Critical Linkages: Strengthening Clusters in Urban and Rural Oregon

Sheila A. MartinInstitute of Portland Metropolitan

StudiesPortland State University

Oregon’s Food and Beverage Industry

Percent of Personal Income from Farming, Ag Services, Fishing, and Forestry

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

1969

1970

1971

1972

1973

1974

1975

1976

1977

1978

1979

1980

1981

1982

1983

1984

1985

1986

1987

1988

1989

1990

Perc

en

t of

Pers

on

al In

com

e

Oregon Statewide Metro Nonmetro

Natural Resources Dominance falls

Percent of income from Natural Resources and Information Industries

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

Farming, Forestry and Fishing Computers + Information

Information Industries on the Rise

Income From Ag Products

Food Industry Employment Occurs Throughout Oregon

0

5,000

10,000

15,000

20,000

25,000

30,000

Crop Production Food Manfucturing Beverage Manufacturing

Metro NonmetroSource: Oregon Employment Department, QCEW

Oregon Forest and Wood Products Industry

0

5000

10000

15000

20000

25000

30000

35000

Forestry and Logging Wood Product Manufacturing

Metro Nonmetro

Wood Sector Employment Spans Metro and Nonmetro Counties

Source: Oregon Employment Department

Rural Oregon Depends on Forest Income and Employment

Source: E.D.Hovee 2004

Food Cluster Map

Differentiation: Organic Certification

Oregon Certified Organic Acreage (Thousands)

31

45.4

59.2

83.3

0

10

20

30

40

50

60

70

80

90

2004 2005 2006 2007

Source: Center for Sustaining Agriculture and Natural Resources, WSU

Oregon Organic Farmgate Sales ($Million)

33.736.3

52.1

61.8

$0

$10

$20

$30

$40

$50

$60

$70

2003 2004 2005 2006

Oregon Farms with Organic Acreage

287 295

360

400

0

50

100

150

200

250

300

350

400

450

2004 2005 2006 2007

Differentiation: Forest Certification

Photos: OSU Extension

Differentiation: Direct Marketing

Differentiation: Direct Marketing

Upgrading Food and Forest Clusters

• Change transactions to interactions

• Differentiate • Integrate customers into

the development process • Focus on quality

A Recipe for Success: Oregon Pear 75 1 ounce Oregon pear brandy 1/2 ounce fresh lemon juice 1/2 ounce simple syrup 4 ounces Oregon sparkling wine Peach Bitters (optional) Slice of dried Oregon pear, for garnish

Mix pear brandy, lemon juice and simple syrup in a cocktail shaker. Pour into a champagne glass. Fill with sparkling wine. Add a dash of bitters and garnish with dried pear.

Source: Adapted from www.kathycasey.com/liquid_kitchen