Lansing, Mich.—The Michigan wine industry has a $5.4 billion economic impact according to a study commissioned by the Michigan Grape & Wine Industry Council.

According to the study conducted by John Dunham & Associates, the state’s wine industry generated $426 million in state and local taxes and supports 28,000 jobs paying $773 million in direct wages. The study found since 2007, 83 new wineries have opened and most plan to expand production in 2018. The Wines Vines Analytics winery database has 172 wineries in Michigan, while the Michigan Grape & Wine Industry Council recognizes 132 for primarily using Michigan grapes and fruit to produce wine.

The study also found Wine grape acreage has also increased, with 3,050 acres currently devoted to wine grapes statewide. Most of Michigan’s wine grapes are grown within 25 miles of Lake Michigan, though vineyards are located in every region of the state, including a handful of wineries operating in the Upper Peninsula.

Significant growth has also made an impact on regional tourism. Ninety four percent of wineries receive tourists, totaling more than 1.6 million visits each year and $252 million in tourism spending. “Wine tourism affects many other nearby businesses, including restaurants, retailers, transportation services and other attractions,” said Karel Bush, executive director of the Michigan Grape & Wine Industry Council in a statement announcing the study’s findings. “The industry also creates jobs and benefits other local sectors, including construction, manufacturing and business-related services.”

The full economic impact report, executive summary documents and supporting infographics can be downloaded at michiganwines.com/economic-impact.