September 30, 2008

 

Damage for Louisiana's agriculture, forestry and fisheries industries caused by back-to-back hurricanes has risen to an estimated US$950 million.

 

The figure from the Louisiana State University AgCenter has been climbing since the centre's first assessment in early September, and hurricane-related losses are still being calculated. Final damage estimates aren't expected until after crop harvests have been completed.

 

The Louisiana State University AgCenter said in a press release Friday that Hurricanes Ike and Gustav caused US$763 million in lost revenue to producers and infrastructure damage in the range of US$175-200 million.

 

For agricultural and forestry industries, revenue losses are calculated at US$636 million.

 

Among the hardest-hit crops were soy and cotton, the AgCenter said. Cotton revenue losses totalled US$136 million, roughly 58 percent of the pre-hurricane crop value, the AgCenter said. For soy, US$153 million in revenue was lost to the storms, which represents 37 percent of the pre-hurricane crop value.

 

Corn revenue losses totalled US$66 million, rice losses reached US$33 million and timber losses were calculated at US$91 million.

 

The livestock industry was also impacted, with US$4 million in revenue losses for dairy, beef and poultry producers.

 

Sugar cane was also damaged by the storms, with US$87 million in damages estimated for that crop.

 

Infrastructure damages - to farm equipment and storage or processing facilities, for example - are still being calculated, but could approach US$188 million or more, the LSU AgCenter said.

 

Some of the most severe infrastructure damage was incurred by the aquaculture and fisheries sector. Revenue losses for the sector are estimated at US$127 million.

 

The LSU AgCenter began assessing damage immediately after the storms, but final figures won't be available until after harvest.

 

"We really won't know the exact nature and scope of the impact of the 2008 storms until sometime later this year," said Kurt Guidry, an LSU AgCenter economist. "A lot still depends on whether wet conditions persist and delay harvest of some crops - or whether we see really favorable weather and things get better than expected.

 

"Either way, it's probably going to be after this year's growing season before the final figures are known," Guidry said.