New Mexico Wine Industry

New Mexico
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 New Mexico wine industry generated over $1 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 New Mexico.

New Mexico Wine Industry Highlights

Total
Output

The wine industry generates close to $1.12 billion in total economic activity in the State of New Mexico, 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 New Mexico wine industry includes a total of 57 wine producers¹ as well as 300 acres of vineyards.

Job
Creation

The New Mexico wine industry directly employs as many as 4,606 people, and generates an additional 1,390 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, 7,918 jobs are created and supported by the wine industry.

Wage
Generation

The New Mexico wine industry provides good jobs, paying an average of $40,300 in annual wages and benefits. The total wages generated by direct, indirect, and induced economic activity driven by the wine industry are $318.90 million.

Tourist
Activity

The New Mexico wine industry generates sizeable tax revenues on the local, state, and national levels. In 2022, the industry will pay nearly $31.61 million in state and local taxes, and $49.20 million in federal taxes for a total of $80.81 million. In addition, the industry generates approximately $3.91 million federal consumption taxes and $31.59 million in state consumption taxes which include excise and sales taxes.

Tax
Revenue

The New Mexico wine industry generates sizeable tax revenues on the local, state, and national levels. In 2022, the industry will pay nearly $31.61 million in state and local taxes, and $49.20 million in federal taxes for a total of $80.81 million. In addition, the industry generates approximately $3.91 million federal consumption taxes and $31.59 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.

Economic Impact of the New Mexico Wine Industry in 2022

Direct Economic ImpactJobsWagesOutput
Winery 669 $ 28,567,100 $ 211,522,400
Vineyard 15 $ 415,200 $ 782,700
Wholesale 209 $ 11,483,100 $ 50,418,400
Retail 3,370 $ 105,894,300 $ 243,446,000
Association 6 $ 445,400 $ 1,322,500
Research and Education 4 $ 362,800 $ 807,100
Tourism 333 $ 8,088,000 $ 22,294,800
Total Direct Impact 4,606 $ 155,255,900 $ 530,593,900
Supplier Impact JobsWagesOutput
Agriculture 96 $ 2,770,900 $ 8,586,000
Business and Personal Services 435 $ 25,026,900 $ 54,514,300
Construction Jobs 13 $ 636,500 $ 2,636,900
Finance, Insurance and Real Estate 210 $ 7,349,800 $ 48,650,400
Government 42 $ 3,600,500 $ 8,914,700
Manufacturing 73 $ 5,118,800 $ 38,164,000
Mining 20 $ 2,068,100 $ 14,353,800
Other - $ - $ -
Retailing 28 $ 964,600 $ 2,866,900
Transportation and Communication 212 $ 14,490,500 $ 55,881,100
Travel and Entertainment 97 $ 2,476,700 $ 5,566,200
Wholesaling 164 $ 10,315,800 $ 36,794,800
Total Supplier Impact 1,390 $ 74,819,100 $ 276,929,100
Induced Economic ImpactJobsWagesOutput
Agriculture 82 $ 2,806,300 $ 8,192,100
Business and Personal Services 783 $ 41,145,500 $ 83,462,700
Construction 14 $ 703,700 $ 2,914,300
Finance, Insurance and Real Estate 188 $ 8,039,500 $ 73,877,000
Government 25 $ 1,899,200 $ 6,387,500
Manufacturing 54 $ 3,200,700 $ 30,273,700
Mining 13 $ 1,291,400 $ 9,432,400
Other 54 $ 2,043,000 $ 3,156,300
Retailing 249 $ 7,859,100 $ 22,720,900
Transportation and Communication 120 $ 8,521,200 $ 34,625,100
Travel and Entertainment 288 $ 7,416,300 $ 19,921,300
Wholesaling 52 $ 3,904,000 $ 15,319,100
Total Induced Economic Impact 1,922 $ 88,829,900 $ 310,282,400
Total Economic Impact
Total Jobs 7,918
Total Wages $ 318,904,900
Total Output $ 1,117,805,400
Tourism Impact
Visits 86,434
Tourists26,253
Spending $29,333,000
Grape and Wine Production
Winery Count 57
Vineyard Acres 300
Taxes
Federal Excise Taxes $ 3,913,200
State Excise Taxes $ 7,655,400
Sales Tax $ 23,937,300
Control State Markups $ -
Other Taxes $ -
Total Consumption Taxes $ 35,505,900
Federal Consumption Taxes $ 3,913,200
State Consumption Taxes $ 31,592,700
Federal Business Taxes $ 49,198,000
State Business Taxes $ 31,612,300
Total Business Taxes $ 80,810,300
Total Federal Business and Consumption Taxes $ 53,111,200
Total State Business and Consumption Taxes $ 63,205,000
Total Federal and State Business and Consumption Taxes $ 116,316,200

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