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Economic Contribution Of The Sugarbeet Industry To North Dakota And Minnesota; Summary


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  • Bangsund, Dean A.
  • Leistritz, F. Larry


Agricultural industries in small geographical areas with limited acreage tend to be overlooked by those not associated with the growing region or industry. Sugarbeets continue to be produced in a relatively small geographic area and with relatively limited acreage in North Dakota and Minnesota. These factors, along with continued debate over policies affecting domestic sugar industries and recent industry expansions, help justify a continued assessment of the economic importance of the sugarbeet industry to the regional economy. Revenues from sugarbeet production and expenditures by processors to North Dakota and Minnesota entities in fiscal 1997 represented the direct economic impacts from the industry. Expenditure information was provided by sugarbeet processing and marketing cooperatives. Secondary economic impacts were estimated using input-output analysis. The sugarbeet industry planted 654,400 acres and harvested 11.9 million tons in 1996. Production and processing activities generated $831.1 million in direct economic impacts. Total (direct and secondary) annual economic impacts from the sugarbeet industry were estimated at $2.3 billion. Direct and secondary employment in the industry was 2,486 and 30,436 full-time equivalent jobs, respectively. Tax revenues generated by the industry in North Dakota and Minnesota were $51 million. In real terms, gross business volume of the sugarbeet industry in the two states has increased 74 percent since 1987. Increases in business activity from the industry have resulted from expanded acreage and increased processing activities. The sugarbeet industry remains an important agricultural industry in North Dakota and Minnesota.

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Paper provided by North Dakota State University, Department of Agribusiness and Applied Economics in its series Agricultural Economics Reports with number 23204.

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Date of creation: 1998
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Handle: RePEc:ags:nddaer:23204

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Keywords: sugarbeet industry; North Dakota; Minnesota; economic impact; Industrial Organization; Agribusiness; International Relations/Trade;


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  1. Bangsund, Dean A. & Leistritz, F. Larry, 1993. "Economic Contribution of the Sugarbeet Industry to the Economy of North Dakota and Minnesota," Agricultural Economics Reports 23250, North Dakota State University, Department of Agribusiness and Applied Economics.
  2. Coon, Randal C. & Leistritz, F. Larry, 1988. "The Economic Contribution of the Sugarbeet Industry of Eastern North Dakota and Minnesota," Agricultural Economics Miscellaneous Reports 119553, North Dakota State University, Department of Agribusiness and Applied Economics.
  3. Coon, Randal C. & Leistritz, F. Larry & Hertsgaard, Thor A. & Leholm, Arlen G., 1985. "The North Dakota Input-Output Model: A Tool for Analyzing Economic Linkages," Agricultural Economics Reports 23304, North Dakota State University, Department of Agribusiness and Applied Economics.
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Cited by:
  1. Zeuli, Kimberly A. & Deller, Steven C., 2007. "Measuring the Local Economic Impact of Cooperatives," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 35(1).
  2. Bangsund, Dean A. & Hodur, Nancy M., 2013. "Petroleum Industry's Economic Contribution to North Dakota in 2011," Agribusiness & Applied Economics Report 146512, North Dakota State University, Department of Agribusiness and Applied Economics.


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