[Federal Register: May 22, 2003 (Volume 68, Number 99)]
[Notices]
[Page 27985-27986]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr22my03-53]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[Docket 24-2003]
Foreign-Trade Zone 43--Battle Creek, MI; Application for Subzone;
Perrigo Company (Pharmaceutical Products); Allegan and Muskegon
Counties, MI
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the City of Battle Creek, Michigan, grantee of FTZ 43,
requesting special-purpose subzone status for the pharmaceutical
manufacturing and distribution facilities of Perrigo Company (Perrigo)
at locations in Allegan and Muskegon Counties, Michigan. The
application was submitted pursuant to the provisions of the Foreign-
Trade Zones Act, as amended (19 U.S.C. 81a-81u), and the regulations of
the Board (15 CFR part 400). It was formally filed on May 13, 2003.
[[Page 27986]]
Perrigo's Michigan operation is comprised of five sites in Allegan
and Muskegon Counties (Site 5 only): Site 1 (119,700 sq. ft. on 4.5
acres)--Plant 1, located at 117 Water Street, Allegan; Site 2
(133 acres)--Eastern Avenue Site, located at Hooker Road and Eastern
Avenue in Allegan; including Plant 4 (198,597 sq. ft., with a
possible expansion of 100,000 sq. ft., on 4.6 acres), Plant 5
(323,568 sq. ft. with a possible expansion of 100,000 sq. ft., on 7.4
acres), and Plant 7 (402,216, sq. ft. on 9.23 acres); Site 3
(520,613 sq. ft. on 11.95 acres)--Allegan Logistics Center, located at
900 Industrial Center, Allegan; Site 4 (123,295 sq. ft., with a
possible expansion of 200,000 sq. ft., on 2.8 acres)--Airport Center,
located at 1761 Airport Court, Holland; and, Site 5 (87,048 sq. ft. on
2 acres)--North Labs, located at 8060 Whitbeck Road, Montague, Muskegon
County.
The facilities (2,800 employees) produces over-the-counter (OTC)
pharmaceutical and nutritional products. Foreign-sourced materials will
account for some 14-50 percent of finished product value, and include
items from the following general categories: Animal or vegetable oils,
chemically pure sugars, protein concentrates, natural magnesium
phosphates and carbonates, petroleum jelly, paraffin and waxes, other
inorganic acids or compounds of nonmetals, artificial corundum,
aluminum oxide, aluminum hydroxide, acyclic hydrocarbons, derivatives
of phenols or peroxides, ethers and ether-alcohols, acetals and
hemiacetals, aldehydes and derivatives, ketone function compounds,
phosphoric esters and their salts, esters of other organic acids, amine
function compounds, oxygen function compounds, quaternary ammonium
salts, carboxymide function compounds, nitrile compounds, diazo-
compounds, organic derivatives of hydrazine, compounds of other
nitrogen function, organo-sulfur compounds, heterocyclic compounds,
sulfonamides, provitamins, hormones, glycosides, vegetable alkaloids,
antibiotics, medicaments in bulk or in measured doses, synthetic
coloring matter, color lakes, organic surface active products for use
in soap, dextrines and modified starches, chemical products not
provided elsewhere, vinyl acetate polymers, acrylic polymers,
cellulose, and natural polymers, such as alginic acid.
Zone procedures would exempt Perrigo from Customs duty payments on
foreign materials used in production for export. Some two percent of
the plant's shipments are currently exported. On domestic sales, the
company would be able to choose the duty rates that apply to the
finished products (primarily duty-free), rather than the duty rates
that would otherwise apply to the foreign-sourced materials noted above
(duty-free to 10.9 percent). At the outset, zone savings would
primarily involve choosing the finished product duty rate on either
bulk or dosage packaged pharmaceutical products (HTSUS 3003 and 3004,
duty-free), instead of the duty rates on aspirin (HTSUS 2918.22.1000,
6.9%), acetaminophen (HTSUS 2924.29.6210, 6.5%), and ibuprofen (HTSUS
2916.39.1500, 6.5%). Certain aspirin imports from China are subject to
anti-dumping/countervailing (AD/CVD) duties. The application indicates
that the savings from zone procedures will help improve the plant's
international competitiveness.
In accordance with the Board's regulations, a member of the FTZ
Staff has been designated examiner to investigate the application and
report to the Board.
Public comment is invited from interested parties. Submissions
(original and 3 copies) shall be addressed to the Board's Executive
Secretary at one of the following addresses:
1. Submissions Via Express/Package Delivery Services: Foreign-
Trade-Zones Board, U.S. Department of Commerce, Franklin Court
Building--Suite 4100W, 1099 14th St., NW., Washington, DC 20005; or
2. Submissions Via the U.S. Postal Service: Foreign-Trade-Zones
Board, U.S. Department of Commerce, FCB--Suite 4100W, 1401 Constitution
Ave., NW., Washington, DC 20230.
The closing period for their receipt is [60 days from date of
publication]. Rebuttal comments in response to material submitted
during the foregoing period may be submitted during the subsequent 15-
day period (to August 5, 2003).
A copy of the application and accompanying exhibits will be
available for public inspection at the Office of the Foreign-Trade
Zones Board's Executive Secretary at address Number 1 listed above, and
at the U.S. Department of Commerce Export Assistance Center, 401 W.
Fulton St., Suite 309-C, Grand Rapids, Michigan 49504.
Dated: May 14, 2003.
Dennis Puccinelli,
Executive Secretary.
[FR Doc. 03-12877 Filed 5-21-03; 8:45 am]