Industries Affected

The Deepwater Horizon oil rig explosion and spill has already adversely impacted many businesses and industries in the Gulf of Mexico and along the U.S. Gulf Coast. As the massive oil slick moves closer to shore, it has the potential to affect even more.

Oil spills like the one spawned by Deepwater Horizon have the potential to devastate nearby ecosystems for years. This could be disastrous for the commercial fishing industry along the Gulf Coast. The oil spill could lead to mass mortality and contamination of fish and other food. The toxic effects from the oil can interrupt the food chain on which fish and sea creatures depend, and it can damage their ability to reproduce. If this happens, it could be years before commercial fishing is able to recover.

In Louisiana alone, commercial fishing is a $2.4 billion dollar per year business. There are major harvesting areas for oysters and shrimp in the eastern part of the state, close to the spill’s area. Louisiana recently opened some of its Gulf waters to shrimp fishing, and the state earns $117 million ever year from that industry. But it’s not possible to fish for shrimp in waters that are polluted by oil, so any shrimping areas with visible signs of oil will have to be shut down. The spill could disrupt shrimp, fishing and blue crab harvesting if it hits Louisiana, and could delay oyster harvesting season.

Tourism also faces a potential economic disaster because of the Deepwater Horizon Oil spill. The slick is threatening the Delta National Wildlife Refuge, a haven for alligators, red-tailed hawks and brown pelicans. It also could foul the beaches that attract millions of tourists to Gulf Coast states every year. If beaches need to be closed for months for cleanup, hotels, restaurants, tour operators and sports fishing – and the people who work for those businesses – will sustain heavy economic losses.

The Deepwater Horizon oil rig explosion and spill has also impacted other interests in the energy industry. Because of the risk of fire posed by the oil slick, a second offshore rig called Ocean Endeavor – located about 10 miles from Deepwater Horizon – was evacuated as a precaution. The workers on that rig have suffered a loss of income, and are entitled to damages. Anyone similarly affected would be as well.

Even businesses that don’t depend on the Gulf of Mexico or its beaches for their survival can face economic hardships because of disasters like the Deepwater Horizon oil spill. A decrease in soil and water quality near oil spills can cause property values and business activities to sharply decline. This can lead to either temporary or permanent unemployment for many workers, and a significant loss of income.