Technology helps power productivity in food and beverage manufacturing
Food and beverage manufacturing gross regional product (GRP) grew 85 percent in Northeast Ohio (NEO) from 2007 to 2018, compared with national growth of 46 percent, reports the Quarterly Economic Review released today by Team NEO. This growth is being fueled by technological advances, including the internet of things (IoT), which is a major economic driver in the region. In fact, productivity increased 34 percent from 2007 to 2018, compared with the U.S. increase of only 2 percent for this same time period.
“Our region has a competitive advantage for the food and beverage industry due to our proximity to market, skilled talent and supply-chain access,” said Team NEO CEO Bill Koehler. “We have added net new jobs every year for more than a decade as we further strengthen the robust supply chain that helps make Northeast Ohio a leader in this space.”
In fact, assets across the state support the region’s food and beverage manufacturing success. Joe Needham, JobsOhio Director, Food and Agribusiness, noted, “As consumer demand continues to evolve toward an expectation of farm-to-table quality and freshness, Ohio is uniquely positioned to deliver. Our industry-leading research and development, warehousing, distribution and abundance of fresh water give Ohio – one of the top agribusiness states in the nation – a tremendous advantage.”
Employment grew 29 percent in Northeast Ohio from 2007 to 2018, outpacing the U.S., which grew 12 percent during this time period. Further, sectors including dairy and beverage are projected to increase their employment from 2018 to 2023.
Other notable economic indicators related to NEO’s 18 counties include:
- Total employment is at 1.95 million
- Employment has increased by 12,661 jobs year-over-year
- The unemployment rate has decreased year-over-year
- NEO unemployment averaged 4.9 percent in Q3 2018, a decrease from 5.6 percent in Q3 2017
- All sectors (manufacturing, services, construction) saw year-over-year growth
- The manufacturing sector has added more than 5,600 jobs since Q3 2017
Team NEO publishes the Cleveland Plus Economic Review quarterly to provide a holistic picture of Northeast Ohio’s economy. It is the only regular source of collective economic data for the 18-county region. The nonprofit organization uses this information to attract new businesses and jobs to Northeast Ohio, and help those that are here grow.
Team NEO uses Moody’s Economy.com, the U.S. Bureau of Labor Statistics data, and Ohio’s Labor Marketing Information to aggregate regional figures.
About Team NEO
Team NEO is a business development organization focused on creating jobs for Northeast Ohio’s residents. In collaboration with our partners, it leads the region’s business attraction efforts, supports business retention and expansion work as Northeast Ohio’s JobsOhio affiliate, accelerates the impact of innovation in the region, and aligns strategies and resources within the economic development network to maximize its impact. In addition, Team NEO provides tools to assist employers in attracting talent to the region.
Team NEO is part of the Northeast Ohio Economic Development network, providing business decision-makers with access to customized solutions that accelerate growth, foster innovation and mitigate risk through a connected and collaborative ecosystem.