GBRIA’s Q4 Economic Index Shows Industry’s Growth Slow Amidst Expansion Demand Increases
GBRIA’s 4th Quarter Plant Managers Economic Index Shows Industry’s Growth Slow Amidst Expansion Demand Increases
BATON ROUGE, La. – The Greater Baton Rouge Industry Alliance (GBRIA)’s economic outlook survey of its members shows some increase in production, capital spending, and employment in the fourth quarter of 2024, with managers expressing that some current policies have slowed permitting processes for expansion projects.
Plant managers from 33 sites, or 55% of the members, weighed in on what they believe the next six months hold for their operations. The GBRIA index is 75, down 9 points from the Q3 2024 results.
The index remains above 50, which indicates an expanding economy, with several members citing upcoming expansion projects in the next six months and into 2025. Key points from member’s comments include 1) local and federal permits and policy changes could negatively impact future expansion projects, 2) project investments in technology for green and sustainable production is growing, and 3) some market sectors show soft demand while others show increasing demand in the next six months.
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2024 Fourth Quarter Forecast |
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Question |
Increase |
No Change |
Decrease |
Index |
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|
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How do you expect your plant’s production to change in the next 6 months? |
27% |
61% |
12% |
65 |
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How do you expect your company’s capital expenditure to change at your plant in the next 6 months? |
39% |
54% |
6% |
83 |
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How do you expect your plant’s COMPANY employment to change in the next 6 months? |
33% |
67% |
0% |
83 |
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Question |
Increase |
No Change |
Decrease |
Index |
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How do you expect your company’s CONTRACT employment to change in the next 6 months?
|
22% |
69% |
3% |
69 |
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4th Quarter 2024 GBRIA Economic Index |
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75 |
The GBRIA index value is calculated as a diffusion index centered on 50 and ranges from negative 50 to positive 150. Values over 50 predict an expanding economy and values below 50, a contracting economy. The survey is a forward-looking index modeled after The Business Roundtable CEO Economic Outlook Index.
About GBRIA
The Greater Baton Rouge Industry Alliance's (GBRIA) mission is to bring value to our communities by developing innovative solutions to common industry issues advocated with one voice.
GBRIA comprises 67 petrochemical, paper, pharmaceutical, storage terminals and other industrial facilities around the Greater Baton Rouge and New Orleans regions.