Economy

Rich farmland, forests, and fishing grounds were for many years the basis of the state's economy. Until the Civil War, Louisiana was one of the most prosperous southern states. The war, however, devastated the economy, and recovery took several decades. In the early 20th century, economic development was given a boost by the discovery of oil and natural gas, which are now the state's most valuable products. Although agriculture, forestry, and fishing employ a relatively small share of the work force, they continue to be economic mainstays, supplying many of the commodities used in the state's manufacturing and processing industries. Tourism has become an important source of jobs and income, especially in New Orleans---a popular location for conventions and trade shows.

Louisiana's chief manufacturing activity, in terms of employment and value added by manufacturing, is the making of petroleum products and chemicals. Refineries and chemical plants are found largely along the Mississippi River, especially in and around Baton Rouge and New Orleans and in the vicinity of Lake Charles and Shreveport. Major products include industrial chemicals, petrochemicals, paints, and plastics. Enterprises engaged in food processing also provide a large share of the manufacturing jobs. Sugar refining and rice milling, along with meat, dairy, and fish processing, are among the principal activities. In addition, Louisiana is a large producer of pulp, paper, plywood, and various other wood products. Also important are the making of machinery and electrical equipment; truck assembly; and shipbuilding and ship repairing.

Louisiana produces a great variety of crops, which account for about three-fourths of all farm income. For many years cotton and sugarcane were the chief commercial crops. They are still grown in large amounts, but in some years are equaled or exceeded in value by soybeans and rice. Both were introduced into Louisiana after World War II. Sugarcane is grown primarily in southeastern and south-central Louisiana; rice predominates on irrigated lands in the southwest. Soybeans and cotton are produced throughout much of the state. Other major crops include corn, grain sorghum, and hay. Livestock raising is done primarily in the southeastern, north-central, and western parts of Louisiana. Cattle are the chief livestock raised.

Louisiana usually ranks among the top five producers of petroleum and natural gas in the United States. Petroleum comes primarily from offshore wells and also from scattered mainland fields; natural gas is found mainly in the north. Together these products account for most of the value of the state's mineral output. Also produced are large amounts of salt and sulfur.

Nearly all of the state's forests are privately owned and of commercial quality. In the early decades of the 20th century indiscriminate cutting of trees virtually depleted the state's forests. Since then there has been large-scale reforestation, primarily with fast-growing pines. Both hardwoods and softwoods, mainly pine, are cut; softwoods make up the greater share of wood cut.

Louisiana's fish catch is the nation's second largest in tonnage and value---after that of Alaska. Most of the catch is landed at Cameron and other coastal cities, including Dulac, Chauvin, Empire, and Venice. The chief species caught include menhaden (processed for fertilizer and other nonfood uses). In total value, shrimp make up the leading catch. Also significant are crabs, oysters, black and red drum, and sea trout. Catfish, raised in ponds, are also commercially important. Crayfish, mainly from the Atchafalaya basin, are a Louisiana delicacy.

Louisiana has an extensive system of good roads and highways, which include one north-south and two east-west Interstate routes. Several trunk rail lines meet at New Orleans. The only major city served by Amtrak is New Orleans.

Serving the state is an extensive network of navigable waterways, the principal ones being the Mississippi River and the Intra-coastal Waterway. The chief ports are New Orleans, one of the nation's busiest; Baton Rouge; and Lake Charles.

Air service is provided by several major domestic airlines and a number of international carriers flying Latin American routes. New Orleans' international airport is the state's largest and busiest airport.