While it may seem cliché, beer, bratwurst and cheese really do help feed Wisconsin’s economy.
Wisconsin is home to nearly 100 breweries statewide, plus 129 cheese factories and more than 1,000 food-processing firms. Additionally, a 2011 study produced by UW-Madison and the University of Wisconsin Extension, The Economic Impacts of Agriculture in Wisconsin Counties, indicated agriculture and farming is a $59.16 billion industry and provides more than 353,000 jobs in the state, making it one of the top ten agricultural states in the country.
Companies like Usinger’s, Johnsonville Sausage, Klement’s Sausage Company, Sargento Foods, and Penzey’s Spices, contribute significantly to the Wisconsin economy. The state also houses the headquarters for successful restaurant chains including Culvers, Cousin’s Subs, Jimmy John’s and Rocky Rococo’s.
In Southeast Wisconsin alone, there are nearly 250 food and beverage manufacturers. Those companies employ nearly 14,000 people and generate $580 million in annual payroll. Seven of the world’s 11 largest food manufacturers have a presence in the region, according to a report compiled by the Milwaukee 7 (M7), a regional economic development organization serving seven counties in the southeastern portion of the state.
M7 identified food and beverage manufacturing as a target sector for regional strategic economic growth, seeing a strong match between industry assets and trends. The organization is working with the region’s food industry leaders to develop a strategy and resources to successfully expand food operations around the region and attract new companies.
Mike Lovell, chancellor at UW-Milwaukee has also identified the food and beverage industry as an area of focus for research and development.
“The concentration of food and beverage manufacturing in the Milwaukee region, and its presence across the state, is so strong that it has been recognized by the Wisconsin Economic Development Corporation (WEDC) and the M7 as a key cluster for targeted economic growth,” said Shelley Jurewicz, vice president of economic development with the Metropolitan Milwaukee Association of Commerce (MMAC) and the M7.
Jurewicz is also executive director of FaB Milwaukee – the food and beverage industry cluster network launched by the M7.
In conjunction with Milwaukee Area Technical College (MATC), FaB is working to develop technical education for core skills required by food and beverage manufacturers. MATC will launch new programs, including diplomas in food manufacturing production and food manufacturing mechanical maintenance, and a food quality/science associate degree.
Beer Brewing: Proud tradition, powerful economic driver
In beverage manufacturing, beer brewing remains a vital part of the state’s economy. The industry, which has undergone widespread change in recent years, has deep roots in Wisconsin. MillerCoors operates a major brewery on Milwaukee’s west side where well-known brands such as Miller Lite, Miller High Life and Coors Light are brewed. MillerCoors also operates a smaller brewery near downtown Milwaukee, where beer is brewed for its Jacob Leinenkugel subsidiary, which has its main plant in Chippewa Falls, in west central Wisconsin.
“Milwaukee and Wisconsin are places where we have our roots,” MillerCoors spokesman Pete Marino said. “There’s a great benefit for us in being here, and we continue to invest a great deal of money in (the state). A big part of our identity is our heritage here.”
Smaller, successful beer brewing operations also abound throughout the state, including stalwarts Sprecher Brewing Co. in Glendale and Lakefront Brewery in the Milwaukee area, Minhas Craft Brewery in Monroe, New Glarus Brewing Co. in New Glarus, and Stevens Point Brewery in Stevens Point.
Craft distilleries and Wisconsin wineries have also found success in recent years, with Great Lakes Distillery operating an expanding business in Milwaukee; Death’s Door Spirits in Middleton, and the Fawn Creek and Wollersheim Wineries in the Wisconsin Dells. The Door County Peninsula has developed a reputation as an “up north” wine country experience of its own, specializing in sweet and fruit-based wines that reflect the local harvest.
World’s largest food producers based in Wisconsin
On the food front, Wisconsin is home to a vast array of producers. Some of the largest include Kraft, Patrick Cudahy (a division of meat processing industry giant Smithfield Foods), Kikkoman (the world’s largest producer of soy sauce), Oscar Mayer, Cargill Meat Solutions, Ocean Spray, Nestle USA, Palermo’s Pizza, Fred Usinger Inc. and Klement’s Sausage Co.
Dairy production also has been a big part of the state’s economic engine. Wisconsin produces roughly one-fourth of the cheese in the United States, leading the nation in cheese production. The state also ranks near the top in milk and butter production. Sargento Foods, Schreiber Foods, (the nation’s largest producer of store brand cheeses and food service processed cheese), Organic Valley, Swiss Valley Farms, Kemp’s and over 100 other companies have either their headquarters or major production facilities in Wisconsin.
Nearly 12,000 dairy farms with more than 1.26 million cows produce an average of 20,630 pounds of milk each per year, according to the Milk Marketing Board, a Madison-based industry trade group. Cheesemakers use about 90 percent of this milk at 129 cheese-making plants throughout the state.
In addition to dairy products, Wisconsin also is a leading producer of agricultural products ranging from cranberries and ginseng to snap peas and sweet corn.
The state’s growing food and agricultural industry has also opened doors for Wisconsin-based spice and flavoring manufacturers. Milwaukee-based Sensient Technologies is recognized as a global leader in the manufacturing of advanced color, flavor and fragrance systems. In 2011 the firm reported revenues of more than $1.43 billion, up 8 percent from 2010. According to its annual report, the company is well-positioned for continued growth through innovation and research and development. Other major producers include Wixon in St. Francis; JCB Flavors, in Sullivan; Wisconsin Spice in Berlin; Fontarome Chemical in St. Francis; Penzey’s Spices in Wauwatosa, and Foran Spice Company in Oak Creek.
