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The New Mexico Chile Pepper Industry: Description, Labor Issues, and Economic Impact. Presented By: Teri Hall. Objectives:. Describe the New Mexico Chile Pepper Industry Describe the current labor situation and labor issues relevant to the New Mexico chile pepper industry;
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The New Mexico Chile Pepper Industry: Description, Labor Issues, and Economic Impact Presented By: Teri Hall
Objectives: • Describe the New Mexico Chile Pepper Industry • Describe the current labor situation and labor issues relevant to the New Mexico chile pepper industry; • Provide estimates of the industry’s employment and economic impacts on Doña Ana County; • Evaluate the economic effects of industry changes.
Agriculture and the Chile Pepper Industry in New Mexico and Dona Ana County
Chile Pepper Imports From Mexico Through New Mexico Ports of Entry
Chile Peppers processed in Southern New Mexico by chile type and growing region
Demographics characteristics of hired farm workers in Doña Ana County • 10,000 farm laborers • 3rd grade education • 100% Hispanic descent • 40% U.S. citizens • 20-40% illegal immigrants working • Average family is 4.2 people • Average household income is $7,000/year Source: Local interviews and previously published material
Hand Mechanical 1995 1997 1995 1997 Red Chile 41.22% 49.07% 9.71% 11.56% Jalapeños 42.57% 47.16% 6.54% 7.79% Labor as a percentage of production cost for hand and mechanical chile harvest in Doña Ana and Sierra Counties, 1995, 1997, and 2000. *Labor cost divided by total production costs. Source: Eastman, 1997
Total estimated industry workforce needed by month Source: Eastman, 1996, Processor interviews conducted 5/2001-9/2001
IMpact Analysis for PLANning (IMPLAN) • Direct effects • Indirect effects • Induced Effects • Backward linkages • Full-time equivalents
Green Chile Pepper, Jalapeño, and Red Chile Industry Input-Output Modeling-Doña Ana and Luna Counties Combined Source: IMPLAN 2001, Model Output
Summary • Thesis objectives • Chile pepper processor interviews • Description of the chile pepper industry • Review existing information • Application of IMPLAN
Implications • Inaccurate and limited industry data • Significant “employment” economic impacts on the local economy
Shortcomings • Exercise caution when looking at results • Backward linkages • Accurate representation of the local economy • Agriculture employment data
Recommendations • Unanswered questions • Create new sector within IMPLAN