Alabama

Alabama
Economic Impact Study
2022

WineAmerica, the National Association of American Wineries in Washington, commissioned a 2022 National Economic Impact Study of the Wine Industry by John Dunham & Associates. The study shows that the Alabama wine industry generated over $1.5 billion for the American economy in 2022. Since all 50 states produce and consume wine, the study includes detailed data for each state. Below is the information for Alabama.

 

Alabama Wine Industry Highlights

Total
Output

The wine industry generates close to $1.53 billion in total economic activity in the State of Alabama, dramatically illustrating that wine is the ultimate value-added beverage. The broader economic impact flows throughout the state, generating business for firms seemingly unrelated to the wine industry. Real people, with real jobs, working in industries as varied as farming, banking, accounting, manufacturing, packaging, transportation, printing, and advertising depend on the wine industry for their livelihoods.

State
Reach

The Alabama wine industry includes a total of 20 wine producers¹ as well as 8 acres of vineyards. ²

Job
Creation

The Alabama wine industry directly employs as many as 6,785 people, and generates an additional 2,131 jobs in supplier and ancillary industries which supply goods and services to the industry, and whose sales depend on the wine industry’s economic activity. Ultimately, 11,566 jobs are created and supported by the wine industry.

Wage
Generation

The Alabama wine industry provides good jobs, paying an average of $38,400 in annual wages and benefits. The total wages generated by direct, indirect, and induced economic activity driven by the wine industry are $443.81 million. 

Tourist
Activity

The Alabama wine industry is a major magnet for tourists and tourism-driven expenses. Alabama’s “wine country” regions generates 41200 tourist visits and $3.84 million in annual tourism expenditures, benefiting local economies and tax bases. 

Tax
Revenue

The Alabama wine industry generates sizeable tax revenues on the local, state, and national levels. In 2017, the industry will pay nearly $26.87 million in state and local taxes, and $46.92 million in federal taxes for a total of $73.79 million. In addition, the industry generates approximately $7.54 million federal consumption taxes and $51.72 million in state consumption taxes which include excise and sales taxes. 

1 – Throughout this study, the winery count refers to the number of winery facilities. A single winery may have multiple facilities throughout the state or country. Each of these facilities is included in the winery count.
2 – Vineyard acres refers only to independent farms not owned by wineries, which are counted under “Winery.” 

Economic Impact of the Alabama Wine Industry in 2022
Direct Economic ImpactJobsWagesOutput
Winery-1 47 $ 1,217,700 $ 12,858,900
Vineyard-2 9 $ 126,900 $ 557,700
Wholesale 110 $ 7,385,300 $ 31,453,300
Retail 6,568 $ 183,120,200 $ 454,205,800
Association 4 $ 292,200 $ 859,000
Research and Education - $ - $ -
Tourism 47 $ 1,016,000 $ 2,919,500
Total Direct Impact 6,785 $ 193,158,300 $ 502,854,200
Supplier Impact JobsWagesOutput
Agriculture 140 $ 2,080,500 $ 13,709,700
Business and Personal Services 615 $ 35,044,900 $ 71,653,900
Construction Jobs 18 $ 1,014,700 $ 3,982,400
Finance, Insurance and Real Estate 392 $ 13,010,300 $ 87,185,900
Government 50 $ 4,608,900 $ 12,581,300
Manufacturing 408 $ 30,436,100 $ 196,760,000
Mining 19 $ 2,604,100 $ 9,878,700
Other - $ - $ -
Retailing 35 $ 1,298,700 $ 3,730,800
Transportation and Communication 285 $ 20,969,700 $ 72,793,500
Travel and Entertainment 111 $ 2,732,300 $ 6,337,300
Wholesaling 58 $ 4,523,300 $ 15,163,400
Total Supplier Impact 2,131 $ 118,323,500 $ 493,776,900
Induced Economic ImpactJobsWagesOutput
Agriculture 120 $ 2,559,500 $ 14,535,800
Business and Personal Services 841 $ 46,739,900 $ 89,504,200
Construction 16 $ 859,800 $ 3,393,700
Finance, Insurance and Real Estate 437 $ 20,322,800 $ 140,590,900
Government 29 $ 2,328,800 $ 7,397,300
Manufacturing 346 $ 23,835,700 $ 162,898,500
Mining 9 $ 1,055,800 $ 4,422,900
Other 50 $ 1,769,200 $ 2,854,700
Retailing 296 $ 9,632,100 $ 27,293,800
Transportation and Communication 139 $ 10,761,600 $ 40,146,300
Travel and Entertainment 308 $ 7,640,200 $ 20,978,600
Wholesaling 59 $ 4,825,700 $ 17,942,900
Total Induce Economic Impact 2,650 $ 132,331,100 $ 531,959,600
Total Economic Impact
Total Jobs 11,566
Total Wages $ 443,812,900
Total Output $ 1,528,590,700
Tourism Impact
Visits 11,318
Tourists3,438
Spending $3,841,100
Grape and Wine Production
Winery Count 20
Vineyard Acres 8
Taxes
Federal Excise Taxes $ 7,540,900
State Excise Taxes $ 14,724,000
Sales Tax $ 36,992,700
Control State Markups $ -
Other Taxes $ -
Total Consumption Taxes $ 59,257,600
Federal Consumption Taxes $ 7,540,900
State Consumption Taxes $ 51,716,700
Federal Business Taxes $ 46,921,000
State Business Taxes $ 26,870,000
Total Business Taxes $ 73,791,000
Total Federal Business and Consumption Taxes $ 54,461,900
Total State Business and Consumption Taxes $ 78,586,700
Total Federal and State Business and Consumption Taxes $ 133,048,600

About This Study

Methodologies for the 2022 WineAmerica Economic Impact Study

Methodology

Question and answer

Study Q & A

Methodologies for the 2022 WineAmerica Economic Impact Study

Methodology

Questions and answers about the WineAmerica Economic Impact Study

Study Q & A

Contact

Jim Trezise, President, WineAmerica

John Dunham, John Dunham & Associates

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