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November 10, 2021

Maine’s outdoor recreation industry ranks near the top in driving US state economies

person in helmet on rock wall Courtesy / Acadia Mountain Guides, Facebook “Running an outdoor business during COVID-19 is a lot like climbing. It involves problem solving, continuous learning, and flexibility,” said Jon Tierney, founder of Acadia Mountain Guides in Bar Harbor, in a video produced by Maine Outdoor Brands. Seen here is a customer from this past summer.

Despite the challenges of the pandemic, the outdoor recreation industry made a big impact on Maine's economy last year, and the impact was bigger than in nearly every other state. 

Maine ranked as one of the top five states during 2020 in the contribution of outdoor recreation to gross domestic product, according to data released Tuesday by the U.S. Department of Commerce's Bureau of Economic Analysis. 

According to the report, which measures the economic activity as well as the sales generated by outdoor recreation, Maine's outdoor recreation industry made up 3.3% of the state’s economy, ranking it fifth among all states.

Maine was behind only Montana (4.3%), Hawaii (3.8%), Vermont (3.7%) and Wyoming (3.4%). 

The national average was 1.8%.

Maine was in the top five in 2020 and in the top three in 2019.

Overall GDP decreased

Nevertheless, Maine’s outdoor recreation economy the inflation-adjusted GDP decreased 15.6% from 2019 to 2020, in a year that saw canceled events, closed stores, supply chain problems and travel bans.

The national GDP decreased 19% from 2019 to 2020. 

Nationally and in Maine, there was also a decrease in employment, largely due to a decrease in supporting outdoor recreation activity, which includes travel and tourism.

Certain segments grew

However, certain outdoor recreation segments saw tremendous growth. 

The value added from conventional outdoor recreation activities like boating, fishing, camping and hiking increased in 2020. Manufacturing of outdoor gear and equipment saw an increase in Maine, while decreasing nationally.

This is the fourth consecutive year that government data has been released for the outdoor recreation sector. 

“Because of our unique location and being able to offer ocean lifestyle, mountain lifestyle, biking, hiking, camping, hunting, we’re uniquely positioned to welcome this influx of outdoor participation and interest brought on by the pandemic,” Ryan Lilly, brand and product manager with Old Town Canoe in Old Town, said in Maine Outdoor Brands’s latest “Making it in Maine” video. The video focuses on how the pandemic has shaped the outdoor economy.

“Maine’s outdoor industry has proven to be resilient throughout the pandemic,” Maine Outdoor Brands’s executive director, Jenny Kordick, said in a news release. “Our manufacturing brands quickly pivoted from making outdoor gear to making PPE for healthcare workers. And our outdoor experience providers managed a surge of new outdoor participation.”

That new customer base, she said, represents a growing opportunity for Maine’s outdoor experience providers and gear manufacturers and “shows the need for continued investment in our state’s outdoor recreation sector.”

Other highlights from 2020

• Outdoor recreation generated $2.3 billion in gross output, despite shutdowns and closures.

• Boating and fishing saw an increase of 27% from the previous year in the value added to Maine’s economy.

• The value biking added to Maine’s economy increased 15% in 2020.

• Manufacturing of outdoor recreation gear and equipment contributed $260 million to Maine’s economy in 2020, an 8.5% increase over 2019.

• Since 2019, outdoor recreation value added has decreased 15.6% in Maine, compared with a decrease of 19.5% for the United States.

Outdoor recreation attracts new business and is a critical part of Maine’s overall economy, said Carolann Ouellette, director of Maine’s Office of Outdoor Recreation. While the latest data illustrate challenges the pandemic presented for the outdoor recreation economy, they also reinforce the importance of the outdoors, she added.

The 2020 data were compiled from statistics on the state and national economy and included the economic impact of conventional outdoor activities, including camping, hiking, boating and hunting.

The data also covered other parts of the economy, such as gardening and outdoor festivals, as well as construction, travel and tourism, and local trips, shopping and lodging. The statistics measured each industry’s production of outdoor goods and services and its contribution to U.S. GDP. 

To see the full report, click here.

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