Minnesota leads the nation in
co-op business volume

E. Eldon Eversull
Agricultural Economist
USDA Rural Business-Cooperative
Service

Editor’s note: Information for this
article was collected by USDA/RBS co-op
statistics staff members Celestine C.
Adams, Katherine C. DeVille and
Jacqueline E. Penn.


ven with lower prices in many agricultural sectors, net business volume for the nation’s farmerowned cooperatives increased by almost 4 percent in 2001, to more than $103 billion. Leading the way once again was Minnesota with $9.9 billion in sales by farmer cooperatives (table 1). Minnesota took over the top spot for the first time in 1999.

Iowa, which was the leading state in 1997, was second in 2001, with cooperative net business volume of $9.2 billion. Wisconsin, at $8.7 billion, fell from second to third place. USDA has been collecting statewide cooperative data every other year since 1951 (figure 1).

Iowa had the largest gain in co-op sales since 1999, increasing $1.3 billion. Of that amount, $1.2 billion was from additional products marketed. Wisconsin had an additional $516 million in marketing sales while Minnesota’s gain of $590 million was almost equally divided between marketing and farm supply sales. Cooperative sales increased in 34 states and the District of Columbia, while 16 states experienced a sales decline.

A breakdown by sale of individual products shows the following highlights for the leading co-op states from 1999 to 2001: Cooperatives in the 10 leading states increased their net business volume by about $2.5 billion in 2001 compared with 1999. These cooperatives account for 60 percent of total net cooperative business volume, 63 percent of marketing volume, 51 percent of farm supplies sold and 66 percent of total service sales.

Minnesota was the top state for marketing cooperative products; Iowa was tops for selling farm supplies and California had the highest service receipts for cooperatives. Minnesota led all states in cooperative marketing of sugar and in manufactured food products and was second in milk/milk products and grains/oilseeds.

Iowa was the top state for cooperative marketing of dry beans/peas and grains/oilseeds and was second for livestock and manufactured food products. Wisconsin was first for cooperative marketing of milk/milk products.

For cooperative farm supply sales, Minnesota was the leader for petroleum and was second for feed and other miscellaneous farm supplies. Iowa was first for cooperative sales of feed, seed, fertilizer and crop protectants. Wisconsin was the top cooperative state for sales of miscellaneous farm supplies and was second for petroleum.

Leaders in number of cooperatives
Minnesota was home to the largest number of cooperative headquarters, with 293, followed by North Dakota with 239 and Texas with 238 (figure 2). The same three states also had the most cooperatives in 1999, 1997 and 1995. The top 10 states had 56 percent of all cooperative headquarters, 57 percent of all marketing cooperatives, 51 percent of farm supply cooperatives and 68 percent of service cooperatives.

Minnesota and North Dakota both had about the same number of marketing and farm supply cooperatives. Texas by far had the most service cooperatives.

By individual products, North Dakota had the most dry bean/pea, grain/oilseed and livestock cooperatives. Texas had the most cotton and rice cooperatives. California had the most fresh fruit/vegetable, nut, and poultry cooperatives. Minnesota had the most farm supply cooperatives.

Co-op membership leaders
Kentucky led the nation with 242,873 farmers with cooperative memberships, followed by Virginia and Wisconsin. The top 10 states for cooperative memberships are shown in figure 3. For the top 10 states, 54 percent of all cooperative memberships are in these states, 58 percent of all cooperative marketing memberships, 51 percent of farm supply and 48 percent of service.

Kentucky led all states in tobacco cooperative memberships. Virginia had the most nut cooperative memberships and was second in farm supply members. Wisconsin had the most milk/milk products and livestock memberships.

Individual state data for farmer cooperatives are collected every other year by USDA Rural Business-Cooperative Service. The survey asks for membership, sales and marketing data by state. The data from the 2001 survey were used to develop this report. A complete summary of state-by-state cooperative activity is available in the new USDA publication, Farmer Cooperative Statistics, 2001, RBS Service Report 61. To order, call (202) 720-8381, or e-mail jon.hall@usda.gov or download at www.rurdev.usda.gov/ rbs/pub/sr61.pdf.







































































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