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Turf industry looking green

There is a reason why the green industry has that name. Besides the relation with the color of their product, the word "green" expresses the financial opportunities that come with the growth of turfgrass.

According to the most recent numbers by the U.S. Department of Commerce and Agriculture, the sales related to turfgrass sod production have gone from $471.6 million in 1992 to $1 billion in 2002. This growth has affected numerous segments. The estimate is that the green industry, which includes everything from small town landscape architects to mass merchandisers with lawn departments, contributes to the economy with $147.8 billion in output.

The Sports Turf Managers Association is a nonprofit association whose objective is to manage and research sports turf. The increased membership of the association, whose national headquarters are located in downtown Lawrence, is one of the indicators of growth in the industry.

"From 2005 to 2006 we’ve had about an 11% increase, and the 2007 numbers are tracking ahead at almost 15% of what we had last year," said Kim Heck, chief executive officer of STMA. "There are a lot more companies serving the sports filed market."

Another indicator of the growth is in the finances of the STMA. In 2005, the association was in the red, with a $1,400 deficit. This year the association estimated $200,000 profits.

"A lot of that has to do with management though," said Pat Allen, special projects manager for STMA,"the previous management wasn’t really financially responsible."

The STMA has approximately 2,800 members, including professional sports stadiums, college stadiums, and individuals such as Cal Ripken Jr. Twenty-five percent of those members are responsible for parks and recreation management. Together with management of athletic fields for schools, that sector is the driving force for the growth.

"There are more recreational leagues for adults, and as you build new schools you are going to build more athletic fields," said Heck.

The growth has also affected landscaping businesses in Lawrence.

"It’s been real good for us, we’ve grown quite a bit in the last five to ten years," said Daryl Webb, business manager for Lawrence Landscape.

Webb believes a lot of it has to do with the growth in the American economy, particularly the housing boom. Lawrence Landscape’s business is divided approximately in half between commercial and private landscaping, and both sides have seen substantial growth due to increased construction.

"More houses means more park spaces are required to support athletic endeavors for both children and adults," said Allen.

However, some issues could affect the green industry’s growth in the future.

Arthur Milberger, president of Turfgrass Producers International, expressed some concerns in a press release containing the 2007 industry’s perspective. The two main concerns were the crash of the housing bubble and water conservation.

"Water conservation is certainly an issue that turfgrass producers are very aware of and addressing based on their region," said Jim Novak, public relations manager for TPI.

Webb, however, thinks that predicting the future is difficult.

"It’s kind of like predicting the weather," said Webb, "we can just hope that growth continues like the previous years."


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This page contains a single entry from the blog posted on February 16, 2007 4:22 PM.

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