Business & Tech

Solano, Yolo Food Chain Valued Over $2.5 billion

Cluster report identifies opportunities to expand critical sector of the economy

By Stephen Pierce
Special to Dixon Patch

The annual economic value of the food chain in Solano and Yolo counties is $2.5 billion, approximately 10 percent of the total economic output of the region.

Growing that economic value will take a collaborative effort by the region’s businesses, industry leaders, and public sector partners to identify the strategic areas for improvement, according to “The Food Chain Cluster: Integrating the Food Chain in Solano and Yolo Counties to Create Economic Opportunity and Jobs” released today.

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The food chain industry cluster represents the full spectrum of economic activity related to agriculture, from before the crops get into the field to value-added processing in consumer products. The viability of farming operations is linked to the availability of intermediate processors and the logistics infrastructure that transforms commodities to consumer goods.

“We already knew agriculture was a key component of our economy.  This study helps us understand how we can grow the whole cluster so our farmers will always have desirable markets and how we can bring more good jobs to the region,” said Solano County Supervisor Mike Reagan.

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The report serves as a jumping-off point to develop a cluster network between both counties that is focused around expanding all segments of the food chain operations. A joint economic summit is planned for later in 2011 that will define strategies available to exploit the opportunities and overcome the challenges identified in this report.

“I am delighted that Yolo and Solano counties are working together to explore ways in which to increase the development of our agricultural economy. This report will inform our joint efforts,” Yolo County Supervisor Don Saylor said.

Location and natural amenities were pointed out in the report as key assets for the region, including:

  • Sharing some of the most productive agriculture lands in the country.
  • Being ideally situated on key transportation arteries (highways, airports, rail and ports) that can get raw products from the field to market, either directly to consumers or to value-added processing facilities for consumer products.
  • Access to an abundant water supply and excess sewage treatment capacity.
  • Proximity to the research in biotechnology at University of California, Davis and other innovation research in the region.
  • A concentration of seven of the top 10 seed manufacturers in the world in the region.

“This report spells out for industry executives all of the tremendous assets we have as a region so they can make informed decisions about how to expand or locate in the region. Growing the entire cluster will ensure agriculture remains viable as well as create a diverse array of good jobs for the region,” said Mike Ammann, president of the Solano Economic Development Corporation.

“Over the last few years, our two counties have been working together on parallel tracks to update our general plans and sustainable agriculture efforts.  This report gives us the key facts to move forward together,” said Wes Ervin, Yolo County economic development manager.

This is the third industry cluster report prepared by the Solano Economic Development Corporation as part of the County of Solano’s efforts to provide data to assist the private sector to make informed decisions that will enhance and expand the local economy.  Earlier studies were on the energy industry and the life science industry.  The studies, along with the annual Index of Economic and Community Progress, are available at www.solanocounty.com/economicindex.

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