Report: New York’s craft-beer industry generated $5.4B economic impact last year

Craft beer is making a big impact on New York’s economy, a new trade group report says.

In 2018 the New York state craft beer industry generated $5.4 billion in economic impact, according to a study funded by the New York State Brewers Association (NYSBA).

The report measured the number of jobs, wages paid to employees, and total output of New York’s 434 craft breweries.

The report documents the direct and ripple effects of the craft-beer industry in the Empire State and found the following:

• Total economic impact: $5.4 billion
  • The combination of direct economic, supplier, and indirect economic impact.
• Direct economic impact: $3.5 billion
  • The impact of the industry’s three segments: brewing, wholesaling, and retailing, in addition to the tourism impact of visitors to breweries and tap rooms.
• Supplier impact: $1.1 billion
  • The production and sale of goods and services across a multitude of sectors, such as purchasing equipment and bottles, banking and marketing services, and government jobs for the regulation of craft beer-related businesses.
• Indirect economic impact: $771 million
  • The spending of wages earned by employees in the direct and supplier sectors, including dining at restaurants.
• Employment: 19,918 jobs
  • The total number of jobs supported by direct, supplier, and indirect impact. New York’s craft-beer industry directly created 10,627 jobs, generating $722 million in wages.
• State and federal taxes: $545 million
  • The taxes paid by the businesses and their employees, as well as the excise and sales-tax revenues of in-state consumption.
• Licensed breweries: 434 breweries
  • The number of craft breweries in New York state, which produced 2 million barrels of beer.
• Visitors: 48.6 million
  • The number of customers served at New York state craft breweries, of which 8.9 million were tourists.

The New York State Brewers Association website (https://newyorkcraftbeer.com) details the economic impact by New York counties and by legislative district. Onondaga County has 21 breweries, 268 brewer jobs, 649 total jobs, $40.4 million total wages, and $144.4 million total output, per the study.

“I was really blown away by the results of this study,” Chris Ericson, president of NYSBA, said in a news release. He is the owner of Lake Placid Pub & Brewery and Big Slide Brewery & Public House. “These numbers validate that New York state brewers have a substantial impact on the lives of residents. We are providing excellent careers for thousands of New Yorkers in every corner of the state,” he added.

The 2018 Economic Impact Study of the New York Craft Beer Industry was prepared by John Dunham & Associates (JDA).

Founded in 2003, the New York State Brewers Association promotes New York state breweries.

Contact Nilsen at knilsen@cnybj.com