Specialty crops create $66.5 million in economic output
Business Record Staff Oct 9, 2025 | 3:32 pm
2 min read time
551 wordsAg and Environment, All Latest NewsThe first statewide survey of specialty crops in Iowa since 2015 shows a $66.5 million economic output for the industry.
Iowa Secretary of Agriculture Mike Naig announced the 2023 Iowa Commercial Horticulture Food Crops Survey results on Wednesday. The report highlights a sector of Iowa agriculture that Naig said is diverse, growing, and making a significant contribution to Iowa’s economy and agricultural identity. Naig made the announcement in conjunction with the annual Great Apple Crunch, a statewide celebration of locally grown apples, one of Iowa’s top commercial horticulture food crops.
“Iowa’s horticulture food crops sector is an important part of our agricultural economy and a defining feature of the diversity and vibrancy of Iowa agriculture. This survey confirms the economic strength of specialty crop producers, who generated tens of millions of dollars in sales and supported hundreds of jobs across the state,” Naig said in a press release. “With the continued expansion of the Choose Iowa program, I believe this sector is well-positioned for even greater growth in the years ahead.”
Key findings include:
- 857 commercial specialty crop producers participated in the survey.
- 11,650 acres of specialty crops were grown in 2023.
- Average specialty crop farm size: 7.8 acres.
- Estimated total number of edible specialty crop producers:
- 1989: 1,400 farms
- 2000: 938 farms
- 2023: 1,680 farms.
- Average farmer age: 57.2 years.
- Nearly one-third of producers are beginning farmers.
Naig said the survey results provide insights that will help guide future policies, market development and investment opportunities for Iowa’s horticulture industry. The findings will help inform the state’s ongoing efforts to strengthen direct-to-consumer sales, expand retail and grocery partnerships, and connect more producers with the Choose Iowa program. The full report can be found here.
Naig today also awarded 12 Specialty Crop Block grants, which aim to enhance the competitiveness of Iowa-grown fruits, vegetables, nuts, flowers, honey and other specialty crops through research, education and market development. To view the full list of grant recipients, click here.
Economic Impact
- 2022 sales of edible specialty crops: $79 million.
- 2023 direct edible specialty crop sales: $41 million.
- Sales supported:
- $66.5 million in statewide economic output.
- $42.4 million in value-added activity.
- $29.9 million in labor income across 367 jobs.
Top specialty crops
- Honey: 1,229 producers.
- Peppers: 542 producers.
- Apples: 498 producers.
- Tomatoes: 445 producers.
- Lettuce: 419 producers.
Sales channels
- On-farm stores and farmers markets remain the most popular outlets.
- 30% of farms sold through farmer’s markets in 2023.
- 52% sold exclusively direct-to-consumer.
- Community Supported Agriculture: median sales of $4,859 per farm.
- Retail and grocery store sales: $8.6 million statewide.
Water quality practices and organics
- 21% of fruit and vegetable producers adopt cover crops.
- 8% (100 of 1,300 farms) grow certified organic crops, reflecting an emerging market.
The 2023 Iowa Commercial Horticulture Food Crops Survey was developed by a steering committee of staff from Iowa State University Extension and Outreach – Farm Food and Enterprise Development, horticulture specialists with ISU Extension and Outreach and the Iowa Department of Agriculture and Land Stewardship, the University of Iowa’s Global Health Studies Program and Practical Farmers of Iowa. Additional input was provided by the USDA National Agricultural Statistics Service, Iowa Specialty Crop Growers Association and the Iowa Farmers Market Association. Funding for the survey was made possible by a grant and cooperative agreement from the USDA.