HEUFY~ L~~yD
The PUBLIC GRAIN ELEVATOR
.of~the ..
Alabama State Docks System
Its Impact on the Alabama Economy
AGRICULTURAL ECONOMICS SERIES NO. 32 
AUGUST, 1979
Prepared by the Department of Agricultural Economics of the Auburn University
Agricultural Experiment Station and the Alabama Cooperative Extension 
Service Cooperating
Aublwn University, Al 5, -o
AUBURN UNIVERSITY
AU B URN ALABAMA
36830
SCHOOL OF AGRICULTURE AND
AGRICULTURAL EXPERIMENT STATION SYSTEM
Office of Dean and Director 10 September 19 79 
Telephone 205-826-4840
Mr. Robert M. Hope, Director
Alabama State Docks Department
P. O. Box 1588
Mobile, AL 36601
Dear Mr. Hope:
On behalf of Auburn University, we are pleased to
transmit to you this study, The Public Elevator of the
Alabama State Docks System, Its Impact on the Alabama
Economy.
We feel that this joint project of the Agricultural
Experiment Station and Cooperative Extension Service 
utilized
the personnel of Auburn University with the greatest knowledge
and experience concerning the grain marketing 
systems of Alabama,
the United States and the World.
This documentation of the economic importance of the
private and public sectors of agriculture and agribusiness
will hopefully contribute to advancement of Alabama's total
economy.
Sincerely,
RI Den isRouse, Dean and Di r . Michael Sprot , rector
School of Agriculture and C operative Exten io Service
Agricultural Experiment Station
Enclosure
I
A LAND-GRANT UNIVERSITY

TABLE OF CONTENTS
Foreword
Summary
The Value of Agricultural Exports to Alabama, James R. Hurst . . 1
Shares of National Exports of Selected Agricultural.Products
Which Accrue to Alabama Counties, Harry B. Strawn ...... . .21
Income and Employment Generated in the Alabama Economy by the
State Docks Public Grain Elevator, James L. Stallings 30
List of Tables
U. S. Agricultural Exports- by Principal Commodity Groups ..... 3
Soybeans: Area, Yield, Supply, Disappearance, and Prices, U. S.,
1969-78.... .... ... .............. 6
Corn (grain only): Area, Yield, Supply, Disappearance, and
Prices, U. S., 1969-78.....................7
Wheat: Area, Yield, Supply, Disappearance, and Prices, U. S.,
1969-78....8
Planted Acreage of Major Field Crops, Alabama, 1969-78... .. . . 9
Soybeans: Acreage, Yield, Production, Price, and Value, Alabama,
1969-78 with Projections to 1984.... ................. 11
Corn: Acreage, Yield, Production, Price, and Value, Alabama,
1969-78 with Projections to 1984............. ..... 12
Wheat: Acreage, Yield, Production, Price, and Value, Alabama,
1969-78 with Projections to 1984..................13
Port Facilities, Ranked by Storage Capacity, Volume and Rate of
Turn, U. 5. 1976.. ....... ......... ......... 16
Exports, by Commodity, Alabama State Docks Public Grain Elevator,
Mobile, 1968-78 with Projections to 1984-85.............18
Estimated Value of Alabama's Share of Agricultural 
Commodities
Exported in the 1978 Marketing Year 
and Not Allocated to
Counties on an Individual Basis..29
Origin of Products Flowing Through 
the Alabama State Docks Public
Grain -Elevator, Calendar Year 1977.37
Estimated.Farm Value of Grains, Seeds, 
and Nuts, or Their
Equivalent, Originating from Alabama 
Farms and Firms Passing
Through the Alabama State Docks 
Public:Grain Elevator, by
Counties, 1977...38
Estimated Direct and Indirect Effects 
of Port of Mobile Access on
the Economies of the Counties of Alabama..41
Acres, Yield, and Production of 
Corn, Alabama,1960--79, with
Projections to 1984, 1989, and 1999... 
.... . .44
Acres, Yield, and Production of Soybeans,.Alabama-,1960-79,.with
Projections to 1984, 1989, and 1999.45
Acres, Yield, and Production of 
Wheat, Alabama,.1960.79, with
Projections to 1984, 1989, and 1999.46
Example of Transportation Charges 
for Corn from Mt. Vernon, Id.,
to Selected Points in Alabama, with Present 
Waterways and Assumed
Completion of the Tennessee-Tombigbee 
Waterway, 1970..48
Comparison of Approximate Distances 
and Savings.in Miles With and
Without the Tennessee-Tombigbee 
Waterway Between Two Selected
Points Using Water Transportation.49
List of Figures
U. S. Agricultural. Trade Balance...................2
U. S. Agricultural Exports by Principal 
Commodity Groups 0I 9 
2
U. S, Agricultural Exports: Government 
Programs and Commercial
Sales...............................3
Export Prices Paid for Major U. S. Farm 
Crops.............4
County Estimates of Direct and 
Indirect Value of All Grains 
and
Grain,-Seed or Nut .Equ v ~lts Shipped Througtifhe- Public
FOREWORD
This publication was prepared jointly by the Department 
of Agricultural
Economics and Rural Sociology of the Auburn University 
Agricultural Experi-
ment Station and the Alabama Cooperative 
Extension Service. Its purpose is
to document for the people of Alabama the importance 
of the Alabama State
Docks System to the economy. While this particular 
publication deals spe-
cifically with the Public Grain Elevator only and 
the grains and processed
products which pass through this facility, it is 
hoped that other aspects
of the System will be covered in future studies.
While this is mostly a study of the impact 
on the agricultural sector
of Alabama, it must be pointed out that many 
sectors of the economy are
interrelated and separation of the agricultural 
sector from other sectors
is not entirely possible. For instance, 
cotton lint may go to textile
mills and become part of the manufacturing 
sector whose products may, in
turn, be exported, while the cottonseed 
may be processed into meal and oil,
the meal of which may pass through the Public Grain 
Elevator facility.
Benefits of the Public Grain Elevator 
to the Alabama economy are docu-
mented in three separate papers by three authors 
who each look at the Ele-
vator from different aspects and whose papers could 
be used separately from
the entire report:
1. James R. Hurst, Economist--Crops Marketing, 
Alabama Cooperative Exten-
sion Service, takes an overview of 
United States exports in general and
the Alabama Public Grain Elevator in particular showing historical,
present, and projected production and exports.
2. Harry B. Strawn, Economist--Resource 
Development, Alabama Cooperative
Extension Service, looks at the importance 
of United States agricultural
exports in general to the Alabama economy 
through the "export shares"
approach.
3. James L. Stallings, Associate Professor, Department of Agricultural
Economics and Rural Sociology of the Auburn University Agricultural
Experiment Station, looks at the direct and multiplied 
impact of the
Public Grain Elevator on employment and income, 
both in the agricultural
sector and on the sectors from which agriculture buys inputs for produc-
tion and goods and services for consumption.
James R. Hurst, Economist--Crops Marketing
Alabama Cooperative Extension Service
Harry B. Strawn, Economist--Resource Development
Alabama Cooperative Extension Service
James L. Stallings, Associate Professor
Department of Agricultural Economics
and Rural Sociology
SUMMARY
Hurst Paper:
1. In fiscal year 1978 the United States had a $43 billion trade
deficit in non-agricultural trade but a $13 billion surplus in
agricultural trade. These trends are continuing.
2. Total value of United States grain and soybean exports in fiscal
1978 were $18.7 billion or 70% of total agricultural exports. Mar-
kets for these products are expanding worldwide.
3. Planted acreage and exports of Alabama soybeans have been increas-
ing rapidly in the last decade, faster than the United States aver-
age. This has been at the expense of cotton, corn, and pasture
land.
4. The Public Grain Elevator of the Alabama State Docks System has
the highest turnover (efficiency) rate of any other export elevator
in the United States while the storage capacity ranks only twen-
tieth out of a total of 25.
5. Exports through the Public Grain Elevator are expected to increase
in the future as Alabama and United States production and exports
increase.
Strawn Paper:
1. Demand for agricultural products grown in Alabama is significantly
influenced by national exports of these products.
2. The value of Alabama's "export share" of national agricultural
exports is relatively high.
3. In the 1977 Crop Year (10/1/76-9/30/77) the Alabama "export share"
was $325.8 million. While dry weather and other problems reduced
this amount to $299.5 million in 1978, Alabama's export share is
expected to again pass the 1977 mark and increase in the future.
4. The 1978 Alabama "export share" of agricultural exports would
amount to an average of nearly $4.5 million per county or approxi-
mately $80 for each man, woman, and child in Alabama.
Stallings Paper:
1. For every $1 worth of Alabama agricultural products exported through
the Public Grain Elevator of the Alabama State Docks System, a
total of $2.72 of business is generated in the Alabama economy.
This includes a direct effect of $1 to the farmer for grains, seeds,
or nuts plus an additional indirect effect of $1.72 to the suppli-
ers of inputs and services to farmers and to businesses from which
the farm families buy.
2. Total multiplied effect on the Alabama economy of agricultural
exports through the Public Grain Elevator in calendar year 1977
was $282,713,040. Of this, $103,785,229 went directly for the raw
grains, seeds, or nuts and $178,927,811 to suppliers of agricul-
tural inputs and services and to businesses from which the farm
families- buy.
3. Trends are upward for increased volume through the Public Grain
Elevator and for the multiplied effect on the Alabama economy.
4. Greatest impacts on Alabama local county economies are presently
in counties around inland grain elevators on navigable rivers which
collect and ship grains and products on to the Public Grain Eleva-
tor at Mobile. The Tennessee-Tombigbee waterway can potentially
result in additional shipments to Mobile from Tennessee river loca-
tions, as well as from points north on the river system which nor-
mally have been shipped to the Port of New Orleans.
THE VALUE OF AGRICULTURAL EXPORTS TO ALABAMA
James R. Hurstl/
The State of Alabama is expected to consider in 
the near future the
need for a bond issue to finance an expansion and improvement 
of State Docks
facilities at Mobile. In this paper the feasibility of these activities
are considered from an economic standpoint. The question addressed 
is:
"Are the expected economic returns to the State 
of Alabama sufficient to
justify these expansions and improvements?"
The present and future economic impact 
of export trade through the Port
of Mobile is evident throughout most 
of the state's economy. The Alabama
State Docks is aware that the agricultural economy 
of the State is a primary
recipient of these benefits. Thus the Agricultural 
Experiment Station and
Cooperative Extension Service at Auburn 
University were requested to conduct
a study to determine the economic impact of exports 
from the State Docks
on farmers and agribusinessmen in the State.
UNITED STATES PRODUCTION AND EXPORT TRENDS
The United States has increased its share of world 
agricultural trade
over the past decade to help offset its overall declining 
balance of trade.
In fiscal 1978, the United States had a $43 billion 
trade deficit in its
non-agricultural trade but a $13 billion surplus 
in agricultural trade
(Figure 1).
1/Economist--Crops Marketing, Alabama Cooperative 
Extension Service, Auburn
University.
FIGUJRE I1.
U.S. AGRICULTURAL
TRADE 
BALANCE
$ BIL.
30
Agricuitu; al exports\
20
\Agricultural imports
0
1970 75 
80
Octoae.S,0tEY ~ tears. 19771178 oarvea~ywesn'awe.
Oilseeds. and grains now comprise the largest share of agricultural
exports by value.& Grains and feeds accounted, for 43 percent 
of total agri-
cultural exports in 1978 and oilseeds and products (mostly soybeans) 
ac-
counted for 27 percent (Figure 2). Total value of grain and soybean exports
was $18.7 billion or 70 percent of total agricultural exports. (Table 1) 
.
FIGURE 2.
U.S. AGRICULTURAL EXPORTS BY
PRINCIPAL COMMODITY GROUPS
S 81L.
30
il
,. et 
~ t
20. f . laves tack
15 t'(wi ,
1970n7 76 79
.ABLE -1.s
UJ.S. Agricultural Exports by Principal
commodity Groups'
Total exjoris
Q,4!r'd.s atid produIcts
Liv. tot:k and(1products
Frtu s,s11(ist S,lad
Colton zanu l rflt'rs
Thtoacco, unman~u*
f iclu red
Ot1her
Oct ober. Sept ember'
mated.
1975 1976 19772 1978'
Million dollars.
21,854 22.760 24,0 13 26,600
1,561 1 1l,930 9.305 11.1100
4 753 415i02 6,404 7.300.
1,.666 2,207 2,645 2.800
1.3 73 1,532 1,.712 1.800
1,055 919 1,538 1 ,600
897 929 1,085 1,100
549 561 537 600
ye~ars: Pr!frnmnary. Pairtaiy est'-
Comm~ercial sales accounted for over 94 percent of total agricultural
exports, in 1977 (Fig ure 3). There has been a. shift: away from dependence
on government financed exports in recent years from a percentage standpoint.
Ten years ago almost 20 percent of export sales were government financed;
the percentage has. now dropped to about 5 percent,
FIGURE 3.
U.S. AGRICULTURAL EXPORTS:
GOVERNMENT PROGRAMS AND
COMMERCIAL SALES
$ B IL.
25
Total~
Government
20.1-- programs 
:.f-
t ""Commercial
- 1'3 /-, . ": sales -
5;~. .
1970 73 76 7
The above trends which are occurring in agricultural 
exports have sig-
nificant implications for Alabama agriculture and the 
Alabama State Docks
Public Grain Elevator. The growth in agricultural exports is creating
larger markets for high-value crops being produced in Alabama. Export
prices for soybeans in 1977 were $271 per metric ton compared with $113 for
wheat and $101 for corn (Figure 4).
FTG'RE 4.
EXPORT PRICES 
PAID FOR MAJOR
U .S. FARM 
CROPS
S PER METRIC TON
Whet 113f197
146 ;: '" ;: 
-"41976
Corn 101
117 ~
Soybeans 
271
216 i.":
Averae.exoori unit vaetsvi.
The production of grain and soybeans in the LUnited States has increased
significantly during the 1970's in response to increased demand in world
markets. From 1969 to 1978 production of soybeans increased 710 million
bushels or-about 63 percent (Table 2). Exports during the same period
Exports of soy products totaled a 269 million bushels equivalent for
1978. Exports of 800 million bushels of raw beans along with the 269 mil-
lion bushels equivalent in products totals 1,069 million bushels or about
56 percent of the total soybean market.
Corn production in the United States increased over 50 percent or 2.4
billion bushels over the period 1969-78 (Table 3). During the same decade,
exports increased 1.3 billion bushels to almost 2 billion bushels 
and now
account for almost 30 percent of the total corn market.
Wheat production in the United States increased 356 million bushels
or 25 percent during the 10 years, 1969-78 (Table 4). Exports increased
about 95 percent during the same 10 years and now account for 58 percent
of the total wheat market.
Soybeans, corn, and wheat now account for over 75 percent of the acre-
age planted to major crops in the United States. These three crops also
account for more than 55 percent of the total value of agricultural exports
for the 1978 crop year.
The United States will export 4,194 million bushels of grain and oil-
seeds during the 1978-79 marketing year. This is approximately 40 percent
of the total United States market for these commodities. Without export
demand the United States would be encountering serious problems of excess
supply and low prices. This would result in low farm incomes or costly
government subsidy programs similar to those which plagued American agricul-
ture from the 1930's until the expansion of export markets during the 1970's.
Exports are vital to the economic well being of American agriculture
as well as Alabama agriculture. The continuity of government policies, both
federal and state, that aid in developments of export markets are essential
to the economy.
TABLE 2. Soybeans: Area, Yield, Supply, Disappearance, and Prices, U.S., 1969-78
1,000 acres Bushels Million bushels Dollars/
1969 42,534 41,337 27.4 326.8 1,133.1 1,460.0 797.5 432.6 1,230.1 737.3 2.3
1970 43,082 42,249 26.7 229.8 1,127.1 1,356.9 824.4 433.8 1,258.2 760.1 2.8
1971 43,476 42,705 27.5 98.8 1,176.1 1,274.9 786.1 416.8 2,202.9 720.4 3.0
1972 46,866 45,683 27.8 72.0 1,270.6 1,342.6 803.5 479.4 1,282.9 721.8 4.3
1973 56,549 55,667 27.8 59.6 1,547.5 1,607.2 897.3 539.1 1,436.4 821.3 5.6
1974 52,479 51,341 23.7 170.8 1,216.3 1,387.0 778.2 420.7 1,198.9 701.3 6.6
1975 54,550 53,579 28.9 188.2 1,547.4 1,735.5 935.5 555.1 1,490.6 865.1 4.9
1976 50,226 49,358 26.1 244.9 1,287.6 1,532.5 865.6 564.0 1,429.6 790.2 6.8
1977 59,080 57,911 29.6 102.9 1,716.3 1,819.3 994.0 700.0 1,694.0 935.0 5.7
19782 64,000 63,000 29.2 161.0 1,843.0 2,004.0 1,089.0 800.0 1,889.0 1,010.0 6.7
1
Marketing year beginning Sept. 1.
2
Estimated.
bushel
5
5
3
7
8
2 0
I1
9
5
Source: Fact Book of U.S. Agriculture. Miscellaneous Publication No. 1063, USDA,
TABLE 3. Corn (grain only) : Area, Yield, Supply, .Disappearance, 
and Prices, U. S. 1969-78
Market- Area Su l Disappear
ing Planted Yield perP
year for all jharvested harvested Beginning Produc-2Domestic
purposes for grain acre stocks tion Imports Total use Expa
1,000 acres Bushels Million bushels
1969 64,264 54,574 85.9 1,118 4,687 1 5,806 4,18968
1970 66,863 57,358 72.4 1,005 4,152 4 5,161 3,978
1971 74,179 64,123 88.1 667 5,646 1 6,314 4,392
1972 67,126 57,513 97.0 1,127 5,580 1 6,708 4,742 1
1973 72,253 62,143 91.3 708 5,671 1 6,380 4,653 1,8
1974 77,935 65,405 71.9 484 4,701 2 5,187 3,677 119 48630
1975 78,583 67,505 86.3 361 5,829 2 6,192 4,022 1,11,9325
1976 84,374 71,300 87.9 399 6,266 3 6,668 4,100 1,64 57421
1977 82,680 79,006 91.0 884 6,371 1 7,256 4,285 1,80!,8520
19783 79,700 70,000 101.2 1,104 7,1082 1 8,187 4,675 1,90 66521
2
1
rketing year beginning Oct.1
Grain and grain equivalent of, corn
ELi nited.
Domed
mers
bushel
products.
SOURCE: Fact Book of U.S. Agriculture, Miscellaneou Publication No. 1063, USDA.
I 1
TABLE.4. Wheat: AreaYieldSupplDisappearance and Prices
Area
Planted IHarvested
1,000 acres
Market-
ing
1
year
1969
1970
1971
1972
1973
1974
1975
1977
1978
47,146
43, 564
47,685
47,303
54,148
65,368
69,391
70,771
66,216
56,800.
iYield Per
harves ted
acre
Bushels
30.6
31.0
33.9
32.7
31.6
27.3
30.6
30.3
30.6
31.6
F
Suppnly Disappearance
--~ -
~Beginning jProduc- II Domestic1 3 1
Istocks tion jImports 
3
Total use
4
lEx ortsl Totall
905
984
822
985
599
340
435
665
1,112
1,177
1,443
1,352
1,619
1,546
1,711
1,782
2,122
2,142
2,026
1,799
Million bushels
2,351 764
2,336 772
2,443 849
2,531 799
2,1311 754
2,125 672
2,569 721
2,810 748
3,140 842
2,978 852
603
741
610
1,135
1,217
1,018
1,173
950
1,124
1,175
1,367
1 ,513
1,459
1,934
1,971
1,690
1,894
1,698
1,966
2,027
Prices
r ec eiv ed
by farmers
Dollars/bushel
1.25
1.33
1.34
1.76
3.95
4.09
3.56
2.73
2.31
2.91
'Marketing year beginning June 1.
7
Stocks are reported as of June 1.
Incldesflour and other products in termis of wheat.
4
Total U. S. domestic disappearance, including shipments to possessions.
5
[sr inmaLcd.
S'urce: Fact Book 
of U. S. Agriculture, 
Miscellaneous Publication 
No. 1063,7 USDA.
53,450
48, 739
53,822
54,913
59,254
71,044
74,786
80,202
74,804
66,100
00
7~ri)67272L748
ALABAMA CROP PRODUCTION
Alabama's agricultural production has been characterized over the past
decade by a significant shift of acreage from cotton, corn and pasture to
soybeans. Acreage of soybeans tripled during this period and now exceeds
the total acreage of all other crops combined (Table 5). They accounted
for 57 percent of the 3.5 million acres of cropland in Alabama in 1978.
The shift to soybeans has resulted in a higher 
per acre income to Alabama
farmers.
The rate of increase in soybean production in Alabama and other 
South-
eastern states has been significantly faster than the U.S. average. Soybean
acreage in the United States increased about 60 percent while Alabama acre-
age more than tripled during the past decade. The direction of 1969-78
trends in acreage and production of major crops in Alabama are expected to
continue. Soybeans should continue to increase at the expense of cotton,
corn, and pasture.
TABLE 5. PLANTED ACREAGE OF MAJOR FIELD CROPS, ALABAMA, 1969-78
Year Grain Cotton Peanuts Soybeans 
Total
1,000 acres
1969 1,071 566 192 660 2,489
1970 992 565 195 625 2,377
1971 1,091 579 199 680 2,549
1972 938 601 201 830 2,570
1973 965 525 204 1,000 
2,694
1974 975 600 204 950 2,729
1975 1,056 400 208 1,300 
2,964
1976 1,175 460 216 1,200 3,051
1977 1,142 420 216 1,650 3,428
1978 927 360 216 2,000 3,503
Percent
Change -13 -36 +12 +203 +41
SOURCE: Alabama Agricultural Statistics.
10
Soybean acreage, which tripled from 1969 to 1978, is projected to reach
2,800,000 by 1984 (Table 6). Yields should be maintained near current lev-
els with advancement in technology offsetting the expected buildup in the
insect and disease complex that occurs without benefit of crop rotation.
Projected production in 1984 will be almost 64 million bushels with an aver-
age projected price of $7 per bushel, which will result in a total projected
value of the crop of $446,880,000.
Corn acreage in Alabama increased during the mid-70's in response to
higher prices but has since declined (Table 7). Acreage is projected to
decline slightly from the current 544,000 to 480,000 harvested acres by
1984. Yields of 55 bushels per acre should produce about 26,400,000 bush-
els valued at $72,600,000 in 1984, based on a projected price of $2.75 per
bushel.
Wheat acreage fluctuated significantly during the decade 1969-78 but
showed a general downtrend (Table 8). A projected harvested acreage in 1984
of 78,000 acres should produce about 2 million bushels worth $3.50 per bushel
for a total value of $7 million.
11
TABLE 6. SOYBEANS: ACREAGE, YIELD, PRODUCTION, PRICE, AND VALUE, ALABAMA,
1969-78 WITH PROJECTIONS TO 1984
Yield
Acres per Season Value
Planted harvested harvested average of
Year acres for beans acre Production price production
1,000 acres Bushels 1,000 bu. Dollars 
1,000 dol.
1969 660 630 22.5 14,175 2.31 32,744
1970 625 600 23.0 13,800 2.82 38,916
1971 680 655 26.0 17,030 2.92 49,728
1972 830 800 20.0 16,000 3.81 60,960
1973 1,000 970 21.0 20,370 5.64 114,887
1974 950 920 23.0 21,160 7.01 148,332
1975 1,300 1,260 24.5 30,870 4.88 150,646
1976 1,200 1,170 24.0 28,080 6.44 180,835
1977 1,650 1,600 21.0 33,600 5.75 193,200
19781/ 2,000 1,950 22.0 42,900 6.40 274,560
2/
1984- 2,900 2,800 22.8 63,840 7.00 446,880
SOURCE: Alabama Agricultural Statistics, 1969-78.
_/Preliminary.
2/Stallings and Headley, Unpublished data from S-115 Grain Marketing Project,
Alabama Agricultural Experiment Station, Auburn University, Auburn, Ala.,
1977.
12
TABLE 7. CORN: AVERAGE YIELD, PRODUCTION, PRICE, AND
1969-78 WITH PROJECTIONS TO 1984
VALUE, ALABAMA,
Yield
Harvested per Season Value
for harvested average of
Year Planted.. : grain acre Production price production
1,000 acres Bushels 1,000 bu. Dollars 1,000 dol
199 785 654 33.0 21,582 1.36 29,352
1970 699 555 26.5 14,708 1.58 23,239
1971 699 626 45.0 28,170 1.17 32,959
1972 631 545 48'.0 26,160 1.50 39240
1973 694,610 46.0 28,060 2.57 72,114
1974 695 630 43.0 27,090 3.36 91,022
1975 750 660 50.0 33,000 2.77 91,410
1976 880 800 60.0 48,000 2.45 117,600
1977 840 375 29.0 10,875 2.10 22,838
1/
1978- 640 544 50.0 27,200 2.25 61,200
2/
1984- 550 480 55.0 26,400 2.75 72,600
SOURCE : Alabama Agricultural Statistics, 1969-78.
Preliminary.
2/
-Stallings and Headley, Unpublished data. from S-11 Grain Marketing Project,
Alabama Agricultural Experiment Station, Auburn University, Auburn, Ala.,,
1977.
13
TABLE 8. SAT :ACREAGE , YIELD, PRODUCTION, PRICE, AND VALUE, ALABAMA,
1969-78 WITH PROJECTIONS TO 1984
Yield
per 
Season Value
harvested average of
Year Planted Harvested acre Production price production
1,000 acres Bushels 1,000 bu. Dollars 1,000 dol.
1969 123 87 29.0 2,523 1.20 3,028
1970 120 85 28.0 2,380 1.26 2,999
1971 164 120 29.0 3,480 1.48 5,150
1972, 161 110 20.0 2,200 1.36 2,992
1973 127 80 23.0 1,840 2.72 5,005
1974 135 95 23.5 2,233 3.66 8,173
1975 146 105 24.0 2,520 2.98 7,510
19.76 140 85 27.0 2,295 3.20. 7,344
1977 135 90 28.0 2,520 2.05 5,166
1/
1978- 130 65 26.0 1,690 3.00 5,070
2/
1984- 135 78 25.8 2,012 3.50 7,1042
SOURCE: Alabama Agricultural Statistics, 1969-78.
- Preliminary
- Stallings and Headley, Unpublished data from S-115 Grain Marketing Project,
Alabama Agricultural Experiment Station, Auburn University, Auburn, Ala.,
1977.
14
U.S. PORT FACILITIES ORIGINATING GRAIN FOR EXPORT
The marketing system for grain in the United States, including soybeans,
is a complex system involving ownership transfers, financing, transportation,
handling, and storage. The physical handling and storage includes thousands
of privately, publicly, and cooperatively owned facilities.
A 1978 survey by USDA's Agricultural Stabilization and Conservation
Service-
/ 
put total grain storage capacity in the United States (excluding
ear corn and wet type storage) at 15,126 million bushels. Approximately
54 percent of this was on-farm storage leaving 46 percent or 6,993 million
bushels of commercial capacity to handle 12,341 million bushels of grain
and soybeans marketed in 1978.
Only about 360 million bushels or 5 percent of total U.S. commercial
grain storage capacity is in export facilities.- Yet these facilities
handled about 3,325 million bushels in 1976. This is a turnover of 9.2
times capacity.
The estimated volume of export facilities in 1978 was approximately
4,395 million bushels for a turnover rate of approximately 12.2 based on
360 million bushels capacity. This compares to a turnover rate of less
than two for the total commerical grain marketing system in 1978.
According to the Ohio study noted previously, there were 25 major port
facility locations in the United States in 1976 with 360.5 million bushels
total storage capacity (Table 9). Capacities ranged from one million to
88.8 million bushels.
1/
-Grain Storage Capacity Survey, USDA, ASCS, October 1978.
Sharp, John W., Grain Facilities in the U.S., Specializing in
Originating Grain for Export and Soybean Processing Plants, Ohio Agricul-
tural Research and Development Center, Wooster, Ohio, September 1978.
15
The Port of Mobile ranked twentieth in storage capacity with 2.2 mil-
lion bushels, less than 1 percent of the total. But when 
the ports were
ranked according to volume of grain handled, Mobile was tenth with 
82.8 mil-
lion bushels, about two and one-half percent of the 3,325 million 
bushels
handled by the 25 ports in 1976. The Port of Mobile ranked first 
in terms
of annual handling efficiency. The annual rate 
of turnover was 37.6 com-
pared to 27.8 for the next most efficient Port at New Orleans. 
Mobile had
a turnover rate of more than four times the U.S. average of 9.2.
The rate of turnover is not a complete measure of handling 
efficiency.
The volume handled per unit of time (i.e. bushels 
per hour) is a more impor-
tant criteria used by exporters and ship owners to measure port efficiency
and economic feasibility related to export shipments. Ocean freight rates
are influenced significantly by the time it takes to load and unload, and
Mobile's ship loading capacity of 38,000 bushels 
per hour is less than half
of some other port elevators.
Mobile's ability to compete with other port elevators 
and generate suf-
ficient volume of business will depend more on the time 
required to load
each ship than on its annual rate of inventory turnover.
TABLE '9. PORT FACILITIES, RANKED BY STORAGE CAPACITY, VOLUME AND RATE OF TURN, U.S., 1976
Port Storage Volume Rate Storage capacityrVolmcffcec
capacity exported of turn rank
(00bu.) 000 bu.
Duluth
Chicago
New Orleans
Ho us ton
Portland
Galveston
Baltimore
Corpus Christi
Toledo
Norfolk
Philadelphia
Seattle
Saginaw
Brownsville
Beaumont
Milwauke e
Port. Arthur
P ascaago ul1a
Long Beach
Mobile
San Francisco
Charleston
San Diego
Huron
Oakland
88,799
58,758
54,427
30,500
12,800
12,400
12,400
12,100
10,300
8,800
5,650
5,000
5,000
3,800
3,500
3,200
3,200
3,100
2,250
2,200
2,000
1,500
1,360
1,300
1,000
151,024
69,394
1,514,749
264,465
257,201
13,218
206,187
129,165
121,845
190,308
85,742
41,513
6,750
52,256
81,578
9,103
2,143
15,129
82,805
4,789
15,038
2,829
7,884
1.70
1.18
27.83
8.67
9.34
1.03
16.63
10.67
11.83
21.63
15.18
8.30
1.35
13.75
23.31
2.84
0.69
6.72
37.64
2.39
10.02
2.08.
6.06
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
6
12
1
2
.3
17
4
7
8
5
9
14
20
13
11
18
NA
23
15
10
21
16
22
19
NA
19
21
2
12
11
22
5
9
8
4
6
13
20
7
3
16
NA
23
15
1
17
10
18
15
NA
Total 360,494 3,325,111.5 9.2 ---
SOURCE: Sharp, John W., Grain Facilities in the U.S.Secializing in Originating Grain 
fo
Processing Plants, Ohio Agricultural Research and Deelopment Center, September198
N'
AN]
17
ALABAMA AGRICULTURAL EXPORTS
The Alabama State Docks Public Grain Elevator at the Port of Mobile is
Alabama's only export facility, with a rated storage capacity of 2,200,000
bushels of raw grain and 17,000 tons of oilseed meals and feed 
ingredients.
The primary raw grains handled are soybeans, corn, and wheat. The meal
house handles a variety of products, but most of the annual tonnage is com-
posed of soybean, cottonseed, and peanut meals.
There has been a general uptrend in the volume of exports through the
Public Grain Elevator over the past decade, but most of the increase is
attributable to raw grain (Table 10). Export of meal and hulls has gener-
ally declined.
Soybeans has contributed most to export volume over the past 10 years
comprising 44 percent of the volume for the period, and increasing to 76
percent of the volume in the most recent year. Corn accounted for about 40
percent of export volume for the 1968-78 decade with a maximum of 57 percent
in the 1976-77 season. Wheat and other small grains have accounted for
about 15 percent of export volume over the past decade 
with no significant
trend.
The relative volume of exports of soybeans, corn, and wheat have been
closely correlated with the production of these grains in Alabama and adja-
cent states. This indicates that the Port of Mobile is probably dependent
on production within Alabama and adjacent Southeastern states for a signifi-
cant amount of its export volume. Availability of transportation and lower
rates are economic justification for this pattern of procurement.
Assuming that this correlation continues and exports continue to in-
crease at the same rate as production, as in the past 10 years, indicated
exports for 1984-85 would be: Soybeans-69,589,000 bushels; Corn-12,855,000
18
bushels; Wheat and Other Grains-2,838,000 bushels; Meal and Hulls (Soybean
Equivalents)-8,901,000. Total exports would be 120,183,000 bushels in the
1984-85 fiscal year, an increase of 78 percent.
TABLE 10. EXPORTS, BY COMMODITY, ALABAMA STATE DOCKS PUBLIC GRAIN ELEVATOR,
MOBILE, 1968-78, WITH PROJECTIONS TO 1984-85
Wheat and Meal and
Fiscal year Soybeans Corn other grain Hulls Total
(1,000 bu.)
1968-69 9,744 6,680 6,222 26,417 49,063
1969-70 9,129 3,251 3,031 10,279 25,690
1970-71 8,776 3,223 5,550 11,144 28,693
1971-72 9,848 3,449 4,333 10,100 27,730
1972-73 17,979 15,138 12,581 13,318 59,016
1973-74 15,741 17,328 6,143 9,718 48,930
1974-75 16,291 24,104 9,418 4,210 54,023
1975-76 29,047 43,332 10,440 2,554 46,373
1976-77 19,081 33,284 6,055 2,687 61,107
1977-78 46,763 12,488 2,384 5,982 67,567
1984-85 69,589 12,855 2,838 8,901 120,183
SOURCE: Annual Reports, Alabama State Docks, 1969-78.
A recent survey by the Alabama Agricultural Experiment Station revealed
that the following percentages of exports of three unprocessed grains came
from Alabama farmers in calendar year 1977: Soybeans - 57 percent; Corn -
3/
12 percent; Wheat - 27 percent. This indicates that Alabama's actual
exports in the 1977-78 crop year were: Soybeans-12,197,000 bushels; Corn-
2,393,000 bushels; Wheat-1,364,000 bushels. The value of exports of these
three Alabama-produced commodities was an estimated $77,956,000 in 1977-78
(Table 11). Meal exports added another $19,365,040 for a total farm value
of grain, seed, and peanut exports of $97,321,040.
-/Stallings, J. L. and L. M. Headley, Jr. Unpublished data from S-115
Grain Marketing project, Agricultural Experiment Station, Auburn University,
1977.
19
TABLE 11. PRODUCTION, CASH RECEIPTS AND EXPORT VALUE OF SOYBEANS, CORN,
AND WHEAT, ALABAMA, 1977.
Value of Valued Value of
Commodity Production production sales Exports exports
(000 bu.) (000 dol.) (000 dol.) (000 bu.) (1,000 dol.)
Soybeans 33,600 193,200 191,464 12,197 70,135
Corn 10,875 22,838 5,252 2,393 5,024
Wheat 2,250 5,166 3,827 1,364 2,797
Total 46,995 221,204 .200,543 15,954 77,956
SOURCE: Adapted from previous tables in this publication.
Also, approximately 45,681,000 bushels of grain and soybeans from adja-
cent states were handled by the Elevator in 1977. This increases revenue
resulting in lower unit handling costs for Alabama commodities.
The direct value of exports to Alabama farmers should continue to
increase as a result of an increased production and prices. Value of soy-
beans exported are projected to increase from $70,135,000 in 1977 to
$93,309,000 in 1984-85. Corn could increase from $5,024,000 to $15,975,000
and wheat from $2,797,000 to $3,803,000. Total value of exports of these
three major crops are projected to exceed $113 million, up from about $78
million in 1977, an increase of $35 million.
SUMMARY
Trends of increasing agricultural production and U.S. world trade is
impacting on Alabama in a positive manner. Grain and soybeans are the most
important agricultural exports for both the United States and Alabama. If
present trends continue, increased production should increase the volume
of exports through the Public Grain Elevator at Mobile from 67 to 120 mil-
lion bushels by 1984-85. Alabama farm income could increase by about $35
million from 1977-78 to 1984-85 because of exports.
20
The Public Grain Elevator at Mobile has been one of the most efficient
in the nation in past years. However, the storage capacity of 2.2 million
bushels and ship loading capacity of about 38,000 bushels per hour will prob-
ably not be adequate to compete for export trade and handle the volume neces-
sary for Alabama to realize its full potential.
The 1984-85 projection of 120 million bushels of grain and soybeans
to be handled by the Public Grain Elevator at Mobile is based on present
transportation systems and rates. The anticipated opening of the Tennessee-
Tombigbee Waterway by 1985 would obviously increase the potential volume
of grain and soybeans originating at river elevators on the Tennessee, Ohio,
and Mississippi Rivers.
The additional impact of the Tennessee-Tombigbee Waterway should increase
the economic justification for improvement and expansion of State Docks fa-
cilities at Mobile. However, the magnitude of this impact would require
additional and complex analysis beyond the scope of this study.
The implication is clear that Alabama needs to further expand and mod-
ernize its only export facility if Alabama's agriculture and other related
segments of the economy are to share in the increasing volume from agricul-
tural exports. Expansion of the State's grain and soybean marketing system
of interior elevators, both public and private, has kept pace with increas-
ing production. This indicates that further expansion of the grain market-
ing system with public funds should be concentrated in the State's export
facilities at Mobile.
21
SHARES OF NATIONAL EXPORTS OF SELECTED AGRICULTURAL
PRODUCTS WHICH ACCRUE TO ALABAMA COUNTIES
Harry B. Strawnl/
Total demand for most agricultural products may be divided into various
components. The broadest categories would be domestic demand and foreign
demand. Within each of these broad categories, demand may be functionally
separated into such things as edible products for human consumption, animal
feeds, non-edible products, etc., depending on the objectives of the analyst.
This report deals with the broad effects of foreign demand for specified
agricultural products on Alabama's 67 counties.
Raw agricultural products such as corn and soybeans normally are homo-
geneous products within types and grades. A European customer who buys a
shipload of number 2 soybeans has no way of knowing whether they came from
Alabama, Mississippi, the Midwest, etc. They were bought on the basis of
grade specification.
Likewise, most feed grains and soybeans move through several levels
of the domestic marketing system before transformation by a processor or
sale to a foreign country. Once the commodity has been sold several times
and has been blended to grade by various elevators, it has lost any geo-
graphic identity it may have had.
Export Shares
The idea of computing export shares was developed by USDA as a means of
systematically allocating the value of total exports of selected homogeneous
agricultural commodities to the states that produce the commodities in ques-
tion. From a conceptual basis, the statistic rests on the idea that if
Economist--Resource Development, Alabama Cooperative Extension Service,
Auburn University.
22
exports had not occurred, the total quantity demanded of each grade would
have been reduced by the amount of the exports. Since domestic demand is
relatively inelastic, small annual fluctuations in production would cause
large price swings. Thus, a certain amount of foreign trade may tend to
stabilize domestic prices.
The procedure undertaken in this paper involves further allocation of
Alabama's export shares of selected commodities to each of the 67 counties.
That is, a quantity equal in value to the computed share of each county's
production was exported. It is also implicitly assumed that the total value
of production for each county would have been reduced by this amount if the
United States had not exported the commodity.
Mathematics of Allocation
The calculations involved in allocating export shares use the mathemat-
ics of proportionate allocation. These procedures are a generally accepted
part of the literature of economics, management, accounting, etc. The al-
location of national exports to states was done on the basis of the follow-
ing relationships.
3
(1) X = A * (C/B)
where
X = The state export share in dollars for any state.
A 
= 
The value of each commodity or commodity group exported during the
year under consideration.
2
Glenn A, Welsch, Charles T. Zlatkovich, and John A. White, Intermediate
Accounting (fourth edition; Homewood, Illinois: Richard D. Irwin, Inc.,
1976) pp. 342-343.
3
Economics, Statistics and Cooperative Service, FATUS: Foreign Agri-
cultural Trade of the United States (Washington, United States Department
of Agriculture, March/April 1979) p. 14.
23
B 
= 
The total national volume of commodity produced 
or sold during the
year.
C = The total volume of a commodity produced or sold during the year.
The county allocations may be performed as a continuation of the same
procedure. This may be done as. follows:
(2) Z =X (P/S)
Z = Where the portion of the state export share allocated 
to each county.
X = The state export share calculated as shown in (1) above.
P = County production
4 
of the commodity inquestion.
S = State production of the commodity in question.
Crop Years and Calendar Years
Unlike manufacturing, agricultural production is based on biological
processes. Crops are planted at certain times of the year and harvested 7
months later. At harvest, output is placed in inventory at various stages
in the marketing channel. Sales are made from these inventories until the
next harvest.
Since many of the most important commercial crops are planted 
in the
spring and harvested in the fall, the crop year does not coincide with the
calendar year. For statistical reporting purposes, the USDA has defined
the crop year as extending from October 1 through September 30.
5 
This
approximates the period during which most fall-harvested crops will be
stored and sold from inventory. Total commodity supply from domestic sources
4
Alabama.Crop and Livestock Reporting Service, Alabama Agricultural
Statistics, 1978 (Montgomery: Alabama Department of Agriculture 
and Indus-
tries and United States Department of Agriculture).
5
Soybeans are an exception. The marketing year for soybeans extends
from September 1 through August 31.
24
is fixed between harvests. Domestic and foreign buyers must bid for these
inventories.
Year to Year Variation in Production
On a national basis, the production of agricultural commodities tend
to be relatively stable. However, production by various states and regions
may be subject to considerable variation. For example, in calendar year
1976, Alabama produced about 48 million bushels of corn and in calendar
year 1977 Alabama produced only 
10.9 million bushels.
6 
As a result, Alabama's
share of exported feed grains and products was $22.6 million in the 1977
marketing year and only $3.5 million in the 1978 marketing year.
Allocation to Counties
The Alabama share of national agricultural exports amounted to $299.5
million in crop year 1978. This provided significant benefits to the Alabama
agricultural economy. Table 1 presents an allocation of the value of these
exports to the 67 Alabama counties.
Soybeans, wheat, feed grains, cotton, and peanuts plus their basic prod-
ucts were treated individually. The allocation bases respectively were the
bushels, pounds, or bales of each commodity harvested in 1977. Since county
statistics were not available for all feed grains, allocation was made on
the basis of total corn and grain sorghum produced by counties. Some addi-
tional difficulties in allocation were encountered for cotton and peanuts
because disclosure regulations precluded publishing county data in situations
where the output of individual growers might be revealed. As a result, some
6
Alabama Agricultural Statistics 1978, pp. 32-33.
7
FATUS, March/April 1979, pp. 18-19.
25
small divergencies occurred between Alabama's export shares and the amount
allocated to counties. Alabama's export shares of these five crops accounted
for about $213 million.
A residual category was included in Table 1 to show county allocations
of the Alabama export shares of other agricultural products. The total of
these products amounted to $85.4 million and was allocated to counties on
the basis of preliminary data for each agricultural income excluding govern-
ment transfer payments for the year 1978.8 This statistic was considered
most representative of general agricultural activity in the various counties.
Table 2 shows a summary of the state export shares that made up the
"other" category in Table 1. Poultry accounted for the largest portion and
possibly should have been treated separated. The poultry category, however,
is comprised of poultry meat and meat products plus commercial eggs and egg
products. Difficulties associated with sub-dividing the total plus those
associated with finding suitable allocation bases precluded specific treat-
ment in this report.
The theme developed in this paper is that foreign trade in agricultural
products is important to the State of Alabama. It benefits all Alabama cit-
izens whether they are farmers or non-farmers. Farmers benefit from broader
markets for many of their products and from reduced price fluctuations caused
by local gluts. Firms in the grain business benefit from the increased vol-
umes handled. Consumers and other firms benefit from the income effects of
increased foreign trade in agricultural products.
8
Alabama Crop and Livestock Reporting Service and the Alabama Coopera-
tive Extension Service, Alabama Farm Income by Counties: 1977 Final and
1978 Preliminary Montgomery: Alabama Crop and Livestock Reporting Service,
April 1979) pp. 2-3.
Table 1. ESTIMATED VALUE OF ALABAMA' S SHARE OF AGRI CULTURAL CON 4DITCIE S
EXPORTED IN THE 1978 MARKETING Y~ ALLOCATED TO. COUNTIES
State and Soybeans Wheat Feed Cotton incu Peanuts
counties and productsc and productsc grainsa ,d ding linters and oil
and 
ii
------- ---------- ----- ------ Thousands of Dollars----- ---
Alabamab 122,300 5,400 3,500 36,800 45,900
Autauga '491 123 
27 1,714 44
Baldwin 12 , 207 670 563 
e e
Barbour 130 16 25 226 
5,149
Bibb 192 18 4 80 
e
Blount 750 15 18 
106 e
Bullock 1,551 17 
11 e409
Butler 382 142 13 e458
Calhoun 1,398 7 8 
239 e
Chambers 58 63' 13 e 
e
Cherokee 1,536 79 
40 1,767 e
LChilton 328 48 20 213 e
Choctaw 85 7 28 40 e
Clarke 282 15 22 e e
Clay 28 3 4 e e
Cleburne 111 26 19 0 e
Coffee _1,238 43 
36 e 6,14114306 1,8
Colbert 1,171 199 
214 3.31481. e925,0
Conecuh 1, 396 514 85 
80 4814 64,11
Coosa 14 4 2 e 
e27491
Covington 5,177 56 
29 e .2,850 171 
,0
Crenshaw 4814 28 39 
53 2 ,203 1301,2
Culiman 1,922 27 63 
266 e6,82,5
Dale 201 8 36 e 
4,0911,9535
Dallas 3,700 171 42 2,033 
111,42 749
DeKaib 1,1143 18 339 120 
e3,1551
Elmore 1,017 35 12 
1,1422 12803,1
Escambia 5,753 370 99 
518 171857,0
Etowah 1,1206 25 36 306 e1,2259
Fayette 677 19 16 266 e 34 ,2
S
ON
Table 1, continued.
State and Soybeans Wheat Feed Cotton, inlu Peanuts O
counties and products and products grains ding linters and ci1
and dii
------------------------------------Thousands of Dollars-
Franklin 1,643 21 L[4 173 e
Geneva 3,576 51 218 e 1,206
Greene 1,101 24 4 12 e
Hale 1,805 240 9 279 e1
Henry .397 128 54 e 7,561
Houston 3,9541 1341 138 e6,858
Jackson 5, 404 174 200 213 e
Jefferson 111 
15 3 e 
e7
Lamar 1,238 21 15 146e3
Lauderdale .4,514 138 40 2,378 e1
Lawrence 3,363 206 63 3,587 e
Lee 131 14 10 661e1
Limestone 5,212 208 69 4,517 e
Lowndes 1,638 113 13 .837 12
Mlacon 1,931 115 15 651 e
Madison 6,367 271 
170 4,912 e
Narazngo 2,079 279 5 239 e
Mlarion 1, 683 36 118 93 e 56213
Marshall 2,1176 16 158. 186 e3,5608
Mobile 3, 731 78 138 
e e2,1596
Monroe 2,779 90 129 1,050 23 901,8
Montgomery 2,939 108 23 292 1121,81,8
Morgan 2,296 58 61 385 e1,71157
Perry 3,1311 75 8 120 e 1311,9
Pickens 1,813 89 15 1112 121,8352
Pike 305 51 18 e 11,44114,9 
611
Randolph 161. 5 21 e 
e1,7126
Russell 889 15 11 266 256131 186
St. Clair 183 18 
10 0 e 111 
,8
Shelby 721 27 
2 385 e781,'
Sumter 2,0112 180 
28 93 e 101 
,8
3
7
3
2
4
L
4. 
~
4
Li,
4
1~
5
4
8
3
1
4
4
5
7
5
Table 1, continued.
State and Soybeans Wheat Feed Cotton inclu- 
Peanuts
counties and products and products grains 
ding linters and oil
and 
oil
------------------------------------- Thousands of Dollars---
Talladega ,3L3 68 6 120 e
Tallapoosa 87 10 5 173 e
Tuscaloosa 563 93 6 691 
e
Wa lker 127 18 5 e e
Wkashington 693 11 28 226 e
W ilcox 2,109 122 21 146 16
W ins ton 131 5 23 e e
Total
Allocated 122,300 5,1-100 3,500 36,606 45,729
aFeed grains include corn, grain sorghum, oats, and barley.
bSource: Economics, Statistics, and Cooperative Service, FATUS: Foreign Aric
United States (Washington: 
United States Department 
of Agriculture MacApi 
19)
cCounty allocations were based. on the ratio of county production 
of these crop osae rdci
in 1977 as reported in Alabama Agricultural Statistics 
1978, prepared by the AaaaCo n
Livestock 
Reporting 
Service.
dDue to the lack of published county data for all feed grains, 
county allocation eebsdo h
ratio of county production of corn and grain sorghum in 1977 to the corresponigsae rdci
published in Alabama Agricultural Statistics, 1978.
eDisclosure regulations prevented the Alabama Crop and 
Livestock Reporting Servcxrmpbihn
data that might reveal the operations of individual producers. Therefore 
nocloainbs x
isted for these counties. IHowever, all in-state production was included 
in staettl n h
computations of Alabama's export share of various agricultural commodities.
n
n
00
29
Table 2. E STIMATED VALUE OF ALABAMA' S SHARE. OF AGRICULTURALCOMMODITIES
EXPORTED IN- 'THE'* 19'78'MARKETING YEAR Alm NOT ALLOCATED
TO COUNTTE
1
S ON AN IND IVfJDUAL BASISa
Export
Commodi ties Shares
($1,000)
Fruits and preparations 500
Hides and skins 9,100
Lard and tallow: 8,600
Neat and meat products 9,400
Nuts and preparations 3,800
Poultry products 28,800
Tabacco, Unmanuf actured 800
Vegetables and preparations 3,500
Other 20,800
Total 85,600
aThese commodities were 
included in the '
T
other" category in Table 
1.
Source: Economic' Statistics and Cooperative Service: FATUS : Foreign
Agricultural Trade of the United States (Washington: United
States Department of Agriculture, March/April 1979), pp. 18-
19.
30
INCOME AND EMPLOYMENT GENERATED IN THE ALABAMA ECONOMY
BY
THE ALABAMA STATE DOCKS -PUBLIC GRAIN ELEVATOR
James L. Stallings/
Introduction
Alabama farmers and citizens are sometimes unaware of how 
important
an impact the Port of Mobile in general, the Public Grain Elevator in par-
ticular, has on the Alabama economy and their own incomes. The farmer, haul-
ing .his soybeans to his local grain elevator, for instance, may not be aware
that some or all of his crop may end up in the Port of Rotterdam and help
feed Dutch, German, or Danish hogs. He may also be unaware that without
the pressure on local demand that these foreign sales have, his local price
for soybeans would probably be much lower. The cotton farmer may only think
of the bale of cotton lint going to a U.S. textile mill. He may be unaware
that cottonseed meal may leave the Public Grain Elevator in Mobile for 
for-
eign destinations, helping to keep the local price up for cottonseed.
Another idea which may not have occurred to Alabama 
farmers and citi-
zens is that these exports out of the Public Grain Elevator in Mobile 
mean
jobs for Alabamians. This can be in terms of keeping a certain number 
of
self-employed Alabama farmers in business or jobs for hired farm labor.
Even more important, and more often unrecognized, is 
that it means a cer-
tain number of extra jobs and income in the various businesses supplying
inputs to the farmers for production as well as for the various goods 
and
services businesses where the farmer and his family spend their income. 
If
the extra income from foreign demand were not there, there would be less
I/Associate Professor, Department of Agricultural Economics and Rural
Sociology, Auburn University Agricultural Experiment Station.
31
money spent locally at the grocery store, car dealer, hair dresser, tractor
or machinery dealer, fertilizer and chemical dealer, etc., and, in the long
run, fewer people employed in these activities.
Procedure
Employment and income impacts of various activities or facilities in
local economics are frequently analyzed through the technique called "input-
output analysis." With this technique, a table called a "matrix" is pre-
pared in which various sectors of an economy are broken down to various
levels of detail such as "agriculture, manufacturing, and government."
Agriculture may further be broken down into crops and livestock or even fur-
ther into soybeans, broilers, etc. Then, for each sector designated, research
is carried out through surveys or personal contact to find out amounts that
each sector purchases from all other sectors designated. Then, with a mathe-
matical technique, "income and employment multipliers" are estimated which
indicate for each sector how much income and employment would be generated
throughout the whole economy with a one-unit increase in any specific sector.
For instance, with a $1 export of soybeans from the foreign export sector,
it might be determined that $2.72 of business is generated throughout the
Alabama economy, first as income to the farmer of $1 and secondly $1.72 to
fertilizer and chemical dealers, the grocery store, the doctor, etc., and
through their spending in turn as the effect multiplies throughout the whole
economy. These secondary effects may take several months to work themselves
out.
Such an input-output study of the Port of Mobile was done in 1973 by
Dunphy and Chang of the Department of Economics of the University of South
32
2/
Alabama.- In this study, the basic income and employment multipliers were
estimated for the Public Grain Elevator activity. While the data in this
study are now somewhat out of date, experience has shown that basic multi-
plier relationships in such studies tend to remain fairly stable over time
or change slowly. It was therefore assumed for this paper that the basic
multiplier of 2.72402 for income and employment in this 1973 study has not
changed appreciably and that only amounts of grains and products moving
through the Public Grain Elevator and their prices have changed. Therefore,
the basic multipliers presented in the Dunphy and Chang study have applied
in updating the impact of the Elevator to calendar year 1977. This year
was chosen because it corresponded to data from another detailed study of
grain movements from farmers to elevators to the Port by the Auburn Univer-
sity Department .-of Agricultural Economics and Rural Sociology. These lat-
ter data, along with other secondary data, were used to estimate in more
detail than was possible in the Dunphy and Chang study the specific impact
of the Public Grain Elevator on the 67 county economies of Alabama. While
the income impact has increased from 1973, it was assumed that the employ-
ment impact has remained the 
same. While some increased volume 
has occurred
since then, it is assumed that technology has also increased to offset it.
Therefore only dollar figures will have changed since 1973. Future studies
beyond 1977, however, should probably consider revision of the employment
figures.
Summary of Assumptions for This Study
1. The study period is the 1977 calendar year.
2
/Dunphy, L. M. and S. Chang, Economic Analysis of the Port of Mobile,
Department of Economics, University of South Alabama, Mobile, 1974.
33
2. Multipliers for income and employment have not changed since estimated
by Dunphy and Chang in 1973. These are 2.72402 for income and employ-
ment as estimated in 1973.
3. Employment has stayed the same, even though there has been increased
volume through the Port, because of increased technology.
4. Income is 1977 season average prices times physical volumes of raw grain
or grain, seed, or nut equivalent of products moving through the Public
Grain Elevator.
5. Exports of soybeans for meal, cottonseed for meal, and peanuts 
for meal
were assumed to be the raw physical amounts of grains needed for produc-
tion of corn gluten and screenings were assumed to be contained in the
amount of raw physical grain exported.
6. Benefit to agriculture is only from those agricultural 
products passing
through the Public Grain Elevator. All other effects of the Port 
are
contained in other studies.
7. Benefits to Mobile County do not contain the non-agriculture 
direct
effects of the port operation located in the county--only the 
multiplied
effects of the agricultural operations in the county.
Objectives of This Paper
1. To determine the physical amounts of grain and 
the grain, seed, or nut
equivalents passing through the Public Grain Elevator in 
calendar year
1977.
2. To determine the origins of all these grains and products by counties.
3. To estimate the employment and income generated 
at the county level in
Alabama by the Public Grain Elevator in calendar year 1977.
34
4. To present information useful in assessing the future potential bene-
fits of the Public Grain Elevator to the Alabama economy.
The above objectives are met with data in the following tables:
Objective 1 - Table 1,
Objective 2 -Table 2,
Objective 3 - Table 3,
Objective 4 - Tables 4-8 and Figures 1 and 2.
Products Shipped Through the Public Grain Elevator
By far the largest amount of products passing through the Public Grain
Elevator is unprocessed soybeans, accounting for nearly three-fourths of
the tonnage and value in calendar year 1977 (Tables 
1 and 2). If the value
of the soybean meal is also included, soybean and soybean products accounted
for $85,158,017 or over 82 percent of the value of products passing through
the Elevator in 1977.
An important aspect of the importance of soybeans is that more than
50 percent of them came from Alabama farmers 
rather than frog out-of-state
as with corn and wheat (Table 1). Many of the unprocessed soybeans came
from counties on the southern border of Alabama or along navigable rivers
with access to Mobile, while the meal is from the northern part of the
State (Figure 1).
Future Trends in Products Through the Public Grain Elevator
The dominance of soybeans and soybean products in exports from the
Elevator is not only expected to continue, but is expected to expand (Tables
4, 5, and 6). Unpublished work done under project S-115 by the Department
of Agricultural Economics and Rural Sociology of Auburn University indicates
that soybean acres and production will continue to expand while corn and
35
wheat production will stabilize. Also, minor feed grains such as grain
sorghums, barley, and rye are expected to be relatively unimportant from
an export standpoint. This increase in soybean acreage and production is
expected to continue to be dramatic, expanding to over 
3 million acres in
Alabama in the late 1980's and 1990's. Some of these 
acres will come at
the expense of the other crops now exported and from pasture lands.
The Impact of the Tennessee-Tombigbee 
Waterway
No extensive study was made of the impact of the new waterway for this
study, but some indication can be obtained from a past study (Table 7), and
by merely comparing potential distances saved (Table 8 and Figure 
2).
While the data are now out of date, the Gardner study (Table 
7) indi-
cated a substantial potential rate saving from selected Corn Belt 
points to
different points in Alabama. This study was more concerned with getting
corn to Alabama farmers for use rather than for export, however. The big
savings, of course, is in shipment of corn by water to points 
in southern
Alabama.
A look at physical distances with and without the new 
waterway (Table
8 and Figure 2) gives further indication of potential 
savings. Two points
were selected to represent grain movements from the Corn 
Belt (Mt. Vernon,
Ind.) to Alabama and grain movements from north (Decatur) to south 
Alabama.
The 31 percent savings in shipments to Mobile 
for export is expected to be
enough to divert a significant amount of grain from New 
Orleans through
Mobile. The 57 percent savings to Demopolis should also be a stimulus in
opening new potential in this area as well as in other southern 
Alabama
areas. Also, very important will be the opening of profitable 
potentials
for shipments from the Tennessee Valley of Alabama, represented 
by Decatur,
to Mobile for export and to points in southern Alabama for 
use. The unpub-
lishedsurveymentioned earlier (S-115) indicated that some products 
are now
36
shipped by water from the Tennessee Valley to the Port of New Orleans, a
distance of about 1,275 miles at the present. With the opening of the new
waterway, savings in miles from Decatur in going to Mobile, rather than New
Orleans, would be 732 miles or more than 57 percent.
Summary and Conclusions
Two main factors indicate an expansion of activity through the Public
Grain Elevator and through the Port of Mobile in general in the future.
These are the expected significant expansion of soybean acres in Alabama
and the opening of the Tennessee-Tombigbee Waterway. As indicated in the
Hurst paper, storage capacity of the Elevator relative to the volume handled
already gives it the highest turnover rate of any other export elevator in
the United States. Forseeable increases in activity through the Public
Grain Elevator should further tax the present facilities.
Table 1. Origin of Products Flowing Through the Alabama State Docks Public Grain Elevato
Unprocessed Unprocessed Unprocessed 'Soybean Cottonseed P
Origin soybeans corn wheat meal meal
Bu. Bu. Bu. Tons 
Tons E
From Alabama farms to 12,197,340 2,392,6-27 1,364,202 44,837 39,570
elevators to port 56.7/, 12 % 27.110.%l000 
100.0% 100.0%39%
From out-of-state to 710,459 1,050,031 
84,971 -- -- -- 5,6
Alabama elevator to port 3.3%l05.4% 1.7% 3/7
Direct to port from 8,600,706 16,028,061 3, 588,570 -
-- -844
Outit-of-state 
40.0% 
82.3% 
71.2/0570
5
4
,14
Total through port
in 1977
21,508,505 19,470,699
5,037,743 44,837 39,570 2,508 1,671 1,430,153
Source : Unpublished data from survey taken of grain firmsin the State under
Agricultural Economics and Rural Sociology, Auburn University.
project Sl1. by the Department of
W&
Table 2. Estimated Farm Value of Grains, Seeds, and Nuts, or Their Equivalent, Originating
and Firms Passing Through the Alabama State Docks Public Grain Elevator, ByCounti 1
Unprocessed Unprocessed' Unprocessed Soybeans Cottonseed' Peant
County soybeans corn wheat for meal for meal for ma oa
$ 188, 634
19,997,942
110,854
109,411
294, 101-
712'218
72,272
25,777
203,952
Autauga
Baldwin
Barbour
Bibb
Blount
Bullock
Butler
Calhoun
Chambers
Cherokee
Chilton
Choctaw
Clarke
Clay
C leburne
Coffee
Colbert
Conecuh
Coosa
Covington
C renshaw
Cullmran
Dale
Dallas
DeKalb
Elmore
Es camb ja
Etowah
Fayette
Franklin
$ 29,494
2,531,420
11,972
49,157
57,677
proceJ..
70, 566
21,309
197, 841
6, 554
59,581
179,913
5,622
173,032
58,989
333,761
$ 31,509
688, 548
18, 509
43,185
7,491
15, 86.5
27 ,542
55,524
42 ,712
29,085
4,957
176,269
383,476
$ 11,57.5
185,656
42,544
165,974
309,396.
340,009
72,674
24,489
259,112
425,414
87,182
252,994
266,846
174,616
363,774
$276, 018
1,423
36,374
12, 838
17,117
1,832
2,140
38,513
2,140
284,583
34,234
6,419
1,428
2,140
1,837
560,602
12,838
2,139
2,139
8,558
42,793
1,837
327 ,376
19,257
228,946
83,446
49,211
42,73
27 ,815
$ 2,375.
280,417
22,279
24, 952,
349,335
26,354
155,231
120, 008
222,789.
9,337
$ 539,605
23,405,288
439,881
183,451
183,195
36.7 
,369
840,172.
347,997
2,450
624,868
249,860
39,715
242,589
2,188
24,552
472,818
819,960
778,467
8,731
1,221,828
735,993
468,296
240,817
3,399, 880
272,489
707,117
9,0632,651
316,145
603,006
391,928
94,104
485,910
962, 165
398,429
5,204
2,635,426
418, 502
8,253,631
385,411
00
Table 2. Estimated Farm Value of Grains, Seeds, and 
Nuts, or Their Equivalent, Originating
and Firms Passing Through the Alabama State Docks Public Grain 
Elevator, By Count
Unprocessed Unprocessed Unprocessed Soybeans Cottonseed 
Peant
County soybeans corn wheat for meal for meal for ma oa
Geneva
Greene
Hale
Henry
Hous ton
Jacks on
Jeffers on
Lamar
Lauderdale
Lawrence
Lee
Limestone
Lowndes
Mac on
Madison
Mare ngo
Marion
Marshall
Mobile
Monroe
Montgomery
Morgan
Perry
P ickens
Pike
Randolph
Rus sell
St. Clair
Shelby
Sumter
666,672
1,150,040
5,865,150
243 ,7 60
3,164,702
61,048
704,513
77,464
1,024,604
970,439
5,538,481
4,513,210
2,055,544
1,925,066
3,403,097
828,408
49,887
1,864,684
410,280
1,383,893
5,622
14,053
120,395
32,771
11,798
78,651
1,589,209
373,792
404,397
51,996
106,568
88,133
24,237
152,018
7,854
30,123
3,717
44,067
286,436
196, 574
92,541
32,206
50,785
91,660
13,220
4,408
905,190
40,244
811
8,056
1,196,236
25,139
319, 188
999,235
744,470
1,153,7 60
38,594
1,409,434
48,1990
372,474
548,038
508,156
73,842
66,286
40,606
159,534
74,658
1,837
66,329
44,932
1,831
1,832
34,234
23,536
383,006
577, 719
106,987
727 ,499
134,803
104,848
795,967
38,513
14,977
29,955
1,428
169,037
47,072
62,049
19,257
66,329
1,832
2,140
42,793
62,049
14,977
229,091
411,948
373,522
-Jr
J.
EiC
1,230
2, 290
242,056
13,962
991,355
1,281,032
6,062,365.
680,257
3,698,630
1,230,989
87,063
1,047,407
1,382,440
1,322,397
221,075
1,881,545
1,254,503
1,154,096
2,205,984
5,912,083
387,6.12
578,061
6,300,517
2,692,144
2,411,031
570, 303
3,547,661
1,053,431
358, 991
2,195
2,032,415
40,745
632, 007
1,564,110
Table 2. Estimated Farm Value of Grains, Seeds, and Nuts, or Their Equivalent, Originating from Alabama Farms
and Firms Passing Through the Alabama State Docks Public Grain Elevator, By Counties, 1977 (cont'd)
Unprocessed Unprocessed Unprocessed Soybeans Cottonseed Peanuts
County soybeans corn wheat for meal for meal for meal Total
Talladega
Tallapoosa
Tuscaloosa
Walker
Washington
Wilcox
Winston
State
1,049,335
67,833
749,593
1,098,198
$74,219,844
18,024
560,295
75,081
* .
$7,229,540
95,846
17,187
124,931
$2,970,805
*
20,591
28,198
*
49,703
29,003
19,257
27,815
111,273
36,374
23,536
rO~es
$10,938,173 $5,926,960
19,375
45,995
1,838,042
96,932
878,287
1,297,218
29,910
$2,499,907 $103,785,229
Source: Unpublished data from survey taken of grain firms in the State under project S-115 by the Department
of Agricultural Economics and Rural Sociology, Auburn University, for the unprocessed soybeans, corn,
and wheat data. This included the percent of receipts from different distances from the firm.
Soybean, cottonseed, and peanut meal reported shipped through the Port was allocated on the basis of
production reported by the Alabama Crop and Livestock Reporting Service and the 1974 Census of Agri-
culture.
*Zero to less than $1,000 worth.
0
Table 3. Estimated Direct and Indirect Effects of Port. ofMobile Access on the Economies of
Counties of Alabama
Farm u : A f Value of indirect Total multiplied 
Created oso
County grain Shi pqd / goods and services?! 
effect emglymetc
Autauga
Baldwin
Barbour
Bibb
Blount
Bullock
Butler
Calhoun
Chambers
Cherokee
Chilton
Choctaw
Clarke
Clay
Cleburne
Coffee
Colibert
Co necuh
Coosa
Covington
Crenshaw
Culliman
Dale
Dallas
DeKalb
Elmore
Es camb ia
Etowah
Fayette
Franklin
$539,605
23,405,1288
439,881.
183,451
183,195
367 ,369
840,172
347,997
2,450
624,868
249,860
39-,715
242,589
2,188
24,552.
472,818
819,960
778,467
8,731
1,221,828
735,993
468,296
240,817
3,399,880
272,489
707,117
9,063,651
316,145
603,006
391, 928
$ 930,290
40,351,185
758,364
316,27.3
315,832
633,352
1,448,473
599, 954
4,224
1,077,285
430, 764
68,469
418,228
3,772
42,328
815,148
1,413,627
1,342,093
15,052
2,106,456
1,268,867
807,352
415,173
5,861,461
469,776
1,219,084
15,625,916
545,040
1,039,594
675,692
S1,469,895
63,756,473
1,198,245
499, 724
499,027
1,000,721
2,28645
947,-951
6,674
1,702,153
680,624
108,184:
660,817
5,960
66,.880
1,287,966.
2,233,5.87
2,120,560
23,2783
3,328,284.
2, 004,86.0
1,275,648
655, 990
9,261,341
742,265
1,926,201
24 ,689,567
861,185
1,642,60:0
1,067,620
$ 45
1,9.31
36
15
15
30
69
29,
4
52
21
3
20
2
39
68.
64
1.
101
61
39
20
280.
22
58
75
26
50
32
Table 3. Estimated Direct and Indirect Effects of Port of Mobile Access on the Economies o
Counties of Alabama (cont'd)
Farm value of Value of indirect Total. multiplied Createdjbso
Count grain shiped.
1
/ oods and services2J effect em loc ni
Geneva
Greene
Hale
Henry.
Houston
Jackson
Jeffers on
Lamar
Lauderdale
Lawrence
Lee
Limestone
Lownde s
Macon
Madison
Marengo
Mar ion
Marshall
Mobile
Monroe
Montgomery
Morgan
Perry
P ickens
Pike
Randolph
Russell
St. Clair
Shelby
Sumter
991,355
1,281,032
6,062,365
680,257
3,698,630
1,230,989
87,063
1,047,407
1,382,440
1,322,397
221,075
1,881,545
1,254,503
1,154,096
2,205,984
5,912,803
387,612
578,061
6,300,517
2,692,144
2,411,031
570,303
3,547,661
1,053,431
358, 991
2,195
2,032,415
40,745
632,007
1,564,110
1,709, 116
2,208,525
10,451,63.9
1,172,777
6,376,512
2,122,250
150,098
1,805,751
2,383,354
2,279,839
381,138
3,243,821
2,162, 788
1,989,685
3,803,161
10,193,791
668,251
996,589
10,862,217
4,641,310
4,156,666
983,214
6,116,239
1,816,136
618,908
3,784
3,503,924
70,245
1,089,593
2,696,557
2,700,471
3,489,557
16,514,004
1,853,034
10,075,142
3,353,.239
237,161
2,853,158
3,765,794
3,602,236
602,213
5,125,366
3,417,291.
3,143,781
6,009,145
16,106,594
1,055, 863
1,574,650
17,162,734
7,333,450
6,567,169.7
1,553,517
9,663,900
2,869,567
977,899
5,979
5,536,339
110,990
1,721,600
4,260,667
NI
82
106
500
56
305
102
7
86
114
109
18
155
103
95
182
488
32
48
520
222
199
47
293
87
30
4
168
3
52
129
Table 3. Estimated Direct and Indirect Effects of Port of Mobile Access on the Economies of the
Counties of Alabama (cont'd)
Farm value of Value of indirect Total multiplied Created jobs or
County grain shippedl/ goods and services
2 /  
effect employmet
Talladega 19,375 33,403 52,778 2
Tallapoosa 45,995 79,296 125,291 4
Tuscaloosa 1,838,042 3,168,821 5,006,863 152
Walker 96,932 167,113 264,045 8
Washington 878,287 1,514,184 2,392,471 72
Wilcox 1,297,218 2,236,430 3,533,648 146
Winston 29,910 51,565 81,475 2
$103,785,229 $178,927,811 $282,713,040
1
/Includes value of raw grain plus grain, seed, or nut equivalents of products such as SBM, CSM, and
peanut meal.
2/
Includes income from sale locally of farm inputs and services, including hired labor, plusmultiplied
spending of direct income for goods and services by farm families.
3/
Includes hired farm labor, man equivalents of self-employed farmers, and equivalent jobs in
businesses servicing agriculture.
* Less than 1.
State 8,562
44
Table 4. Acres, Yield, and Production of Corn Alabama, 1960-79, with
Projections to 1984, 1989, and 1999
Yield Production
(000) Bu. /A (000 Bu.)
1960
1961
1962
1963
1964
1965
1966
1967.
1968
1969.
1970
1971
1972,
1973
1974
1975
1976
1977
1978
1979
1984,
1989
1999
1,705
1,330
1,144
1,133
1,020
945
872
899
711
654
555.
626
545
610
630
660
800
37 5
544
(495) %*
480
450
450
26.0
33.0
27.5
35.5
35.5
43.0
34.0
47.0
36.0
33.0
26.5
45.5
48.0
46.0
43.0
50.0
60.0
29.0
49.6
55.0
62.5
75.0
44,330
43,890
31,460
40,222
36,210
40,635
29,648
42,253
25,596
21,582
14,708
28,170
26,160
28,060
27., 090
33,000
48,000
10,875
27,000
26,400
28,125
33,750
1/Unpublished data from S1I5 project.
*Estimated from prospective plantings, as of April 16, 1979, USDA.
Source : Actual, data : Alabama Crop and Livestock Reporting 
Service;
Projections: Statistical fitting of four-equations plus
judgment of different knowledgeable experts.
45
Table 5. Acres, Yield, and Production of Soybeans Alabama, 1960-79,
with Projections to 1984, 1989 and 1999/
Acres harvested Yield Production
(000) Bu./A (000 Bu.)
1960
1961
1962
1963:
1964
1965
1966
1967
1968
1969
1970.
1971
1972
1973
1974"
1975.
1976
1977
1978
197 9
1984
1989
1999
135
157
176
192
207
228
280
484
550
630
600
655
800
970
920
1,260.
1,170
1,600
1,950
(2 ,340)*
2,800
3,020
3,200
24.0
23.0
20.5
20.0
22.0
22.0
24.5
26.5
22.0
22.5
23.0
26.0
20..0
21.0
23.0
24.5
24.0
21.0
22.0
22.8
22.8
22.
3,240
3,611
3,608
3,840
4,554
5,016
6,860
12,826
12,100
14,175
13 ,800
17,030
16,000
20, 370
21,160
30,870
28,080
33,1600
42,900
63,1840
68,856
73,280
1'Unpublished data from S1l5 project.
*Estimated from prospective plantings, as -of April 16 , 197 9, USDA.
Source: Actual data: Alabama Crop and Livestock Reporting Service;
Projections: Statistical fitting of four equations plus
judgment of different knowledgeable experts.
46.
Table 6. Acres, Yield, and Production of Wheat, Alabama, 196079,
with Projections .to 1984, 1989, and 19991/
Acres harvested Yield Production
(000) Bu./A (000 Bu.)
1960
1961
1962
1963
1964
1965
1966
1967
1968.
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1984
1989
1999
48
56
35
42
64
55
59
112
111
87
85
120
110
80
95
105
85
90
65
(70)*_
78
82
86
25.0
26.0
24.0
23.5
25.0
24.5
28.0
24.0
25.0
29.0
28.0
29.0
20.0
23.0
23.5
24.0
27.0
28.0
26.0
25.8
26.0
26.4
1,200
1,456
840
987
1,600
1,348
1,652
2,688
2,775
2,523
2,380
3,480
2,200
1,840
2,233
2,520
2,295
2,520
1,690
2,012
2,132
2,270
1/Unpublished data from S115 project.
*Estimated from prospective plantings, as of December 22, 1978.
Source: Actual data: Alabama Crop and Livestock Reporting Service ;
Projections : Statistical fittings of four equations plus
judgment of. different knowledgeable experts.
47
Figure 1. County Estimates of. Direct and Indirect 
Valueof All Grains and Grain,.Seed,
or Nut Equivalents Shipped. Through. the. Public 
Grain Elevator, Calendar. Year. 1977.
Direct Value. of Raw
Grains, and Grain, Seed,
and Nut Equivalents
Exported:
or: ~E~ivlentsSh41
1 4 "
r,46 0
~ i"
Indirect Value of
Farm Inputs and Other
Goods and Services
Purchases Generated
by Exports:
1. dot .=$100, 000
*= less. than $50,000
48
Table 7. Example of Transportation Charges for Corn From Mt. Vernon, Indiana to
Selected Points in Alabama, with Present Waterways and Assumed Completion
of the Tennessee-Tombigbee Waterway, 19701'
Destination Truck
($/T.)
Rail
Multiple Single
cars car
rate rate Present
($/T.) ($/T.) (mi.)
Water
Miles
W/Ten. -Tomn.
(mi. )
Charge/T.
Present W/Ten. -Tom.
($/T.) ($/T.)
Guntersville 6.07
Demopolis
Claiborne
Columbia.
NA
NA
NA
3.50 4.16
NA 5 .25
NA 5.98?
NA 6.12
NA = Not Available or Not Applicable
Souce:Gardner, George Ray,.Jr. Optimal Transportation of Corn to Alabama,
1970. Unpublished M. S. Thesis, Auburn University. (Actual miles and rates
and estimated rates with the Tenn. -Tom. completed provided by the Navigation
Economics Branch, Tennessee Valley Authority, Knoxville, Tenn.)
2/to exia, Ala., the nearest rail point.
463
1 ,386
1 ,296
1, 504.
463
573
825
1,183
1/
2.60
4.55
4.25
6.15
2.60
2.40
3.50
5.00
: , 0.... ,.
49
Table 8. Comparison .of Approximate Distances and Savings in Miles With and
Without the Tennessee-Tombigbee Waterway Between Two Selected
Points Using Water Transportation
Without With Savings Pct.
Origins and destinations: Tenn. -Tom. 
Tenn.-Tom. in miles savings
Mt. Venon, Ind To:
Mobile, Ala. 1,229 842 842 31
New Orleans, La. 1,124 1,007 117 10
Tampa, Fla. 1,810 1,487 323 18
Panama City, Fla. 1,351 1,028 323 24
Demopolis, Ala. 1,444 627 817 57
Montgomery, Al a. 1,563 1,086 
477 31
Columbia, Ala. 1,568 1,245 323 21
Phenix City, Ala. 1,6721,349 323 19
Cordova- and. Port ]B' ham, Ala. 1,645 828 817 50
Decatur, Ala. To:
Mobile, Ala. 1,380 543 837 61
New Orleans, La . 1,275 708 567 44
Tampa, Fla. 1, 961 1,188 773 
39
Panama City, Fla.. 1,502 729 773 51
Demopolis, Ala. 1,595 328 1,267 79
Montgomery,: Ala. 1,714 787 -927. 54
Columbia, Ala. 1,719 896 823 .48
Phenix City, Ala. 1,823. 1,000 823 45
Cordova and Port B'ham, Ala. 1,796 529. 1,267 71
Figure 2."
50
Approximate. Mileages Between Selected Points on Selected
River Systems.
C I c. o
k~awsas
4 2
VC91jOE
7I ,fers ri1le
A
94/
'4
14
501
253'E
t',
-5
33
"63
4J
0
21"7
Phei
ii>
E - It
14
Note: This map is not drawn to scale, but is stylized
to show general relationships only.
.l
i Ma-A-i
A P a lac.. c.c /.I