanized and people become increasingly distanced from farming and how their food is grown.
This report offers an important reminder that city dwellers and rural residents share vital social and economic connections (see related commentary, left).
Annette Levi, PhD, is a professor and agricultural business department chair at Fresno State University. Serhat Asci, PhD, is an assistant professor and research associate at FSU’s Institute for Food & Agriculture.
