HARRISBURG, PA — The Keystone State’s flourishing grape and wine industry is not just about producing flavorful vintages. According to a 2023 study by the Pennsylvania Department of Agriculture, it’s also a significant economic driver, adding $1.77 billion annually to the state’s economy and supporting over 10,000 jobs.
Titled ‘Economic Impact of the Pennsylvania Grape & Wine Industry,’ the study reveals that the sector has grown in leaps and bounds since 2018, propelling Pennsylvania from the fifth to the fourth-largest wine producer in the nation. Furthermore, the state’s grape production has surged by approximately 970 tons per year during this period.
The industry’s impact extends beyond vineyards and wineries, contributing to sectors as diverse as tourism, retail, and research. Annually, the state’s 326 wineries attract millions of visitors, generating an impressive $747 million in tourism revenue. The ripple effect of the industry also supports jobs paying wages of $518.2 million, further stimulating the local economy.
Recognizing the sector’s potential, Governor Josh Shapiro’s 2024-25 budget outlines a strategic investment in Pennsylvania’s agricultural future, focusing on innovation, job creation, conservation, and workforce development. A key component of this plan is to bolster support for the state’s higher education institutions conducting research vital to the industry’s resilience and growth.
“Pennsylvania’s wine and grape industry is a tremendous asset to our economy and undeniably adds to quality of life in every region of the state,” said Secretary Redding. “The thriving industry brings visitors to our countryside and small towns, provides nutritious juice for our youngest consumers, and wines that pair with locally-grown foods on restaurant and family tables.”
In line with this vision, the proposed budget includes funding for several novel initiatives. One of these is a $10.3 million investment in agricultural innovation, aimed at attracting new businesses to the sector and championing energy and conservation projects.
Another unique proposal is a $145,000 allocation for a pest detection program using dogs, offering an environmentally friendly alternative to traditional pesticide use. This innovative approach could help prevent costly pest outbreaks without resorting to potentially harmful chemical interventions.
The budget also earmarks $2.18 million for agricultural research, helping the industry stay ahead of challenges such as diseases, pests, and climate change. An additional $8 million is allocated for the Agriculture Conservation Assistance Program, designed to safeguard soil and water resources crucial for future sustainability.
To boost consumer confidence in Pennsylvania-grown products, the budget proposes $2.9 million for trademark licensing for PA Preferred®, the state’s official brand for locally-produced agricultural goods. This initiative aims to ensure the quality and integrity of organic foods.
Finally, the budget sets aside $13 million to fund the historic PA Farm Bill, which aims to promote sales of Pennsylvania-grown products, expand market opportunities, build the future workforce, and conserve resources.
These strategic investments signal the Shapiro Administration’s commitment to fostering the continued growth of the grape and wine industry, recognizing its role as a critical economic driver. The ripple effects of these investments are expected to be felt across the state, supporting communities, families, and businesses that depend on this vibrant industry.
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