Food fiber and forestry sector generates 117 billion and one million jobs
Agriculture continues to play a major role in North Carolina's economy, supporting jobs, businesses, and communities across the state. A new economic impact report shows that the food, fiber and forestry sector generated $117 billion in economic activity during 2024 and provided employment for about one million people.
The report was prepared by agricultural economist Jeffrey Dorfman of NC State University using the latest available economic data. According to the study, the sector accounts for nearly one out of every five jobs in North Carolina.
The report uses a broad definition of agriculture that includes the entire journey of products from farms and forests to consumers. This means the sector includes crop and livestock production, forestry operations, food manufacturing, textile production, wood processing, grocery stores, restaurants, and garden centers.
The study also includes businesses that support agricultural production. Equipment dealers, fertilizer suppliers, seed providers, and other agricultural service companies contribute to the industry's overall economic footprint.
Dorfman explained that agriculture cannot be measured only at the farm level. Food must be processed, distributed, marketed, and sold before it reaches consumers. Including these activities provides a clearer picture of agriculture's real contribution to the economy.
One important finding is that the $117 billion figure does not rely on multiplier effects. Some economic studies add indirect spending estimates when calculating impact. This report focuses only on the direct value created by the food, fiber, and forestry system.
That value comes from the products and services generated across the agricultural supply chain. Examples include food products, forest products, textiles, paper goods, and retail food sales.
The sector's employment impact is especially noteworthy. With approximately one million jobs, agriculture supports more workers than any other major industry in the state. Industries such as professional and business services, healthcare, education, and government employ fewer people overall.
Determining where agriculture ranks in total economic output is more complicated. Several industries, including manufacturing, real estate, professional services, retail, and wholesale trade, contribute similar shares to the state's overall economy.
Comparing industries can be difficult because many business activities overlap. For example, food manufacturing is often counted as part of manufacturing, while food sales may be included in retail statistics. These classifications can make direct comparisons challenging.
Healthcare presents another example. Medical services, pharmaceutical manufacturing, medical equipment production, and healthcare-related real estate may be counted in different economic categories even though they are all connected to healthcare.
Because of these overlaps, experts say there is no single answer to whether agriculture is North Carolina's largest industry by economic output. However, there is strong evidence that the food, fiber, and forestry sector rank among the state's largest industries.
The report highlights agriculture's broad influence on North Carolina's economy. From farms and forests to food processors and retailers, the sector supports economic activity in urban and rural areas alike.
As demand for food, natural resources, and agricultural products continues to grow, the industry remains a key contributor to employment, business development, and economic stability across the state.
While rankings may vary depending on how industries are classified, the report clearly shows that agriculture remains one of North Carolina's most important economic engines and the state's largest sources of employment.
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