Are Communities With FTZ’s Positively Affected?
Understand the latest report by the National Association of Foreign-Trade Zones and how employment, wages, and fellow communities are positively affected in communities
with an FTZ.
Located just 10 mins from the Outer Harbor and Canalside, we are a proud local company from Lackawanna, NY, and love to understand how we can further contribute to Buffalo, the NY community.
As a proud member of the National Association of Foreign-Trade Zones, we are delighted to share some results from a recent study as to the positive influence of Foreign-Trade Zones to the surrounding areas.
Focusing on the elements of employment growth, wage growth, and value-added elements to communities with an FTZ (referred to in the study as Zone Economic Communities (ZECs) compared to those without. The study, which measured both quantitative and qualitative elements in over 500 communities; half with FTZ’s, half without, had the overall goal to inform policymakers and the public about the true economic impacts of FTZs. Comparing the allocation of company resources, domestic production, and exports, the econometric analysis aimed to understand how the specific ways FTZ affected communities.
Employment Growth
Using Prodeco Technologies in Oakland Park, Florida and Piramal Critical Care in Bethlehem, Pennsylvania as examples, the study displayed the increase in production jobs in areas in which included an FTZ. In addition, the organization on UniCarriers Americas located in Rockford, Illinois, allowed for cost-saving elements to use the fund to provide more expanded worker training.
Wage Growth
It was determined that having an FTZ increased the average wages within a community compared to those without. Together with increasing the number of available jobs, increasing the wages of workers increase simultaneously. In addition, this increase, in turn, increases the overall economy of the surrounding areas.
Value-Added
One of the largest Value-Added Aspects to communities with an FTZ is the positive effect on supply chains and Logistics. Enchasing the availably of imports and exports to a community, support from fellow companies is needed to achieve all eh goals set forth for an FTZ.
With the elements of Employment Growth, Wage Growth and Value-Added services, the census that of communities that have a Foreign-Trade Zone are positively affected by efforts were made. The efforts coincide with the overall positive trend of FTZ result within the past years. As described in our previous blog, the percentage of US exports from US Foreign Trade zones increased by 1.2% from 2016 and 217 with the average value of exports 87 million dollars in 2017.
We are excited to share in this positive report and look forward to working with the Buffalo community even more.
Western New York Foreign Trade provides international trade services and is located just minutes from the U.S./Canadian border (within 500 Miles of 55% of the U.S. population and 62% of Canada’s population) and is proud to be a part of Lincoln Family of Companies serving the Western New York Community since 1914.
