Page 19 - BusinessWest January 8, 2024

Development Council, said provisions of the CHIPS Act require that companies in the supply chain be U.S.-based. And this has translated into some intriguing early- stage talks between the EDC and some international companies.
“Not only is there onshoring being discussed, but there’s also some foreign investment from different companies, European mostly, that are looking to get a foothold; they’re at least looking,” he said, adding that, between developable land on which to build and precision manufacturers that could be acquired, there is plenty within the 413 to show them. “It’s an opportunity I haven’t seen in the past seven or eight years.”
And this fairly recent development is one reason why Sullivan is rather optimis- tic about 2024 and what it holds for the region.
Other reasons include everything from progress on the workforce front (see related item below), with area colleges and universities seeing a boost in enroll- ment as well as new programs and initiatives to put workers in the pipeline for various sectors, to headway in the preparation of a new growth strategy for the region, to some new businesses in different, and promising, sectors.
“Insurance isn’t sexy. It isn’t high-tech, it isn’t Wall Street, it’s just ... not sexy, so young people aren’t interested in it, and the ones who are interested are aging out.”
SAM HANMER
Businesses like CleanCrop Technologies in Holyoke, which boasts technology that “redefines food and agriculture efficiency.”
“This is a company that came out of UMass, it’s growing significantly, and it’s getting the attention of some multi-national companies in terms of potential invest- ment,” said Sullivan, adding that there are other companies in what he called the “clean-tech realm” that are emerging and offering great promise for that sector.
“Overall, I’m optimistic that the pieces are coming together, and that we’ll see more progress in 2024.”
The State We’re In
Thomson told BusinessWest that the tax cut orchestrated by the Healey admin- istration in 2023 was a welcome signal that the state might actually get it when it comes to the high cost of living and doing business in the Commonwealth and the need to take steps to make it more competitive.
She hopes there will be more of these to come in 2024 because the state still has a long way to go when it comes to being competitive with North Carolina’s Research Triangle and other regions like it.
“It’s imperative that policymakers send the right signals through their actions that we’re going to continue on this course of enhancing our competitiveness and promoting economic stability,” she said. “We’re really at an inflection point.”
There continues to be an outmigration from Massachusetts, said Thomson, noting that the so-called ‘millionaire’s tax’ certainly has something to do with this. But the larger issue is simple affordability, she went on, adding that many young professionals feel priced out by the Bay State, and especially the broad area east of Worcester.
Housing is a huge issue, she said, adding that the state needs to prioritize efforts to create housing on many different levels, from affordable to what would be considered starter homes for young professionals. But it’s not the only issue, she noted, adding that overall affordability also includes transportation and child- care, which are also very high in this state.
“The outmigration numbers worry me because they indicate that the biggest population group that we’re losing are these 25- to 36-year-olds,” she said. “These are the people who maybe came here for college and then concluded that it’s too expensive to stay here.”
Finding ways to keep them here, Thomson added, will go a long way toward easing the workforce issues that are impacting every business sector and in some ways stunting their growth.
‘Workforce, Workforce, Workforce’
As he talked with BusinessWest about his sector and efforts to attract and retain talent, Sam Hanmer hit upon an uncomfortable truth.
“Insurance isn’t sexy,” said Hanmer, president of the Chicopee-based Rush
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