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Natural Resource Development |
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Natural resources have always been a staple of Maine's economy, not to mention the breathtaking scenery they provide. Fishing, farming, and forestry are the historically dominant sectors of Maine's natural resource economy, but in more recent years tourism has been a growing component. Together, these industries contribute 1 out of every 10 dollars in Maine's economy. CEI provides financing, business counseling, and other assistance to natural resource-based businesses with the goal of creating wealth in rural communities and preserving a rural way of life.
CEI has been working with the farming, fishing, and forestry industries since its founding in 1977. Our earliest investments were in community-based, natural resource enterprises, such as fish processing plants, farmers' markets, and forestry cooperatives. Today, while the types of businesses have changed somewhat, we still work closely with these three industries through targeted fisheries, farming, and forestry programs. Click on the links to the left to learn more about our work with these sectors. Our targeted industry focus is based on a sector approach. This approach allows us to understand an industry and develop some level of expertise in the factors influencing it, such as regulations, taxation, supply and demand, and consumer preferences. It also allows us to target financing and business assistance to these sectors based on our growing expertise. We look at many different factors before choosing to enter a sector, and with natural resource sectors the list is even longer. Criteria include economic opportunity; alignment with CEI's strengths; potential for new products and markets; the existing capacity, limits, and reproduction rates; and potential partners.
Some of CEI's earliest natural resource projects were so-called 3E investments - achieving positive economic, social equity, and environmental outcomes. Our focus in those early days, however, was primarily on creating economic opportunity and employment. More recently, the environmental impacts of our natural resource investments have grown in importance, on par with the equity and economic impacts. We have a heightened awareness of the environmental effects of our development activities and are challenged to both define 3E investing and determine how best to achieve it.
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Why Invest in Natural Resources? |
CEI has been investing in farms, forests and fisheries for nearly
thirty years - it's part of our roots. In the fisheries industry alone,
we have mobilized over $40 million for 160 enterprises.
We invest because we value the resources and because, as a society, we
have a lot to lose if we don't. Entire communities, industries, family
incomes, and even cultural diversity will wither without targeted
investment and preservation. Skyrocketing land values are forcing
farmers, fisherman and small woodlot owners to sell. Meanwhile, depleted
resources, regulation and foreign competition can drive many out of
business.
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Maine Lobster Outlet |
Maine Lobster Outlet, a lobster wholesale business located in southern York County, decided that they needed to build a new facility, as they
were outgrowing the original site. Conventional lenders would not finance the
entire project, so CEI stepped in
to fill that gap and make the $1.75 million construction project work. The deal
made economic sense for a growing business. Moreover, the business expected to
create 13 new full-time jobs over three years in the maritime industry, a
sector that CEI targets from
investment. On the environmental front, moving into a new space enabled the
business to purchase new energy-efficient equipment, including 3-phase
machinery, lighting, fixtures and refrigeration, as well as equipment that
recycles water through a state-of-the-art filtration device. These improvements
promote energy and water conservation. Without CEI’s
participation, the deal might never have happened; however, CEI’s 3E approach created positive outcomes for
businesses, workers, and the environment.
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