Texas Border Business
The Port of Harlingen contributes more than $4.6 billion in economic activity in the state of Texas according to a new economic impact study done in conjunction with Texas Ports Association (TPA).
Together, Texas Ports contribute more than $713.9 billion in economic activity for the State accounting for 28% of Texas’ gross domestic product (GDP), further advancing Ports as a catalyst for state economic growth and job generation, according to a recent economic impact study by the Texas Ports Association (TPA).
Port of Harlingen and TPA’s most recent economic impact study was conducted by Martin & Associates, using data from fiscal year 2023. In 2022, Martin & Associates conduct an independent study for the Port of Harlingen pulling results from 2021 data. The most recent report shows significant increases in just over two years. As part of a statewide effort to show impact as an organization, TPA utilized Martin & Associates for 21 ports across Texas that highlights statewide growth in tonnage, revenue generated and job growth.
“The Martin study paints a clear picture of what a great job Texas ports do as an economic engine and creator of jobs for the entire state,” said Larry Kelly, TPA President and Port Director/CEO of Port of Port Arthur. “Texas ports and the movement of goods to and from ports impact jobs and economic activity in all 254 counties in Texas. Our ports support Texas based manufacturers, defense, energy movement, cruise and most of the consumer goods found in every Texas household.”
Significant numbers for the Port of Harlingen not only include a 156% increase ($1.79 billion to $4.6 billion) in economic activity from 2021 to 2023, but also a 159% increase (9,750 to 25,224) in jobs supported by cargo or vessel movement by the Port. As well as a 119% increase ($36 million to $79 million) in local and state tax revenue from cargo and usage fees, and a 108% increase ($120 million to $250 million) in direct business revenue received by businesses directly dependent upon the Port of Harlingen providing services.
“Although ports have just recently been a major focus for infrastructure needs and funding increases, the Port of Harlingen has been on the rise as an economic driver for our region and that State of Texas,” Port of Harlingen Port Director Walker Smith said. “Over the last eight years, we have seen tremendous growth in tonnage going from just under 1 million tons to more than 3 million. Cargo movement and maritime business, as you can see, has far reaching impacts over our economy with more jobs, new money from exported goods injected into our local economy, money spent in our area and tax revenue from goods; better ports mean better business.”
Total tonnage handled by public and private marine terminals across Texas increased by 130.3 million tons. As a result of this growth, 2.5 million jobs are supported by 2023 marine cargo activity within the state of Texas, an increase of 728,741 jobs since 2018. Total economic value of the Texas marine cargo activity grew from $449.6 billion in 2018 to $713.9 billion they boast today.
Job growth by Ports is further amplified by an increase in average annual salary received by directly employed workers from $67,611 in 2018 to $81,845 in 2023, also generating $17.1 billion in state and local taxes supported by the port activity. The most impressive statistic, Kelley said, is that Ports are more than a method to move goods, Texas Ports have become a spending multiplier. For every $1 invested in Texas Ports, $53.46 is returned to the State of Texas.
“As you can see each year Ports across the state are having a major impact on not only the transport of goods, but economically creating a major advantage for the State of Texas,” Smith said. “Last year the Texas Legislature made its largest investment in port infrastructure, and we will only continue to see the benefits rise.”
To view the Port of Harlingen Economic Impact Study, go to our Port Economic Impact page. For more information about the Port of Harlingen go to portofharlingen.com or contact Amy Lynch, Director of Public Relations and Marketing at (956) 423-0283 or amy@portofharlingen.com.
To view the Texas Ports Association Economic Impact Study, go to: www.texas-ports.org. To learn more about future Texas port investments click on Port Projects. For more information, contact President@texas-ports.org.
