Strong outlook for Manitowoc agriculture industry

Experts say Manitowoc County’s agriculture industry remains on solid footing and has an increasingly positive outlook thanks to export growth and strong local infrastructure.

Dave Coggins, executive vice president of agriculture banking at Manitowoc-based Investors Community Bank, told a group of business leaders Monday that the local agriculture industry now accounts for $1.5 billion in local economic activity, or about 17 percent of Manitowoc County’s economy.

“We are an ag powerhouse here in Manitowoc County,” said Coggins, who touted the local agriculture industry’s strengths during an event for Manitowoc County Chamber members at the Holiday Inn in Manitowoc.

Coggins said the industry’s strong outlook stems in part from the region’s abundance of fresh water, which is an inherent advantage that’s become even more pronounced as California dairy farmers contend with a severe drought.

Growth in the industry is now being driven by exports, with Wisconsin farmers exporting a record $3.6 billion worth of products in 2014, an increase of 13.6 percent from 2013, which marked the fifth year in a row that exports have risen.

Coggins said farmers will continue to face ups and downs from weather, milk prices and other factors, but a growing global population will continue to open new opportunities for farmers and will help offset those challenges.

“That’s a big deal,” Coggins said. “When we listen to agriculture economists who talk about the future of the dairy industry, and the future of agriculture, there tends to be a lot of optimism.”

The local dairy industry typically ranks among the largest in the country, Coggins said, with the county currently being home to more cows (110,000) than people (about 81,000).

Dairy is just as important around the state.

Tim Schneider, Investors Community Bank CEO, told the group that no single product produced in Wisconsin has a greater economic impact than milk, which he said means more to the state’s economy than citrus does to Florida or potatoes to Idaho.

Dairy farmers have contended with declining milk consumption in the U.S. over the years, but it’s been more than made up for by the popularity of pizza, Coggins said.

Currently, about 90 percent of milk produced in Wisconsin is now made into cheese.

“Thankfully, for the dairy industry, we still like our pizza,” Coggins said.

Josh Lintereur can be reached at 920-453-5147 or jlintereur@gannett.com