Breweries Account for Employment Increase in Minnesota

Our intern Rosie sheds light on the importance of the brewery industry in the State of Minnesota.

If you read my last blog, you learned about the craft beer boom in Duluth, Minnesota, and some of the economic impacts it has on the community. I'd like to take a step back and talk about the impacts the craft beer industry has had on the entire State of Minnesota.

In the past 30+ years, the number of breweries in Minnesota has grown exponentially. According to the MN Department of Employment and Economic Development (MNDEED), there were only four breweries in the state in the 1980's. As of the first quarter of 2015, there were 48 breweries in the state. In the past decade, beer production has grown by 83%, producing 390,962 barrels of beer in 2012 alone!

What does this growth mean? More beer, increased tax base and more JOBS!

Below is a chart, outlining the growth of beer establishments over the past decade; as you can see, we've gone from six breweries in 2004, to 48 breweries in the first quarter of 2015.

In addition to the increased tax base our state has seen from the increase in breweries, we've also seen a tremendous increase in job growth. Jobs have more than quadrupled since 2004! Today in MN, breweries employ more than 1,025 people.

It looks like brewery growth in Minnesota has yet to hit its peak. Between 2013 and 2014, employment grew 30%, when the overall total labor market grew by a little over 1%; this means that while statewide employment grew a small percentage, the brewery industry employment itself grew by a whopping 30% - far above the statewide average.

Even better? Between 2014 and the first quarter of 2015, breweries have experienced employment growth of 37%, and shows no signs of slowing down.

Thank you to MNDEED for being a valuable resource for not only employment data, but industry trends and financial incentives to allow our state to maintain economic competitiveness.