Economic Contributions of the Fruit and Vegetable Juice Industry in the United States, 2017
This report was prepared to document the economic contributions of the fruit and vegetable juice products industry in the United States (U.S.), including farm production, processing/manufacturing, and retail distribution. Contributions were estimated for 2017, the most recent year of information available on all three industry segments. The total value of farm production of fruits and vegetables for processing in 2017 was $2.51 billion, including values in excess of $100 million for orange, strawberry, apple, cranberry, and peach. Excluding the fruits that are primarily used for jams or jellies or dried product (strawberry, peach, and apricot), the total value was $1.90 billion. Geographically, the largest states for fruit and vegetable production for processing were Florida ($1.02 billion), California ($665 million), Washington ($269 million), Wisconsin ($149 million), Michigan ($78 million), New York ($75 million), Massachusetts ($55 million), and Oregon ($52 million). Processing/manufacturing of fruit and vegetable juices, blended juices, and smoothies in 2018 was conducted by 483 business establishments, with an estimated employment of 14,865 persons, and gross revenues of $11.46 billion.
Domestic demand for all juice products in 2018 was $12.78 billion, based on revenues plus imports less exports. Retail sales of fruit and vegetable juices and juice drink products in the U.S. in 2017 were $9.86 billion. Major product categories are shelf-stable or canned juices and refrigerated juices. Sales of shelf-stable juices in 2015 (most recent year available) included cranberry ($1.00 billion), apple ($914 million), tomato/vegetable ($433 million), lemonade ($306 million), grape ($280 million), and orange ($274 million). Refrigerated juice retail sales in 2015 included orange ($3.24 billion), juice smoothies ($898 million), lemonade ($633 million), blended juices ($360 million), and vegetable juices ($122 million). Imports of juices to the U.S. grew from $1.59 billion in 2010 to $2.36 billion in 2018 (49% increase), including significant increases for orange (+91%), other single fruits (+65%), lemon (+93%), and other single vegetables (+206%). U.S. exports of juices declined from $1.14 billion to $930 million (-18%), including large decreases for orange (-32%), single vegetables (-17%), fruit mixtures (-55%), grape (-18%), and grapefruit (-17%), but increased for apple juice (+74%), vegetable mixtures (+46%), and other citrus (+64%).
Exports of juices to major world regions were largest to North America ($520 million) and Asia ($237 million), followed by South/Central America ($95 million), Europe ($70 million), Australia/Oceana ($6 million) and Africa ($1.4 million). Estimates of the economic contributions of the fruit and vegetable juice industry in the U.S. were developed to communicate the broad scope of economic activities supported by the fruit and vegetable juice industry in the U.S. in support of informed public policy and advocacy. The economic contributions of the U.S. fruit and vegetable juice industry were analyzed using the IMPLAN© regional economic modeling system (IMPLAN© Group, LLC) that enables estimation of the overall economic activity supported by an industry, including indirect multiplier effects of inter-industry or supply chain purchases, and induced multiplier effects of employee household income spending.
For all industry activities, the total economic contributions were 224,587 fulltime and part-time jobs, $12.28 billion in labor income, $20.08 billion in value added (Gross Domestic Product), and $45.54 billion in industry output or business revenues. Juice manufacturing accounted for contributions of 115,708 jobs and $33.88 billion in industry output; fruit and vegetable production for juice processing accounted for 46,650 jobs and $4.80 billion in industry output; retail sales of juice products accounted for 62,229 jobs and $6.87 billion in industry output. The industry also contributed $1.73 billion in state and local taxes, and $2.73 billion in federal government taxes. Results were allocated to states and regions based on the share of direct employment or sales in the different sectors. The largest ten states in terms of overall employment contributions for all activities were Florida (35,751 jobs), California (31,250 jobs), Washington (17,956 jobs), Wisconsin (11,755 jobs), New York (10,608 jobs), Oregon (10,380 jobs), Michigan (9,562 jobs), Pennsylvania (9,224 jobs), Texas (7,268 jobs), and Ohio (6,743 jobs). Fourteen states had overall output contributions of at least one billion dollars, including New Jersey, Idaho, Minnesota, and Illinois in addition to those listed above.
Suggested Citation: Spreen, T. H., A. W. Hodges, C. D. Court, and A. Chen. “Economic Contributions of the Fruit and Vegetable Juice Industry in the United States in 2017.” Economic Impact Analysis Program, University of Florida-IFAS, Food & Resource Economics Department, Gainesville, FL, July 2020.