San Diego’s craft breweries contribute USD 1.2 billion to local economy

USA | A new report from California State University, San Marcos, shows that San Diego County’s craft beer industry continued to grow to 155 independent craft breweries in 2018, providing the region of 3 million inhabitants with a total of 202 brewery locations.

The study was compiled by CSUSM, the university’s Office of Business Research and Analysis, and San Diego Brewers Guild. It was released in August 2019.

Data indicate that brewery openings started to slow in 2017, but have risen slightly since.

Among San Diego’s craft breweries, seven made the cut for the 100 best breweries in the world 2018 by the website RateBeer. They were AleSmith, Port Brewing Company/The Lost Abbey, Stone Brewing, Modern Times, Alpine Beer Company, Ballast Point (owned by Constellation Brands), and Mikkeller.

The majority of breweries are packed into Central San Diego, hosting 55 percent of craft breweries. North County ranks second with 32.5 percent of breweries, followed by East County with 8.1 percent, and the South Bay with 4.4 percent.

The study claims that year-on-year, craft beer’s contribution to San Diego’s economy grew 6 percent in 2018 to an estimated USD 1.2 billion. Since 2016, the region has seen a 34 percent rise in economic impact from the craft brewing industry.

The report’s confidence index stood at 91, which indicates an optimistic outlook among San Diego’s craft brewers over the next year. The survey had asked respondents how they feel about volume output, distribution, employment, and capital expenditures.

There is also mention of a Museum of Beer in San Diego, which is slated to open in 2020.

A few local breweries hit hard times in 2018. The report lists East Village’s Monkey Paw Brewing and Miramar’s Intergalactic Brewing, which closed their doors. Green Flash also sold off its West Coast operations in a foreclosure. This year, Gordon Biersch Brewery Restaurant closed in Mission Valley.

California has the highest number of craft breweries in the US, with more than 900 breweries as of January 2019. They produced about 4 million hl beer in 2018 and contributed over USD 8 billion to the state’s economy.