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Mississippi Coast
Foreign Trade
Zone, Inc.

12292 Intraplex Pkwy
Gulfport, MS 39503

Phone
(228) 896-5020

Email
ftz@mscoast.org
 

Full 2002 FTZ Report


 

ANNUAL REPORT

 MISSISSIPPI COAST FOREIGN-TRADE ZONE NO. 92

OCTOBER 1, 2001SEPTEMBER 30, 2002

 

PART I.          SUMMARY OF ACTIVITY-ZONE PROJECT

 

History

 

Foreign-Trade Zone No. 92 was approved by Board Order No. 232 on November 4, 1983, with the Greater Gulfport/Biloxi FTZ, Inc. (now Mississippi Coast Foreign Trade Zone, Inc.) as Grantee.  The FTZ was activated February 15, 1985, with Hayes Dockside, Inc. appointed as operator of the Port Site No. 1.  Subzone No. 92-A, operated by Halter Marine, Inc. (now VT Halter Marine, Inc.) was approved by Board Order No. 373 on March 4, 1988, and was activated on March 25, 1988.  Subzone 92-B, operated by Ingalls Shipbuilding (now Northrop Grumman Corporation) was approved by Board Order No. 506 on January 17, 1991, and was activated on April 17, 1991.  Subzone 92-C, operated by Avondale Enterprises (now Northrop Grumman Corporation), was approved by Board Order No. 596 on August 17, 1992, and was activated October 6, 1997.  Subzone 92-D, operated by Chevron USA Products Company was approved by Board Order No. 747 on June 13, 1995, and was activated on September 1, 1995.  Duratex North America/Liner Services, Inc. continued as the operator of the General Purpose Zone at the Port of Gulfport, conducting distribution operations.

 

Manufacturing authority was granted to Friede Goldman Offshore (now known as VT Halter Marine, Inc.) by Board Order 1001 on September 30, 1998.  Additionally, the Foreign Trade Zone Corp. continued to assist in administration, marketing, and management of FTZ No. 92.  The Greater Gulfport/Biloxi Foreign Trade Zone, Inc. submitted and filed a Zone expansion application in January 1998 to add General Purpose Zone acreage in Hancock and Jackson counties.  This application was approved on January 5, 1999, by Board Order 1012.  Subsequently, the Greater Gulfport/Biloxi Foreign Trade Zone, Inc. changed its name to the Mississippi Coast Foreign Trade Zone, Inc. in recognition of the expanded General Purpose Zone, and in recognition of the addition of the Jackson County Port Authority and the Hancock County Port & Harbor Commission as new members of the Grantee organization.  The Zone expansion added 9 new General Purpose Zone sites.  Temporary minor boundary modifications for the General Purpose Zone and for Ingalls Shipbuilding have been approved on several occasions. 

 

At the end of the report period, the General Purpose Zone consisted of 13 sites, designated as follows:

 

Site

City

County

Acreage

Owner/Controller

Site 1, Port of Gulfport Complex

Gulfport

Harrison

167

Mississippi State Port Authority

Site 2, Gulfport-Biloxi International Airport

Gulfport

Harrison

717

Gulfport-Biloxi Airport Authority

Site 3, Bernard Bayou Industrial District

Gulfport

Harrison

2,471

Harrison County Development Comm.

Site 4, Long Beach Industrial Park

Long Beach

Harrison

461

Harrison County Development Comm.

Site 5, Trent Lott                                                                       International Airport

Moss Point

Jackson

254

J.C. Port Authority

Site 6, Greenwood Island

Pascagoula

Jackson

148

J.C. Port Authority

Site 7, Pascagoula East and West Harbors

Pascagoula

Jackson

195

J.C. Port Authority

Site 8, Stennis Industrial Park

Pascagoula

Jackson

283

J.C. Port Authority

Site 9, Heinz Property

Pascagoula

Jackson

13

J.C. Port Authority

Site 10, Sunplex Industrial Park         

Ocean Springs

Jackson

65

J.C. Port Authority

Site 11, Port Bienville

Pearlington

Hancock

621

H.C. Port & Harbor

Site 12, MSAAP

Stennis Space Center

Hancock

87

NASA

Site 13, Stennis International Airport

Kiln

Hancock

67

H.C. Port & Harbor

 

 

Marketing

 

During the FY 2001-2002, the Ports of Gulfport, Pascagoula and Bienville, Gulfport-Biloxi Regional Airport Authority and Harrison County Development Commission advertised FTZ No. 92 extensively during the past year.  Copies of various publications and brochures, as well as “web-site” information about FTZ No. 92, were made available to numerous clients and potential clients engaged in international commerce.  Additionally, a number of brochures with pertinent information on FTZ No. 92, including a summary of benefits to be derived from utilization of an FTZ, were distributed at expos and conventions, and mailed to clients and customers on request.  The Gulfport-Biloxi International Airport has also promoted the FTZ in its brochure and on its Internet page.  Representatives of the Mississippi Coast FTZ, Inc. supported zone users on various regulatory issues.  FTZ No. 92 continued its professional services agreement with the Foreign-Trade Zone Corporation to market and manage Zone development.  Zone marketing contributed positively to the local economy and the Port, and several new prospects for Zone projects are being developed.

 

 

Zone Report.  Although General-Purpose Zone activity dropped during FY 2002, the Zone project as a whole continued to demonstrate the positive economic effects of the U.S. Foreign-Trade Zones program along the Mississippi Gulf Coast.  The General-Purpose Zone continued to be used by Friede Goldman (VT Halter Marine) and Duratex.  Total employment of General-Purpose Zone Users exceeded 2,500.

 

Subzone 92-A includes four sites in Moss Point, Pascagoula, Escatawpa, and Gulfport, respectively.  The shipyards involved in the subzone build and convert vessels as large as 300 feet in length for a variety of commercial, industrial, research, and government customers.  Total employment for the company’s subzone operations exceeds 900.

                 

Ingalls Shipbuilding, acquired by Northrop Grumman in 2001 and operator of Subzone 92-B, is a major high-tech manufacturing firm that specializes in high-tech defense systems, shipbuilding, and information technology equipment.  The Northrop Grumman subzone operation continued its project of upgrading two frigates for the Venezuelan Navy under a $315 million contract; however, activity on its cruise ship construction project was suspended because of the bankruptcy filing of the cruise ship owner.

 

The company completed a two-year, $130 million facilities construction program on the West Bank that has generated more than $70 million in contracts to dozens of construction firms and material/services suppliers, which at peak involved more than 1,000 construction jobs.  Regular employment exceeds 10,000.

 

Northrop Grumman, operator of Subzone 92-C, remained activated during the report period, but processed no foreign status merchandise.  This 122-acre facility was very active in construction of barges during FY 2002, but no production was related to a specific FTZ project.  Employment totals 298 people.

 

Chevron Products Company’s refinery in Pascagoula is operated as Subzone 92-D.  The utilization of Zone procedures is enabling this petroleum refinery to remain competitive with other refineries worldwide.  The Chevron refinery includes approximately 3,100 acres where over 300,000 barrels of crude oil are processed daily.  The plant employs approximately 1,200 people and 1,500 skilled and professional contractors. 

 

During the year, FTZ No. 92 continued to employ the Foreign Trade Zone Corp. to assist the administration, marketing, and development of the Mississippi Coast Foreign Trade Zone project.  Since it began managing the FTZ No. 92 project, the FTZ Corp. has been very instrumental in assisting the Zone expansion application process, the activation of Subzone 92-C for Avondale, gaining manufacturing authority on the expedited minor boundary modification for Friede Goldman Offshore located on Greenwood Island, and two other temporary minor boundary modifications for Ingalls Shipbuilding and Airmar Resources, respectively.  FTZ No. 92 is very confident that the ten-year consulting agreement with Foreign Trade Zone Corp. will continue to yield significant Zone-related economic benefits.

 

Liner Services, Inc. served as the agent and supervisor of operations for Duratex North America, Inc., a major wood products importer operating within the General Purpose Zone area at the Mississippi State Port at Gulfport.  The Duratex activity continues to be very successful, largely because of the combined efforts of the Mississippi Coast Foreign Trade Zone, Inc. and the Foreign-Trade Zone Corporation’s work with U.S. Congress to enact the Expanded Weekly Entry provision as part of the Trade Development Act of 2000.  The Weekly Entry provision guarantees that all Zone operations, including distribution operations such as Duratex, may continue to avail themselves of the logistical efficiencies provided by the U.S. Foreign-Trade Zones program.

 

With a growing area economy, the Board of Directors of FTZ No. 92 looks to continue the expansion of Zone activities in south Mississippi during the year 2003.  As noted in previous annual reports, the Grantee organization of FTZ No. 92 has 5 corporate members.  Following are reports concerning each member’s general activities:

 

 

Airport Report

 

The Airport has 1,579 acres of property with another 100 acres in easements and 717 acres in the FTZ.  The Airport purchases additional land and easements every year to protect existing and future approaches.  In the Terminal area, approximately 170 acres are available for expansion of the existing Terminal, construction of additional terminals, landside facilities and aircraft parking ramps.

 

The Gulfport-Biloxi International Airport has grown significantly over the last ten years.  The Airport handled a total of 949,229 passengers in calendar year 2000, 879,304 in 2001 and 816,653 in 2002.  The Terminal facility was doubled in size in 1998, which allowed the Airport to accept two additional airlines, and in 2003 an additional 40% expansion is planned.

 

Five commercial airlines currently operate at Gulfport-Biloxi International Airport.  AirTran Airways and ASA/Delta provide jet service to Atlanta.  AirTran also serves Ft. Lauderdale and Tampa non-stop.  Continental provides daily jet service to Houston.  Southeast Airlines provides jet service to St. Pete/Clearwater and Orlando/Sanford, and Northwest Airlines provides several daily jet flights to the Memphis hub.  Additionally, charter airlines support commercial and military passenger demand with weekly flights to several cities.  The Airport is aggressively pursuing jet service from several airlines, including international passenger charters to Canada and charter flights to Europe and Latin America.

 

As for runways, the Airport has Runway 14/32, a 9,000-foot long all-weather jet runway, which is the longest in the region.  This runway routinely accommodates B747 and L1011 aircraft operating on intercontinental flights.  Both the military and commercial charters regularly operate these large aircraft.  The second runway, 18/36, is currently 5,000 feet long, and land acquisition is underway that will allow extension of the runway to 7,000 feet.  This runway extension is targeted to begin in five years.  Moreover, the Airport Master Plan has indicated that the Airport has sufficient land to construct a third runway, parallel to Runway 18/36.

 

Airport operations (a landing or take-off) currently averages 342 per day, or about 19 per hour based on an 18-hour day.  Runway capacity is available to allow at least two times that number, up to 720 operations per day.  As aircraft operations increase, aircraft size also increases.  Therefore, the Airport can accommodate a substantially greater number of passengers with only a marginal increase in number of operations.  In any event, the Airport is currently operating at less than 50% of capacity.

 

Over 120 acres of Airport property is earmarked for cargo and general aviation and is now under development.  The first cargo operation has opened for operation by Transport Specialists, Inc and occupies approximately five acres.  This facility provides both domestic and international cargo service capabilities in the FTZ.

 

The Air National Guard Combat Readiness Training Center at the Gulfport-Biloxi International Airport is second to none in the nation.  Military traffic and training is growing each year.  More than 18,000 Air Guard and Reserve personnel trained at the base last year.  Within 10 minutes, supersonic aircraft can operate in a combat environment over the Gulf or Camp Shelby is Hattiesburg.

 

General aviation activity operated by FBO AvCenter is a major contributor to the Airport’s aviation service resource.  The FBO AvCenter is growing steadily and provides fuel, maintenance, and aircraft service for all users, including the expanding charter airline operation.

 

In sum, the Gulfport-Biloxi International Airport has the land area, zoning, runways, instrument approaches, and the master plan in place for development that will allow continuous and positive growth of passenger, cargo, military and general aviation over the next 30 years and beyond.  Over the last ten years, the Airport’s economic impact has increased from $100 million to more than $600 million annually.

 

 

Hancock County Report

 

Port Bienville was established in 1962 under the jurisdiction of the Hancock County Port and Harbor Commission.  The organization is governed by seven (7) Commissioners, and daily operations are managed by an Executive Director and staff of 35.  The County Board of Supervisors appoints five of the seven Commissioners, and each of the cities of Bay St. Louis and Waveland appoints one.  The Commission operates the Port Bienville Industrial Park, the Stennis International Airport and Technology Park, and the Port Bienville Short Line Railroad.

 

During fiscal year 2002, the Commission participated in 5 trade shows, including trade missions to Merida, Mexico, and Toulouse, France.  These activities are part of the new marketing plan the Port and Harbor Commission developed to attract new businesses and industry to the Mississippi Gulf Coast. 

 

The Port and Harbor Commission secured over $5.9 million in grant and low-interest loan funding for capital improvement projects at Port Bienville and Stennis Airport during 2002.  

 

Port Bienville Industrial Park is a shallow draft port located in Bay St. Louis, Mississippi, in the southwestern portion of the state on the Gulf of Mexico at latitude/longitude 89° 40'/39° 14'.  A 12-foot channel connects Port Bienville to the Mississippi Sound and the Intracoastal Waterway.

 

Port Capabilities

 

Port Bienville’s water, rail and vehicular intermodal capabilities include:

 

  • 3 berths totaling 600' in length with depths of 14' to 18'
  • 5 barge berths totaling 1050' in length, with depths of 10' to 12’
  • 6 acres of hard surface loading area
  • 3 mobile cranes
  • Container-to-rail facility
  • Container-to-truck facility
  • Reefer plugs
  • Direct dump ramp
  • Palletized load handling
  • 30,000 square-foot dry storage warehouse
  • 20,000 square foot transit shed
  • 10" diameter pipeline to move ethylene glycol from barges 

 

Services offered at the port include:

 

  • Foreign-Trade Zone
  • Mooring assistance
  • Stevedores
  • Fuel
  • Ship chandler
  • Cargo handling equipment
  • Drayage
  • Towing
  • Repairs
  • Fresh water at berth
  • Pilots
  • Customs broker
  • Divers
  • Heavy equipment sales and service
  • Short-term dock space

 

The Port and Harbor Commission secured $ 610,000 from the Mississippi Department of Transportation to build a new Container Transfer Facility at Port Bienville Industrial Park.  This new intermodal yard will increase the port operator storage capacity by 100 %, and will provide a secure state-of-the-art facility able to cope with new port regulations and future growth.  According to the Journal of Commerce, Linea Peninsular, the company operating Port Bienville, moved 39,192 TEU’s during the past year, representing a third of the total cargo moved by the Port of Gulfport and almost 20,000 TEU’s more than the Port of Mobile.

 

The Port is serviced by its own railroad, Port Bienville Short Line Railroad, and had over 20,000 interchanges and moved over 1.5 billion pounds of material for park tenants during 2002. 

 

The Port’s access road connects directly to U.S. Highway 90, and is 10 miles from Interstate 10 and 18 miles from the intersection of Interstates 10 and 59.  Ample land is available for industrial development at Bienville, with 250 acres available on terminal and 700 acres off terminal.  Available acreage includes 621 acres in FTZ No. 92.

 

Linea Peninsula, operator of Port Bienville’s ship terminal, is the 44th largest container shipper in the world. 

 

Stevedore Services of America operates the Port Bienville bulk barge terminal.

 

 

Port Commodities and Industries

 

Port Bienville handles a variety of commodities, including:  twine, textiles, apparel, pulpwood, coal, general cargo, ferric sulfate, pressure vessels (reactors), lumber, structural steel and USDA food products. 

 

Major tenants involved in international trade at the Port include: 

 

  • Calgon Carbon Corporation, producer of activated carbon
  • Con-Tech Power Systems, maker of power generator systems
  • G.E. Plastics Company, producer of plastic resin
  • Halter Marine, maker of marine vessels
  • Linea Peninsula, carrier/exports/imports
  • Manufab, Inc., a metals fabrication plant
  • Wellman of Mississippi, Inc., manufacturer of plastic resins
  • Eaglebrook, Inc., a water treatment chemical producer
  • PolyChemie, producer of liquid polymers
  • Professional Construction Service, a steel fabricator and stevedore services company
  • Stevedoring Services of America 

 

Of the existing Port tenants, potential zone users are:  Calgon Carbon Corporation, Con-Tech Power Systems, G.E. Plastics Company, Linea Peninsula, Wellman of Mississippi, Inc., Polychemie, and Eaglebrook.

 

 

 
Competitive Advantage

 

The competitive advantage offered by Port Bienville not available elsewhere in the region is the degree of logistical support in moving goods, particularly the “door to door service” of the niche cargoes.

 

The Stennis International Airpark consists of 100 acres accessible by four-lane State Highway 603 and Interstate 10.  The Airpark's main access road is 24 feet wide, and all roads within the airpark are designed to 80,000 lb. load limit specifications.  Utilities available include 3-phase electric power, water, sewer and natural gas.

 

Land at the airpark is available for lease or sale.  The Port and Harbor Commission has funds available for special infrastructure needs, such as the construction of additional warehouse or hangar space.  

 

Memphis International Corporation will establish a Maintenance Repair and Overhaul facility at the Stennis Airpark in 2003 to refurbish C-130 military aircraft.  Memphis International will employ 40, and could be a pontential user for the FTZ in the near future.

 

Stennis International Airport, adjacent to the Airpark, has the third longest runway in the state (8,500 feet grooved and lighted), with 8 acres of paved aprons, over 50,000-square-feet of maintenance hangars and 24 T-hangars.  Plans include constructing additional individual private hangers.  The airport also has an Automatic Weather Observation System (AWOS).  An Instrumental Landing System (ILS) has been installed and will be commissioned by the end of January 2003. 

 

The Airpark's fixed base operator (FBO) provides maintenance services and maintains aviation gasoline (100 LL) and jet fuel facilities with a capacity of 50,000 gallons.

 

Ten Airpark tenants employ over 75 people.

 

Airpark Industries

 

Stennis International Airport is home to a variety of industries.  Major tenants involved in international trade at the airport include: 

 

·        Aircraft Packaging, which disassembles, packages and ships aircraft to around the world

·        Hot Sticks Manufacturing Company, Inc., a major producer of drumsticks

·        Koeing-Stainless, Inc., fabricator of custom stainless steel galleys for ships

·        Pan-American Insulators, producer of power transmission hardware

 

The John C. Stennis Space Center (SSC), a unique federal facility managed by NASA, encompasses 13,800 acres within a 125,000-acre buffer zone in the heart of Hancock County.  SSC is NASA’s lead center for rocket propulsion testing and remote sensing applications, research and development.  Commercial entities are now locating at SSC due to many technical services available on site.

 

SSC is also home to the Naval Meteorology and Oceanography Command, which ranks among the top five worldwide in supercomputing capability.

 

More than 30 federal, state, academic and private companies are also tenants at SSC, with a workforce of approximately 4,500 employees, including more than 1,600 scientists and engineers.

 

Lockheed Martin, under the authority that has been provided by the Space Act Agreement (SAA), has leased land at SSC to carry out the manufacture of satellite components and calibration services known as Metrology.

 

SSC is also home to the deactivated Mississippi Army Ammunition Plant (MSAAP).  In 1990 the Army closed the plant and made available its 1.6 million sq. ft. of prime manufacturing and office space to private industry.  With more than 20 companies utilizing fifty percent of the available space, the complex has grown into a thriving industrial park.  Most infrastructure needs are already in place, and green fields sites from 5 to 500 acres are available.

 

In addition to maintenance, administrative, and other support services, MSAAP shares an on-site fire and emergency response team which is manned twenty four hours a day, in addition to a gated entrance for security.

 

Among its many tenants, MSAAP is home to a Boeing company that brings all the components of its RS-68 rocket to their MSAAP plant, where these parts are fully assembled and test fired at the nearby NASA rocket engine testing facility.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hancock County

Job Growth and Investment since 1996

 

 

PROJECT NAME

 

 

DIRECT JOBS

 

INDIRECT JOBS

 

INVESTMENTS

 

MEMPHIS INTERNATIONAL

25

38

$ .5 MM

SOUTHWEST ENGINEERS

45

68

$ .75 MM

OPTECH

45

68

$ 1.00 MM

AEON ENTERPRISES

8

14

$ 0.30 MM

PAN-AMERICAN INSULATORS

5

9

$ 0.30 MM

MISSISSIPPI POLYMER AND TECHNOLOGIES

 

20

 

36

 

$ 2.50 MM

LOCKHEED MARTIN

270

486

$ 100.00 MM

WELLMAN

300

600

$ 400.00 MM

POLYCHEMIE

22

40

$ 20.00 MM

NAVY HUMAN RESOURCES

250

250

$ 10.00 MM

BOEING

85

153

$ 35.00 MM

GULF CONCRETE

5

9

$ 0.30 MM

NAVY SEALS

285

285

$ 15.00 MM

G.E. PLASTICS

70

140

$ 70.00 MM

ALCAN CABLE

10

18

$ 3.00 MM

HANCOCK INDUSTRIES

17

31

$ 0.20 MM

TOTAL

1,424

2,184

$ 658.85 MM

 

 

 

Harrison County Development Commission Report

 

The Harrison County Development Commission (HCDC) is a founding member of the Mississippi Coast Foreign Trade Zone Corporation and participates with transportation and economic development agencies in Hancock and Jackson Counties in the operation of Foreign Trade Zone No. 92.  Two of Harrison County’s four industrial parks are designated as Foreign Trade Zones.  These parks – the Bernard Bayou Industrial District in Gulfport and the Long Beach Industrial Park – total over 2,100 acres and are home to 90 companies that employ over 4,470 people.

 

In support of FTZ No. 92 and international trade, HCDC facilitated several activities in Fiscal Year 2002 including an international sales mission, the development of the Mississippi Coast Trade Council, and participation in both the International Trade Club and World Trade Center of New Orleans.  In 2002, the Development Commission participated with the Mississippi Development Authority in a European sales mission and the MIPIM tradeshow in France.  The agency also continued to explore trade opportunities with Cuba and established the Mississippi Coast Trade Council as a non-profit corporation to assist area business entities in obtaining the necessary licenses to conduct business with Cuba under new humanitarian trade guidelines. 

 

As a result of international business recruiting activities, Future Pipe Industries, a leading manufacturer of high performance, anti-corrosive pipe systems, announced they would locate their first U.S. plant in Harrison County in November 2002.  The $7.5 million project will create up to 300 jobs over a five-year period, with an average wage of $14 per hour.  The plant will be located on a 32-acre site in the Bernard Bayou Industrial District.  A groundbreaking ceremony for the new plant is anticipated in mid-2003.

 

In addition to international prospecting, the HCDC staff met and conducted extensive follow-up with 115 active prospects, whose projects ranged from automotive component manufacturers to major distribution facilities.  Industrial prospect activity grew significantly in 2002, especially in the international arena, as a result of continued trade missions to Europe and new markets like Cuba.  As a result, the HCDC staff hosted 16 corporate site visits in 2002.

 

The year 2002 yielded several new Harrison County locations and expansions.  Over $52 million was invested in capital improvements, with 86% invested by existing companies’ expansions. 

 

Locations and Expansions 2002

Harrison County, Mississippi

 

 

 

MANUFACTURING/INDUSTRIAL PARK PROJECTS

 

CAPITAL

JOB

COMPANY

INVESTMENT

CREATION

Northrop Grumman

$14,000,000

250

DuPont

$25,000,000

10

Future Pipe

$7,500,000

300

INEX

$2,000,000

6

Oreck

$1,000,000

100

Seeman Composites

$2,500,000

21

TOTAL

$52,000,000

687

 

 

In Fiscal Year 2002, the Harrison County Development Commission also completed several capital projects in its area industrial parks.  These projects included: 

  Port Intraplex Barge Berth, Gulfport

 

A 750 linear foot barge berth was completed in Port Intraplex, located in the Bernard Bayou Industrial District.  The $1 million project was fully leased upon completion.  The primary purpose of the berth is to accommodate companies who may only need access to the Industrial Seaway a few times a year, or temporarily.  In 2002, the lay-down area was expanded to facilitate temporary storage needs of current and future tenants.  The Long Range Capital Projects plan includes further expansion of the berth as well as construction of warehouses.

 

 

 

 

Industrial Seaway Siltation Basin, Gulfport

 

A siltation basin project was recently completed in the Industrial Seaway located in the Bernard Bayou Industrial District.  The basin was dredged to 20 feet at the head of the Seaway to collect sediment before being deposited into the navigable waterway.  The total project cost was $300,000.

 

Long Beach Industrial Park Road Project

 

The entire road system in the Long Beach Industrial Park received a face-lift in 2002 with a park-wide overlay project.  The $80,000 project will ensure Oreck, Triton and other LBIP companies will have safe and easy access to their facilities.

 

BBID Water System Improvement Project, Gulfport

 

To continue to provide uninterrupted water and sewer service to the businesses in the Bernard Bayou Industrial District, a major upgrade and expansion project was completed in 2002.  The $425,000 project increased capacity as well and extended service throughout the park.

 

BBID Drainage Project, Gulfport

 

To complement the almost complete Cowan-Lorraine widening project, the Development Commission undertook a comprehensive, multi-year drainage project.  Phase I, which totaled over $150,000, focused on the eastern end of the Park.  The final phase is expected to be completed in 2003.

 

Business Technology Center Expansion

 

Due to continuing demand, the Business Technology Center was expanded by 9,600 square feet of manufacturing space at a cost of $540,000 in FY 2002.  The Development Commission is currently studying the feasibility of developing another incubator facility in the Long Beach Industrial Park.

 

 

To ensure there is adequate land and resources for industrial businesses to grow, the Harrison County Development Commission completed year four of a long-range capital projects program.  The following projects are programmed for FY 2003 and beyond: 

 

  • Future Industrial Park Land Acquisition - $1,000,000
  • Industrial Park Maintenance - $518,500
  • Intraplex 10 Access Road - $375,000
  • Intraplex 10, Phase IV - $1,000,000
  • Long Beach Industrial Park Access Road - $200,000
  • Long Beach Industrial Park Vendor Center - $500,000
  • Mitigation Bank Development - $1,000,000
  • Mitigation Projects - $924,397
  • Port Intraplex Access Road - $200,000
  • Road and Drainage Projects - $225,000
  • West Harrison County Technology Incubator - $300,000

 

In addition to traditional business recruitment activities and capital projects, the Harrison County Development Commission worked with community leaders on initiatives in the areas of affordable housing, smart growth, and workforce development in FY 2002.  The HCDC staff also participated in over 280 community activities, meetings, and presentations in 2002.  Finally, the agency continued to help coordinate the activities of several important organizations including the Mississippi Gulf Coast Manufacturer’s Association, the Industrial Park Business Association, the Mississippi Gulf Coast Economic Development Council, the Mississippi Gulf Coast Alliance for Economic Development, the Mississippi Coast Technology Council, the area Council of Governments, and the region’s strategic planning initiative, Coast 21.

 

 

Jackson County Port and Harbor Report

 

Jackson County is the most industrialized county in the State, with particular emphasis on port related industries including shipbuilding, oil and chemical industries, fertilizer production, U.S. Navy, and public port operations.   Many of these industries rely heavily on international markets for trade and/or product distribution.  These port-dependent industries provide over 23,000 direct jobs and are vital to the economic well being of Jackson County, the region, and the State of Mississippi.

 

Many of the industries located within the Port of Pascagoula operate their own private terminals, and most of the traffic and tonnage through the port is handled at private facilities.  More than 28 million tons of cargo was shipped through the port in FY 2002, including 612,000 tons through the Jackson County Port Authority’s public facilities.  In FY 2002, the port had 525 commercial (cargo) ship calls, with additional traffic from the U.S. Navy, offshore, and shipbuilding industries.  Products handled at the private terminals include crude and refined oil products, phosphate rock and fertilizer, and chemicals.  The Russian, Central and South American, Caribbean, and Far Eastern markets remained important to the success of the JCPA’s Public Terminals in FY 2002.  Major commodities shipped through the JCPA’s public facilities included frozen poultry, paper and lumber products, natural rubber, chemicals, feed grains, and project cargoes.

 

Port staff was reorganized in 2002 and a Manager of Trade Development was added to the organization.  A Miami resident was hired to fill this new position, and the decision was made to keep this person in Miami, effectively opening a Miami office.  With the expectation that the Latin-American markets present the highest growth potential, a Miami-based Trade Development Manager should be an effective strategy.

 

Facilities rehabilitation work continued in 2002, including the replacement of the Bayou Casotte fender systems and replacement of Terminal “B” roofs.  Progress was made on the redevelopment of the grain elevator site in the West Bank Harbor.  In the summer of 2002, a contract was let for the demolition of the grain elevator.  This contract will remove the grain elevator, storage silos, and all associated out-buildings and equipment.  Work on this contract is expected to conclude in January 2003.  Removal of the grain elevator will open the last remaining large tract of property on the deep-draft channel for development.  This site includes 2500’ frontage on the 38’ depth Pascagoula River Channel and more than 50 acres of property for development.  The Port has received interest from several companies on the redevelopment of this site.

 

The Phase II Harbor Improvement Project was completed in November 2001.  This project widened the Bayou Casotte Channel from 225’ to 350’, deepened the entrance channel from 40’ to 44’, and deepened the Sound Channel and a portion of the Bayou Casotte Channel from 38’ to 42’.  Chevron, operator of Subzone 92-D, was the first industry to take advantage of the improved channel, bringing in larger and deeper tanker traffic into the Port in FY 2002.  Construction of a new dredge material disposal site for the Bayou Casotte Harbor is expected to begin in the summer of 2003.

 

Task Force work on JCPA’s  Special Area Management Plan”, continued in 2002.  This task force began meeting in 2000 to address future development and long-term (25 - 30 year) dredge disposal needs in the Pascagoula River Harbor.  This multi-agency task force includes representatives from federal, state, and local agencies, as well as local industry.  The goal of the task force is to establish a balance among the competing interests in coastal areas, taking into consideration the diverse ecological values of wetlands, the need for maintaining industrial requirements including long term disposal of dredged material, and the importance of wetlands to the fisheries industries.

 

In 2002 the Jackson County Port Authority completed the sale of the Sunplex Industrial Park water system to the City of Ocean Springs.  The sale of this system will benefit the Port by freeing additional resources to focus on port activity.  The additional capacity will benefit the City of Ocean Springs as that community continues to grow. 

 

In 2000 the JCPA, along with Board of Supervisors, County Chamber of Commerce, and Ocean Springs Chamber of Commerce, established the JCEDF, Inc. (Jackson County Economic Development Foundation) as an autonomous, private development entity to serve as the County’s lead economic development agency. The Foundation is a public-private partnership designed to represent the County’s coordinated, sustained, approach to economic and industrial development.

 

In 2002 the JCEDF completed a capital campaign that has netted almost $3.8 million in investments from both the private and public sectors throughout Jackson County.  The campaign, called Partners in Progress, launched in April of 2002, was intended to raise the financial resources necessary to implement the JCEDF Five Year Economic Development Strategy.  The ambitious plan, developed by a team of over 150 public and corporate sector officials, calls for medium and long range programs in seven key areas:  marketing and recruitment; site and infrastructure development; retention & expansion of existing industry; strategic alliances; transportation; and communications and investor relations.

 

In addition to the program of work, the Jackson County Economic Development Foundation, Inc. has been tasked with the management of the two county-owned industrial parks:  Sunplex Light Industrial Park and Stennis Industrial Park.  Significant infrastructure and site improvements at Sunplex were completed in 2002.  Sunplex has approximately 60 available acres.  Stennis does not have any county-owned available property, but will soon be marketing privately owned available acreage.  Minor aesthetic improvements will be occurring at Stennis over this fiscal year. In 2002 the JCEDF identified several properties conducive to industrial development. In some cases, property options have been secured.  The JCEDF hopes to exercise those options in 2003 and begin the real property development process.

 

 

 

 

 

 

MS State Port Report

 

The Mississippi State Port Authority is an Enterprise Agency of the State of Mississippi and is governed by the Mississippi State Port Authority Board of Commissioners and the Mississippi Development Authority.  The Port’s five member Board represents a cross-section of Harrison County and the City of Gulfport. The members are appointed to staggered, five-year terms.  Three members are appointed by the Governor, one by the Harrison County Board of Supervisors, and one by the City of Gulfport.  As an Enterprise Agency of the State, the Port Authority receives no annual general fund allocation from the Mississippi Legislature.  Instead, the Port operates much like a private business in that it must plan and set its budget based upon projected and actual revenues.  The Port Authority derives these revenues from port usage and service fees, lease agreements and other service provisions.

 

The Port of Gulfport is a full service commercial, deepwater port with container, break bulk and bulk cargo handling capabilities.  The Port is located in the General Purpose Zone and is an integral partner in the Mississippi Coast Foreign Trade Zone project. 

 

Gulfport has continued to maintain its position as one of the top two ports in the United States for the import of bananas and plantains.  As such, the Port of Gulfport also continues as one the top overall tropical fruit importers in the U.S.  The Port is the primary U.S. Gulf import and distribution center for Dole Fresh Fruit, Chiquita Brands and Turbana Corporation.  Other major imports include knit and woven apparel, mineral ores, lumber and other forest products, aluminum and steel.  The number one export product through Gulfport has been frozen poultry destined to the Baltic Regions.  Other exports include cotton, paper products, textiles and apparel.  Primary trading partners include Honduras, Mexico, Costa Rica, Guatemala, El Salvador, Columbia, Brazil and Cuba.

 

In December 2001, the Port of Gulfport was the first port in the U.S. to ship commercial goods to Cuba since implementation of the trade embargo nearly forty years ago.  With the support and hard work of one of the Port’s tenants, Crowley Liner Service, the Cuban market has continued to grow.  Export cargo to Cuba this year exceeded 20,000 tons.

 

The Port concluded its Fiscal Year 2002 with a cargo throughput of 2,133,486 short tons.  This number represents 1,212,458 short tons of import cargo and 921,028 of export cargo.  The FY ‘02 numbers represent an approximate 8 - 9 percent increase over the previous year totals.  The cargo was moved by the 352 vessels that served the Port during the fiscal year.  The Mississippi State Port Authority has also continued its role as one of the top U.S. ports in value of cargo moved and is the third largest container port in the Gulf of Mexico.

 

The Port of Gulfport continued to make significant progress in the implementation of its capital improvement program, which is valued at over $200 million.  A 50,000 square-foot warehouse facility on the East Terminal was opened this spring, and by the end of the calendar year, the Port is expected to take possession of the new $15 million pier extension on the West Terminal.  Several other major rehabilitation projects were either initiated or completed during 2002.  The design for a 60-acre expansion on the West Terminal should be completed by the end of the year with an expected construction start in the spring of 2003.

 

To provide growth and marketing strategies for the next 10 - 20 years, the Port Authority engaged the firm of Jordan, Woodman and Dobson to update the Port’s adopted strategic master plan.  The plan will provide a phased execution approach to a new comprehensive land use and maritime facility development concept.  The new master plan will be completed first quarter of 2003.  The Port Authority also entered into an agreement with and provided funding to the U.S. Army Corps of Engineers for the initiation of the feasibility study to widen and deepen the Port’s federal access channel.  The analysis was enabled by the Water Resources Development Act (WRDA) of Fiscal Year 2000.  The study will review widening the channel from its authorized width of 300 feet to 450 feet and deepening from the current authorized depth of 36 feet to 45 feet.

 

The Port of Gulfport is profitable, self-sufficient U.S. Port Authority.  It handles more than 2 million tons of cargo annually at public terminals and is an essential and vital force for the overall economic growth of the State of Mississippi.

 

 

 

PART II.         USE OF ZONE BY BUSINESS FIRMS (General Purpose

Zone No. 92)

 

A.                 The Zone served four (4) business firms during fiscal year 2002.  Three (3) business firms used the Zone on a continuous basis, employing approximately 3,500 persons full time.  Product operations carried out in the Zone included:

 

Site 1 – Port of Gulfport – Duratex North America – Hardwood storage, distribution, and inventory.

 

Temporary Modification of Site 4 – Airmar Resources – Vehicle storage.

 

Sites 6 and 7 – Greenwood Island and Pascagoula West Harbor – Friede Goldman Offshore – Shipbuilding and construction of offshore drilling platforms.

 

Site 7 – Kelly Street (Pascagoula East Harbor) – Noskab – Electrical cable distribution for the Shipbuilding industry.

 

Below is a summary of each firm’s use of the General Purpose Zone:

 

 

Duratex North America, Inc. (Site 1)

 

Duratex experienced a full year of shipment of their painted Doorskins to their largest customer’s plant during 2002.  The program was successfully implemented with very few problems.  This type of product, as well as other painted offerings, will position Duratex to expand its customer base with even more activity projected out of this Port during 2003.

 

The Port of Gulfport provided a new facility for the Duratex FTZ operations.  The building was adjoining the old facility and is providing the same amount of square footage (50,000 square-feet in the FTZ warehouse and 25,000 square-feet in-transit area).  A request to activate the new facility and deactivate the old facility was handled and approved during this fiscal year period.

 

 

Airmar Resources (Temporary Modification of Site 4)

 

Airmar Resources, Inc. continued to use the Zone to store Russian and East German origin trucks under Zone-restricted status pending physical exportation.  These vehicles were imported originally under bonded warehouse and TIB procedures.  Due to unforeseen events, the anticipated exportation could not be accomplished within the 5-year bonded warehouse time limit, therefore Zone status has been employed in order to allow their continued storage pending exportation or destruction.

 

Friede Goldman Offshore (Sites 6 and 7)

 

Friede Goldman Offshore, Inc. uses the General Purpose Zone to conduct engineering, upgrade, conversion of semi-submersibles, jackups, drill barges, package drill rigs, drillships and submersibles.  Friede Goldman suspended construction on the Amethyst Semi-Submersible Drilling Unit in April 2002, as a result of Chapter-11 filing.  The contract was rejected and consequently awarded to a construction company in Maine.  All materials, subassemblies and partial structures were transferred to the new company.

 

In addition to the ongoing conversion of the Noble Drilling Unit Clyde Boudreaux, Friede Goldman Offshore, Inc. (FGO) and Noble Drilling Corporation signed contracts for the refurbishment of two semi-submersible pentagon-drilling units.  The customer of these foreign flag drilling units benefit from Zone status by having their vessels entered as privileged foreign thus allowing duty free entry of removed materials.  As the remaining division of Friede Goldman Halter, Inc., FGO is expected to be purchased by a new company at the beginning of 2003.  It is anticipated that the new company will continue operating the Foreign Trade Zone.

 

          

Noskab (Site 7)

 

Because of the aforementioned suspension of Ingalls’ cruise ship project, Noskab closed its FTZ distribution operation.  All Zone status merchandise was forwarded to the Ingalls subzone.

 

 

PART III.       MOVEMENT OF MERCHANDISE (General Purpose Zone No. 92)

 

A.     Merchandise in the Zone at Beginning and End of Fiscal Year

 

Beginning                      Ending

Value                           Value              

 

Domestic Origin/Duty Paid                                            $239,763,431              $253,561,989

Foreign Status                                                              $168,312,389              $225,077,289

Total                                                                            $408,128,927              $478,639,278

 

 

 

 

 

 

 

B.     Movement of Merchandise

 

Received                                                          Value

 

Domestic Origin/Duty Paid                                  $13,745,451 

Foreign Status                                                    $82,705,753

From U.S. FTZ's

            Domestic Status                                                     $ 0

            Foreign Status                                                       $ 0

                       

Total                                                                  $96,451,204

 

 

Forwarded

 

To U.S. Market                                                    $25,544,173

To Foreign Countries (Exports)                                $ 0

To Other U.S. FTZ's                                               _$396,680

 

                        Total                                            $25,940,853

 

 

C.     Value Added:  Estimated amount of value-added activity within General Purpose Zone 92 was approximately $25 million.

 

D.     Main categories of Foreign Status Merchandise Received (Top Four)

 

Item                                                     Value

 

1.         Drillships                                            $ 76,000,000

2.         Hardwood                                            $ 6,018,154

            3.         Joiner/Insulation                                       $ 471,584

            4.         Marine Structures                                    $ 216,015

           

                                                Total                            $ 6,705,753

           

 

E.  Non-Privileged foreign merchandise received during this fiscal year amounted to $6,705,753 in value.  Privileged foreign merchandise received during this fiscal year amounted to $76,000,000 in value.

 

F.       Customs collection of duties on merchandise entered from the Zone during this fiscal year was $59,824.

 

 

 

 

 

PART IV.       PHYSICAL FACILITIES – AVAILABLE AND ACTIVATED

 

General Purpose Zone:

 

Site 1 - Port.    MS State Port Authority at Gulfport, 167 acres; activated – Duratex North America as the operator; 150,000 square-foot warehouse located on East Pier at the Port of which 50,000 square-feet is activated.

 

Site 2 - Airport.  Gulfport-Biloxi Regional Airport in Gulfport; 717 acres; not activated; international cargo base is open for business.

 

Site 3 - Bernard Bayou.  Bernard Bayou Industrial District in Gulfport; 2,363 acres; a portion of the site is activated as the VT Halter Subzone 92A; multiple dock, wharf and warehouse facilities.

 

Site 4 - Long Beach.  Long Beach Industrial Park in Long Beach; 484 acres. Currently deactivated.

 

Site 5 - Trent Lott International Airport.  254 acres; not activated; Airport and industrial park facilities available.

 

Site 6 - Greenwood Island.  148 acres; activated; Friede Goldman as operator; shipyard for construction of vessels and offshore drilling rigs.

 

Site 7 - Pascagoula East and West Harbors.  193 acres; activated; Friede Goldman and Noskab as operators; shipyard for construction of vessels and offshore drilling rigs; marine electrical cable distribution. Port and warehouse facilities available.

 

Site 8 – Stennis Industrial Park.  283 acres; not activated; Industrial park facilities available.

 

Site 9 – Heinz Property.  13 acres; Currently deactivated.

 

Site 10 – Sunplex Industrial Park.  65 acres; not activated; Industrial park facilities available.

 

Site 11 – Port Bienville.  621 acres; not activated; Port and industrial park facilities available.

 

Site 12 – MSAAP.  87 acres; not activated; Industrial park facilities available.

 

Site 13 – Stennis Airport.  67 acres; not activated; Airport and industrial park facilities available.

 

 

Subzones:

 

92-A VT Halter Marine.  Halter Marine in Gulfport; 30 acre site – activated; 20.85-acre Halter Marine Moss Point – activated; 18-acre Halter/Moss Point Marine – activated; 19-acre Halter Pascagoula – activated; multiple dock, wharf and warehouse facilities.

 

92-B Ingalls.  Ingalls Shipbuilding Operations in Pascagoula (a subsidiary of Northrop Grumman Ship Systems); 109.5 acre East Bank Yard and 228.8 acre West Bank Yard - activated; temporary minor boundary modification approved for Venezuelan project; multiple dock, wharf and warehouse facilities.

 

92-C Avondale.  Avondale Boat Division in Gulfport (a subsidiary of Northrop Grumman Ship Systems); 60.9 acres in Parcel #1 and 60.9 acres in Parcel #2- activated; multiple dock, wharf and warehouse facilities.

 

92-D Chevron.  Chevron USA Product Company in Pascagoula; 3,104 acres – activated; refinery facilities.

 

 

PART V.         SUBZONE ACTIVITY.

 

      VT Halter Marine, Inc. – Subzone 92-A 

 

Subzone 92-A is operated by VT Halter Marine, Inc.  The Subzone was approved by Board Order 373 on March 4, 1988 on behalf of Trinity Marine.  The Jackson County portion of the Subzone was activated March 25, 1988, and the Gulfport portion was activated August 15, 1998.  Three projects were conducted this year using the benefits of the Zone.  Additionally, over 900 people were employed as a result of these projects.   In 2002, Halter Marine was acquired by Vision Kinetics from Friede Goldman Halter and became VT Halter Marine, Inc.

 

Subzone Description and Facilities.  Subzone 92-A contains approximately 88 acres at four neighboring, but not adjoining, shipyards.  The primary manufacturing activities consist of offshore supply and work-boats, fishing boats, ferries, dredges, tugboats, push-boats, survey and research ships, for both commercial and government customers.

 

Description of Activity.  Halter Marine is the nation’s leading commercial shipbuilder and one of the top builders in the world of mid-sized ocean-going vessels.  Halter’s vessel designs can be found in virtually all facets of the maritime industry, and its U.S. shipyards have built more than 2,600 vessels - more than any other shipbuilder in the world.

 

The company uses modular construction methods because it is not practical to attempt to build a small ship as one large piece.  The vessel is constructed using smaller modules (assemblies and sub-assemblies).  Each vessel passes through various process lanes as it evolves from raw material to a finished product.

 

During this Zone period, numerous projects have been constructed in Subzone 92A with three of them directly using the benefits of the Foreign Trade Zone.  These three consist of a semi-submersible drilling rig, one Rocket Booster Ro-Ro Transport, and a 579-foot Car Carrier.


Economic and Business Benefits.  As the company explores methods to become more competitive on an international front, the benefits associated with the operation of a Foreign Trade Zone continue to be one of the primary marketing tools used.  During this fiscal year alone, the use of a Zone has saved the company and its customers over $500,000 in Custom’s duties, which is significant in lowering the cost of U.S. production.

 

 

 

MOVEMENT OF MERCHANDISE FOR SUBZONE NO. 92-A     

 

Merchandise in Subzone at Beginning and End of Fiscal Year

 

                                                                             Beginning                       Ending

                                                                             Value                             Value   

    

     Domestic Origin/Duty Paid                                $44,528,481                 $ 7,349,967                     

 

     Foreign Status                                                   $42,665,280                 $ 9,350,033                       

 

     Total:                                                                $87,193,761                $16,700,000                     

Movement of Merchandise

 

     Received                                                          Value        

 

     Domestic Origin/Duty Paid                                $  9,647,385                                                  

 

     Foreign Status                                                   $    127,900                            

 

     From Other U.S. FTZ's                                       

 

               Domestic status                                      $               0                          

 

               Foreign status                                         $               0  

 

     Total:                                                                $ 9,775,285                          

 

 

 

     Forwarded                                                       Value        

    

     To The U.S. Market                                         $  80,269,046                          

 

     To Foreign Countries (Exports)                         $                  0                               

 

     To Other U.S. FTZ's                                        $                  0                            

 

     Total:                                                                $  80,269,046                    

 

     Explanation of Discrepancies:  None

 

 

Value Added: Estimated amount of value-added activity within the subzone was approximately $10 million.

 

Main Categories of Foreign Status Merchandise Received

 

               

               Category                                                                                     Value      

 

               Joiner Material                                                                             $  89,125

 

               Machinery                                                                                   $  38,775  

                                                                                         

               Total:                                                                                           $127,900               

 

 

 

Foreign Status Merchandise Received:

 

           Nonprivileged Foreign  $127,900              

           Privileged Foreign                    $0               

 

Customs duties collected on merchandise entered into U.S. Custom’s territory from the subzone during the fiscal year amounted to $243,055.

 

 

Northrop Grumman Corporation,  Ingalls Operations – Subzone 92-B

 

General

 

Subzone 92-B is operated by Northrop Grumman Ship Systems, Ingalls Operations.  The subzone was approved for activation on May 15, 1991, with the first shipment arriving on July 10, 1991.

 

 

Subzone Description and Facilities

 

The Ingalls subzone site is located on both sides of the East Pascagoula River at its junction with the Mississippi Sound, 12.1 nautical miles via a 38-foot deep channel with no overhead encumbrances from the Horn Island Pass sea buoy in the Gulf of Mexico.  The East Bank yard consists of 157 developed acres and the West Bank yard has 426 developed acres.  The West Bank also has 211 acres of undeveloped land that is available for future expansion.  Only 353.5 acres, which include the shipyard wharves, docks, dry dock, berthing spaces, and piers, are either fenced or enclosed by structures and comprise the activated subzone.  The 353.5 acres consist of 109.5 acres at the East Bank yard and 244 acres at the West Bank yard.  The balance of the acreage is available for administrative offices, parking, and future expansion.

 

During this past subzone year, several warehouses near the current sub-zone were operational for storage of foreign material. The additional sites were needed through March 2006 for Ingalls’ sub-contractors to assemble cabin, galley, and other outfitting components for the Project America cruise vessels under construction, and also to provide covered storage for equipment and materials.  These sites consist of:

 

Site 1B - Land and buildings consisting of approximately six acres located at 4301 Industrial Road, Pascagoula, MS.  This site is owned by Hopeman Brothers Marine Interiors LLC and will be utilized to store and complete assembly of the outfitting equipment and components for the AMCV cruise vessels.

 

Site 1C - Land and buildings consisting of approximately 7.4 acres located at 4502 Chicot Road, Pascagoula, MS.  This site is owned by Pan American Life Insurance Company, Inc., and will be utilized by Jamestown Metal Marine Sales, Inc., to store outfitting materials and equipment for the AMCV cruise vessels.

 

Site 1D - Land and buildings consisting of approximately 7.5 acres located at 2810 Louise Street, Pascagoula, MS.  This site is owned jointly by Hopeman Brothers and Jamestown Metals and will be utilized to store and complete assembly of the cabins for the AMCV cruise vessels.

 

Site 1E - Warehouse space at 2614 Telephone Road, Pascagoula, MS, consisting of two warehouses, approximately 42,960 square feet in Building F and 24,000 square feet in Building E.  This site is owned by Dantzler Management, LLC and will be utilized primarily to store materials and equipment for the AMCV cruise vessels.

 

Description of Activity

 

Ingalls is one of the nation’s largest shipbuilders and produces/overhauls large naval and commercial ships, with the majority being built for the United States.  The ships built over the past 31 years have been destroyers, cruisers, and amphibious assault ships used by the Marine Corps and corvette ships for a foreign navy.  Ingalls has also produced large offshore drilling rigs; offshore supply vessels, hopper barges and hopper-type rail cars used to transport grain and pellet-type products.

 

In the construction of all its shipbuilding products, Ingalls uses the modular approach common to all yards that use advance production technology.  Production begins in fabrication shops where parts are fabricated to use in steel assemblies, piping systems, electrical systems, and ventilation systems.  These products are built into sub-assemblies, assemblies and finally into large modules.  The modules, usually 3 to 5 in number, are then joined together to form a total ship.  The ship is launched and brought to a pier where final outfitting and testing is conducted.  After final testing, which includes trials at sea, the ship is delivered to the customer.

 

During FY2002, the Navy awarded Ingalls a $1.97 billion contract for the construction of four additional Arleigh Burke (DDG51) class guided missile destroyers.  Of the 28 DDG-51 destroyers ordered, 17 have been delivered.  The company holds an option for one additional ship and it’s expected to be awarded next year.  A worthy note to remember, following a terrorist attack in Aden, Yemen, in October 2000, the USS Cole (DDG-67) underwent an extensive 14-month restoration project.  The USS Cole was redelivered ahead of schedule, sailed from Ingalls on April 19, 2002 and returned to her homeport in Norfolk, VA, April 24, 2002 ready for duty.

 

Ingalls is the sole designer and builder of the Navy’s highly sophisticated WASP (LHD-1) class of amphibious assault ships, eclipsed only in size among combatants by aircraft carriers.  Ingalls was awarded contracts to build seven of these ships and has delivered all seven.  The Navy ordered an eighth ship of the WASP class in April 2002 with a contract value of $1.369 billion.

 

In May 2002, Northrop Grumman Ship Systems was the U.S. Navy’s selection to complete the system design for the DD(X) program.  The DD(X) is the centerpiece of the Navy’s 21st century transformation and is the cornerstone program for a family of surface combatants to be designed and built over the next 25 years.  Northrop Grumman’s Ship Systems sector will lead the DD(X) system design, engineering prototype development and testing under a $265 million contract.  The initial design contract has a total value of approximately $2.9 billion over four years.

 

Northrop Grumman Ship Systems was awarded a contract in June 2002 valued at $11 billion to modernize the Coast Guard’s Deepwater assets over a 20-year period.  This program will involve the acquisition of up to 91 ships, 35 fixed-wing aircraft, 34 helicopters, 76 unmanned surveillance and upgrade of 49 existing cutters and 93 helicopters.

 

In an important international program, Ingalls is near the completion of upgrading two frigates for the Venezuelan Navy under a $315 million contract.  The first ship was delivered in May 2002. Ingalls continues to aggressively market its capabilities in the international arena and is aggressively seeking new construction programs for foreign navies.

 

Ingalls and American Classic Voyages Company signed a contract for the construction of the first major cruise ships to be built in the United States in more than 40 years.  The contract, with a potential value of $1.4 billion, is for two ships with an option for a third.  Unfortunately due to a downturn in the travel market, the owners filed for protection under Chapter 11.  Work was suspended on the construction and Ingalls is now in process of liquidating all on-hand materials to the Norwegian Cruise Line Corporation.  The partially completed ship was towed to Germany in November 2002 for completion of construction.

 

Economic and Business Benefits to Ingalls

 

Ingalls benefits from a subzone status at its Pascagoula facility in several ways.  The primary advantage is the elimination of duty or relief from inverted duty rate relationships.  The average duty rate on various imported commodities used in ship construction approximates 5% of the value of the imported goods.  By utilizing subzone status, Ingalls performs final assembly of these parts and components without paying duty.  Because the finished article is an ocean going vessel, no duty is required when entered into U.S. Customs territory.

 

The subzone also has benefits over using a drawback duty, which has a time limit and ties up working capital until the article is a finished product and is exported.  In shipbuilding the finished product takes 3 or 4 years to construct.  Consequently, Ingalls would tie up working capital and would not qualify for drawback duty because of time limitations.  Because shipbuilding contracts usually involve progress payments for work or milestones completed, tying up capital during the long construction period places Ingalls at a disadvantage while striving to maintain a competitive position within the industry.

 

Operating as a subzone improves Ingalls’ ability to compete in foreign markets.  There is a market for ships of the corvette size and combatant capability, particularly in the third world or developing countries.  There are current opportunities in Taiwan, Israel, and Chile.  Other countries have been considered, but Ingalls was not competitive due to the advantages other countries provide their shipbuilding industries.  Subzone status provides another method of reducing costs and places Ingalls in a more competitive position internationally and domestically.

 

The foreign content percentage of components will vary from ships to ship, depending upon cost, quality, contract terms and other factors.  Generally, the foreign content portion of a ship may range from eight to ten percent and the duty value of the imported materials may average five percent.  Annual estimated cost for operation of the subzone, including zone fees, Customs costs, and record keeping is $75,000.

 

Subzone status is an important element in Ingalls’ strategy to improve its competitive position and enables it to produce ships at a lesser cost.  Other steps have been taken to enable the company to compete in the shipbuilding and repair industry.  The company continues to explore all avenues to become a more competitive builder of ships in the world market.

 

 

 

Public Benefits

 

Historically, Jackson County and Pascagoula have a strong history of manufacturing, dominated primarily by the presence of Ingalls Shipbuilding.  However, because of a major scaling back in the shipbuilding industry, Ingalls has experienced a severe reduction of its employment since 1978, when employment reached a high of 25,038.  By 1984, employment decreased to 9,607.  Employment in 1995 was 13,000 dropping to 10,097 in 1997.  Current employment level is 10,659.  The annual payroll is approximately $425 million.

 

The effect of subzone status is more ship sales than would otherwise have been possible because of an improvement in the overall competitive position of the Jackson Country shipyard.  The company’s employment and total output will be lower without subzone status.  Local suppliers and service industries positively benefit by the company’s subzone status.  Domestic production of the Israeli corvettes and other oceangoing ships benefits the U.S. balance of trade because the ships will be built for foreign ownership. 

 

The aggregate economic effect on Pascagoula and surrounding areas in Jackson County and the State of Mississippi includes higher local tax revenues, lower unemployment and social service costs, and increased spending by larger work forces at area retail and service facilities than would be possible without subzone status.

 

Merchandise in the Zone at Beginning and End of Fiscal Year

 

                                                                                                 Beginning                      Ending

                                                                                                10/01/2001                  09/30/2002

 

            Domestic Origin Duty Paid                                       $  37,422,781              $  41,186,172

 

            Foreign Status                                                  $713,460,307              $388,332,741

 

                        TOTAL                                                            $750,833,088              $429,578,913

 

 

 

 

 

 

Movement of Merchandise

 

                         Received                                             Value

 

Domestic Origin/Duty Paid                                $     3,763,391

 

            Foreign Status                                                  $   15,393,048

 

            From Other US FTZs                                      

 

            Domestic Status                                                $          -0-

 

            Foreign Status (TJT Subcontractor)                  $        396,680

 

                        TOTAL                                                $   19,553,119

 

                       Forwarded                                              Value

 

            To the US Market                                            $            7,357

 

            To Foreign Countries (Exports)             $ 341,019,937

 

            To Other US FTZ’s                                          $        -0-____  

 

                        TOTAL                                                $ 341,027,294

 

            Value added:

 

            Value added within the subzone totaled approximately $40,000,000.

 

 

Main Categories of Foreign Status Items Received (Top Five $) for FY ’02

 

            Category (Item)                                                     Value

 

            Diesel Engines                                      $  7,084,796

            Incinerator Parts                                               $     825,800

            Electronics                                                        $     637,271

            Miscellaneous Drill Rig Material                        $     535,801

            Kitchen Ware                                                   $     528,603

                                    Total                                        $  9,612,271

 

Foreign Status Merchandise Received

 

            Non-Privileged Foreign                                     $15,393,039

 

            Privileged Foreign                                                         $      -0-

 

Customs Duties Collected                                                     $       -0-

 

Material Destroyed in Subzone                                            $       -0-

 

Northrop Grumman Corporation, Avondale Operations – Subzone 92-C

 

Northrop Grumman Ship Systems’ Avondale Industries is the operator of Subzone 92-C.

 

Subzone 92-C consists of a 122-acre shipyard located at 13301 Industrial Seaway Road (in the Bernard Bayou Industrial Park), Gulfport, Mississippi.  The facility was activated effective May 1, 1998, however, to date, no foreign status merchandise has been admitted to the Subzone.  Operations within the Subzone include all activities related to shipbuilding, including the receipt and transfer of merchandise, fabrication, manufacturing, testing, manipulation, and destruction.

 

Direct employment at Avondale Enterprises’ Subzone facility for the year is 299 persons.

 

In mid-1997, a commercial contract was awarded to Avondale to construct two (2) double-hulled crude oil carrying vessels for Arco Marine, Inc. (ARCO).  Three more vessels have been added to the overall contract.  This contract developed as a direct result of the Oil Pollution Act of 1990.  Avondale activated this Subzone with the intention of possibly using it to store material to construct modules for these tankers in conjunction with Avondale’s operation of Subzone 2-C in New Orleans.  At this point in time, it has not been necessary to use the facility as expected.  However, there is still a possibility that the company may use this facility as was initially intended.  Nevertheless, significant purchases continue to be made for this contract from foreign vendors for long lead-time material.  The first two vessels for the contract have been delivered.  The three remaining vessels are expected to be completed and delivered in 2003 and 2004.

 

 

Chevron Products Company U.S.A., Inc. – Subzone 92-D

 

The Pascagoula Refinery, Foreign Trade Subzone 92-D, is owned and operated by Chevron Products Company, a division of Chevron U.S.A. Inc.  Approval of the refinery as a Foreign Trade Subzone was granted by Board Order No. 747 on June 13, 1995.  Activation of the Subzone was on September 7, 1995.

 

 

Subzone site and activities

 

Chevron’s Pascagoula Refinery is located in the Bayou Cassotte Industrial Area, 35 miles east of the general-purpose zone at Gulfport, Mississippi.  The Subzone is bordered on the south by the Mississippi Sound, on the east by wetlands and pine forest, on the north by the Industrial area, and on the west by the city of Pascagoula.  The industrial area is accessible via U.S. Highway 90 and Highway 611.  The site is located within the limits of Jackson County in the southeastern corner of the State of Mississippi.  The subzone covers approximately 3,100 acres.  Subzone facilities consist of an existing petroleum refinery served by marine facilities, marine and land pipelines, and tank truck and rail car facilities.

 

Petroleum stocks for the refinery may be crude oil, intermediate feed stock and blending stock from both domestic and foreign sources.  The refinery operations convert these stocks into petroleum products for both the Southeastern United States and export markets.  During the past year, the Chevron subzone received crude oil from several areas throughout the world.  Received were various crude oils from the Middle East, United Kingdom, Africa, North America, Central and South America.  In all, eleven different types of crude oil were included in the refinery crude slate.  The refinery also receives various petrochemical feed stocks for processing in various chemical facilities located within the subzone.

 

Refinery feedstock

Source of refinery feedstock on a volume basis:

Foreign crude oil as % of total crude – 98.2%

Domestic crude oil as % of total crude -              1.8%

Total crude oil as % of total inputs -                  95.7%

Domestic inputs as % of total inputs -      6.0%

 

Product Slate

The Chevron Pascagoula Refinery product slate consists of a variety of finished products including several grades of motor gasoline for the Southeast Area Market, aviation gasoline for small aircraft, jet fuel for commercial airlines, diesel fuels for transportation and industrial machinery, liquefied petroleum gas (LPG) for homes and industry, fuel oils for industrial use and vessel bunker, asphalt for roads and highways, and various petrochemicals used in the production of synthetics and plastics.  During the past year, approximately 86.6 percent of the products refined at the Chevron Subzone were marketed domestically, with the balance of the refined products sent to export markets.

 

The following is a list of products refined at the subzone and their percentage of total shipments on a volume basis:

 

Gasoline -                                 35.9% 

Jet Fuel -                                  17.6%

Distillate Oils -              25.2%

Residual Fuel Oils -                    2.4%

Petrochemical -                          6.1%

LPG -                                        5.0%

Other (primarily coke) -              7.8%

 

 

Exports

Chevron has regularly exported refined products from the Pascagoula Subzone to destinations throughout the world:

Exports as a % of total shipments -       13.4%

Petrochemical exports as a % of total shipments – .3%.

5.5% percent of the total petrochemical shipments were exported.

           

Plant facilities

Crude oil is received at the Pascagoula Refinery Wharf and through a pipeline from Empire, Louisiana, and pumped to storage at Pascagoula.  While some of the crude distillation output requires only blending to make finished products, most of the output requires additional processing.  The lighter hydrocarbon streams are sent to the catalytic reformer units and gasoil hydrotreating units for conversion into finished gasoline, jet and diesel. The heavier oil streams from the crude units are sent to the hydrocrackers, residuum desulfurizer, gasoil hydrotreater and delayed coker.  These units produce gasoline, jet and diesel blending components as well as feed for other units in the refinery such as the Aromaxâ and aromatics units.

 

The refinery consists of the following processing, auxiliary and storage units:

 

(a)        Atmospheric crude distillation units are used to separate the raw petroleum into streams of different boiling ranges.  Some of the distilled petroleum is finished product, or requires only mixing with other stocks to be ready for shipment.

 

(b)        Vacuum distillation units receive the heaviest stream from the atmospheric distillation unit and reboil it for separation under vacuum conditions.  The distilled streams are primarily used for feed to the hydrocracking units, the residuum desulfurization unit, and the delayed coking unit.  The heaviest stream, or residuum, may also be used to produce asphalt or heavy fuel oil when combined with other stocks.

 

(c)        Gas Oil Hydrocracking units feed streams recovered from vacuum distillation and convert them into lighter petroleum fractions by catalytic reaction with hydrogen under high pressure.  The feed is mixed with hydrogen and "hydrocracked" at high pressure, producing petroleum gases and lighter hydrocarbons for gasoline blending, jet fuel blending, and further processing.

 

(d)        Fluid catalytic cracking unit feeds streams recovered from vacuum distillation and the residuum desulfurizer unit and converts them into lighter petroleum fractions by catalytic reaction.  The feed is mixed with the catalyst and "cracked", producing petroleum gases and lighter hydrocarbons for gasoline blending.  Some "cracked" oil recovered from the process is about as heavy as the original feed and is either further treated for distillate fuel blending or is blended into fuel oil.

 

(e)        Sulfuric acid alkylation units take a combination of petroleum gas streams and build heavier molecules by joining lighter molecules together in the presence of sulfuric acid.  The resulting stream is a valuable gasoline blending component.

 

(f)         Catalytic reforming units feed light hydrocarbon streams from the atmospheric crude distillation units and the gas oil hydrocracking units and convert them into valuable gasoline blending components and xylenes that are recovered for chemical sales.  The feeds are passed over a catalyst and structurally rearranged ("reformed").  The units produce hydrogen, as a byproduct, that is consumed in many other units in the refinery.

 

(g)        Residuum desulfurizing unit takes a combination of feed streams from the vacuum distillation units and converts them into feeds for the fluid catalytic cracking unit and the delayed coker unit.  The feeds react with hydrogen over a catalyst at high pressure, producing small volumes of lighter hydrocarbons and improving the quality of the product streams by removing sulfur, nitrogen, and metals.

 

(h)        Delayed coking unit takes some of the residuum product from the vacuum distillation units and the heaviest product from the residuum desulfurizing unit and converts them into lighter hydrocarbons and petroleum coke.  By heating under the proper conditions, the feed is thermally "cracked" into lighter hydrocarbon streams, that generally require additional processing to become finished products, and solid petroleum coke, which is a finished product.

 

(i)         Gas oil hydrotreating units feed streams from the delayed coking unit, and the atmospheric and vacuum distillation units and converts them into jet fuel and distillate blending components and feed for the fluid catalytic cracking unit.  The feed streams are reacted with hydrogen over a catalyst at moderate pressure.  This operation improved the qualities of the products (as either product blending components or as feed to other units) by removing impurities such as sulfur and nitrogen.

 

(j)         Hydrogen manufacturing units support the units in the refinery that consume hydrogen.

 

(k)        Eluxyl Feed Preparation unit takes whole reformate feed from the rheniformers and distills it into light reformate, heavy reformate and whole xylene.  The light reformate and heavy reformate are routed to blending where it is used as feed and mogas blending stock respectively.  The whole xylene is routed to the Eluxyl unit or can be routed back as feed to the light reformate splitters in the Eluxyl Feed Preparation unit.

 

(l)         Eluxyl unit through the processes of adsorption and distillation splits xylene rich feed into two streams, extract and raffinate.  The extract consists of toluene, paraxylene and other trace impurities, and is eventually routed to the Crystallization unit for further purification.  The raffinate is ultimately routed to the Isomerization unit.

 

(m)       Isomerization unit feeds raffinate from the Eluxyl unit.  The raffinate contains approximately 2% PX, with the balance being MX, OX and some ethylbenzene.  The purpose of the unit is to convert MX and OX to PX, and to convert ethylbenzene and some non-aromatics to other products removable by distillation.  The stream is then fed to a distillation column where it is separated into light blending aromatics (LBA) and Rerun column feed.

 

(n)        Crystallization unit separates paraxylene from other xylene components through the processes of crystallization and centrifugation.

 

(o)        Aromax® unit recovers benzene from naphtha from the crude units and converts it into a finished benzene product.  This process is registered to Chevron Corporation and presently the Pascagoula Refinery is one of two U.S.-based refineries with this process.

 

Asphalt manufacturing unit processes the residuum from vacuum distillation to make paving asphalt.

 

In addition, the refinery has storage capacity of approximately 4 million barrels for crude petroleum and 12 million barrels for product and intermediate streams.

 

 

Public Benefit and employment

The subzone has aided the State of Mississippi in its goal to maintain and encourage manufacturing activity. Due to the small industrial base in our immediate geographic area, Chevron plays an integral role in the economic stability of the community.  Since it began operations in Jackson County, Chevron has invested more than $2 billion at the Pascagoula facility.  During the recent zone year, direct local economic impact amounted to over $170 million, which includes the refinery’s payroll as well as monies spent on local goods and services. The Chevron subzone contributes to local taxes both though direct payments made by the refinery and through sales, property and other taxes paid by Chevron employees.  During the previous year, Chevron paid approximately $14.7 million in county and school property taxes alone.  The Chevron subzone provides highly desired manufacturing jobs with high wages and offers a diversity of employment opportunities.  The Chevron subzone is the second largest private, non-utility employer in Jackson County with approximately 58% of its company workforce residing within Jackson County.  The subzone also impacts the state of Alabama economically, as approximately 31% of its company employees live within the southern Alabama region. During the past year, Chevron employed approximately 1,200 full-time employees at its subzone.  In addition to direct employment within the subzone, Chevron’s presence supports the employment base of the local trades and service industries utilized in the refinery operations.  The subzone required an average of approximately 700 contractors (technical professional, clerical, skilled tradesmen and laborers) to support the ongoing maintenance and capital projects throughout the year.

 

The Chevron subzone is currently undergoing a $170 million project to produce new EPA low-sulfur gasoline, as well as meet new environmental specifications for on-road diesel.  The project will allow the subzone to meet the EPA’s clean fuel regulations by leveraging existing capacity through reconfiguration of existing processes. It is expected that capacity will increase by approximately 10 percent once the project is complete.  As a result of the project, the subzone will produce both a lower sulfur gasoline as well as a lower sulfur diesel fuel that will result in lower automobile emissions nationwide.  According to the EPA’s estimate, automobile emissions in Jackson County alone will be 500 tons per year lower by the end of 2005 and more than 3000 tons per year lower by 2030.  Construction began in early 2002 and is scheduled to be completed by April 2003.  During this period approximately 800 contractors will be employed specifically for project construction.  The direct and indirect impact of this project to Jackson County’s economy will be more than $100 million for personal income, with over 3000 local jobs benefiting as well.

 

Economic and Business Benefits

In order to meet the nation’s ever-growing energy needs, the oil and natural gas industry must continuously invest huge amounts of money in new exploration and production projects, as well as in facilities that refine, distribute and market petroleum products.  United States tax law plays a significant role in determining whether needed energy investments can and will be made and whether United States oil and gas producers will be able to effectively compete in the ever growing and changing global energy market.  The United States oil and natural gas industry pays billions of dollars per year in federal, foreign, state and local income taxes.  In addition, its products are subject to numerous excise taxes and other fees.  Each reduction in cost can be the difference that allows a United States refiner to compete globally.  Foreign Trade Zone procedures have allowed Chevron to lower its operating cost by: deferral of duty on foreign crude remaining in the subzone inventory; avoiding duty on exports which negates the need to file drawback claims for refund; and use of the NPF option allowing equal tariff rates on certain products refined in the subzone relative to those imported from foreign refiners.  Minimizing Customs duty liability helps the subzone to realize its vision of delivering quality products at the lowest sustainable cost.  This reduction in operating cost enhances Chevron’s ability to maintain its Pascagoula Refinery and compete with other suppliers of petroleum products in the Southeastern United States market and worldwide.  As a result of FTZ procedures, annual zone savings were equivalent to .15% of imported value.

 

In recent years, environmental expenditures in the petroleum industry have increased dramatically.  The increase is due largely to the need to comply with increasingly stringent federal and state environmental regulations affecting gasoline, air and water emissions, and waste handling.  Chevron’s Pascagoula Subzone is a good role model for industry as well as a responsible member of the community, and is committed to full compliance with all environmental laws and regulations.  This commitment to environmental compliance resulted in environmental related expense spending for air, water, and waste issues of approximately $3.4 million.

 

These regulations boost the cost of refining and require United States companies to integrate environmental responsibility into all areas of operation. Environmental compliance has made it more difficult to earn adequate profits on petroleum refining.  It imposes additional costs to enable the subzone to meet environmentally mandated product specifications and regulations.  In contrast, many foreign refiners with whom we compete have little or no environmental regulations and avoid the resulting operating costs.  Thus, the benefits derived from our current foreign trade zone status help to equalize the playing field vis-à-vis foreign refiners.

 

Since Subzone activation, Chevron has regularly exported refined products from the Pascagoula Subzone to destinations throughout the world.  Adequate domestic markets do not exist for several products that are produced at Pascagoula.  Consequently, the export markets provide a practical alternative.  For example, the refinery’s output of 0.5% sulfur diesel cannot be sold for on-road use in the United States due to Clean Air Act regulations, making export sales an important component of our diesel strategy.  Another important export is coke.  Domestic markets are limited making foreign exports by far the largest outlet of our coke production. During the past year the Pascagoula Subzone supplied zone jet fuel for use throughout the Southeastern and Eastern United States for foreign flights.  This in turn displaces purchases of foreign source jet fuel.  Export activity has helped Chevron and contributes to improving the United States balance of trade; however, the export markets are very competitive given the worldwide source of supply.  Being competitive with foreign refiners in these markets is crucial to the longevity of the facility.  The Foreign Trade Zone program helps domestic oil and gas companies to maintain its competitiveness in today’s global economy.

 

 

Merchandise in the Subzone at Beginning and End of Fiscal Year

 

Beginning                      Ending

10/01/2000                  09/30/2001

Value(Millions) Value   (Millions)

 

Domestic Origin            $ 101.9                       $  35.2

Foreign Status              $ 137.3                        $140.9

 

Total                            $ 239.2                        $176.1

 

 

Movement of Merchandise

 

Received                                                          Value (Millions)

 

Domestic Origin/Duty Paid                                $    314.7

Foreign Status                                                  $ 2,407.5

From U.S. FTZs                                               $          0

           

Total                                                                $ 2,722.2

 

 

Forwarded

 

To U.S. Customs Territory                               $ 2,513.2

To Foreign Countries                                        $    208.4

To Other U.S. FTZs                                         $      63.7

To Bonded Warehouse/Storage                        $          0

                       

Total                                                                $ 2,785.3

 

Value Added                                       $ 175 million.

 

Categories of Foreign Merchandise Received

 

Category                                  Value (Millions)

 

                        >24.9 API Gravity                    $  1,328.7

                        <25.0 API Gravity                    $  1,078.8

                       

                        Total                                        $  2,407.5

 

Foreign Status Merchandise Received:

 

Value (Millions)           

                        Nonprivileged Foreign  $     994.3

                        Privileged Foreign                     $  1,413.2

 

                                    Total                            $  2,407.5

 

Customs duties collected on merchandise:  $3.3 Million.

 

Merchandise destroyed:                                           $87.8 Million.

 

 

PART VI.  PHOTOGRAPHS.

                                     

Photographs of Northrop Grumman (Ingalls subcontractors and suppliers), Friede Goldman and Duratex are enclosed showing typical activity.  The Foreign Trade Zone No. 92 brochure is also enclosed.

 

 

 

January 22, 2003                                  ____________________________________

                                                            Bruce Frallic, Secretary/Treasurer

                                                            Mississippi Coast Foreign Trade Zone, Inc.

 

 

Enclosures:  Photographs and Brochure



© 2003 Mississippi Coast Foreign Trade Zone