Minnesota’s ethanol industry contributed $2.13 billion to the state’s gross domestic product in 2015, according to a new study by ABF Economics out this week.
The study, commissioned by the Minnesota Bio-Fuels Association, said the industry generated $7.37 billion in gross sales in 2015 for Minnesota businesses.
This, in turn, generated $1.6 billion worth of income for Minnesota households, supported 18,116 full-time jobs in the state and contributed $93 million to state and local taxes last year.
“The ethanol industry continues to be a significant contributor to Minnesota’s economy and is vital to continued economic growth in the state,” said Tim Rudnicki, executive director of the Minnesota Bio-Fuels Association.
For the study, ABF Economics used the Impact Analysis for Planning (IMPLAN) economic model to construct a model of the Minnesota economy including the sectors that support the ethanol industry, the links between them and the level of economic activity.
“Ethanol plants provide jobs and income not only for people who work at the plants, but also for businesses that sell ethanol plant supplies including Minnesota farmers who produce most of the corn used by Minnesota’s biofuel industry,” noted John Urbanchuk, managing partner of ABF Economics.
Jobs induced by the ethanol industry in Minnesota, the study said, included jobs in retail trade, health care, natural gas distributors, banking and finance.
Learn more:
About The Minnesota Bio-Fuels Association: The Minnesota Bio-Fuels Association is a non-profit organization that represents and promotes the renewable fuels industry in Minnesota. We work closely with industry stakeholders to achieve our collective goal of a greener future, a stronger economy in Minnesota, consumer savings at the pump and a more energy-independent America.
