Maryland Horse Industry Picks Up Steam

An economic impact study of the Maryland horse industry released Nov. 21 shows that Maryland horse farming brings in more than $1.15 billion in economic activity a year, 23% higher than the $930 million it generated in 2010.

The survey findings were announced at a news conference held at Goucher College in Towson. Speaking at the announcement were Anirban Basu, chairman of Sage Policy Group; Joe Bartenfelder, secretary of the Maryland Department of Agriculture; and Dr. José Antonio Bowen, president of Goucher College.

Also announced at the news conference was the relocation of the Maryland Horse Breeders Association headquarters from Timonium to Goucher College. Goucher is the home of one of the nation's premier collegiate equestrian programs and is in the process of building a new equestrian facility on its 287-acre campus.

Top survey findings by the Sage Policy Group show that the Maryland horse industry supports approximately 5,800 full-time jobs across the state (9,100 by including indirect positions), with nearly a half a billion dollars in wage and salary income.

Spending in the horse industry exceeded $660 million in 2015. The survey estimates that if the current pace of industry expansion continues through 2020, the industry will have a $1.5 billion yearly economic impact on Maryland and would support more than 11,000 jobs with $620 million in employee income.

(The findings do not include the impact of racetrack operations, including the Preakness Stakes (gr. I). The Preakness alone generates more than $30 million in statewide economic impact each year.)

The Sage Policy Group's findings are significant. After years of decline, Maryland's horse industry, which is interconnected and involves more than racing, is on the upswing.

While spending on equipment, personnel, and physical structures is on the rise, according to the report, it would grow even more quickly if there was less uncertainty about the state's commitment to the current slots funding formula. Currently, 7% of slot machine revenues at Maryland casinos are directed to the Purse Dedication Account and the Racetrack Facilities Renewal Account at Maryland horse racing tracks.

"Several years ago, Maryland's voters and elective representatives decided to allow the state's horse farming industry to compete on a more level playing field," Basu said. "The result has been a thriving horse farming industry. Back then, the industry's in-state economic impact had dipped below $1 billion and was rapidly in decline. Today, impact easily exceeds $1 billion, and Maryland's industry is regaining lost regional market share. This is translating into more jobs, higher incomes, better entertainment, long-delayed physical upgrades, elevated tax collections, and millions of dollars' worth of preserved open space."

The study was sponsored by the Maryland Horse Breeders Association (MHBA) and 12 other industry partners representing all aspects of the state's equine industry: Cloverleaf Standardbred Owner's Association, Fasig-Tipton Mid-Atlantic, Maryland Association for Wildlife Conservation, Maryland Horse Council, Maryland Horse Industry Board, Maryland Jockey Club, Maryland Million Ltd., Maryland Standardbred Breeders Association, Maryland State Fair, Maryland Steeplechase Association, Maryland Thoroughbred Horsemen's Association, and Ocean Downs Racetrack.

"Horses are a critical component to Maryland's agricultural industry. The continued success of Maryland's horse industry is an important part of growing our economy and creating jobs for more Marylanders, and it's helping to preserve our farmland and open spaces as well," said governor Larry Hogan.

"I'm so pleased to see Maryland's horse industry make such a comeback after some challenging years. The horse industry is a major contributor to Maryland's agriculture economy through hay and bedding suppliers, feed stores and grain growers, and a multitude of small businesses that service the industry," Bartenfelder said.

The Sage Policy group sent surveys to more than 1,000 stakeholders to collect hard, operational statistics to drive the analysis. Nearly 700 surveys were completed by stakeholders from every county in Maryland.

The other announcement today focused on the relocation of the Maryland Horse Breeders Association's office to Goucher College at the end of December. Goucher is currently developing an 18-acre state-of-the-art intercollegiate equestrian center that will be anchored by the Maryland Horse Breeders Association's office, which will eventually offer a museum and library at its new home.

The MHBA's partnership with Goucher will help create programming opportunities to educate new fans of the horse industry, provide adult education opportunities and clinics for riders and feature top equestrian professionals as guest clinicians, teachers and speakers. This partnership will also allow Goucher students to work with leaders in the horse industry as part of the college's new equine studies minor.

"Goucher's equestrian program celebrates a great tradition, and we are honored to welcome the Maryland Horse Breeders Association to our campus," Bowen said. "Our partnership with the MHBA will build upon Goucher's strong equestrian legacy and be a building block for enhanced facilities and equine education opportunities for future generations. We look forward to welcoming horse lovers to our new equestrian facility very soon."

For more information about the survey, visit marylandthoroughbred.com or marylandhorse.com. For more information about Goucher College, visit goucher.edu.