State economy growing in diversity
Greg Canfield likes to tell people being “made in Alabama” means something.
In the past 20 years, Alabama has become the fourth largest automobile producing state in the country, and its products can be found in 85 countries.
Addressing the Mountain Brook Chamber of Commerce at its Oct. 16 luncheon, the Alabama secretary of commerce highlighted how the state is now home to biomedical and cancer research, automobile, aerospace, and specialty steels and other material industries in addition to those it hosted 75-100 years ago.
“Alabama’s economy is still based in a larger part on agriculture and timber, but today it is much more diversified,” Canfield said. “I never imagined Alabama would be a major player in international business and become home to companies from around the globe, but now we have 419 of those companies: 70 from Germany, 65 from Japan, 405 from Canada, 40 from France and 27 from the UK.”
This diversity has continued even in the recent recession. The state lost a staggering 154,800 jobs between December 2007 and February 2010. Job figures have grown since March 2011; as of August 2014, there are now an additional 63,700 in the state.
“We’re bouncing back, but we’ve got a long way to go,” Canfield said. “That’s how deep this recession hit the state of Alabama.”
State unemployment has declined as well but is still well below recession figures. The latest figure was 6.9 percent in August, and nearly 20,000 jobs had been added in the state between August 2013 and August 2014. Canfield said personal income is also on the rise, with Alabama outperforming all its southeastern neighbors in the first quarter of 2014 over the last quarter of 2013.
Canfield believes the key to economic growth for the state going forward lies in partnering with educational forces.
Since 2012, Accelerate Alabama, a strategic plan for economic development, has paired tradition economical development efforts with complementary education efforts. Working with the state education superintendent and chancellors of the community college and university systems, Accelerate has focused on creating a skilled and educated workforce to meet future job demands in the state.
“Alabama is a force, but we have to keep our workforce prepared,” Canfield said