(The Center Square) − The Louisiana Economic Development Partnership convened to discuss a strategic roadmap aimed at strengthening the state’s economy, with a focus on innovation, site development, and tax structure reform.
Chief Economic Competitiveness Officer Iliana Ledet outlined three key areas for economic incentives reform: Restructuring the tax system, investing in site development, and creating high-quality jobs.
Neighboring states have significantly outpaced Louisiana in site investment, with Kentucky and Georgia investing hundreds of millions, Lidet said. Louisiana, however, has not invested in site development for several years.
“You can have a site that still has tons of trees on it, needs wetlands permitting, and natural gas line extensions to be truly development-ready,” Ledet said. “We’re going to push for legislative action on site development in the upcoming session.”
Ben Safran, a consultant from McKinsey & Company, highlighted seven priority sectors in Louisiana’s economic strategy: Energy and process industries, logistics, aerospace and defense, agribusiness, professional services, technology, and life sciences.
Among these, professional, scientific, and technical services have the highest potential for job growth, with projections estimating between 11,000 and 26,000 new positions, according to Safran.
Louisiana’s workforce, however, faces challenges.
“We’re losing our most educated talent,” Safran said, adding that 40% of those with bachelor’s degrees leave the state, and only 25% of the population holds a bachelor’s degree or higher. “This in-demand talent feels like it can’t find or get opportunities in our state, but our businesses are saying, I can’t get the talent I need.”
The board also discussed the potential for Louisiana to expand its global reach. Japan and Northern Europe are currently the strongest international markets for Louisiana products, and officials are exploring ways to attract foreign businesses to establish a North American presence in the state.
“How do we get it moving both directions,?” Safran asked. “How do we go to some of those companies and say, ‘Come create a first North America presence in Louisiana because of the relationship, bring more of your supply chain here.'”
The discussion also touched on the need for a coordinated approach in determining which industries should receive state support.
General Dynamics Information Technology’s Jay Johnson asked whether Louisiana should prioritize certain industries regionally or take a statewide approach.
“Bringing that state-coordinated strategy will be important,” Safran said. “I think there are other areas that might be talked about as target industries today that you have to have a hard look about whether those are prudent places to put the energy, the resources investment.”
The board also discussed the need to strengthen Louisiana’s manufacturing workforce.
LED Secretary Susan Bourgeois stressed that innovation should be integrated into all sectors rather than treated as a separate industry. “Innovation has to be the common thread running through all these identified sectors,” she said.
According to LED’s draft presentation, the agency’s mission is to “cultivate jobs and economic opportunity for the people of Louisiana,” with a vision to “build the most robust, innovative, and growing economy in the Southeast that elevates all of Louisiana.”
The plan is driven by two statewide priorities: the Governor’s Whole-of-Government Economic Strike Force and the Louisiana Opportunity Campaign.
Under these priorities, LED identified five pillars for economic growth: Making Louisiana an easier place to do business, ensuring higher wages, fostering regional development through site investment, supporting small-to-medium businesses and optimizing key industries through research and risk capital.