U.S. Food & Beverage Industry Sees $6.75 Billion in Project Construction Starts for Second Quarter

Researched by Industrial Info Resources (Sugar Land, Texas)--Food and beverage firms are ramping up investments in manufacturing and distribution facilities across the U.S. Industrial Info is tracking nearly 400 projects that have a planned construction start date in the second quarter, with an aggregate value of $6.75 billion.

Capital expenditures are aimed at building new facilities from the ground up, expansion of existing plants, installations of new production lines and upgrades of plant infrastructure.

Subscribers to Industrial Info's Global Market Intelligence Food & Beverage Project Database can click here for a list of related projects.

Click on the image at right for a graph showing second-quarter construction start activity by U.S. market region.

Grassroot construction activity accounts for nearly $4 billion spread across 98 projects. One of the largest projects is a $300 million investment to build a beverage bottling and distribution center in Hillsborough county in Florida. Other highlights include a $100 million food distribution center in North Carolina and a $24 million plan to build a food ingredients plant in Missouri.

Expenditures for expansions and other in-plant types of projects comes out to roughly $2.9 billion. A $225 million expansion of a soybean processing plant is one of the larger projects and one of only four that are valued at $100 million and greater in this category. More than 200 projects come in at $10 million or less.

By industry sector, construction starts in the warehousing and distribution center sector have the highest spend with a combined value of more than $1.5 billion across 75 projects. The packaged foods and agribusiness sectors round out the top three sectors, with both showing $1.1 billion in project expenditures.

Based on cumulative project values, expenditures totaling $834 million (44 projects) places California as the leading state, followed by Florida with $541 million (13 projects), and Pennsylvania trailing with $499 million (14 projects).

Construction is underway on 48 projects with a combined investment value of $1.7 billion.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.