In the spring of 1975, the Port of Lewiston opened for commerce when the first barge headed west down the Columbia-Snake River system.
Despite being approved by Nez Perce County voters in 1958, it was not until Lower Granite Dam was completed in 1975 that the Port of Lewiston became fully operational and was established as Idaho’s only seaport.
While the Lewiston metropolitan statistical area (MSA) — incorporating Nez Perce County, Idaho and Asotin County, Washington — is the only MSA in Idaho not adjacent to an interstate highway, it is the sole MSA in Idaho located along the U.S. Marine Highway system.
Over the last 50 years, the Port of Lewiston has had a significant impact in making the employment of north central Idaho both economically resilient as well as very distinctive compared with Idaho’s other labor regions.
Transportation of physical goods
Initially, the Port of Lewiston’s main’s economic advantage was offering an alternative option to rail and/or truck transportation for agricultural, wood and paper products, fertilizer and other bulk goods.
By 1977, four out of every five bushels of white wheat produced in southern Idaho were transported either through the Port of Lewiston or one of the other Columbia River coastal ports or river terminals, according to estimates from a University of Idaho research report.[1]
The port provided ample warehouse space while shipping on the river system provided a timely, cost competitive option for exporting Idaho’s goods and natural resources.
The combination of rail, truck and river barge to get goods to their final destination provided opportunities for inland producers to be cost competitive on an international basis.
Today, the shipping benefits are not limited to the immediate region or even just within Idaho’s boundaries. Eleven western states currently utilize the Columbia-Snake River System for exports, with wheat and grains comprising the majority of the network’s outbound shipping volume.
Between 1930 to 1969, U.S. cropland acres declined by about a third. Idaho, however, saw a 25% increase.
The completion of the 465-mile navigable waterway appears to have increased the amount of harvested cropland for Idaho from the late 1960s to the early 1980s.
As port terminals in the Columbia-Snake River system started coming online between the 1950s to 1970s, Idaho’s crop acreage started increasing at a faster rate than previously seen, as demonstrated in the graph below.
Another western state that seemed to have benefitted greatly from the waterway was Montana. Between 1969 to 1982, harvested cropland acres sharply increased by 24% in Idaho and 20% in Montana while the U.S. as a whole increased 20%, according to U.S. Census of Agriculture reports.
In the latest report for 2022, crop acres harvested for the U.S. continue to be down 27% since 1930, while Idaho increased 39% and Montana increased 34%.
Figure 1. Crop acres harvested, 1930-2022
Real estate development and public infrastructure
In addition to providing vital transportation services, a main economic driver to the surrounding region is the port’s ability to attract new businesses while providing the necessary infrastructure for specialty manufacturing clusters and other related industries.
Through the port’s extensive land holdings and the ability to reinvest revenues back into the local economy, it has been able to provide customized infrastructure to attract private employers in manufacturing, transportation and warehousing.
As a publicly owned entity, the port has the flexibility to provide shovel ready properties that meet the needs of specialty producers. Having a property that functions for an employer’s unique needs is an integral step toward actively hiring employees and starting production.
The Port of Lewiston also maintains active tenants at multiple business and industrial parks and operates incubator spaces for business start-ups.
Currently, the port is completing a public-private partnership with American Cruise Lines to create the first cruise ship boat dock within Idaho. The port will construct everything below ground while American Cruise Lines will handle all of the above ground expenses.
Fiber broadband is also an important modern aspect of creating economic opportunities for an area’s residents. The Port of Lewiston is spearheading this effort by laying down 52 miles of fiber within downtown Lewiston and is a key partner in the creation of a fiber broadband network stretching from Moscow to Star.
Manufacturing employment
Between 2003 to 2023, manufacturing as a share of Idaho’s private employment declined from 13% to 10%.
North central Idaho, however, was one of two labor market regions (along with south central) to experience an increase in concentration as it ratcheted up from 13% in 2003 to 17% in 2023, as shown in the graph below.
In Nez Perce County alone, manufacturing accounted for 24% of the county’s private employment in 2023, up from 16% in 2003.
Figure 2. Manufacturing share of private employment by region, 2003 and 2023
Due to the great recession, Idaho reported a 28% drop in manufacturing employment in 2009 compared to 1999.
However, the four quad counties (Latah, ID; Nez Perce, ID; Asotin, WA; Whitman, WA) immediately adjacent to the Port of Lewiston showed more resiliency as total manufacturing employment declined only 10% during the same 10-year period.
Manufacturing employment of the quad counties also began to rebound as early as 2009 while Idaho statewide did not start adding jobs until 2011.
From 1975 to 2024, private manufacturing employment in the quad counties increased by 70%, adding more than 3,000 jobs to the nearby region. By comparison, statewide private manufacturing employment increased by 55% during this time, shown in the graph below.
Figure 3. Manufacturing employment growth, 1975-2024
The Lewiston MSA has the highest employment concentration of all of Idaho’s MSAs for production occupations in general, including that of welders, millwrights and machinists.
An employment concentration of one means the share of a region’s employees in a particular occupation would match the national average.
The Lewiston MSA has an employment concentration for production occupations over two times the national average, while the concentration of welders, millwrights and machinists in the region are nearly five times, six times and over three times the national average, respectively.
This ranks the employment concentration of all three of these occupations within the top 10 of all MSAs in the nation.
Production occupations in the Lewiston MSA also have annual median wages that are nearly $10,000 higher per year compared with any other MSA region within Idaho.[2]
According to 2023 occupational data from the Bureau of Labor Statistics, the annual median wage for welders in the Lewiston MSA is $56,000 per year compared with $46,000 for Idaho statewide.
Similarly, millwrights can potentially earn a median wage of $74,000 in Lewiston compared with $63,000 statewide.
The high concentration and significant wage premium of these jobs demonstrates high employer demand for local workers with relevant skills. Although the region already has a strong concentration of these skilled workers, many employers would like to hire even more local labor.
Figure 4. Production occupation employment concentration and median wages, 2023
The north central region accounts for only 6% of Idaho’s population but makes up over a quarter of its total employment in specialty manufacturing operations such as the making of paper, metal fabrication and electrical components.
The presence of these specialty manufacturing clusters is largely due to the ongoing efforts of the Port of Lewiston to attract potential employers and help provide meaningful ways to make their business model work.
Congratulations to the Port of Lewiston for 50 years of regional economic development and steadfast focus on creating employment opportunities. The next 50 years may look a bit different but will be no less significant in shaping the region’s jobs, progress and stability.
Lisa.Grigg@labor.idaho.gov, regional economist
Idaho Department of Labor
208-696-2256
Sources:
[1] “Idaho Inland Elevator Wheat and Barley Marketing Patterns”, University of Idaho Department of Agricultural Economics and Applied Statistics, Progress Report No. 207, August 1979.
[2] Bureau of Labor Statistics, 2023 Occupation and Employment Wage Survey (OEWS)
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