$4.2B generated annually from manufacturing in Lethbridge area: report

Manufacturing in the Lethbridge region contributes more than $4 billion to Alberta's gross domestic product per year, according to a new economic impact study.

A new report has found that the manufacturing industry in the Lethbridge region generates $4.2 billion annually.

The Manufacturing Economic Impact Study, released by Economic Development Lethbridge (EDL) and Canada’s Premier Food Corridor (CPFC), reaffirms that manufacturing is a key driver of employment, export activity and provincial economic output in the region.

“We want to ensure we had a way to quantify the important role manufacturing plays on empowering local industry here in Lethbridge.,” said Mike Prociw, workforce program manager at EDL.

The report, which looked at manufacturing in the Lethbridge Census Metropolitan Area, found that the industry contributes $4.2 billion to Alberta’s gross domestic product, including nearly $3 billion generated by food manufacturing.

The study shows that 8,200 people are employed in manufacturing locally, representing 12.7 per cent of total regional employment.

Prociw says the sector supports about 17,200 jobs across Lethbridge, or about one quarter of all local employment.

“It’s enormous,” Prociw said.

“When we talk about the government’s plans to increase exports and targets to diversify what’s going on there. What we see here is almost three quarters of that is already coming from this sector right now. A lot of those important targets and a lot of the economic activity that we’re already seeing is emanating from this sector here in Lethbridge.”

Manufacturing exports have grown by 163 per cent since 2016, according to the report. Lethbridge now has the highest growth rate among Alberta’s major cities.

“Anything we can do to support this sector so that it continues to see sustained prosperity in our area is at the epicentre of what is going on and something that we would really like to see because we think is really closely correlated with overall economic performance for the region as a whole,” Prociw said.

PepsiCo Canada, which has operated in Lethbridge and Taber for more than 30 years, says its proud to be part of the local community.

“Our strong local footprint continues to support jobs and local suppliers — including potato farmers— which contribute to Alberta’s growing food manufacturing sector,” said Joel Stock, vice-president of supply chain for PepsiCo Canada, in a statement.

“We remain committed to investing in our food and beverage operations in the province and supporting our local communities.”

The report will be used to help advocate and support all levels of government to help attract new investment and support operations already underway in the region.

“Because if it catches a flu or if it slows down, chances are that could spread to the region as a whole and that is something we want to avoid,” Prociw said.

“We want to ensure it continues to thrive and succeed.”