Harlingen Posts Strong Retail Sales Numbers

From 2000 to 2003, retail sales per capita in Harlingen held steady at above $8,000 per person. By comparison, per capita sales for Cameron and Hidalgo Counties was approximately half that. In essence, Harlingen enjoys the position as one of the Rio Grande Valley's leading retail hubs. A recent analysis estimates Harlingen's retail trade area to be approximately 190,000, triple the actual population of the city.

Cities in the Rio Grande Valley are uniquely positioned to benefit from an even larger retail market due to its close proximity and strong historical ties to the sizeable population that lives just south of the border. In 2000, (the latest year for which data is available), the population for Mexican cities across the river totaled at least 1 million people, making the entire Rio Grande Valley's bi-national population approximately 2 million - and growing.

This large pool of Mexican consumers has been demonstrated to have a strong effect on retail spending on the American side of the border. In a recent study, the Federal Reserve Bank of Dallas estimated that from 1978 to 2001, over a quarter of nearby Brownsville's retail sales could be counted as "exports" to Mexico (Harlingen was not included in this study). In addition, they estimated that approximately 35 percent of expenditures in McAllen were due to Mexican shoppers. Figures for Harlingen, located between Brownsville and McAllen, are most likely similar.

Harlingen and the Valley also offer retailers another unique consumer base. Each year, approximately 143,000 "Winter Texans" migrate to the Rio Grande Valley to escape the cold weather of the Midwest to enjoy the region's warm sub-tropical climate. These visitors, however, cannot be classified as mere tourists. More appropriately, they could be called temporary residents due to their 3 1/2-month average stay. Their direct economic impact on the region is a significant $329 million annually.

  • Gross Sales By Industry 2005-2008
    2005
    2006
    2007
    2008
    % Change 2005-2008
    All Industries
    Gross Sales
    1,677,726,826
    1,816,960,463
    1,772,584,735
    1,914,100,513
    12.35%
    Amount Subject to Tax
    727,109,227
    760,725,833
    742,856,542
    799,391,536
    9.04%
    Construction
    Gross Sales
    125,945,127
    154,686,628
    113,531,728
    153,027,586
    17.70%
    Amount Subject to Tax
    15,660,400
    19,788,221
    16,903,991
    18,076,693
    13.37%
    Manufacturing
    Gross Sales
    100,527,551
    140,067,872
    155,909,634
    127,912,627
    21.41%
    Amount Subject to Tax
    20,986,629
    21,169,139
    17,034,882
    13,791,029
    -52.18%
    Wholesale Trade
    Gross Sales
    231,653,136
    229,466,550
    259,803,150
    295,964,284
    21.73%
    Amount Subject to Tax
    40,257,827
    39,217,567
    38,715,350
    54,291,423
    25.85%
    Retail Trade
    Gross Sales
    850,123,084
    920,353,713
    883.689,856
    968,027,293
    12.18%
    Amount Subject to Tax
    418,045,667
    444,601,630
    467,159,445
    485,884,892
    13.96%
    Admin/Support/Waste Mgmt/Remed Svc
    Gross Sales
    34,770,054
    34,802,312
    35,756,822
    40,132,379
    13.36%
    Amount Subject to Tax
    23,414,104
    25,393,041
    26,156,269
    30,773,269
    23.91%
    Other Services (ex. Public Admin)
    Gross Sales
    63,117,335
    65,010,130
    61,513,127
    59,089,239
    -6.82%
    Amount Subject to Tax
    23,875,995
    22,336,461
    20,874,510
    21,668,656
    -10.19%
    Transportation/Warehousing
    Gross Sales
    26,241,212
    29,403,182
    22,102,547
    15,447,417
    -69.87%
    Amount Subject to Tax
    2,910,095
    3,543,679
    2,067,213
    714,052
    -307.55%
    Utilities
    Gross Sales
    28,091,198
    4,626,013
    -507.24%
    Amount Subject to Tax
    25,462,123
    INA
    INA
    4,424,537
    -475.48%
    Agriculture/Forestry/Fishing/Hunting
    Gross Sales
    2,843,637
    2,790,771
    2,274,485
    323,286
    -779.60%
    Amount Subject to Tax
    365,851
    280,359
    172,759
    140,895
    -159.66%
    Other
    Gross Sales
    19,609
    16,515
    24,845
    17,468
    -12.26%
    Amount Subject to Tax
    19,609
    16,515
    24,845
    17,468
    -12.26%
  • Sales Tax Revenue
    City of Harlingen (2% Sales Tax) 2005-2009
    Date Received
    Fiscal Year 2008-09
    Fiscal Year 2007-08
    Fiscal Year 2006-07
    Fiscal Year 2005-06
    2005-2008 Percentage Increase/Decrease
    		  
    October
    $1,799,219
    $1,613,726
    $1,597,891
    $1,532,840
    5.28%
    		  
    November
    $1,655,512
    $1,368,035
    $1,347,165
    $1,341,591
    1.97%
    		  
    December
    $1,469,415
    $1,492,733
    $1,337,471
    $1,398,430
    6.74%
    		  
    January
    $2,094,608
    $2,036,745
    $2,047,746
    $1,902,978
    7.03%
    		  
    February
    $1,550,631
    $1,432,304
    $1,439,350
    $1,361,140
    5.23%
    		  
    March
    $1,473,622
    $1,479,095
    $1,441,677
    $1,481,624
    -0.17%
    		  
    April
    $1,890,188
    $1,788,518
    $1,848,945
    $1,759,653
    1.64%
    		  
    May
    $1,540,500
    $1,455,169
    $1,405,427
    $1,332,382
    9.22%
    		  
    June
    $1,408,190
    $1,543,869
    $1,422,296
    $1,386,333
    11.36%
    		  
    July
    $1,726,972
    $1,780,335
    $1,643,223
    $1,597,881
    11.42%
    		  
    August
    $1,440,166
    $1,569,367
    $1,438,696
    $1,384,171
    13.38%
    		  
    September
    $1,364,338
    $1,644,498
    $1,446,840
    $1,473,359
    11.62%
    		  
    Total
    $19,413,361
    $19,204,395
    $18,416,727
    $17,952,381
    6.97%
    		  
    Source: City of Harlingen