Company to Create 86 New Jobs at Vantage Center Industrial Park
Governor Andrew M. Cuomo today announced the opening of BorderWorx Logistics, LLC's new storage and state-of-the-art distribution facility in the Vantage Center Industrial Park in Sanborn. The expansion of BorderWorx Logistics, which is part of the Niagara County Foreign Trade Zone, enables importers and exporters to forego duties and tariffs until the day a product ships out of the facility. The company’s decision to expand operations in Western New York will create 86 new jobs, while retaining 10 existing jobs.
"The opening of BorderWorx Logistics as operator of the Foreign Trade Zone in Niagara County brings new opportunity for businesses and residents throughout the region," Governor Cuomo said. "With the creation of over 85 new, well-paying jobs and improved access to trade partners across the globe, BorderWorx Logistics' expansion is proof that New York is the place for businesses to grow and expand, as we continue to attract private investment, strengthen the regional economy and improve the lives of New Yorkers across the region."
BorderWorx Logistics is a third party company that provides clients with inventory storage, order processing and distribution, returns management, accounting and finance, meeting space and work areas. BorderWorx provides storage and shipping solutions on behalf of, and for clients dealing with Amazon, Perfect Shaker, Walmart, eBay, Harris Corporation and Comcast. Integrated with its customs brokerage service, BorderWorx seamlessly manages transportation between neighboring countries.
In order to encourage BorderWorx Logistics’ $3.7 million project, which includes a new 50,000 square-foot distribution center and the creation of more than 80 new jobs, Empire State Development has offered the company up to $590,000 in performance-based Excelsior Jobs Program tax credits.
The company was also granted a Western New York power proceeds award of $285,000 from the New York Power Authority and received a 15-year tax abatement from the Niagara County Industrial Development Agency. The power proceeds funding award was made possible from net earnings from the sale of unused hydropower from the Power Authority’s Niagara power plant and stems from legislation signed into law by Governor Cuomo in 2012. To be eligible for power proceeds awards, enterprises must be located within a 30-mile radius of NYPA's Niagara power plant and the projects must support the growth of business and lead to the creation or protection of jobs.
BorderWorx Logistics will operate the Foreign Trade Zone in Niagara County, which can mean cost savings at a variety of distribution levels, including the storage, assembly and transport of products. Located in close proximity to the Niagara Falls International Airport, the federal government authorizes such areas and allows foreign and domestic goods to move into the zones without payment of duties or tariffs if the products are not consumed.
BorderWorx CEO & President Dean Wood said, "We are very appreciative of the support from New York State and Niagara County for this project which turns the entire park into a foreign trade zone. Shipments that arrive there from international ports or domestic locations are considered outside the U.S., so taxes are not required while the inventory is in that location. As the operator we take the responsibility of safeguarding the facility in accordance to U.S. Customs and anti-terrorist regulations very seriously. We agreed to this because it complements what we already do."
Lieutenant Governor Kathy Hochul said, “With the activation of the Foreign Trade Zone and the opening of BorderWorx Logistics, we are opening the Niagara frontier to the world markets. As a community on the border, the key to Western New York’s revitalization is making our products available to new markets. This advancement signals the region’s return to a world class business destination.”
Empire State Development President, CEO & Commissioner Howard Zemsky said, "The Western New York Regional Economic Development Council is making targeted investments that build on the unique advantages that area businesses, like BorderWorx, have access to as a result of their proximity to the Canadian border. BorderWorx is committed to expanding in Western New York and New York State is happy to support their continued international success."
NYPA President and CEO Gil C. Quiniones said, "This project has been a genuine team effort. It's a public-private collaboration in which state and local governments have worked together to provide incentives to ensure that BorderWorx not only stays in the U.S. and New York, but also expands and thrives."
Niagara County Industrial Development Agency Chairman Stephen Brady said, "Niagara County is proud that BorderWorx, a company operating from both Canada and the United States, will use this Niagara County location as its access point for the entire United States market. This facility will also serve as a catalyst for reactivation of Foreign Trade Zone #34 and will assist in expansion of manufacturing and logistics operations in Niagara County and all of Western New York."
Assemblyman Angelo Morinello said, "I am proud that Governor Cuomo and the President of BorderWorx Logistics Dean Wood have recognized the strategic importance of our district as a foreign trade zone. The activation of this foreign trade zone will help employ close to 100 jobs here in Niagara County, while also growing our local economy. The teamwork between the state and the private sector to bring business and new economic ventures to Western New York is extremely encouraging and I hope to continue this trend in the near future."
Niagara County Legislature Chairman Wm. Keith McNall said, "We thank BorderWorx Logisitics, LLC for their $3.5 million dollar investment in Niagara County creating 86 new full time jobs and a great commitment to our Economic Development initiatives. BorderWorx Logistics LLC will allow us to assist companies in mitigating costs associated with Trade tariffs and improve our Foreign Trade Zone Marketing."
Started in 2003, BorderWorx was founded in Ontario, Canada by Dean Wood. From his extensive industry experience working with Canada’s largest transportation and customs corporations, Mr. Wood established a number of solutions for the logistics industry that have helped many companies grow their market share. To date, BorderWorx has managed more than $3 Billion in goods across the border and more than 100,000 customs clearances. BorderWorx has offices throughout Canada and the United States, with a keen focus on the northern border. Headquartered in Georgetown, Ontario and Niagara Falls, New York, BorderWorx is able to service both the Canadian and US markets, knowing how to best serve the respective interests.