Visalia-Porterville GDP 4th fastest growing in nation

PORTERVILLE RECORDER September 22, 2016

Led by a strong ag economy in 2014, Tulare County’s, or more accurately the Visalia-Porterville Metropolitan Statistical Area (MSA) gross domestic product (GDP) posted a 7.6 percent increase, ranking it No. 4 nationally and certain to draw the attention of developers and others, reported Tulare County Economic Development Corporation President Paul Saldana.

The data by the Bureau of Economic Analysis was announced Tuesday. Tulare County’s gross product growth only trailed the MSA’s of Midland, Texas, San Jose-Sunnyvale-Santa Clara, and Lake Charles, La.

“When you have positive growth, for those looking to invest in an area, this is one of those factors they look at,” said Saldana. “We’ll get publicized, that’s certainly good for us,” he added.

The data also showed that real GDP nationally increased 2.5 percent led by growth in professional and business services, wholesale trade and retail trade, finance and real estate.

The Visalia-Porterville MSA GDP was $14,232,000 in 2014. It was due in large part to the agriculture industry which grew by 22.5 percent from 2014 to 2015. The county showed GDP growth in all sectors, except manufacturing which showed a nominal decrease.

“As our economist predicted at this past economic summit, our local economy continues to show resiliency and growth in GDP, in jobs and other economic categories,” stated Saldana.

“Our next economic update is certain to quantify the positive changes we have observed in our economic conditions” Saldana added. The EDC issues a quarterly economic update as well as an annual economic forecast. The quarterly update will be released early next month.

He said ranking No. 4 in the nation will draw a lot of attention, especially after the data is more widely released. To his knowledge, said Saldana, the county has never ranked so high.

“We’ve had years with strong growth,” he said, but not enough to rank so high nationally.

“It was a good ag year (2014) and everything else did well,” he pointed out. According to the Tulare County Ag Commissioner, the value of ag commodities grown in Tulare County increased 10 percent.

However, the ranking could be short lived. Ag values declined 13.7 percent in 2015, losing more than a billion dollars in value.

Saldana said his office will market the news and while the period between political party conventions and the election is typically slow in terms of economic development, he said there has been more activity than usual.

“We’ve had a couple of fairly active manufacturing prospects,” he said, adding they are in the final stages of making their decisions and he is very confident.

The EDC, established in 1983, recruits and assists cities to recruit new business and industry to Tulare County. Saldana said having a lofty ranking only helps.

“We’re making progress forward. Not as fast as in the past, but we’re moving along,” he said of economic growth.

Real GDP increased in 292 metropolitan areas in 2015. GDP by metropolitan area is the sub-state counterpart of the nation’s GDP, the Bureau’s featured and most comprehensive measure of U.S. economic activity.

http://www.recorderonline.com/features/county-has-strong-gross-product-growth/article_c6bdc134-8077-11e6-aca1-e7ab0f584b18.html