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Mississippi companies explore the options of Foreign Trade Zones.

Article Excerpt
Jackson-based Ergon is taxed 101/2 cents for every barrel of crude oil the company brings into the U.S.

A dime may not sound like much, but those dimes add up when you consider Ergon imports about 12 million barrels of crude oil a year to make its asphalt, propane and other products.

But a break could, be coming Ergon's way if the company's application for Foreign Trade Zone (FTZ) status is approved. Ergon will present its case in August or September and if the government gives the go-ahead, Ergon will start enjoying a tariff reduction on those 12 million barrels of oil.

When Richard Meeks, Ergon's vice president of planning and economics, first heard about FTZs, he thought of them as plots of land. He later learned that FTZs aren't limited to locations, but are a way for 'Ergon to track its foreign crude coming in.

Mississippi has two FTZs--the Vicksburg/Jackson Foreign Trade, Zone in Central Mississippi and the Mississippi Coast Foreign Trade Zone....

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