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The New Mexico Chile Pepper Industry: Description, Labor Issues, and Economic Impact

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Title: The New Mexico Chile Pepper Industry: Description, Labor Issues, and Economic Impact


1
The New Mexico Chile Pepper Industry
Description, Labor Issues, and Economic Impact
  • Presented By Teri Hall

2
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 industrys employment
    and economic impacts on Doña Ana County
  • Evaluate the economic effects of industry
    changes.

3
Agriculture and the Chile Pepper Industry in New
Mexico and Dona Ana County
4
Chile Pepper Imports From Mexico Through New
Mexico Ports of Entry
5
Chile Pepper Acreage Harvested in 1999
6
New Mexico Chile Pepper Industry
7
Chile Peppers processed in Southern New Mexico by
chile type and growing region
8
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
9
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
10
Total estimated industry workforce needed by
month
Source Eastman, 1996, Processor interviews
conducted 5/2001-9/2001
11
IMpact Analysis for PLANning (IMPLAN)
  • Direct effects
  • Indirect effects
  • Induced Effects
  • Backward linkages
  • Full-time equivalents

12
Green Chile Pepper, Jalapeño, and Red Chile
Industry Input-Output Modeling-Doña Ana and Luna
Counties Combined
Source IMPLAN 2001, Model Output
13
Summary
  • Thesis objectives
  • Chile pepper processor interviews
  • Description of the chile pepper industry
  • Review existing information
  • Application of IMPLAN

14
Implications
  • Inaccurate and limited industry data
  • Significant employment economic impacts on the
    local economy

15
Shortcomings
  • Exercise caution when looking at results
  • Backward linkages
  • Accurate representation of the local economy
  • Agriculture employment data

16
Recommendations
  • Unanswered questions
  • Create new sector within IMPLAN

17
Questions?
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