There’s a very strong chance that every American is sitting down to dinner tonight with something from Kentucky on their table. That’s because the food and beverage industry in Kentucky is one of the largest exporters in the state.

There are over 400 food and beverage facilities currently operating in the state. They include:

  • Dairy farms
  • Cattle ranches
  • Corn, wheat, and hay farms
  • Bakeries
  • Flavoring development, research & development
  • Distilleries
  • Breweries
  • Factories making everything from spaghetti sauce and salad dressing to cookies and peanut butter

And of course, there are companies performing the processing, maintenance, support, machine and parts manufacturing, bottling and labeling, distribution, and other services that support the industry. There are also a large number of companies in the region that ensure that products from the food and beverage industry in Kentucky are delivered to tables around the world.

In this article, we will look at food companies in Kentucky. We’ll explore what business incentives are available to food manufacturers, the opportunities for job growth, and how the food and flavoring industry in Kentucky is expanding.

A Snapshot of the Food and Beverage Industry in Kentucky

Across the state of Kentucky, more than 58,000 people are employed in the food and beverage industry. A particularly high concentration of those workers in Northern Kentucky (10,000+) are involved in food research & development (R&D) and performing work in the food and flavoring industry.

There are more than 50 food & flavor manufacturers operating in Northern Kentucky. They include companies in:

  • R&D
  • Production
  • Manufacturing
  • Distribution
  • Packaging
  • Machining

The business of beverages

The beverage sector is one of the largest industry segments in the state. It’s no surprise considering 95% of the bourbon in the world is made in Kentucky. While it’s the “largest” beverage produced in the state, it is not the only one.

Kentucky sees a $1.6 billion economic impact from the state’s wine industry while breweries add nearly $700+ million to the economy each year.

Advantages to the Food and Flavoring Industry in Kentucky

The Northern Kentucky region is uniquely equipped to facilitate the growth of the food and flavoring industry.

A strategic location to get to market

Northern Kentucky is home to:

  • Two major international airports (CVG and SDF)
  • Three air cargo hubs
  • Robust rail service
  • An inland port
  • 10 interstates and 10 state parkways

These access points facilitate, and simplify, the import and export needs of beverage companies in Northern Kentucky. It’s why the area has been ranked #1 in its ability to service the highest percentage of the U.S. population within a 1-day drive.

“…it was clear that expanding our manufacturing capacity here in Northern Kentucky was the right choice…The region has great proximity to our customers, a strong and diverse workforce base, and a thriving business support network.”

Sylvia Buxton, President and CEO, Perfetti Van Melle North America

A strong infrastructure supports growth

Northern Kentucky companies benefit from a strong public infrastructure system. 

  • The cost per kWh of electricity is 11% lower than the national average.
  • The fiber optics that criss-cross the region make it one of the most wired communities in the world.
  • Water comes from either the Northern Kentucky Water District or the Boone County Water District. The thousands of gallons that flow from these two areas are continually tested to ensure that they meet all EPA health standards.

Business incentives for the food and beverage industry in Kentucky

The Kentucky Department of Agriculture (KDA) has a series of grants and funding opportunities available to Northern Kentucky farmers. These offer support to farmers looking to pivot to an organic program, develop specialty crops, improve their supply chain, or make other business improvements.

Other local and state government agencies have incentive programs of their own. 

Key Food Companies and Beverage Companies in Kentucky

There are over 50 food companies and beverage companies that call Northern Kentucky home.

  • Perfetti van Melle is a candy company with a global reach. They pride themselves on their sustainability efforts and the use of natural coloring and natural flavors. Perfetti van Melle makes and distributes all Airheads sold in North America right here in northern Kentucky!
  • Castellini creates food and beverage jobs in Kentucky through its supply chain and transportation services. The company’s century of experience can help farmers and meal kit companies get food to customers faster.
  • Lyons Magnus is a full-service provider in the food and flavoring industry in Kentucky. Their services include everything from developing new dishes to packaging and distribution.
  • Ferrero brings hundreds of jobs to the region along with a countless number of smiles. Their Northern Kentucky manufacturing facility produces a number of Keebler cookie favorites.
  • Pizza is one of the key dinner table items produced by Schwan’s. Foods for retail sales and use by food service companies are made by the over 700 employees at Schwan’s Northern Kentucky manufacturing plants.   
  • Galerie Candy and Gifts has become a destination for candy lovers. This innovative company is helping to redefine sweet treats at their Hebron location. 

The growth of food companies in Kentucky 

Because of its centralized location and clear access to roads, rail, shipping lanes, and airports, the food industry in the Northern Kentucky region continues to grow.

Since 2017, there have been 300+ industry growth projects in the state for a total $9.4 billion investment. These have resulted in the addition of over 10,000 food and beverage jobs in Kentucky. Some of those projects include:

  • Bakery Express is undergoing construction on a $20 million bakery expansion plan at their Northern Kentucky facility.
  • 80 Acres Farms, the largest vertical farm in the region, grew even larger last year by adding 125 jobs in their new $74 million growing facility in Northern Kentucky.
  • New Riff Distilling increased its output by 40,000 barrels with a $10 million facility built in Silver Grove in Northern Kentucky.

Food processing innovations

Many companies in the food and flavoring industry in Kentucky are also working to develop food processing innovations. 

  • ADM WILD is looking for ways to unlock “…natural flavors and extracts, fruit juice concentrates and blends, mint oils and flavors, colors from natural sources, sweetening systems, seasonings, specialty ingredients, taste modifiers, and fermentation technologies.”
  • The customized product development department at Newly Weds Foods helps retailers and restaurants develop their signature flavors. 
  • The team at ZoomEssence utilizes innovations in technology to deliver flavors at the molecular level.
  • Avure Technologies has developed a unique high-pressure processing system that can extend the shelf life of packaged foods without the use of chemicals.

The Future of the Food and Beverage Industry in Kentucky

Future prospects in the food and flavoring industry in Kentucky may not just come from the corporate world but from academia. There are 25 four-year colleges and 11 community and technical colleges in a 75-mile region surrounding Northern Kentucky. (And the future for the graduates from those schools is bright. SmartAsset named Cincinnati the top city for new college grads four years in a row.)

Cincinnati State Technical and Community College has a new Bachelor of Applied Science in Culinary and Food Science. This four-year program does more than just provide students with an introduction to the food and beverage industry. In these classes, students will learn how to be technologists with a focus on culinary R&D.

Gateway Community & Technical College has a program that enables students to learn in, and out, of the classroom. The Advanced Manufacturing Technician Program (AMT) breaks the educational opportunity into classroom work and on-site, hands-on learning with sponsor manufacturing companies in the area.

The University of Kentucky has established the Food Systems Innovation Center (FSIC) to teach processors and producers in established companies and entrepreneurs leading Northern Kentucky food startups. At the FSIC students learn how to “maximize their market capabilities.”

The Food Industry in Northern Kentucky

Thousands of workers hold food and beverage jobs in Kentucky. In the Northern Kentucky region employees work for companies who “create, make, package and distribute” a wide range of food and beverages. These are jobs with a local impact and global reach.

As the food and flavoring industry in Kentucky expands, there will be more opportunities for companies, and their employees, to grow with this fast-moving market. Helping to facilitate that growth is BE NKY. They are uniquely positioned to assist with every angle of the business, from expanding your physical footprint to developing customized workforce solutions. 

Contact BE NKY today to discuss opportunities for expanding your footprint in the food and beverage industry in Kentucky.