[Federal Register Volume 69, Number 33 (Thursday, February 19, 2004)]
[Notices]
[Pages 7723-7724]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-3643]


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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

[Docket 3-2004]


Foreign-Trade Zone 193--Pinellas County, Florida; Expansion of 
Manufacturing Authority--Subzone 193A, Cardinal Health 409, Inc. 
(Gelatin Capsules/Pharmaceutical Products), Pinellas County, Florida

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Pinellas County Board of County Commissioners, 
grantee of FTZ 193, requesting to expand the scope of manufacturing 
authority under zone procedures within Subzone 193A, at the Cardinal 
Health 409, Inc. (formerly R.P. Scherer Corporation) facilities in the 
St. Petersburg/Clearwater area (Pinellas County), Florida. It was 
formally filed on February 10, 2004.
    Subzone 193A was approved by the Board in 2000 at 4 sites (42.1 
acres) in the St. Petersburg/Clearwater area (Pinellas County), with 
authority granted for the manufacture of soft gelatin capsules and 
certain pharmaceutical products (Board Order 1117, 65 FR 54196, 9/7/
2000). The scope of authority under zone procedures at Subzone 193A was 
recently expanded (Board Order 1282, 68 FR 53344, 9/10/03).
    Subzone 193A (754 employees) is currently requesting to further 
expand the scope of authority for manufacturing activity conducted 
under FTZ procedures to include a broad range of inputs and 
pharmaceutical and nutritional final products. Categories of inputs 
include edible products of animal origin, dried vegetables, alfalfa, 
vegetable saps and pectins, various seed (including soybean oil), nut 
and vegetable oils, margarine, animal fats or oils, liver extract, food 
preparations, protein concentrates, chromium and manganese oxides, 
sulfates, phosphates, silicates, salts of oxometallic acids, acyclic 
hydrocarbons, acyclic/cyclic/ether alcohols, ketones and quinones, 
mono- and polycarboxylic acids, anisidines, amino acids, carboxymide-
function compounds, quaternary salts, lecithins, saccharin, organo-
sulfur compounds, heterocyclic compounds, nucleic acids, sulfanomides, 
glycosides, chemically pure sugars, essential oils of citrus fruit, 
other essential oils, perfumes and toilet waters, gelatin, rosin and 
resin acids, industrial fatty alcohols, prepared binders, silicones, 
cellulose, natural polymers, and worked vegetable or mineral carving 
material. Materials sourced from abroad represent some 30%-40% of 
material inputs.
    The applicant is also requesting authority to use zone procedures 
to ship from the plant the inedible gelatin (HTSUS 3503.00.20.00) 
resulting from the manufacture of soft gel capsules from foreign edible 
gelatin (HTSUS 3503.00.55.10) and to manufacture vegetable-based 
capsules from imported and domestic carageenan (HTSUS

[[Page 7724]]

1302.39, duty rate, 3.2%) and starch (HTSUS 3912.90, duty rate, 5.2%).
    Zone procedures would exempt Cardinal from Customs duty payments on 
foreign materials used in production for export. Up to 5 percent of the 
plant's shipments are currently exported. On domestic shipments, the 
company would be able to defer Customs duty payments on foreign 
materials, and to choose the duty rate that applies to finished 
products (primarily duty-free, but up to 10%) instead of the rates 
otherwise applicable to the foreign input materials (duty free--
19%)(noted above). The application indicates that the savings from zone 
procedures would help improve Cardinal'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 April 19, 2004. Rebuttal 
comments in response to material submitted during the foregoing period 
may be submitted during the subsequent 15-day period (to May 4, 2004).
    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, 14010 
Roosevelt Blvd., Suite 704, Clearwater, Florida 33762.

    Dated: February 10, 2004.
Dennis Puccinelli,
Executive Secretary.
[FR Doc. 04-3643 Filed 2-18-04; 8:45 am]
BILLING CODE 3510-DS-P