MD Logistics successfully activates FTZ in retail goods warehouse, plans to activate pharmaceutical facility in 2012.
PLAINFIELD, INDIANA May 10, 2011 –MD Logistics, a third party logistics and supply chain management company, now operates under Foreign Trade Zone status. MDL activated FTZ services in the first quarter of this year, enabling its customers to defer duty on raw goods until they are sold or removed from the FTZ. Additionally, customs clearance and service fees are reduced, among other benefits.
MDL joins nearly 20 other FTZ sub-zones in the Central Indiana area. While most are largely manufacturers, MDL is one of the only 3PL’s in the market that can now offer FTZbenefits. “We see this as an opportunity to develop new business in the Indianapolis area, potentially resulting in additional jobs”, stated John Sell, MDL’s vice president.
MDL began the application process in the third quarter of 2010 after a large consumer electronics customer requested FTZ services. Realizing the savings potential for current and future customers, Sell knew it was time to act. “Moving forward with FTZ activation is an enhancement to our overall service offerings and will allow our customers’ goods to flow to market more quickly”, stated Sell. Additionally, any goods imported into an FTZ can be transferred, duty free, to other FTZ’s in the US, Canada and Mexico, until the goods are consumed or re-exported. MDL appointed an FTZ Administrator who oversees all the customs reporting, and ensures that FTZ customers are receiving the highest amount of savings possible.
Initial activation includes 375,000 square feet of retail goods warehouse space. MDL also included in the application process their 200,000 square foot pharmaceutical facility. Being able to import pharmaceuticals directly into an FTZ ensures the quality of the drug supply chain by reducing time spent in transit.. Sell went on to state, “The impact FTZ has on upholding the integrity of pharmaceuticals is vital, and we’re excited to offer that to our customers.” MDL plans to activate FTZ services in their pharmaceutical warehouse by Q1 of 2012.
About MD Logistics:
Founded in 1996, MD Logistics is a global provider of high quality Third Party Logistics Services. Vertical Markets including Life Sciences and Pharmaceuticals, Retail and Consumer Goods and Transportation Services are MD Logistics primary focus. Strategically located in Plainfield, Indiana, nine miles west of the Indianapolis International Airport, MD Logistics provides its clients with comprehensive, integrated supply chain solutions from order entry to final delivery.