NAICS 311313 Quarterly Industry Report
Beet Sugar Manufacturing
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 311313Sector: 31Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 311313 provides valuation-focused intelligence for professionals assessing beet sugar manufacturing businesses. Additional data is drawn from Bureau of Labor Statistics[7], U.S. Census Bureau[8].. Data is sourced from USDA NASS[6] sugar production reports, USDA ERS[5] sugar market analysis, and SBA size standards[9] to support business appraisals, acquisition due diligence, lending decisions, and investment analysis for beet sugar processing enterprises.
Industry Definition & Overview
Beet Sugar Manufacturing (NAICS 311313) encompasses establishments primarily engaged in manufacturing refined sugar from sugar beets. The beet sugar production process involves slicing sugar beets into thin strips, extracting sucrose through diffusion, purifying the raw juice through liming and carbonation, and crystallizing refined white sugar through evaporation and centrifugation. Industry U.S. Census Bureau[4] classifies beet sugar manufacturing separately from cane sugar refining (NAICS 311314), recognizing the distinct raw material and processing methods used in each sugar production segment.
The U.S. beet sugar industry operates primarily in the northern tier states including Minnesota, North Dakota, Idaho, Michigan, Montana, Wyoming, Colorado, and Nebraska, where climate and soil conditions favor sugar beet cultivation. The USDA Economic Research Service[5] tracks sugar production volumes, prices, and market allocation under the federal sugar program that manages domestic supply through marketing allotments and trade quotas. Most beet sugar factories operate as grower-owned cooperatives, processing members' sugar beet deliveries during a fall harvest campaign lasting 100 to 200 days.
Business valuations for beet sugar manufacturing operations center on factory processing capacity measured in tons of beets sliced per day, sugar extraction efficiency, energy infrastructure, storage and distribution facilities, and the relationship between factory capacity and committed sugar beet acreage. Appraisers evaluate sugar recovery rates per ton of beets, energy cost per hundredweight of sugar produced, campaign length and capacity use, and co-product revenue from molasses and beet pulp sales to animal feed markets. The USDA NASS[6] sugar production data and sugar beet acreage reports inform valuation models.
What's Included in This Industry
- Sector-specific valuation multiples and financial benchmarks for beet sugar manufacturing operations
- Revenue and profitability analysis across refined granulated sugar, powdered sugar, liquid sugar, molasses, and beet pulp segments
- SBA size standard classification and lending threshold data for NAICS 311313
- Comparable transaction data from recent beet sugar factory sales, cooperative restructurings, and processing facility acquisitions
- Market analysis covering domestic sugar pricing, federal sugar program allocations, and competitive dynamics with cane sugar and sweetener alternatives
- Workforce and labor cost benchmarking for factory managers, processing operators, agricultural staff, and seasonal campaign employees
- Industry risk assessment including sugar beet acreage competition, weather impacts, federal sugar program changes, and energy cost exposure
- Regulatory compliance overview covering USDA sugar marketing allotments, FDA food safety standards, and EPA environmental discharge permits
- Capital expenditure profiles for beet slicers, diffusion towers, evaporators, centrifuges, lime kilns, and sugar storage warehouses
- Production metrics including tons sliced per day, sugar extraction rates, campaign days, energy per hundredweight, and factory recovery rates
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Subsector | Food Manufacturing | 311 |
| Industry Group | Sugar and Confectionery Product Manufacturing | 3113 |
| NAICS Industry | Sugar Manufacturing | 31131 |
| National Industry | Beet Sugar Manufacturing | 311313 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 311314 | Cane Sugar Manufacturing | Cane sugar refining operations that compete with beet sugar manufacturers in domestic refined sugar markets and share distribution channel infrastructure |
| 111991 | Sugar Beet Farming | Sugar beet farming operations that grow and deliver raw sugar beets to manufacturing facilities, often under cooperative ownership or supply contract arrangements |
| 311119 | Other Animal Food Manufacturing | Animal food manufacturing operations purchasing beet pulp and molasses co-products from beet sugar factories as livestock feed ingredients |
| 311351 | Chocolate and Confectionery Manufacturing from Cacao Beans | Chocolate and confectionery manufacturing operations purchasing refined beet sugar as a primary sweetener ingredient for candy and confectionery production |
| 312111 | Soft Drink Manufacturing | Soft drink manufacturing operations purchasing liquid and granulated beet sugar for beverage sweetening applications in carbonated and non-carbonated products |
| 424490 | Other Grocery and Related Products Merchant Wholesalers | Other grocery product merchant wholesalers distributing refined beet sugar products to retail grocery, foodservice, and industrial food manufacturing customers |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | Minnesota | 27.8% | 5 |
| 2 | Michigan | 22.2% | 4 |
| 3 | North Dakota | 16.7% | 3 |
| 4 | Idaho | 16.7% | 3 |
| 5 | California | 16.7% | 3 |
% Of Establishments
0%
28%
Source: County Business Patterns, U.S. Census Bureau[3]
Frequently Asked Questions
Common questions about this industry.
What is the NAICS code for beet sugar manufacturing?
Beet Sugar Manufacturing is classified under NAICS code 311313, covering establishments manufacturing refined sugar from sugar beets per the U.S. Census Bureau[4] industry classification system.
What is the SBA size standard for beet sugar manufacturing?
The SBA[10] sets the size standard for NAICS 311313 at 1,250 employees, qualifying eligible beet sugar manufacturing operations for small business lending and government contracting programs.
Where are U.S. beet sugar factories located?
Beet sugar factories operate in Minnesota, North Dakota, Idaho, Michigan, Montana, Wyoming, Colorado, and Nebraska per USDA NASS[6] sugar beet production acreage and sugar manufacturing data.
How are beet sugar operations valued?
Valuations focus on daily slicing capacity, sugar extraction efficiency, energy infrastructure, storage facilities, committed beet acreage, and cooperative membership structure per USDA ERS[5] sugar program data.
What is the federal sugar program?
The USDA administers marketing allotments and import quotas that manage domestic sugar supply and support prices per USDA ERS[5] sugar policy analysis, directly influencing beet sugar manufacturer revenue and production planning.
How long is a beet sugar campaign?
Beet sugar factories typically operate seasonal processing campaigns lasting 100 to 200 days from fall harvest through winter, with campaign length determined by beet deliveries and factory processing capacity.
What co-products does beet sugar processing generate?
Co-products include beet molasses (used in animal feed and fermentation), dried beet pulp (a livestock fiber feed ingredient), and beet lime (a soil amendment), providing supplemental revenue to offset processing costs.
What risks affect beet sugar manufacturers?
Major risks include sugar beet acreage competition with alternative crops, weather impacts on beet yields and sugar content, federal sugar program policy changes, energy cost volatility, and seasonal revenue concentration.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Census Bureau census.gov
- [5]USDA Economic Research Service ers.usda.gov
- [6]USDA NASS nass.usda.gov
- [7]Bureau of Labor Statistics bls.gov
- [8]U.S. Census Bureau census.gov
- [9]SBA size standards sba.gov
- [10]SBA sba.gov
- [11]SBA-backed lending sba.gov
- [12]Farm Service Agency fsa.usda.gov
- [13]SBA 7(a) loans sba.gov
- [14]504 loans sba.gov
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