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<div><b>From:</b> Julie Murphree <<a href="mailto:juliemurphree@azfb.org">juliemurphree@azfb.org</a>><br>
<b>Date:</b> July 13, 2017 at 11:22:36 AM MST<br>
<b>To:</b> "George Frisvold (<a href="mailto:frisvold@ag.arizona.edu">frisvold@ag.arizona.edu</a>)" <<a href="mailto:frisvold@ag.arizona.edu">frisvold@ag.arizona.edu</a>>, "Ashley Kerna (<a href="mailto:akerna@email.arizona.edu">akerna@email.arizona.edu</a>)"
<<a href="mailto:akerna@email.arizona.edu">akerna@email.arizona.edu</a>>, "Faith Schwartz (<a href="mailto:faithpschwartz@email.arizona.edu">faithpschwartz@email.arizona.edu</a>)" <<a href="mailto:faithpschwartz@email.arizona.edu">faithpschwartz@email.arizona.edu</a>><br>
<b>Cc:</b> Julie Murphree <<a href="mailto:juliemurphree@azfb.org">juliemurphree@azfb.org</a>>, Jeff Silvertooth <<a href="mailto:silver@ag.arizona.edu">silver@ag.arizona.edu</a>>, "<a href="mailto:sburgess@cals.arizona.edu">sburgess@cals.arizona.edu</a>" <<a href="mailto:sburgess@cals.arizona.edu">sburgess@cals.arizona.edu</a>><br>
<b>Subject:</b> <b>FW: 30% of Arizona Household Spending on Raw Agricultural Food Products Comes from Arizona Farm and Ranches</b><br>
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<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D">See below.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D">You may recall quite a while back I told you two that I planned on sending out your economic information to statewide media. Well, I just now completed the task.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D">Faith, I’m alerting you too since I know you also wrote an article on this for the U of A news channels.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D">If I get a request from media for either of you to be interviewed, I’ll forward and keep Faith in the loop.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D">Jules<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><a href="http://fillyourplate.org/"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;text-decoration:none"><img border="0" width="240" height="260" id="Picture_x0020_1" src="cid:image001.gif@01D2FBC8.EBC6C8F0" alt="Fill Your Plate"></span></a><span style="font-family:"Calibri",sans-serif;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><i><span style="font-size:10.5pt;font-family:"Arial",sans-serif;color:#74715C">Communications and Organization Director</span></i><span style="font-family:"Calibri",sans-serif;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><a href="http://azfb.org/"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;text-decoration:none"><img border="0" width="341" height="44" id="Picture_x0020_3" src="cid:image003.gif@01D2FBC8.EBC6C8F0" alt="Arizona Farm Bureau "></span></a><span style="font-family:"Calibri",sans-serif;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#74715C">325 South Higley Road,<br>
Suite 210<br>
Gilbert, AZ 85296</span><span style="font-size:7.5pt;font-family:"Arial",sans-serif;color:#74715C"><br>
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</span><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#74715C">480.635.3607 (office)<br>
480.276.7444 (cell)</span><span style="font-size:7.5pt;font-family:"Arial",sans-serif;color:#74715C"><br>
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</span><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#74715C"><a href="mailto:juliemurphree@azfb.org"><span style="color:#528F3C;text-decoration:none">juliemurphree@azfb.org</span></a>
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<p class="MsoNormal"><b><span style="font-size:11.5pt;font-family:"Arial",sans-serif;color:#74715C">Fill Your Plate:</span></b><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#74715C"><br>
Go to <a href="http://azfb.org/"><span style="color:#528F3C;text-decoration:none">Arizona Farm Bureau</span></a><br>
<b>Blog:</b> <a href="http://juliesfreshair.com/"><span style="color:#528F3C;text-decoration:none">Julie's Fresh Air</span></a>
</span><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-line-height-alt:4.5pt"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><a href="http://www.facebook.com/ArizonaFarmBureau"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#528F3C;text-decoration:none">Facebook</span></a></span><span style="font-family:"Calibri",sans-serif;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:11.0pt;font-family:"Calibri",sans-serif">From:</span></b><span style="font-size:11.0pt;font-family:"Calibri",sans-serif"> Arizona Farm Bureau [<a href="mailto:info@azmail.insidefb.com">mailto:info@azmail.insidefb.com</a>]
<br>
<b>Sent:</b> Thursday, July 13, 2017 11:15 AM<br>
<b>To:</b> Julie Murphree <<a href="mailto:juliemurphree@azfb.org">juliemurphree@azfb.org</a>><br>
<b>Subject:</b> 30% of Arizona Household Spending on Raw Agricultureal Food Products Comes from Arizona Farm and Ranches<o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal" style="margin-bottom:12.0pt"><span style="font-size:10.0pt"><img border="0" id="_x0000_i1025" src="https://www.azfb.org/website/logo.tif"></span><o:p></o:p></p>
<p class="MsoNormal" align="right" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;text-align:right">
Contact <b><i>Julie Murphree</i></b><o:p></o:p></p>
<p class="MsoNormal" align="right" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;text-align:right">
AZFB Outreach Director<o:p></o:p></p>
<p class="MsoNormal" align="right" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;text-align:right">
(480) 635-3607<o:p></o:p></p>
<p class="MsoNormal" align="right" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;text-align:right">
(480) 276-7444 (cell)<o:p></o:p></p>
<p class="MsoNormal" align="right" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;text-align:right">
<a href="mailto:juliemurphree@azfb.org">juliemurphree@azfb.org</a><o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><i>FOR IMMEDIATE RELEASE</i></b><o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><i><span style="font-size:16.0pt">30% of Arizona Household Spending on Raw Agricultural Food Products Comes from Arizona Farm and Ranches
</span></i></b><o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">---ARIZONA, July 13, 2017--- A recent study was done by the University of Arizona's Cooperative Extension and Department of Agricultural and Resource Economics reveals a surprising
amount of agriculture product grown by Arizona farmers and ranchers that actually ends up on Arizona families' plates.<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">According to lead researcher Ashley Kerna, an Economic Impact Analyst at the University of Arizona's Cooperative Extension and Department of Agricultural and Resource Economics,
approximately 30% of Arizona household spending on raw agricultural food products comes from Arizona farm and ranches.<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Said Kerna, "The trick was 'getting under the hood' of the model to figure out how much of what is produced on-farm or on-ranch ends up in Arizona households."
<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">"Obviously, consumers, for the most part, do not buy these products directly from farms and ranches," added George Frisvold, Ph.D., an economics professor, and extension specialist
for the University of Arizona's College of Agriculture and Life Sciences, who regularly works with Kerna on economic studies. "The purchases are made at food stores and restaurants, often as raw ingredients consumed in processed food."<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Even for processed foods, an estimated 18% of Arizona household spending on processed food products comes from Arizona processing facilities. While these processing facilities may
not necessarily be using Arizona ingredients, there are certain food products that are produced and processed in-state that fulfill a portion of Arizona's household demand.
<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">To conduct the study, the Input-Output model Kerna and Frisvold used, IMPLAN, has data on trade flows between more than 5,400 industries and to households of different income categories.
Trade flows describe the movement of goods and services between Arizona and the outside world, generating what is known as Regional Purchase Coefficients (RPCs) for all commodities. An RPC is the proportion of local demand that is supplied by local producers.
The IMPLAN trade flow data is based on national statistics from the Department of Commerce (Bureau of Economic Analysis) and Census Bureau. The U of A team used the IMPLAN trade flow data to calculate<b>
</b>RPCs<b> </b>for both on-farm products and for processed foods. <o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">These RPCs are estimated based on household demands, not industry demands. So the RPCs presented here are estimates of the proportion of local household demand for agricultural
commodities and processed food products that are supplied locally (i.e., by the region to itself). In this case "locally" means within Arizona.
<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">RPCs are higher for individual items that Arizona specializes in such as eggs, vegetables, and melons, beef, fluid milk and tortillas. It is lower for things we do not produce much
(or any) of such as sugar, chocolate, breakfast cereal, seafood, and poultry.<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">As Frisvold and others pointed out, Arizona trades agricultural commodities with the other 49 states and globally, with countries all around the world. This means Arizona's $17.1
billion agriculture industry exports commodities where we have a comparative advantage in production and imports commodities from other areas that have different comparative advantages.
<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">As our U of A economic team points out, many items coming from outside the state are processed foods. Arizona's food manufacturing industries are not as large as other states that
specialize in corn and wheat. The food processing sector <b><i>has been growing</i></b> though. Milk and dairy product production, in particular, are important and has grown in Arizona.
<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">The query on this topic emerged this last spring and the Economic Impact Analyst (EIA) team, as they're known, had an answer for the agriculture community in about two weeks.<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><i>Editor's Note</i></b>: The Economic Impact Analyst team formed over four years ago within the Cooperative Extension System (CES) in an effort to address the many issues and
needs the agriculture industry has to quantitatively document the impacts of agriculture in Arizona and the CES programs. Collectively, the EIA group is providing to the CES the capacity to address questions and issues regarding the percentage of Arizona agriculture
going to Arizona families. The EIA team does so in a technically correct manner, based on appropriate economic methods, providing valuable and accurate information in a timely manner.<o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><i>About Arizona Farm Bureau
</i></b><o:p></o:p></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">The Arizona Farm Bureau is a grassroots organization dedicated to preserving and improving the Arizona agriculture industry through member involvement in education, political activities,
programs, and services. As a member services organization, individuals can become a member by contacting the Farm Bureau. Go to
<a href="http://www.azfb.org/">www.azfb.org</a> to learn more.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p align="center" style="text-align:center"><span style="font-size:7.5pt;color:#666666">Julie Murphree, you have received this message from the Arizona Farm Bureau or one of its affiliates.<br>
You may change your <a href="https://www.azfb.org/communicationpreferences?eid=aa0d3f29-5759-41f3-8cbc-41f0bbc60549">
Communication Preferences or Unsubscribe</a> at any time.<br>
To ensure delivery, add <a href="mailto:info@azmail.insidefb.com">info@azmail.insidefb.com</a> to your address book or safe senders list.<o:p></o:p></span></p>
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