KENT, OHIO, October 31, 2006 – The Foreign-Trade Zones (FTZ) Board in Washington, D.C., recently approved an application submitted by the Northeast Ohio Trade & Economic Consortium (NEOTEC) designating new foreign-trade zone sites in five Northeast Ohio counties. NEOTEC, a regional economic development organization under contract with the Joint Office of Economic Development (JOED), serves as grantee of Foreign-Trade Zone #181 in Northeast Ohio, which ranks #8 among 260 foreign-trade zones in the United States in total volume of merchandise received and shipped.

A copy of the Foreign-Trade Zones Board Order approval was officially presented to NEOTEC and JOED during the organizations’ 10th anniversary reception by Frank Lavin, Under Secretary for International Trade with the U.S. Department of Commerce. Lavin was keynote speaker at the event held recently at the Kent State University Stark Professional Education and Conference Center in Canton to celebrate NEOTEC’s economic development achievements on behalf of the 10 member counties of the JOED.
“Thanks to NEOTEC and 10 years of regional cooperation, we are enjoying many economic success stories and a stronger position for Northeast Ohio in the global marketplace,” said Chuck Keiper, Portage County Commissioner and Chairman of the JOED. “The Foreign-Trade Zone program has been a key element in this economic growth, providing an important business development tool to help attract new investment to Northeast Ohio,” Keiper said.
 

The recent expansion application approved by the Foreign-Trade Zones Board designates the first foreign-trade zone site in Wayne County and the first four in Medina County, as well as additional foreign-trade zone sites in Richland, Stark and Summit counties. FTZ 181 now has a total of 41 sites in the 10-county NEOTEC region, which also includes Ashtabula, Columbiana, Mahoning, Portage and Trumbull counties.

 “This application brings Medina and Wayne counties into one of the top-performing FTZs in the country,” said Ron DeBarr, president and CEO of NEOTEC. “FTZ 181 ranked #8 in total volume among the 260 zones in the U.S. in 2004, and the continued strength of the program will mean even more opportunities for business growth in our region in the years to come,” DeBarr said. According to DeBarr, FTZ 181 has been a major factor in attracting more than $261 million in capital investment and the creation and retention of 4,236 jobs in the region since 2000. “The benefits offered by the Foreign-Trade Zone program can mean tremendous cost savings for companies who do business internationally. That’s why the availability of foreign-trade zone sites is crucial to Northeast Ohio’s economic development efforts in today’s global economy,” DeBarr said.

The Foreign-Trade Zone Program helps to level the playing field with foreign competition by offering a variety of benefits to assist companies engaged in international commerce, including deferral, reduction or elimination of duties; elimination of drawback; labor overhead and profit not calculated in dutiable sale of zone merchandise; tax exemption for inventory while stored in an activated FTZ; weekly entry to reduce merchandise processing fees; and direct delivery which reduces transit times.

NEOTEC is a private, nonprofit regional economic development partnership of 10 Northeast Ohio counties including Ashtabula, Columbiana, Mahoning, Medina, Portage, Richland, Stark, Summit, Trumbull and Wayne counties. NEOTEC provides economic development services on behalf of the Joint Office of Economic Development (JOED), which is comprised of the commissioners and county executive of the 10 member counties. In addition to administering the Foreign-Trade Zone program, NEOTEC works as a regional force to improve market access through the administration of the Northeast Ohio Logistics Network, and to promote international trade through the services of the International Trade Assistance Center (ITAC). For more information, visit NEOTEC’s Web site at www.neotec.org.