The Odessa Aquifer A Processor Perspective

1
The Odessa Aquifer A Processor Perspective

• Columbia Basin Development League
• Annual Conference
• November 1, 2006

2
Food Processing Contribution to NW Economy

• Total Output 20.7 Billion
• Total Economic Impact 42.5 Billion
• Total Employment 75,000 jobs
• Employment Impact 283,000 jobs
• Total Payroll 2.4 Billion
• Average Wage 32,000

3
An Industry Under Siege

• CONDITIONS/CHALLENGES
• Perishable
• Transportation Dependent
• Far From Markets
• Global/Traded Sector
• Volume/Scale Orientation
• Natural Resource Dependent
• Mega-Customers Consolidation
• Restrictive Regulation
• Currency Exchange Risk

Industry Conditions
4
Food Manufacturing Performance Realities
Dramatic Change is Essential

• Thin Profits
• Global Overcapacity
• Poor Return on Assets
• Margin Erosion
• Industry Consolidation
• Geographic Diversification
• Financing Challenges
• Slow Adoption

Industry Conditions
5
The Odessa Common Plan

• Why Is It Important to Food Processors?
• Resolving Regional Differences
• The Role of the Partners
• The Long Term Benefit to the Region