Recent rains impact local economy - KFDA - NewsChannel 10 / Amarillo News, Weather, Sports

Recent rains impact local economy

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Amarillo, TX - As the local agriculture industry flourishes from recent rain it is helping boost our
economy.

Local farmers say the rain came at a crucial time and will help increase this year's crop yield and area economists says this is good news for everyone even businesses outside of the agriculture industry.

"It is not just agriculture it is everybody, you know they start feeling a little more confident that they are not going to have to tighten their belts as much. As they get the rain they are going to be adding production and therefore adding fertilizer, and making other purchases throughout the economy"

An agriculture economist, Dr. Stephen Amosson, says this rain will bring a lot of revenue to our local economy.

"25 to 50 million dollars, it adds because if you look at the high plains, we have 9-million acres of pasture and roughly 5-million acres of cropland and 2-million is irrigated. So the value of an inch of water is going to be at a minimum in the 10 dollar range up to 15 to 20 dollars so it adds up fast."

Executive Vice President at Amarillo National, William Ware, says as the agriculture industry does well, local businesses will see the trickle down effect.

"If farmers and the local ranchers can sell products then they will actually have money to spend and it is going to help any of the supply stores, any of the ag equipment dealers are going to finally see sales, you're going to see sales for local greenhouses, and local hardware stores".

A local ranching supply store says they have already seen an increase business since the rainfall.

"We are getting a lot of calls about tractors right now ... and rancher that will keep their cattle for a little bit longer so they need more livestock feed and mineral to take care of them and their needs. So they come in and start looking for stuff, but if they don't get rain, they don't need it."

The agriculture industry is one of the largest employers for The Panhandle and we are expected to continue to see benefits from this rainfall for the next few months.