Gov. Greg Abbott is laying out a five-year blueprint focused on Texas’s economic future. The Bigger. Better. Texas. Economic Development Strategic Plan pushes for job creation and continued growth with targeted efforts toward specific sectors and regions.
The plan was created through a year-long collaboration with state agency partners, business and community leaders, economic development organizations and industry associations.
To drive workforce development and strengthen the economy, the document focuses on four pillars: business and industry, innovation and entrepreneurship, workforce and infrastructure. Over the next five years, Texas will set out to achieve specific objectives and implement actions directed at advancing these pillars as part of the state’s economic expansion blueprint.
For business and industry, the state will prioritize accelerating growth in specific sectors, expanding global economic leadership and promoting local development. Efforts to support statewide innovation and entrepreneurship will exemplify research and development, support innovation in target sectors and ensure entrepreneurs have access to necessary resources.
In addition, the state will work toward building a skilled workforce pipeline, promote education and training opportunities and improve workforce development systems. Infrastructure will be a critical focus, receiving support for regional infrastructure development, target sector infrastructure needs and assurance of improved connectivity and resilience.
Several sectors are expected to drive strategic economic growth and job creation:
Advanced Manufacturing contributes $64 billion to Texas’s Gross Domestic Product (GDP). With strong growth forecast for the sector, the state is prioritizing investments in high-tech manufacturing, technology innovation, workforce development, semiconductor industry expansion and supply chain strengthening.
Energy Evolution is a massive economic driver, with a $390 billion GDP contribution. Electric power generation and transmission; oil and gas extraction, production, and transportation; and renewables will be prioritized.
The Hospitality, Tourism and Culture sector is responsible for $5 billion in foreign exports and has seen steady employment growth—11% from 2011 to 2021. The governor’s plan targets film, music and culture, as well as hospitality and tourism, with strategic investments in brand marketing and promotion.
Information Technology boasts a $71 billion GDP contribution and is expected to grow by 67% from 2022 to 2032. The strategic plan emphasizes artificial intelligence, particularly in central Texas, the Dallas-Fort Worth area and San Antonio.
Life Sciences and Biotechnology make up another sector with tremendous growth, with 62% GDP growth and 65% employment growth from 2011 to 2021. The report finds agriculture science and technology can be strengthened by supporting companies through the entire product lifestyle—from research and testing to commercialization—all within the state.
Petroleum Refining and Chemicals are seeing positive post-pandemic growth projections through 2032. This sector accounts for $38 billion in foreign exports. The plan supports infrastructure enhancements at pipelines, supply chain integration, research and innovation through university programs, workforce development and expansion of international trade relationships.
Professional Services and Corporate Operations saw 65% GDP growth and 44% employment growth from 2011 to 2021. With 11 schools placing in the U.S. News Top 100 Business Schools list, officials believe the state holds a distinct advantage. The strategic plan positions Texas to build on its already impressive growth in these sectors by maintaining its business-friendly environment and technological competitiveness by developing the specialized talent and innovation infrastructure needed for success.
Rare Earth Elements and Mineral Mining has shown mixed performance. The report focuses on Texas’s regional strengths and pushes efforts for sustainable mining practices so as not to exhaust resources. Officials push for innovation and technology advancement through university research initiatives.
Transportation and Logistics are responsible for $303 billion in GDP contribution with a 34% growth rate from 2011 to 2021. Infrastructure enhancement, technology and innovation support, global connectivity and workforce development are all listed as strategic investment priorities.
(Photo courtesy of Romain Dancre on Unsplash.)
