Blog | 4 min read
Greater Richmond #1 for Food & Beverage worker productivity
March 26, 2026
Greater Richmond, Virginia, ranks #1 in Food and Beverage worker productivity among all U.S. metro areas with 1 million or more people, generating $2.23 million in value per worker in 2025. This performance underscores the region’s position as one of the most efficient and cost‑effective locations in the country for Food and Beverage manufacturing operations.
‘Value added per worker’ is calculated by subtracting the total cost of manufacturing a product from its total sales, then dividing that figure by the number of workers involved in production.
For federal reporting, food, beverage and tobacco manufacturing are grouped together because their production processes share significant similarities. While the end products differ, these industries rely on many of the same types of equipment and technical expertise, such as batch production systems, commercial ovens, drying equipment, and automated packaging lines. As a result, regions with a strong presence in one of these sectors often develop a workforce with transferable skills that support the others, strengthening the overall manufacturing ecosystem.
Richmond’s exceptionally high value‑added per worker reflects this advantage. The region benefits from a skilled labor pool, high‑value product output and efficient, high‑volume production processes that allow companies to operate with greater productivity and lower costs.
What makes Greater Richmond the best region for Food & Beverage manufacturing?
Greater Richmond is the top-ranked metro for Food and Beverage manufacturing productivity in the United States. According to a Greater Richmond Partnership analysis using data from Chmura Economics & Analytics, the region’s 5,570 Food and Beverage workers each generated $2,233,630 in value in 2025‚ ranking 1st among all 55 U.S. metros with populations over 1 million and 7th overall among all 387 U.S. metros.
That’s nearly 50% more output per worker than the second-ranked metro (Memphis, Tenn. at $1.53m), and more than triple the productivity of major markets like New York ($586,968) and Washington, D.C. ($496,958).
A business climate built for the bottom line
Commercial electric rates in Greater Richmond run 8% below the national average, with unionization and unemployment insurance among the lowest in the U.S. Virginia’s corporate tax rate has held steady at 6%since 1972 — a level of stability that makes long-range financial planning predictable and reliable.
The region’s overall cost of living sits more than 5% below the national average, with housing costs running more than 14% lower than the national norm. That translates directly into a workforce that can be recruited and retained more cost-effectively than in larger coastal markets.
Location that works as hard as you do
Greater Richmond’s strategic mid-Atlantic position along Interstate 95 puts 45% of the U.S. population within a single day’s delivery drive. Add in Richmond International Airport and river access to The Port of Virginia (one of the nation’s most technologically advanced seaports), and companies gain a logistical edge for both inbound supply chains and outbound distribution.
Talent, growth and momentum
Greater Richmond draws from a skilled workforce of more than 677,000, with a significant higher education presence anchored by Virginia Commonwealth University in the heart of downtown. Nearly 65% of working adults have some college experience, with 15,000 degrees conferred annually in the region.
The region isn’t just attracting talent — it’s attracting major capital. Greater Richmond has been experiencing its own industrial Renaissance, with a growing number of production facilities and advanced manufacturing operations driven by the region’s strong business climate, affordability and central mid-Atlantic location. Recent investments include a $5 billion commitment from Eli Lilly, a $54.2 million expansion from pharmaceutical manufacturer Haleon and a $28.5 million expansion from ABB, Inc.
For Food & Beverage companies, productivity is the ultimate measure of operational success and Greater Richmond leads the nation. Backed by low operating costs, an accessible location, a growing skilled workforce and a track record of attracting world-class companies, the region offers something rare: a place where businesses don’t just locate, they thrive.
Greater Richmond Food & Beverage productivity: Key facts
- #1 in worker productivity among all large U.S. metros (>1m population)
- $2,233,630 value generated per worker in 2025
- 5,570 Food & Beverage workers across 167 covered establishments
- Top 7 nationally across all 387 U.S. metropolitan statistical areas
Source: Greater Richmond Partnership / Chmura Economics & Analytics, JobsEQ (2025)
- 1. Low Operating Costs
Richmond offers some of the most competitive operating costs in the eastern United States:
- Commercial electricity rates run 8% below the national average
- Corporate tax rate has held steady at 6% since 1972‚ one of the most stable business tax environments in the nation
- Cost of living is more than 5% below the national average
- Housing costs are over 14% below the national average, supporting easier workforce recruitment and retention
- Unionization rates and unemployment insurance costs are among the lowest in the U.S.
- 2. Strategic Mid-Atlantic Location
- 45% of the U.S. population lives within a single day’s drive of Greater Richmond
- Direct access to Interstate 95, the primary East Coast freight corridor
- Richmond International Airport provides national and international air freight and passenger connectivity
- River access to The Port of Virginia, one of the most technologically advanced seaports in the nation, enabling efficient global supply chain management
- 3. Skilled and Growing Workforce
- A regional workforce of more than 677,000 workers
- Nearly 65% of working adults have some college experience
- 15,000 degrees conferred annually, anchored by Virginia Commonwealth University (VCU) in downtown Richmond
- A strong pipeline of talent in food science, engineering and logistics
- 4. Proven Track Record of Major Investment
Greater Richmond has attracted significant recent capital commitments, including:
- Eli Lilly‚ $5 billion investment
- Haleon (pharmaceutical manufacturer)‚ $54.2 million expansion
- ABB, Inc.‚ $28.5 million expansion
How does Greater Richmond compare to other Food & Beverage manufacturing cities?
| Metro Area | Productivity Per Worker | Rank (Large Metros) | ||
|---|---|---|---|---|
| Richmond, VA | $2,233,630 | #1 | ||
| Memphis, TN | $1,533,516 | #2 | ||
| Jacksonville, FL | $1,290,821 | #3 | ||
| St. Louis, MO | $1,087,434 | #4 | ||
| Columbus, OH | $995,868 | #5 | ||
| Chicago, IL | $811,076 | #18 | ||
| Dallas-Ft. Worth, TX | $739,032 | #24 | ||
| Los Angeles, CA | $673,948 | #32 | ||
| New York, NY | $586,968 | #45 | ||
| Washington, D.C. | $496,958 | #53 |
Source: Greater Richmond Partnership analysis using data from Chmura Economics & Analytics’ JobsEQ. Rankings among 55 U.S. metros with >1m population.
About The Author
Jenny Wharry, is the Research Manager for the Greater Richmond Partnership, where she leads data collection and analysis to support business attraction and economic development initiatives. Jenny holds a bachelor’s degree in economics from the University of Central Florida and a master’s degree in international business from the University of Florida, bringing a strong analytical foundation and practical research experience to her work.
