The Direct Impact of the Equine Industry

The horse industry’s contribution to the overall economy keeps growing.

The economic impact of the horse industry extends beyond pastures and ranch land. In fact, the industry contributes $177 billion to the U.S. economy, encompasses 2.2 million jobs, and provides $122 billion in salaries, wages and benefits, according to the American Horse Council’s 2023 Equine Economic Impact Survey of the U.S. Horses Industry, released earlier this year.

“The Economic Impact Study is the most effective tool in our advocacy quiver,” said AHC President Julie Broadway in a statement. “When the industry needs to take aim at an issue, this data is invaluable in helping us paint the picture of the contributions the industry makes and the breadth and depth of its composition.”

The survey demonstrates the value of the equine industry in the national and state economies by analyzing the direct, indirect, and induced economic impacts of horse ownership, recreation and equine-related services, according to AHC. Data collected is intended to inform public and private investments in equine-related businesses, equine healthcare, education, land use decisions, tax policy, tourism, employment incentives and more.

The total value added to the economy in 2023 – $177 billion – was up from $122 billion in 2017, when the last survey was conducted. The equine industry’s ripple effect extends beyond traditional sectors, influencing a broad spectrum of industries, according to AHC. “From agriculture and tourism to veterinary services and technology, the survey showcases the interconnectedness of the equine world with other economic realms.”

The survey also reveals a substantial impact on employment, with 2.2 million jobs linked both directly and indirectly to the equine sector. Not only are breeders, trainers, veterinarians and farriers represented, but so are truck drivers, nutritionists, chemists, police officers and journalists. And while there was a slight downshift in the total population of horses from 2023 (6.6 million) compared to 2017 (7.2 million), that’s only a slight consideration when compared to the growing numbers in jobs and expenditures, said AHC.

Looked at by sector, the survey showed:

• The racing sector supports 491,232 total jobs and adds $16 billion in direct value to the state economy.
• The recreation sector supports 466,969 total jobs and adds $14.5 billion in direct value to the state economy.
• The competition sector supports 486,820 total jobs and adds $15.6 billion in direct value to the state economy.
• The traditional work horse sector supports 86,223 total jobs and adds $2.6 billion in direct value to the state economy.
• Equine-assisted services support 14,971 total jobs and add $810 million in direct value to the state economy.
• Equine rescues and sanctuaries support 4,681 total jobs and add $139 million in direct value to the state economy.

“The 2023 report contains some interesting metrics/statistics we’ve not had before,” Broadway told Veterinary Advantage. “For example, approximately 43% of horses nationwide live in a structure like a barn, stable or stall for a majority of the time, implying that 57% live in a pasture. Also, purchasing is now done more online than in retail stores/tack stores.

“We really hope that stakeholders will think about ways to use the data at the local, state and federal level to make our case for legislation, regulations, zoning and other measures that affect the industry. We also hope they will use the data to help make action plans to address issues like labor shortages, declining farm/crop lands, etc.”

Equine Economic Impact Study

A digital version of the 2023 Equine Economic Impact Study of the U.S. Horse Industry can be purchased from the American Horse Council. For more information, email info@horsecouncil.org the American Horse Council or call (202) 296-4031.

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