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NATIONAL
ECONOMIC IMPACT OF THE U.S.
HORSE
INDUSTRY
The horse industry is a very large and
important part of our national, state and local
economies.
It is diverse, involving agriculture,
business, sport, gaming, entertainment and
recreation.
The economic study done by Deloitte
Consulting LLP for the
American Horse Council Foundation in 2005
validates what the industry has known for some
time, that the horse industry is a highly-diverse,
national, serious and economically significant
industry that deserves the attention of the
general public, the media and federal, state and
local officials.
Highlights
of the study include:
·
There are
9.2 million horses in the
United
States
.
·
4.6
million Americans are involved in the industry as
horse owners, service providers, employees and
volunteers.
Tens of millions more participate as
spectators.
·
2 million
people own horses.
·
The horse
industry has a direct economic effect on the
U.S.
of $39
billion annually.
·
The
industry has a $102 billion impact on the
U.S.
economy
when the multiplier effect of spending by industry
suppliers and employees is taken into
account.
Including off-site spending of spectators
would result in an even higher figure.
·
The
industry directly provides 460,000 full-time
equivalent (FTE) jobs.
·
·
Spending
by suppliers and employees generates additional
jobs for a total employment impact of 1.4
million FTE jobs.
·
The horse
industry pays $1.9 billion in taxes to all levels
of government.
·
Approximately
34% of horse owners have a household income of
less than $50,000 and 28% have an annual income of
over $100,000. 46% of
horse owners have an income of between $25,000 to
$75,000.
·
Over 70%
of horse owners live in communities of 50,000 or
less.
·
There are
horses in every state. Forty-five
states have at least 20,000 horses each.
Numbers of Horses
The study
concludes that there are 9.2 million horses in the
U.S.
,
including horses used for racing, showing,
competition, sport, breeding, recreation and
work.
This includes horses used both commercially
and for pleasure.
Specifically, the number of horses by
activity is:
Racing
844,531
Showing
2,718,954
Recreation
3,906,923
Other
1,752,439
Total
9,222,847
"Other"
activities include farm and ranch work, rodeo,
carriage horses, polo, police work, informal
competitions, etc.
Pa
Participation
4.6 million people are involved in the
horse industry in some way, either as owners,
employees, service providers or volunteers. This
includes 2 million horse owners, of which 238,000
are involved in breeding, 481,000 in competing,
1.1 million involved in other activities, 119,000
service providers and 702,000 employees, full- and
part-time and 2 million family members and
volunteers.
That means that 1 out of every 63 Americans
is involved with horses.
The Si The Size and
Impact of the Industry
G
Gross Domestic Product
The study documents the economic impact of
the industry in terms of jobs and contribution to
the Gross Domestic Product (GDP).
The study's results show that the industry
directly produces goods and services of $38.8
billion and has a total impact of $101.5 billion
on U.S. GDP.
It is strong in each activity with racing,
showing and recreation each contributing between
$10.5 and $12 billion to the total value of goods
and services produced by the industry.
Specifically, the GDP effect for each (in
billions of dollars) is:
Direct
Total
Racing
$10.6
$26.1
Showing 10.8
28.7
Recreation
11.8
31.9
Other
5.5
14.6
Total
$38.8
$101.58
Employment
The industry employs 701,946 people
directly.
Some are part-time employees and some are
seasonal so this equates to 453,612 full-time
equivalent jobs.
The
industry supports a total of over 1.4 million FTE
jobs across the
U.S.
as
follows:
Direct
Total
Racing
146,625
383,826
Showing
99,051
380,416
Recreation
128,324
435,082
Other
79,612
212,010
Total
453,612
1,411,333
Taxes
The
industry pays a total of $1.9 billion in taxes to
federal, state and local governments as follows
(in millions of dollars):
Federal
$588
State
$1,017
Local
$275
T
The Diversity of the Industry
The results of the study show that the
horse business is a highly diverse industry that
supports a wide variety of activities in all
regions of the country. It
combines the primarily rural activities of
breeding, training, maintaining and riding horses
with the more urban activities of operating
racetracks, off-track betting parlors, horse shows
and public sales.
Income
Levels
The study dispels the misperception that
the horse industry is an activity only for wealthy
individuals.
In fact, the horse industry is a diverse
activity with stakeholders including recreational
and show horse riders, and moderate-income track,
show and stable employees and volunteers.
Approximately 34% of horse owners have a
household income of less than $50,000 and 28% have
an annual income of over $100,000. 46% of
horse owners have an income of between $25,000 to
$75,000.
Community Size
Over 70% of horse owners live in
communities of 50,000 or less.
THE
ECONOMIC IMPACT OF THE HORSE INDUSTRY IN
VARIOUS STATES:
CALIFORNIA
·
The
California
horse
industry produces goods and services valued at
$4.1 billion.
·
·
The
national industry has a $7 billion impact on the
California
economy
when the multiplier effect of spending by industry
suppliers employees is taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
311,100
Californians are involved in the industry as horse
owners, service providers, employees,
and volunteers. Even more
participate as spectators.
·
The
California
horse
industry directly provides 54,200 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in
California
and other
states) generates additional jobs in
California
for a
total employment impact of 130,200.
·
There are
698,000 horses in
California
, over 70
percent of which are involved in showing and
recreation.
COLORADO
·
The
Colorado
horse
industry produces goods and services valued at
$956 million.
·
The
national industry has a $1.6 billion impact on the
Colorado
economy
when the multiplier effect of spending by industry
suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
102,400
Coloradans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The
Colorado
horse
industry directly provides 5,800 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in
Colorado
and other
states) generates additional jobs in
Colorado
for a
total employment impact of 21,300.
·
There are
256,000 horses in
Colorado
, over 70
percent of which are involved in showing and
recreation.
FLORIDA
·
The
Florida
horse
industry produces goods and services valued at
$3.0 billion
·
The
national industry has a $5.1 billion impact on the
Florida
economy
when the multiplier effect of spending by
industry suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
440,000
Floridians are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The
Florida
horse
industry directly provides 38,300 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in
Florida
and other
states) generates additional jobs in
Florida
for a
total employment impact of 104,700.
·
There are
500,000 horses in
Florida
, over 60
percent of which are involved in showing and
recreation.
INDIANA
·
The
Indiana
horse
industry produces goods and services valued at
$779 million.
·
The
national industry has a $1.3 billion impact on the
Indiana
economy
when the multiplier effect of spending by industry
suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
90,000
Indianans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The
Indiana
horse
industry directly provides 8,400 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in Indiana and other
states) generates additional jobs in
Indiana
for a
total employment impact of 22,500.
·
There are
203,000 horses in
Indiana
, over 80
percent of which are involved in showing and
recreation.
KENTUCKY
·
The
Kentucky
horse
industry produces goods and services valued at
$2.3 billion.
·
The
national industry has a $3.5 billion impact on the
Kentucky
economy
when the multiplier effect of spending by industry
suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
194,300
Kentuckians are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The
Kentucky
horse
industry directly provides 51,900 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in
Kentucky
and other
states) generates additional jobs in
Kentucky
for a
total employment impact of 96,000.
·
There are
320,200 horses in
Kentucky
, over 50
percent of which are involved in showing and
recreation.
LOUISIANA
·
The
Louisiana
horse
industry produces goods and services valued at
$1.6 billion.
-
The
national industry has a $2.4 billion impact on
the Louisiana
economy when the
multiplier effect of spending by industry
suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
54,200
Louisianans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as
spectators.
·
The
Louisiana
horse
industry directly provides 5,500 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in
Louisiana
and other
states) generates additional jobs in
Louisiana
for a
total employment impact of 24,300.
·
There are
164,000 horses in
Louisiana
, over 70
percent of which are involved in showing and
recreation.
MARYLAND
·
The
Maryland
horse
industry produces goods and services valued at $1
billion.
·
The
national industry has a $1.6 billion impact on the
Maryland
economy
when the multiplier effect of spending by industry
suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
65,600
Marylanders are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
- The
Maryland
horse industry
directly provides 10,000 full-time equivalent
(FTE) jobs. Spending
by suppliers and employees (in
Maryland
and
other states) generates additional jobs in
Maryland
for
a total employment impact of 28,000.
·
There are
153,000 horses in
Maryland
, over 40
percent of which are involved in showing and
recreation.
MISSOURI
·
The
Missouri
horse
industry produces goods and services valued at
$718 million.
·
The
national industry has a $1.3 billion impact on the
Missouri
economy
when the multiplier effect of spending by industry
suppliers and employees is taken into
account.
Accounting for off-site spending of
spectators would result in an even higher
figure.
·
125,100
Missourians are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The
Missouri horse industry directly provides 42,200
full-time equivalent (FTE) jobs. Spending
by suppliers and employees (in Missouri and other
states) generates additional jobs in Missouri for
a total employment impact of 56,000.
·
There are
281,000 horses in Missouri, over 70 percent of
which are involved in showing and recreation.
NEW
JERSEY
·
The New
Jersey horse industry produces goods and services
valued at $710 million.
·
The
national industry has a $1.1 billion impact on the
New Jersey economy when the multiplier effect of
spending by industry suppliers and employees is
taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
55,900 New
Jerseyans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The New
Jersey horse industry directly provides 9,600
full-time equivalent (FTE) jobs. Spending
by suppliers and employees (in New Jersey and
other states) generates additional jobs in New
Jersey for a total employment impact of
21,400.
·
There are
83,000 horses in New Jersey, over 80 percent of
which are involved in showing and recreation.
NEW
MEXICO
·
The New
Mexico horse industry produces goods and services
valued at $503 million.
·
The
national industry has a $759 million impact on the
New Mexico economy when the multiplier effect of
spending by industry suppliers and employees is
taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
91,100 New
Mexicans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as
spectators.
·
The New
Mexico horse industry directly provides 35,700
full-time equivalent (FTE) jobs. Spending
by suppliers and employees (in New Mexico and
other states) generates additional jobs in New
Mexico for a total employment impact of
45,000.
·
There are
147,000 horses in New Mexico, over 60 percent of
which are involved in showing and recreation.
NEW
YORK
·
The New
York horse industry produces goods and services
valued at $1.4 billion.
·
The
national industry has a $2.4 billion impact on the
New York economy when the multiplier effect of
spending by industry suppliers and employees is
taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
152,000
New Yorkers are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The New
York horse industry directly provides 12,700
full-time equivalent (FTE) jobs. Spending
by suppliers and employees (in New York and other
states) generates additional jobs in New York for
a total employment impact of 35,200.
·
There are
202,000 horses in New York, over 70 percent of
which are involved in showing and recreation.
OKLAHOMA
·
The
Oklahoma horse industry produces goods and
services valued at $766 million.
·
The
national industry has a $1.2 billion impact on the
Oklahoma economy when the multiplier effect of
spending by industry suppliers and employees is
taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
117,900
Oklahomans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The
Oklahoma horse industry directly provides 12,400
full-time equivalent (FTE) jobs. Spending
by suppliers and employees (in Oklahoma and other
states) generates additional jobs in Oklahoma for
a total employment impact of 31,600.
·
There are
326,000 horses in Oklahoma, over 70 percent of
which are involved in showing and recreation.
TEXAS
·
The Texas
horse industry produces goods and services valued
at $3.0 billion.
·
The
national industry has a $5.2 billion impact on the
Texas economy when the multiplier effect of
spending by industry suppliers and employees is
taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
455,600
Texans are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as spectators.
·
The Texas
horse industry directly provides 32,200 full-time
equivalent (FTE) jobs. Spending
by suppliers and employees (in Texas and other
states) generates additional jobs in Texas for a
total employment impact of 96,300.
·
There are
979,000 horses in Texas, over 60 percent of which
are involved in showing and recreation.
WYOMING
·
The
Wyoming horse industry produces goods and services
valued at $191 million.
·
The
national industry has a $286 million impact on the
Wyoming economy when the multiplier effect of
spending by industry suppliers and employees is
taken into account. Accounting
for off-site spending of spectators would result
in an even higher figure.
·
33,100
Wyomingites are involved in the industry as horse
owners, service providers, employees, and
volunteers.
Even more participate as
spectators
·
The
Wyoming horse industry directly provides 1,400
full-time equivalent (FTE) jobs. Spending
by suppliers and employees (in Wyoming and other
states) generates additional jobs in Wyoming for a
total employment impact of 4,900.
·
There are
99,000 horses in Wyoming, over 60 percent of which
are involved in showing and recreation.
The
American Horse Council Foundation
1616
H Street
7th
Floor
Washington DC, 20006
202-296-4031
202-296-1970-fax
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