MISSOURI: The Perfect Center
in the future,” Kinsey says. Demand for that property could increase if leaders in the region succeed in an initiative to make St. Louis an entry port for air freight from China. “With its central location and multi- modal access, St. Louis makes sense as a distribution point for any goods freighted
in from China,” says Christopher Chung, president and CEO of The Missouri Partnership, a statewide economic devel- opment group. Federal, state, and local officials, Chinese government officials, and poten- tial business partners have exchanged visits to explore this initiative over the
past few years. Now participants are dis- cussing what sort of freight would fly in from China, what kinds of facilities would be needed to distribute it from Lambert International, “and what kind of freight could be received from throughout the Midwest and loaded on a plane back to the Chinese market,” Chung says.
KANSAS CITY METRO: Roads, Rail Add Up to Big Business
Saint Joseph is working on several fronts to attract new busi- nesses. “We are in the process of developing a state-of-the-art business park that will have a number of fully served industrial and business park sites,” Lau says. Businesses that locate in the city can benefit from the Buchanan County Economic Development Loan Fund, which offers forgivable loans. “We also are aggressive in using Chapter 100 bond financing to offset development costs through tax abatements,” he adds. One company that recently took advantage of Saint Joseph’s busi- ness incentives is Boehringer Ingelheim Vetmedica, Inc., a producer of biological and pharmaceutical products for livestock and pets. “Last September, they announced a $150-million expansion on their campus over a five-year period,” Lau says. In Liberty, another community in the Kansas City metro, work force quality and development are big selling points. “Businesses in Liberty consistently praise the local work force,” says Alicia Stephens, direc- tor of the Partnership for Community Growth and Development in Liberty. “It’s stable and dependable. Most of the companies tell us that their turnover is non-existent.” Strong collaboration among organizations focused on work force training and development and higher education make it easy to con-
For firms with distribution centers in the market, transportation infrastructure is one of Kansas City’s main attractions. “Kansas City has more per-capita highway miles than any other city in the country,” says Chris Gutierrez, president of economic development group Kansas City SmartPort. But these aren’t the clogged highways you find in Los Angeles or New York. In a 2007 Texas Transportation Institute study of congestion problems in 90 U.S. urban areas, the Kansas City metro area ranked only 47th in terms of hours lost to traffic delays. Kansas City also boasts an abundance of trucking terminals, and is the largest rail center in the country by tonnage. Add the area’s air and barge capacity, and the resulting competition makes for particularly favorable transportation rates, both into and out of the city. Kansas City’s position in the heart of the heartland makes it a per- fect distribution node, not only for domestic transportation networks but for international trade. “Kansas City is one of the largest customs ports for an inland city,” Gutierrez says. “It also has more foreign trade zone space than any other city.” The benefits of conducting international trade through Kansas City are obvious to Stephen Puleio, southwest regional manager for Phoenix International, an international freight forwarder, non-ves- sel-owning common carrier (NVOCC), and customs broker based in
nect employers with resources they require. “If an employer mentions that they need to do some new equipment training, I know exactly which contact to give them,” Stephens says. Resources in the area include the Full Employment Council and the Metropolitan Community College System’s Business and Technology College, which offers businesses customized training. Kansas City-based Hallmark oper- ates a distribution center in Liberty. Close by stands Heartland Meadows, a 260- acre light industrial park located near U.S. 69 and I-35 and adjacent to a BNSF line. Companies in the park include RR Donnelly (formerly Banta Publications), O’Dell Publishing Company, Continental Disc Corp., Shaped Steel, and Wear-Concepts.
Chicago. Compared with larger cities, he says, it’s remarkably easy to conduct inter- national trade in Kansas City. Phoenix employees have established good working relationships with local officials at federal agencies such as U.S. Customs and Border Protection, and the Transportation Safety Administration. Surrounding communities offer many of the same benefits as Kansas City. Saint Joseph is an easy 35-minute drive from Kansas City International Airport and is convenient to I-29 and U.S. 36. “Our busi- ness parks are located only about five minutes from the Highway 36 and I-29 intersection,” says Brad Lau, senior vice president, economic development, of the Saint Joseph Area Chamber of Commerce.
TRAINING CAMP: Kansas City ranks as the country’s largest rail center by tonnage.
86 Inbound Logistics • September 2009
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