The U.S. farmed salmonid sector, primarily consisting of Atlantic salmon and rainbow trout, plays a pivotal role in the national economy. This sector is crucial in terms of employment, economic output, and tax revenue. An economic contribution analysis was conducted using data from a 2016 national survey of U.S. salmonid producers updated to 2022 dollars. Input-output modeling was facilitated by the IMPLAN (MIG Inc.,) online software and database. In 2022, the sector directly employed 1,524 individuals with a labor income of $79.8 million, contributing significantly to rural economies. The total economic impact was substantial, with a direct output of $198.5 million, and a total impact of $378.8 million when considering indirect and induced effects (Table 1). The salmonid industry interacts extensively with various other sectors such as animal feed manufacturing, construction, financial institutions, grain farming, and healthcare, demonstrating broad economic linkages.
The U.S. industry faces significant competition from imported products, affecting both market prices and growth opportunities. Regulatory costs and restrictions, particularly those concerning environmental impact, significantly affect operational costs and expansion capabilities. The U.S. salmonid industry could have achieved significant growth had expansion plans not been prevented by regulatory decisions. Expansion of salmonid production by 25%, 50%, or 75% could have boosted the economic output by $100 million to nearly $300 million, potentially supporting 2,000 additional jobs. Consequently, the industry’s total economic size could have reached between $500 million and nearly $700 million, with total employment ranging from just under 3,000 to nearly 4,000 jobs across the nation, depending on the extent of growth achieved. The economic contributions of the U.S. salmonid industry were estimated at the farm level and did not account for contributions from market channel businesses. Sales into recreational markets generate substantial additional impacts from expenditures by anglers that were not accounted for in this analysis.