The Corradino Group, a national leader in transportation engineering has completed a report on growth opportunities in the freight movement and logistics industry in Genesee County. The results confirm that existing transportation strategies at the state, regional and local levels have positioned the region to take advantage of forecasted growth trends. The Flint & Genesee Chamber of Commerce commissioned the report.
The Freight & Logistics study focused on three elements: first, an evaluation of the Genesee County freight market – existing and forecasts; local economic trends and targeted growth opportunities; and, measures of competitiveness; second, an evaluation of infrastructure that supports the region’s ability to attract private-sector freight and logistics operations; and third, findings and recommendations to support the Flint & Genesee Chamber in its efforts to market major brownfield sites.
The report uses data from IHS Global Insight, which provides economic forecasts, industry analysis and market intelligence for a variety of industries worldwide as the primary information source used to analyze the most current (2009) and future (2030) freight flows in Genesee County. Key findings are:
- Freight and logistics is a multi-billion dollar industry in Michigan and is growing
- Flint & Genesee is poised to meet growing supply chain demands with our strong network of transportation assets including Bishop International Airport, I-69 Corridor, I-75, U.S. 23, CSX and CN rail systems and brownfield sites such as Buick City and Flint-East; the region’s workforce and higher education institutions are also strengths.
- The freight/logistics (movement of goods) industry is not only thriving, but growing in Genesee County. By 2030, the freight industry is expected to grow from $10 billion to approx. $17 billion.
- The report identified the top 10 areas of growth among commodity groups. These 10 groups represent about $3.5 billion and were about 35 percent of the Genesee County market share in 2009. The dollar value and share numbers are expected to grow to $8 billion and 47 percent respectively.
The following groups are expected to achieve the greatest gains:
- Electrical productssuch as semiconductors, electric measuring instruments and radio/TV transmitting equipment will grow by 248 percent
- $750 million to grow to $2.6 billion
- Warehousingwill increase by 98 percent
- $1.7 billion to grow to $3.5 billion in 2030
- Transportation equipment such as motor vehicles, vehicle parts and accessories and truck bodies is forecasted to grow by 62 percent
- $2.1 billion in 2009 to grow to $3.4 billion in 2030
- Machinery productssuch as data processing equipment, machine tools and refrigeration machinery are expected to grow by 88 percent
- $750 million in 2009 to grow to $1.3 billion in 2030
- Food is expected to grow by 36 percent
- $900 million in 2009 to $1.3 billion in 2030
Janice Karcher, Vice President, Economic Development at the Flint & Genesee Chamber says the report is great news for the region, confirms that our export, PTAC and I-69 International Trade Corridor strategies are on track, and points to the potential for new freight and logistics investment.
“These growth industries will generate more investment, good-paying jobs and additional tax revenue,” said Karcher. “This is good news for Genesee County citizens and businesses as well. Our I-69 Corridor partnership, offers a strong value proposition for companies to bring their business to Genesee County. This is another reason to be optimistic about our existing supply base and its prospects for growth.”