Greater Cincinnati Foreign Trade Zone selects Port Authority
FOR IMMEDIATE RELEASE:
October 7, 2014
Charles Miller, President
Greater Cincinnati Foreign Trade Zone, Inc.
Gail Paul, Director of Communication Strategy
Port of Greater Cincinnati Development Authority
Greater Cincinnati Foreign Trade Zone, Inc. selects Port of Greater Cincinnati Development Authority to manage regional program
The sponsoring organization of Greater Cincinnati and Northern Kentucky’s foreign trade zones announced today it will hire the Port of Greater Cincinnati Development Authority (Port Authority) to provide administrative management and marketing services.
Greater Cincinnati Foreign Trade Zone, Inc. (GCFTZ) said the Port Authority will manage the regional FTZ program under a two‐year agreement expected to take effect in October.
The Port Authority will lead day‐to‐day operation of the FTZs, including all established and future sub‐zones and sites. FTZs are secure areas under the supervision of U.S. Customs and Border Protection that are considered outside U.S Customs territory for the purposes of duty payment. The current FTZs are located in five Ohio counties and three in Northern Kentucky.
GCFTZ President Charles Miller said foreign trade zones are an important business‐building tool, and the Port Authority’s capabilities and strategic focus are well‐suited to direct expansion of the FTZ program.
“The Board of Directors is pleased to make this announcement today,” according to Charles Miller, President, GCFTZ. “We look forward to a successful working relationship with the Port Authority to bring greater utilization of the advantages and capabilities associated with foreign trade zones in Greater Cincinnati and Northern Kentucky.”
“This is an exciting program that aligns very well with our work to expand the regional environment for logistical efficiencies and trade that result in jobs,” according to Laura N. Brunner, Port Authority President and CEO. “I am honored that our agency was asked to provide the administrative services that will help the FTZ program serve the public good to its fullest extent.”
The program was established by the Foreign Trade Zone Act of 1934. The Foreign Trade Zone Board approves zones and sub‐zones and regulates the administration of FTZs and the rate charged to zone “grantees.” Regionally, there have been active zones since 1979. Nationally, there were 177 active FTZs during 2013, with a total of 289 active manufacturing/production operations.
Nationally, FTZs last year were responsible for more value to the U.S. manufacturing economy than ever before. According to the U.S. Foreign Trade Zones Board, the value of exports from America’s FTZs reached a record‐high of $79.5 billion in merchandise exported. That represents nearly triple the exports from FTZs just four years before, at $28 billion. The FTZ program also reached new employment highs ‐‐ 390,000 persons were employed at 3,050 firms that used FTZs during the year – an increase of 20,000 employees over 2012.
“FTZs are on an unprecedented upswing,” according to Mr. Miller. “FTZs are a vital tool that help position our region for success in competing in a global economy.”
Regionally, FTZs 46 and 47 represented a combined 14,002‐16,000 employees in 2013 and export value of $1.1 billion ‐ $5.1 billion (U.S Foreign Trade Zones Board).
About the Port Authority:
The Port of Greater Cincinnati Development Authority was formed in 2000 to stimulate growth of the regional economy. The Port Authority is an economic development force, partnering with the City of Cincinnati and Hamilton County, focusing on reutilization and redevelopment of property through catalytic investment. The Port Authority manages the Hamilton County Land Reutilization Corporation (Landbank); and the City of Cincinnati Energy Special Improvement District. For more information, visit www.cincinnatiport.org.
About GCFTZ, Inc.:
Greater Cincinnati Foreign Trade Zone, Inc. is the grantee of FTZ 46 (Ohio) & 47 (Kentucky). The Foreign Trade Zone program was created in 1934 by Congress as an incentive to encourage companies to keep investment and jobs in the United States and not move production offshore. The program removes certain costs and barriers that do not exist in foreign locations.
Port adds tax-free zones to jobs-creating portfolio – Cincinnati.com