News & Information
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| For Immediate Release |
Contact: Andy Deloney |
| January 12, 2007 |
517/377-3931 |
Michigan Restaurants Project Another Year of Slow Growth
LANSING – The Michigan Restaurant Association today announced that the state’s food and beverage service industry expects continued slow growth in 2007. The slow growth projection in Michigan contrasts with those of most other states, which expect steady to strong growth in the new year.
Rob Gifford, executive director of the association, said he expects Michigan restaurant sales to top $12.8 billion in 2007, which projects to an increase of about 3.7 percent. “Growth in the Michigan restaurant industry will be slower than in 2006, but we project growth nonetheless.”
Nationwide, Gifford said the industry will have its 16th consecutive year of real growth in 2007, with steady to strong growth. The strongest growth rates will likely occur in the western and southern United States. It is projected that industry sales will top $537 billion, an increase of over 5 percent. The Great Lakes region, which includes Michigan, Ohio, Indiana, Illinois and Wisconsin, is expecting growth of 4.0 percent, the lowest of any region’s projection.
Gifford said that there are a number of reasons why Michigan’s forecast isn’t as cheerful as the rest of the country. “Michigan continues to lose ground economically while the rest of the country has improved,” said Gifford. “High unemployment and job uncertainty, combined with a comparatively high tax and regulatory burden, and stagnant growth in disposable income continue holding a thumb on Michigan’s economic growth.”
“Michigan’s restaurateurs have proven themselves to be tough and ready to take on our continuing challenges. We look forward to serving Michigan diners and travelers from all over the world in 2007,” said Gifford. “We are ready to serve you.”
Founded in 1921, the Michigan Restaurant Association represents more than 4,500 Michigan foodservice establishments. The foodservice industry plays an integral role in Michigan’s economy, employing more than 436,000 people and creating more than $11.3 billion in total annual sales. For more information, call (517) 482-5244.
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