UME Publishes Report On Economic Contribution Of The Biobased Economy In The State
The University of Minnesota Extension (UME) recently published a report titled “Economic Contribution of the Biobased Industrial Products Industry in Minnesota: 2019.” The report accounts for the economic impacts from the Minnesota Bioincentive Program enacted in 2015. Some of the key findings outlined by UME include but are not limited to the ones outlined below:
In 2019, companies claiming the Minnesota Bioincentive received $1.5 million in incentives. For every tax dollar invested in incentives, $407.10 is generated in the economy. In addition, for every dollar of incentive, approximately $8.90 is collected in taxes.
Construction activities of Minnesota biobased industrial product companies generated an estimated $1.2 billion of economic activity in the state, including $540.6 million in labor income. These activities also supported employment for more than 8,000 workers and generated approximately $46.5 million in tax collections.
Operations of Minnesota’s biobased industrial product companies generated an estimated $610.7 million of economic activity resulting from their operations, including $127 million in labor income. It also supported employment for more than 2,000 workers in the state and generated an estimated $13.3 million in tax collections.
According to the report, these impacts are annual and will continue to grow as long as companies do. A full copy of the report is available here.