A study recently released by Colorado State University is believed to be the first attempt to create a business friendliness index that is focused on the agriculture sector.
CSU professors Greg Perry and James Pritchett developed the Agribusiness Friendliness Index to describe the economic climate for agriculture, which is impacted by climate, local and state government policies, geography and other factors more than other business sectors.
The index is based on 38 different variables, representing regulatory policy, tax policy, government efficiency, impact of key government services, and the overall state business climate. It follows the methodology of other key indexes like the State Business Tax Climate Index. The overall index is subdivided into four separate indices: Agricultural Inputs (such as fertilizer, chemicals and equipment); Crop, Fruit and Vegetable Production; Meat and Livestock Products; and First Level Agricultural Processing (such as meat slaughter, milk processing and milling).
View the slideshow to see a list of the top 10 agribusiness friendly states based on the Agricultural Inputs index:
SOURCE: Colorado State University news release