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Rhode Island Beer Distributors Generate $80 Million in Economic Impacts

By March 5, 2013Rhode Island, Top News

New Study Measures Jobs, Economic Impact and Community Service

A new economic impact report released by the National Beer Wholesalers Association (NBWA), America’s Beer Distributors: Fueling Jobs, Generating Economic Growth & Delivering Value to Local Communities, provides the first-ever comprehensive report on beer distribution companies’ total impact on national and state economies.

The report, produced by Dr. Bill Latham and Dr. Ken Lewis of the Center for Applied Business & Economic Research at the University of Delaware, provides an in-depth view of beer distributors’ economic contributions by taking into account how beer distributor activities are intertwined with many parts of the economy, especially the personal services sector. The report also accounts for the amount of resources contributed by beer distributors in supporting community events and local economic development, contributing to charitable causes and promoting responsible alcohol use and adds the impacts of these activities to the usual impacts of distributor operations.

Key findings of the study include:

  • Rhode Island beer distributors directly employ 213 people.
  • When the impacts of Rhode Island distributor operations, capital investment and community involvement are considered, the total number of impact jobs exceeds 500.
  • Rhode Island beer distributors generate $80 million in total economic impacts.
  • Rhode Island beer distributor activities contribute $18 million to the federal, state and local tax bases. This does not include an added $38 million in federal, state and local alcohol excise and consumption taxes on beer sold in Rhode Island.
  • The Rhode Island beer distribution industry contributes more than $96 million in transportation efficiencies for the beer industry each year.

“The beer distribution sector is a hidden gem that has been tremendously undervalued in previous economic reports,” said Dr. Latham. “Fueling more than 345,000 direct and indirect jobs across the country, beer distributors add $54 billion to the nation’s gross domestic product and offer far reaching benefits to brewers, importers, retailers, consumers and government agencies at all levels.”

“America’s 3,300 independent beer distributors are proud to directly employ more than 130,000 hardworking men and women in communities across the country, providing significant economic value at many levels,” said NBWA President & CEO Craig Purser. To view the full report, including state by state data, please visit www.nbwa.org.

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