Region well-positioned to meet growing supply chain demand, report says

(FLINT, Mich.) – 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 their efforts to market major brownfield sites.

“The region’s existing transportation network and the I-69 International Trade Corridor logistics strategy give Genesee County and the broader region a competitive advantage,” said Joe Corradino, CEO, The Corradino Group in Michigan.

“We now know where the growth is forecasted so we can use the data to help the region respond and grow their share of the market,” Corradino added.

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.

• There’s growth in the shipping and warehousing of goods and commodities.

• 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.

• Among the 10 commodity groups, the following groups are expected to achieve the greatest gains:
  • Electrical products such as semiconductors, electric measuring instruments and radio/TV transmitting equipment by 248 percent
    • $750 million to grow to $2.6 billion
  • Warehousing 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 by 62 percent
    • $2.1 billion in 2009 to grow to $3.4 billion in 2030
  • Machinery products such 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 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 good-paying jobs and more tax revenue,” said Karcher. “Not only is this good news for Genesee County citizens but for business as well. Through the I-69 Corridor strategy, we offer a strong value proposition for companies to bring their business ‘to or through’ Genesee County. We consider this a major win for the region and another reason to be optimistic about our future.”

Gregory Humes, CEO of Quest4 Solutions, a Detroit-based logistics and supply chain company agrees that the report findings are outstanding.

“This is great news. The data clearly lay out the opportunity,” said Humes. “It’s exactly the kind of information that businesses need to make strategic decisions and investments related to future logistics plans.”

To find an executive summary of the report, visit www.flintandgenesee.org.

MEDIA CONTACTS

Elaine D. Redd
810.600.1418

Regina Strong
810.600.1421

About Flint & Genesee Chamber of Commerce

The Flint & Genesee Chamber of Commerce (flintandgenesee.org) is one of the Top 10 largest chambers in Michigan based on revenue and number of members.  We are the voice of business and community advocacy in Flint & Genesee. The Chamber is over 100 years old, was established before the Michigan Chamber of Commerce and is a founding member of the United States Chamber of Commerce.

Two words describe the Chamber as it enters its second century of service: collaboration and partnership. It is our goal to work with government, business, education, nonprofit organizations and consumers to support the growth and development of the community economically, culturally and socially. For more information about the Flint & Genesee Chamber of Commerce, visit flintandgenesee.org, join the conversation on Twitter and #seewhatspossible, check out our blog, See & Be Seen, and “like” us on Facebook.

Share: