US/Canada Govt. Study Shows $513 Million Historic Rise in Local/Regional Economic Impact at Port Oswego
Posted on August 7, 2023
OSWEGO, NY – The just released results of a U.S./Canadian research study shows that The Port of Oswego Authority, (POA), made a $513 million impact on the local and regional economy and supported 2,229 jobs by its maritime activity. The Port of Oswego generated $201.2 million in wages, salaries, and local consumption expenditures for the regional economy.
“This huge impact not only reflects our steady growth in the cargo tonnage we’ve handled during the last five years, but we’ve been more profitable and cost-efficient than other New York Great Lakes ports,” said William Scriber, POA executive director and CEO. “That increase has been recognized by our port receiving the Robert J. Lewis Pacesetter Award four times in the past five years for increases in international cargo tonnage shipped among Great Lakes ports.”
The study sponsors were: the Great Lakes-St. Lawrence Seaway Development Corporation, the St. Lawrence Seaway Management Corporation, the American Great Lakes Ports Association, the Chamber of Marine Commerce, the Lake Carriers’ Association, and the Shipping Federation of Canada.
Results of the study showed that among the three NY ports on the Great Lakes, the POA had 49 percent of the economic activity, 63 percent of the business revenue and 43 percent of total local purchases. The report calculates total economic activity as the direct business revenue received by the businesses supplying the cargo and vessel handling services, and the re-spending of direct income and consumption expenditures. “That’s nearly 52 percent —the lion’s share—if you average all three categories,” Scriber said. “This marks historic growth at Port Oswego and solidifies our position as a powerful, positive economic force for Oswego and our region. In addition, these data shows that our port has moved up in rankings among 19 American Great Lakes ports from near bottom to the middle—and we’re still rising.”
Scriber also credited the port’s increase in business and growing economic impact on investments in the $15 million NY State Grain Export Center, extensive dock repairs, aggressive marketing of the port throughout the Great Lakes, and investments in new equipment.
The benchmark for measuring the rise in impact was established by this same study published in 2018. When the 2023 report is compared to the 2018 report, the following highlights emerge:
Jobs supported by marine cargo activity at Port Oswego rose from 209 in 2018 to 2, 229 in 2023—2,020 more jobs, a 996.5 percent increase. Of the 2, 229 jobs, 1,132 were directly generated by marine cargo and activity at Oswego’s marine terminals. As a result of the local and regional purchases by those 1,132 individuals, an additional 797 “induced jobs” were supported in the regional economy. That's a 1006.9 percent increase over the 72 induced jobs reported in 2018. Induced jobs are generated from individuals directly employed by port activity spending their wages on local goods and services.
In addition, 300 “indirect jobs” were generated in 2023 as compared to the 31 indirect jobs in the 2018 report— an increase of 867.7 percent. Indirect jobs, according to the report, are jobs supported in the region from the purchase of goods and services by firms—not individuals. They include jobs with office supply firms, maintenance and repair firms, parts, cranes, heavy equipment suppliers, and others.
Local purchases increased from $4.6 million in 2018 to $49.6 million in 2023—an increase of 969.7 percent. These are mostly to local and regional businesses, Scriber said.
Business revenue increased from $19 million in 2018 to $299.7 million in 2023. These figures represent direct business revenue received by the firms directly dependent upon the cargo handled at Oswego’s marine terminals. These firms provide maritime services and inland transportation services for cargo handled at the marine terminals and vessels calling at the port.
Altogether, in 2023, the Port of Oswego generated $201.2 million in wages, salaries, and local consumption expenditures in the regional economy.
This breaks out as follows: direct personal income increased from $4.5 million in 2018 to $64.6 million in 2023‑an increase of 1,307 percent. Re-spending (local purchases) increased from $7.6 million in 2018 to $113.1 million in 2023—an increase of 1,391 percent. Indirect income increased from $1.6 million in 2018 to $22.4 million in 2023—an increase of 1,296 percent.
The tax impact change in this time was also significant, Scriber said. Tax impacts are tax payments to federal, state/provincial and local governments by firms and by individuals whose jobs are directly dependent upon and supported by activity at the port’s marine terminals.
State and local tax payments increased from $1.7 million in 2018, to $37.8 million in 2023—an increase of 2,051 percent. Federal tax payments increased from just over $4 million in 2018 to nearly $43 million—an increase of 970 percent.
“The team at the Port of Oswego is working hard each and every year to continue to grow our business and support our local economy,” Scriber said. “We’re just getting started and we expect more positive impact in the years ahead.”
The Port of Oswego's strategic location at the crossroads of the Northeastern North American shipping market, puts them less than 350 miles from 60 million people.
Other Member News
February 15, 2024
Sensory Friendly Time at The MOST- Part of Micron STEAM Explorers Inclusion Programs
Sensory Friendly Time at the MOST is an opportunity for guests who prefer a quieter, less stimulating environment to enjoy the museum. It's also a great way to socialize with other parents and children.