Food and Beverages Sales Tax Regulations

One of the most frequently asked questions from prospective entrepreneurs in the food industry is: Are my products exempt from sales tax? Yes and No! Food and beverage products are exempt from the 4% state sales taxes, however, local sales taxes still apply. For example, in a county with a 7% sales tax rate, food and beverages are only taxed on the additional local government tax of 3%. Therefore, only 3% instead of 7% of gross taxable sales of the total amount collected need to be turned in to the local government. For more information contact Kent Wolfe.

Understanding and Obtaining a Universal Product Code

Given competitive pressures to reduce cost and to increase efficiency, food retailers are relying more on Universal Product Codes (UPC) to track inventory and collect accurate information on variable weight items like value-added fresh produce. Analyzing sales data provides food retailers with valuable information on product movement and product shrinkage. Without a UPC, food retailers have to rely on cashiers to key in product information which can lead to problems such as inaccurate or incorrect product information being entered into the system. For more information contact Kent Wolfe.

Wholesaler and Distributor Preliminary Outlook for Fruit and Vegetables Produced in Georgia

Georgia is the fourth largest producer of fresh market vegetables in the country. It is third in harvested acreage and fifth in value (USDA 2002). Georgia produces 33 different vegetable crops and fruit crops (Doherty et. al., 2001a, 2001b). The Foreign Agricultural Service Report indicates that fruits and vegetables are among the fastest growing sector in the consumer-related high value products industry (Sharpless 2001). The Center for Agribusiness and Economic Development (CAED) has conducted a marketing study aimed at understanding the dynamics of the Georgia fruit and vegetable industry. For more information contact Kent Wolfe.

Simple Marketing Check List

A marketing check list provides a simple means of tracking an agribusiness's marketing activities and establishing goals. The check list should be used to record which marketing activities the business intends to pursue as well as to track the firm's progress in meeting its goals. Let's use Red Dawg Hot Sauce as an example. Red Dawg Hot Sauce may set a goal of placing its products in two gourmet mail order catalogs featuring hot sauce products over the next year. In the space provided for goals, Red Dawg Hot Sauce should include what part of the activity it intends to pursue, as only portions of each activity might be of interest. The following is not intended to be an exhaustive listing for a businesses marketing process, however it does provide a guide line. For more information contact Kent Wolfe.

Business Skills and Knowledge Evaluation

Adding value to agricultural commodities often requires significantly different business skills and information needs than an entrepreneur may posses. Adding value through packaging, processing, and marketing, may require adherence to and understanding of many different regulation, licensing, tax, insurance, labor, and public relation considerations, as well as a thorough understanding of marketing concepts. Because the development of many value-added enterprises often constitutes a new business venture, such enterprises should not be undertaken lightly. For more information contact Kent Wolfe.

Estimated Fresh Salsa Market Potential for Georgia and Bordering States

Consumers are becoming more adventuresome and trying unusual, fresh, ethnic, and regional foods. In addition, consumers' consumption of fresh produce is increasing as they attempt to eat healthier. This provides an ideal situation for the introduction of a unique, specialty salsa product. The creation of a fresh salsa product, both tomato and fruit based, combining unique ethnic flavors with fresh produce, could fit nicely into current market trends and offers a significant market opportunity. There is a lack of data available on the fresh salsa market; as a result, processed salsa data will is used as a proxy for fresh salsa. For more information contact Kent Wolfe.

A Study on the Feasibility of Biodiesel Production in Georgia

Potential Bio-diesel production in Georgia was investigated in the metro-Atlanta area. For more information, contact Dr. George Shumaker.

Feasibility of Green Boiled Peanuts in Georgia

The Center for Agribusiness and Economic Development, (CAED) was contacted to review and evaluate the feasibility of producing a boiled peanut in a microwavable safe plastic pouch by a group of producers/processors in the Claxton, Georgia area. The process begins with grading green Virginia type peanuts near the harvesting location and transporting the graded peanuts to the cooking location. The peanuts are cooked and packaged into a special microwavable pouch designed to retail specifications. The food science of such a process dictates that production quality, cooking, and packaging occur in close proximity to the raw peanuts. Due to a lack of processing capacity in Georgia, the potential investors desired to investigate an economic analysis to establish the relevant cost and returns for the different processes, grading, cooking, and packaging.  For more information, contact Chris Ferland.

Feasibility of Marine Shrimp Production in Georgia

U.S. shrimp consumption has trended upward since the early 1930's. The United States Department of Agriculture's Economic Research Service (ERS) reported annual per capita shrimp consumption grew from one to over three pounds between 1990 and 2000. According to the National Fisheries Institute (NFI), shrimp consumption is second only to canned tuna. The NFI states that shrimp constitute 20% of all seafood consumed in the U.S. The continued growth in demand has opened the door for farm-raised shrimp. Currently, it is estimated that 7% of all shrimp consumed in the U.S. are farm raised, combining domestic and foreign farm raised shrimp. For more information, contact Chris Ferland.

An Economic Impact Analysis of a New Peanut-Shelling Facility in the Donalsonville Georgia Area

American Peanut Growers Group LLC (APGG) requested the University of Georgia Center for Agribusiness and Economic Development (CAED) explore the economic impact of building and operating a new peanut shelling operation in the Donalsonville, Georgia area. An impact analysis shows the effect of a new venture on the economy. For this peanut shelling study, economic impacts will be analyzed and measured on two levels --- a five-county area, consisting of Baker, Decatur, Early, Mitchell, and Seminole Counties and, then the state of Georgia as a whole. For more information, contact Chris Ferland.