NAICS 112420 Quarterly Industry Report
Goat Farming
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 112420Sector: Agriculture, Forestry, Fishing and Hunting (11)Updated: Q1 2026
About This Report
This Fair Market Value industry report (NAICS 112420) provides valuation-focused intelligence for professionals assessing goat farming businesses. Additional data is drawn from Bureau of Labor Statistics[5], U.S. Census Bureau[6].. Data is sourced from USDA NASS sheep and goat inventory surveys[7], USDA ERS livestock market analysis[8], and SBA size standards[9] to support business appraisals, acquisition due diligence, lending decisions, and investment analysis for goat production enterprises.
Industry Definition & Overview
Goat Farming (NAICS 112420) encompasses establishments primarily engaged in raising goats for meat, milk, fiber, or combinations of these products. The U.S. goat industry has grown steadily over recent decades, driven by increasing demand from immigrant and ethnic communities for goat meat (chevon) and expanding interest in artisan goat cheese and specialty dairy products. The USDA National Agricultural Statistics Service[3] tracks goat inventory through its annual sheep and goat surveys, with the national herd reflecting growth patterns in both meat goat and dairy goat segments across southern, midwestern, and western states.
Meat goat production, dominated by Boer and Boer-cross breeds, represents the largest industry segment, serving ethnic food markets, direct-to-consumer sales, and seasonal holiday demand from Muslim, Hispanic, and Caribbean communities. Dairy goat operations produce fluid milk for artisan cheese manufacturing, yogurt production, and specialty beverage markets. Fiber goat operations raise Angora goats for mohair production, concentrated primarily in Texas. The USDA Economic Research Service[4] notes that goat farming operations tend to be smaller-scale, diversified enterprises, often combining goat production with other livestock or crop farming activities. Market infrastructure for goat products remains less developed than for cattle, hogs, or poultry, with limited processing capacity and fragmented marketing channels.
Business valuations for goat operations must assess herd composition by breed and production purpose, land and browse resources, milking infrastructure (for dairy operations), fencing and predator management systems, established buyer relationships, and proximity to processing facilities. Customer concentration and market access are critical valuation factors given the niche nature of most goat product markets.
What's Included in This Industry
- Sector-specific valuation multiples and financial benchmarks for goat farming operations
- Revenue and profitability analysis across meat goat, dairy goat, and fiber goat production models
- SBA size standard classification and lending threshold data for NAICS 112420
- Comparable transaction data from recent goat farm sales, herd dispersals, and dairy goat operation transfers
- Market demand analysis covering ethnic food markets, artisan dairy products, and fiber product channels
- Workforce and labor cost benchmarking for goat farm operators, milking staff, and herd management personnel
- Industry risk assessment including predator losses, disease exposure, and market access limitations
- Regulatory compliance overview covering dairy licensing, meat processing inspection, and animal health standards
- Capital expenditure profiles for fencing, milking parlors, browse management, and predator deterrent systems
- Breed-specific production metrics for meat, dairy, and fiber goat enterprise profitability comparisons
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Sector | Agriculture, Forestry, Fishing and Hunting | 11 |
| Subsector | Animal Production and Aquaculture | 112 |
| Industry Group | Sheep and Goat Farming | 1124 |
| NAICS Industry | Goat Farming | 11242 |
| National Industry | Goat Farming | 112420 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 112410 | Sheep Farming | Sheep farming operations that share small ruminant grazing management practices, veterinary service networks, and livestock auction marketing channels |
| 311513 | Cheese Manufacturing | Cheese manufacturing establishments that purchase raw goat milk from dairy operations for production of artisan chevre and specialty goat cheeses |
| 311511 | Fluid Milk Manufacturing | Fluid milk manufacturing plants that pasteurize and bottle goat milk for retail distribution through natural food and specialty grocery channels |
| 311611 | Animal (except Poultry) Slaughtering | Animal slaughtering establishments that process market-weight goats into wholesale cuts for ethnic food markets and specialty meat distributors |
| 424520 | Livestock Merchant Wholesalers | Livestock wholesale merchants and auction markets that support goat marketing transactions between producers and meat processors or live buyers |
| 115210 | Support Activities for Animal Production | Support activities for animal production including small ruminant veterinary services, artificial insemination programs, and herd health consulting |
SBA Lending Summary
24
Total SBA Loans
$28.9M
Total Loan Volume
$1.2M
Average Loan Size
17 yrs
Average Loan Term
9.33%
Average Interest Rate
80
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[2]
Key Insight: The SBA[10] classifies Goat Farming (NAICS 112420) with a size standard of $3.0 million in average annual receipts. Nearly all U.S. goat farming operations fall well within this threshold as small-scale enterprises, qualifying for SBA-backed lending[11], government contracting preferences, and USDA agricultural support programs including conservation and beginning farmer initiatives. Eligible businesses can access SBA 7(a) loans[12] for working capital, equipment, and acquisition financing, while 504 loans[13] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Wadena State Bank | 8 | $20.0M | $2.5M |
| 2 | America First FCU | 8 | $8.8M | $1.1M |
| 3 | Wells Fargo Bank National Association | 8 | $120K | $15K |
Frequently Asked Questions
Common questions about this industry.
What is the NAICS code for goat farming?
Goat Farming is classified under NAICS code 112420, covering establishments primarily engaged in raising goats for meat, milk, fiber, or combinations of these products across all breed types.
What is the SBA size standard for goat farming?
The SBA[10] sets the size standard for NAICS 112420 at $3.0 million in average annual receipts, qualifying nearly all goat farming operations for small business lending programs and contracting preferences.
What are the main segments of the goat industry?
Three primary segments exist: meat goat production (Boer breeds for chevon), dairy goat operations (Saanen, Alpine, Nubian breeds for milk and cheese), and fiber goat farming (Angora goats for mohair production, centered in Texas) per USDA NASS[3] agricultural classification data.
What factors drive goat farm valuations?
Key valuation drivers include herd size and breed genetics, milking infrastructure (for dairy operations), land and browse resources, fencing and predator management, established buyer relationships, processing access, and market proximity per USDA ERS[4] livestock market analysis.
What market channels do goat farms serve?
Meat goats supply ethnic food markets, live animal sales for religious holidays, and direct-to-consumer channels. Dairy goats supply artisan cheese makers and fluid milk bottlers. Fiber goats supply mohair buyers. The USDA AMS[14] tracks wholesale goat pricing data.
What risks affect goat farming valuations?
Critical risks include predator losses, parasitic disease challenges (particularly barber pole worm), limited processing infrastructure, fragmented marketing channels, and customer concentration in niche ethnic food markets per USDA APHIS[15] animal health monitoring data.
How does dairy goat farming differ from meat goat production?
Dairy operations require milking parlor investment, bulk tank equipment, fluid milk licensing, and consistent daily labor schedules. Meat goat operations require more extensive pasture and browse management but less specialized infrastructure. Valuations must reflect these different capital and labor profiles.
What growth trends affect the goat industry?
Growing immigrant and ethnic populations have driven increased goat meat demand, while consumer interest in artisan cheeses and specialty dairy has expanded dairy goat markets. The USDA Census of Agriculture[16] shows steady growth in U.S. goat inventory over recent decades.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [3]USDA National Agricultural Statistics Service nass.usda.gov
- [4]USDA Economic Research Service ers.usda.gov
- [5]Bureau of Labor Statistics bls.gov
- [6]U.S. Census Bureau census.gov
- [7]USDA NASS sheep and goat inventory surveys nass.usda.gov
- [8]USDA ERS livestock market analysis ers.usda.gov
- [9]SBA size standards sba.gov
- [10]SBA sba.gov
- [11]SBA-backed lending sba.gov
- [12]SBA 7(a) loans sba.gov
- [13]504 loans sba.gov
- [14]USDA AMS ams.usda.gov
- [15]USDA APHIS aphis.usda.gov
- [16]USDA Census of Agriculture nass.usda.gov
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