Noel Thompson, John Dunkelberger, and Lavaughn Johnson

An important change occurred in the way the 1997 Agricultural Census was conducted. Prior censuses of agriculture were conducted by the Bureau of the Census, U.S. Department of Commerce. But the U.S. Congress mandated that the 1997 Census of Agriculture be conducted by the U.S. Department of Agriculture's National Agricultural Statistics Service (NASS) utilizing the resources and experience of its state offices. It was believed that familiarity with particular state conditions, tested in-state collection processes, and credibility with farm operators would improve the rate of participation and completeness of the census. This procedural change was expected to and did produce differences in results compared to past censuses. No states reported greater differences from 1992 to 1997 than Alabama. The nature of these differences is the focus of this article.

Changes in Alabama farms from 1992-1997.

An article, “Future Farming: Study Chronicles Changes in Alabama Farms Now and Into the Next Century,” published in a 1998 Highlights (Vol. 45, No. 3) described 20 years of data for Alabama agriculture as reported by the 1974-1992 census reports. Based on trends observed, AAES researchers predicted further decreases in the number of Alabama farms in 1997 and on into the 21st Century. Between 1974 and 1992 Alabama lost 18,773 (or one-third) of its farms, leaving 37,905 farms by census count. It was predicted that as many as 5,400 additional farms might be lost by 1997 if the same conditions and trends continued. Instead, the 1997 census reported 3,479 more farms than in 1992, bringing the total to 41,384, a 9.2% increase (see figure). Alabama is one of only a few states to show more farms in 1997 than in 1992. All states adjacent to Alabama reported fewer farms except Tennessee, where an increase of less than 2% was reported.

The average size of Alabama farms was 210 acres in 1997, virtually the same size as in 1974, when it was 209 acres. However, this was a decrease of 13 acres from the 223-acre average reported in 1992. The implication is clear that many of the additional farms enumerated in the latest census were “small” farms. Although more farms were reported in all size categories, the increase was greatest for one- to nine-acre and 10- to 49-acre farms, where increases were 13% and 17%, respectively.

Structural changes in production on Alabama farms reported in 1997 can be analyzed in terms of their crops and livestock enterprise mix. Only the proportion of farms with livestock increased compared to 1992 (see figure). Almost two-thirds (61%) of all farms were producing beef cows. This was a 6.1% increase, or 1,459 more farms with beef enterprises. All other livestock enterprises decreased both in percent and actual number of farms. Even farms with poultry operations decreased by 24%, while hog and pig operations decreased by 50%. Sales of livestock, on the other hand, and the proportion of farms actually selling livestock remained fairly stable for poultry at 6% of all farms, increased 8.5% for beef cows, but decreased 56% for hogs. In 1997 less than 2% of Alabama farms sold hogs.

Crop enterprises on Alabama farms decreased across the board between 1992 and 1997 except for cotton, which was stable at 1,470 farms (or 3.6% of farms), and hay production, which increased 9% (or 1,578) farms, as shown in the figure. The declining number of farms producing crops is perhaps the most significant structural change revealed. In spite of the larger number of farms reported in the 1997 census, only half as many farms produced peanuts or corn, important Alabama crops. Peanut production was reported on only 3.6% of farms, compared to 5.9% in 1992, representing a decrease of 33%. The actual number of farms producing peanuts decreased by 744 farms. The picture for corn was even more drastic. In 1992, 14% of farms produced corn but only 8.9% did so in 1997. This was a decrease of 1,618 farms, for a 30.5% change. Also, farms producing wheat decreased by 16% to 1.8% of farms while soybeans decreased 9% to 4.7% of farms.

Despite these declines in the number of farms producing crops, more farms reported cropland in 1997. The increase was 6.4%, or 2,080 more farms. But having cropland does not mean that crops were harvested. Whereas 83% of Alabama farms reported cropland, only 60% reported harvesting crops. This was a decrease of 5.4% of all farms compared to 1992.

This change probably reflects the fact that some farmers have placed all or part of their cropland in various reserve programs. One indication of this is the increase in the number of farms receiving government payments. This percentage increased from 15.4% in 1992 to 22.4% of all farms in 1997, a 59% increase. The biggest increase (99%) was in farmers placing croplands in the conservation and wetlands reserve programs. Another strategy was to rent out cropland. However, farms reporting income from renting out land was stable at 6.7% from 1992 to 1997, representing only a 10% increase (245 farms).

Family (or individual) farms have always accounted for most Alabama farms. This percentage was slightly higher in 1997 (91%) than in 1992 (90.4%). This also represented an increase of 3,440 farms, 10% more than in 1992. Partnership farms, which usually involve related family members, decreased by 3.8%, or 1% fewer farms compared to 1992. Corporate farms increased by 88, but the percent of all farms was stable at 1.8%. Family corporations account for most (1.5%) of these farms.

Because the 1997 agricultural census located and reported more farms, there were also more farmers in Alabama. This increased number was similarly distributed over the various tenure types used to describe a farmer's relationship to the land operated. Full-owners, farming only land they own, represent two-thirds (66.5%) of the state's farmers. Part-owners rent additional farmland above that owned. They represent 30% of farmers, up from 23.5% in 1992. Tenant farmers own none of the land they operate and represent a stable 6% of all farms. Clearly, the additional farms reported in 1997 did not alter significantly the land tenure picture for Alabama agriculture.

Some 72% of Alabama farmers live on the farm. This included 2,754 more than in 1992, but an increase of less than 1%. The proportion of women operating farms increased from 7.6% in 1992 to 8.5% in 1997 or 633 women operators, a 22% increase over five years. However, the average age of operators remained at 54.9 years. Although 536 more farmers were 65 and older in 1997, they accounted for 1% fewer farm operators than in 1992. This change was reflected in a 1% gain in the proportion of operators younger than 45 years of age.

Historically, Alabama farms have relied on family members to meet their labor needs. But today farm operators are more likely to report their primary occupation as something other than farming. In 1997 only 38% of the state's farm operators said farming was their primary occupation (see figure). This was 15,568 operators and represented 144 fewer persons than in 1992. Farm operators depending on a nonfarm occupation for their livelihood increased by 3,623 in actual numbers and 16% over 1992.

Part-time operators are often viewed as farmers by occupation who take regular or seasonal nonfarm employment to supplement their farm income. One test of how true this is today is reflected in the number of days farm operators are employed off the farm. In 1997 only one-third (34%) reported no off-farm work days compared to 36% in 1992. There was an increase of 18% in operators with seasonal or temporary off-farm employment for fewer than 100 days and an increase of 14 % in those with regular employment of 200 days or more. In 1997, 45% of farm operators versus 43% in 1992 were heavily committed to off-farm employment. When linked with the fact that 62% of Alabama farm operators identify their principal occupation as something other than farming, a very critical structural change in agricultural production is highlighted.

Given this scenario, one would expect farm operators to substitute hired labor for their own and family labor. This was not the case (see figure). Farms using hired labor decreased by almost 6% between 1992 and 1997. Declines in hired farm labor occurred for virtually all categories. Compared to 1992, there was a 27% decrease in farms with hired workers 150 days or more, 4% fewer farms used hired labor less than 150 days, 22% fewer farms used only hired labor that worked 150 days or more, and 29% fewer farms used hired labor both short-term (seasonal) and long-term, i.e. some workers fewer than and some more than 150 days per year.

Viewed from the perspective of the number of hired workers, the only increase over 1992 was in farms employing a single worker. This increase was 10% over 1992. Only 29% of farms hired labor in 1997, compared to 34% five years earlier; and 1,632 farms had five or more hired workers in 1997, for a 20% decrease.

It is apparent that Alabama farm operators are substituting machinery and other technologies for hired labor and are selecting less labor-intensive enterprises for the traditional array of Alabama produced crops and livestock products.

Based on this analysis, it appears that past trends describing Alabama agriculture are continuing, for the most part, and should not be obscured by the increase in the number of farms reported in the 1997 Census of Agriculture.