Minnesota's Value-Added Recycling Manufacturing Industries: An Economic and Environmental Profile

“Recycling manufacturing creates jobs, reduces manufacturing costs, increases capital investment, contributes tax dollars, develops new products for the marketplace and conserves resources.” — Governor Arne Carlson

In this 1997 report, the OEA studies the economic and environmental impacts of Minnesota businesses who use recycled materials as feedstock in manufacturing processes.

Adding an estimated $1.5 billion in sales to the state economy, Minnesota's recycling manufacturing industry makes money, creates jobs and expands the economy.

Highlights

• Employment. These companies employ 8,700 Minnesotans. Total direct, indirect and induced employment associated with recycling manufacturing involves 18,000 to 26,000 jobs.

• Raw materials. Recycling provides manufacturing industries with raw materials that are often less expensive than virgin sources.

• Essential feedstock. Recycled materials are important to Minnesota manufacturers. Survey information indicates that more than 3,000 jobs and $6 million in tax revenues could be lost if certain companies were unable to obtain recycled feedstock for production processes.

• Materials consumed. The 60% of known manufacturers that responded to the survey reported using about 2 million tons of recycled feedstock in 1996.

• Capital investment. Companies responding to the survey made capital investments surpassing $177 million from 1994 to 1996.

June 1997