Friday, March 1, 2013

Manufacturing featured on Lieutenant Governor Greg Bell's Blog


They Make Our Quality of Life

Thursday, February 28th, 2013
The business of making things with utility and adding value to raw materials is the essence of manufacturing. It is has always been one of Utah’s basic industries and still is. Manufacturing contributes tremendous value in the state’s economy.
Since their first arrival, pioneer settlers had to fabricate their own tools, implements and household items. For many generations, manufacturing has “produced our quality of life.” Utahns appreciate how manufacturing contributes to our comfortable lifestyle. Manufacturing is a multi-stage process that takes raw materials or component parts and transforms them into finished products. The manufacturing sector adds more value to our economy than any other sector and provides some of the best wages and benefits in the marketplace.
Manufacturing comprises a myriad of systems that transform materials, substances, or components into new products through a series of mechanical, physical, or chemical processes. Notwithstanding the complexity of many of these operations, some businesses transform materials or substances into new products by hand or in the worker’s home such as bakeries, candy stores, and custom tailors. Generally, manufacturing has become very high tech as production efficiency and accuracy are applied through the use of modern technology. Utah’s diverse top manufacturing industries range from aerospace, IT, medical products, sporting goods and food to basic metal manufacturing and renewable energy.
Manufacturing also has the strongest spin-off effect on job creation: not just jobs in manufacturing production and administration, but also jobs for suppliers and jobs for people who package, transport, advertise and sell finished products. Manufacturing continues to be the lifeblood of Utah’s economy. It provides jobs that support families, pays taxes and sustains our economy. It allows children to stay in Utah after their education by providing meaningful, well-paying employment.
Utah Manufacturing
- accounts for more than 14% of the total gross state product – $17.6 billion in total manufacturing output in 2011
- employs 9.4% of our workforce – approximately 120,000 people and that number increases every quarter
- produces wages 18% higher than other non-farm employees (~$22,000 more)
- exports grew 522.4% while the national average increased 80.1% since 2010.
- has rebounded since 2010 and is growing at a brisk pace
- has the largest concentration in Salt Lake, Utah, Weber, Davis, Cache and Box Elder counties – Box Elder County’s manufacturing represents 41% of their employment
- exported $3.2 billion in products to our free trade agreement (FTA) partners in 2012.
- businesses pay among the highest taxes in the state
- is the second largest employer in the state, just behind retail.
- jobs leverage two or three secondary jobs, such as, marketing, trucking or accounting.
Manufacturing has staying power and will continue to be the backbone of this economy for many years. Anywhere you are in the state of Utah, look around you and what you see is the efforts and products of manufacturers. They make “our quality of life.”

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