Monthly Archives: January 2016


Mississippi’s Renewed Gateway to International Distribution

MS Gateway to International Distribution Spread
It’s not enough to provide port services. The port business is competitive and the Port of Gulfport is bringing innovative practices along with significant capital improvements to prepare Mississippi’s port for the next generation of shipping, distribution, and nautical business.

Mississippi Introduces the Silver Lining

From catastrophe to something special. When your cloud does not come with a silver lining, you make one. Staying true to Mississippi’s reputation of seeing a problem and attacking it head on is just what Governor Barbour did after Hurricane Katrina struck in 2005.

Hurricane Katrina devastated the coast, including the Port of Gulfport. Mississippi had the chance to rebuild the port back to its pre-hurricane state, but it was decided to take the damaged port to a whole new level.

Governor Barbour worked with the port and other entities to plan what was to become the silver lining of the disaster of Katrina — a plan that would not only correct the damage, but would take the port to a new level and bring new jobs and economic development to the area in a ripple effect. In the wake of the hurricane, Governor Barbour asked “What can the port be?” and the port authorities put together a plan for “The Port of the Future.” The change in governorship has not lessened the mission or the support. Governor Phil Bryant continues where Governor Barbour left off.

Mississippi’s New Port of Gulfport — The Port of the Future

The City of Gulfport was established in 1887, specifically in order to open the port. One hundred twenty-eight years later, the city and the port are still growing, with plans for a significant step forward.

Still under construction, with some portions of the project not scheduled for completion until 2017, the new Port of Gulfport is already benefiting from completed portions of the planned $570 million development. Plans include shallow and deep channels for shipping, an expanded port, silos, and new warehouses, among other improvements. These upgrades are all part of completing a port to stand strong before its competitors and provide world-class service — leveraging the competitive advantages of Mississippi’s port and its people.

West Terminal Wharf Upgrade

Repairing the damage from Hurricane Katrina is a significant part of the reconstruction efforts, but construction goes far beyond the port of the past. Upgrades include structural and infrastructural improvements to accommodate three state-of-the-art electric-powered rail-mounted ship-to-shore gantry cranes.

Chemours Silos Project

Chemours (formerly DuPont) utilizes the Port of Gulfport to bring in 10 percent of the world’s ilmenite ore for use in creating titanium dioxide at the Chemours facility in DeLisle, Mississippi. Chemours is currently utilizing four silos, and has recently constructed 15 new silos for expansion.

New 300-Acre Wharf Expansion

The upgraded port will have expanded ground (sound) and wharf space for additional docking and operationing capabilities.

Gantry Cranes

Constructed in China by ZPMC, and transported forty-five days overseas, three new, world-class gantry cranes are being added to reduce cargo cycling time and allow the loading and off-loading of containers from the largest of ocean-class cargo vessels.

Additional Port Access

Additional deep and shallow draft access will be part of the completed port.

Expanded West Terminal

An additional 84 acres has added to the size of a very busy west terminal.

Diversification

The revitalization of the port has attracted multiple business lines, and, in addition to adding revenue, the newly acquired tenants have added strength to the port’s operations
through diversification.

1,300 Jobs by 2020

It is estimated that within three years after completion, there will be thirteen hundred new jobs created. To meet this need, the port is working with community colleges, community groups, and youth to prepare for the 2020
job commitment.

Strategic Seaport Designation

In November 2015, the Port of Gulfport was notified by the U.S. Department of Transportation Maritime Administration (MARAD) that the Port had been designated a Strategic Seaport. With this designation, America’s military will be able to utilize the Port for cargo and equipment shipments.

The Commissioning of Naval Ships

The Navy’s newest combat ship, the USS Jackson, was commissioned at the Port of Gulfport on December 5, 2015. The ship is the first to be named after the state of Mississippi’s capital city, and the first ship to be commissioned at the Port.

Strategically, the Port of Gulfport Makes Sense for Business

The port is ideally located geographically, is supported by the state, and has easy access to rail, air, and waterways. The port helps handle administrative issues and navigate regulatory requirements. The speed to permit time is fast.

Jonathan Daniels, Executive Director and CEO of Mississippi State Port Authority at Gulfport explains, “The Port of Gulfport is not as large as ports in Virginia and Long Beach, but it offers the same assets, and in an uncongested manner. The future of economic development is being written by the port by supporting transportation needs for manufacturers throughout Mississippi.

Time Is Money

Pilot-to-dock time is a significant and standard measure in port efficiency. The Port of Gulfport has a Pilot-to-Dock time of 90 to 120 minutes. For comparison, ships docking in New Orleans face a pilot-to-dock time of up to 12 hours one way and require two pilots.

Workforce

Mississippi has a known workforce that embodies virtues of the 1950s. In Mississippi, people value family and honest work, and they take pride in their jobs and their communities.

Says Daniels, “If you haven’t been to Mississippi, wait ‘til you meet the people. People in Mississippi are welcoming — not pretentious. They see differences in others as a point of interest. In other states you have to put incentive programs in place to compensate for environment. In Mississippi you find people with a willingness to make a project work.”

The port community offers flexibility in their longshoreman crew, who are known to work in any way to bring more business to the port and to the community.

The workforce is also supported by a strong workforce development environment. State agencies and the community college system support manufacturers directly with training and education programs developed in cooperation with the manufacturing companies.

Businesses Cast Their Vote of Approval with Commitment

McDermott International

The port serves as a spooling base of operations for oil and gas piping and a marine base of operations for McDermott.

Harvey Gulf (formerly Gulf Coast Shipyard Group)

Utilizes the port for final outfitting of oil and gas offshore supply vessels. Final outfitting typically takes three to six months.

Dole

One of the world’s largest green fruit distributors in the United States has a renewed agreement for up to twenty-three years.

Chemours

Chemours (formerly DuPont) has made a thirty-year commitment (up to sixty years). The company will be utilizing the port for bulk handling and dock operations.

Crowley

This liner container carrier transports everything from automobiles to textiles. Their operations ship from the United States to Central America and back.

Says Daniels, “Look at the businesses that have located here [in Mississippi]. Toyota, Yokohama, and others. What they have found here works with their business models.

“Before I took this job I realized that all of the objectors I spoke with never lived here. I met the governor on the same day that the incentive package for the Yokohama plant was approved. He is a gentleman that loves his state and cares.”

Posted in 2015, Fall & Winter

Mississippi’s Steward for Business – Governor Phil Bryant

GovBryant_Spread7

Mississippi Manufacturing and Workforce Development Strategy

Governor Phil Bryant, Mississippi’s 64th governor, is a known champion for the state’s manufacturing industry. Mississippi is a leader in growth in gross manufactured exports, which rose 259% from 2004 to 2014. Total exports have risen 380% in the last ten years. The governor explains Mississippi’s growth in manufacturing as intentional and part of a long-term plan. To facilitate that plan, Mississippi will need qualified people to fill jobs. That is also part of the plan, says Mississippi’s governor.

Long-term Strategic Direction

As governor, the task of growing a manufacturing economy is a multifaceted effort with heavy influence on legislation and workforce development. While there are short-term gains to be had in growing a manufacturing economy, the most significant gains are realized over decades of dedication with purpose. Strategically, it is an effort that spans governors. Additional foundations still being laid today are done so with planned, long-term success in mind. Says Governor Bryant of the planning process, “We are looking at manufacturing on an 80-year schedule.”

The Importance of Workforce

Mississippi’s central southern location, easy access to sea, land, and air transportation, and pro-manufacturing tax incentives attract the attention of manufacturers. However, without a qualified workforce, a manufacturing company will suffer or fail. The workforce is what secures business long term, and encourages growth at Mississippi locations. Workforce is always critical to any manufacturing operation.

A Comprehensive Plan for Growing the Workforce from the Middle

Says Governor Bryant, “Where workforce is concerned, you have to plan the biggest changes at least ten years ahead.” The governor points out, “We are raising our next workforce.

“We are aggressively implementing education and training programs to grow our mid-level workforce. We are assuring our manufacturing community that they will have an even better educated and better trained workforce in 8 to 10 years and ongoing, based on what we are doing today. Our children in the third grade will be entering the workforce in ten years. Our plan for development begins early.”

The Mid-Level Workforce

Mid-level jobs are jobs that do not necessarily require a four-year degree. Mid-level education is typically a high school education coupled with some college-level courses, such as courses at a community college, or specialized training. Mid-level job opportunities range from welding to robotics.

Manufacturers seek candidates in the mid-level, who have basic knowledge sets, normally including science, technology, engineering, math, and reading comprehension. In some cases, vocational training and certification is also desired or required.

When job candidates do not have the proper training or education, remedial education and training programs have to be utilized to bring workers up to speed. Remedial work takes time, resources, and money. A workforce requiring remedial education is at a disadvantage.

The goal in Mississippi is to prepare candidates before they hit the workforce, beginning at kindergarten. This strategy is designed to significantly bolster the quality of Mississippi’s workforce over time as those students graduate from high school and community colleges and take on careers.

K-12 Education

The state is backing the premise that if children are able to learn to read, they will go on to read to learn.

An individual’s academic career is highly influenced at an early age. The state of Mississippi has targeted a younger academic population and established a Third Grade Gate in the school systems. The Third Grade Gate dictates that no child passes the third grade who is not reading at a third grade level or higher. The Third Grade Gate is meant to prevent a trend of decline that occurs when students are socially passed through this pivotal point in their academic career. The reading skills a student develops by the end of the third grade are critical in developing a foundation for academic development and achievement in successive grades.

Beginning in 2012, funding was established to place reading coaches in schools. The result of this $35.9 million investment is a significant increase in reading performance in the third grade. According to the governor’s office, the percentage of third-grade-level readers in the third grade is 91% as of August 2015. The level of reading improvement is expected to influence the students’ academic careers, future job prospects, and ultimately the quality of workforce as these third graders seek jobs in 10 years.

Having the right teachers also matters. To further incent and keep qualified teachers in teaching positions, Mississippi allocated $110 million for K-12 teacher pay raises over two years, beginning in the 2014-15 school year. The raises will be followed by a statewide school recognition program in 2016-17 that includes financial incentives for schools improving their overall rating by at least one level or maintaining an “A” or “B” rating. Governor Bryant said, “These raises complement our other efforts to raise the bar in Mississippi classrooms, and I thank the teachers and educators who work hard every day to improve student achievement in our state.”

College Level Innovative Partnering

Mississippi manufacturing companies have partnered with local colleges to implement curriculums specifically for their industries. The companies offer financial support, equipment and resources, strategic collaboration on curriculum design, and even personnel to assist with instruction. The programs range from highly specialized certification programs spanning weeks, to integrated two-year degree programs. This directed approach to education ensures participating manufacturing companies have workforce-ready job candidates upon graduation, and that graduates have concrete opportunities to earn a decent, family-friendly income and enjoy a higher quality of life.

Bridging the Gap — Training an Existing Workforce

As of December 14, 2015, the Mississippi Works App reported 41,131 jobs available in the state of Mississippi. Although Mississippi unemployment has dropped to 5.9% (the lowest it has been since December 2007), there are over 75,000 unemployed whose ranks can potentially bolster the mid-level workforce. Says Governor Bryant, “Governor Barbour championed some of these efforts while I served as lieutenant governor. Our mission is to give some hard working Mississippians the opportunity to return to the workforce with respectable incomes and jobs that contribute. The training programs we have put in place do that.”

The governor’s office reports that, in the 12 months from October 2014 to October 2015, the labor force has risen 57,400 from 1.221 million to 1.278 million, and the employed rate has risen 71,000 from 1.132 million to 1.203 million.

Character

One significant advantage Mississippi has as a state is the character of its workforce. Mississippians have earned a reputation for appreciating life and livelihood. The strength of character in Mississippi workers in the manufacturing community is something that regularly draws positive remarks by company leadership. It is also a huge advantage in building the mid-level workforce.

The Importance of Manufacturing to Mississippi

Mississippi is a state that has historically experienced significant success in the industry of manufacturing. That success continues today. Currently, manufacturing accounts for as many as 12% of jobs in Mississippi, and as many as one-third of the jobs in Mississippi are related to manufacturing. Manufacturing not only drives the Mississippi economy, it is the lifeblood for a significant number of Mississippi families. Every manufacturing company and every manufacturing job that is brought into the state represents more than just another income. It is a step forward for the citizens of Mississippi, their families, and their community. Manufacturing is a cornerstone in the quality of life for families across the state.

Governmental support for an industry this vital just makes sense. Well-planned legislation and strong leadership at the state level send a message to manufacturers seeking new locations for operations, as well as to those who have already found home in the Magnolia State.

Comprehensive Workforce Strategy to Secure the Future

The governor has appointed Executive Director of the Mississippi Manufacturers Association Jay Moon as the Chairman of the State Workforce Development Board. Among other duties, Moon will be responsible for developing a comprehensive workforce development plan.

The basic structural goals for the workforce development plan are:

  • Identify our assets
  • Coordinate educational resources
  • Identify training goals for the workplace
  • Design and implement educational programs and initiatives ranging from kindergarten to workforce ready

Manufacturing is a Mississippi Growth Economy

The job base in Mississippi has grown overall, with an emphasis on manufacturing. Even as manufacturing processes become more automated, Mississippi’s manufacturers continue to add to and expand operations, creating even more jobs.

Mississippi is experiencing manufacturing growth across industries and company sizes, from furniture to food to military contractors. A few recent companies, large and small, that have added jobs include:

  • Mars Foods – Greenville – 25 new jobs
  • Ice Industries (steel manufacturing) – Grenada – 100 new jobs
  • Yokohama’s new tire plant will support a community of families

Manufacturing Growth

For a state so heavily invested in the manufacturing industry, growth in that industry trickles out to the entire economy. Mississippi’s manufacturing is not only growing, it is evolving along with the demand for higher technology products, from advanced automobiles to unmanned aircraft.

Growth in Cutting-Edge Technologies

Many of today’s Mississippi manufacturers are in the high technology sector. Two examples are Stion and Raytheon.

In Hattiesburg, Stion, named as a Red Herring Top 100 North America Tech Startup in 2011, manufactures high-efficiency thin-film solar panels. Stion solar panels have been selected for use by three new Mississippi solar farms, to be located in Jackson, Senatobia, and Brookhaven, as part of Entergy’s $4.5 million Bright Future Plan.

In Forest, Raytheon, a manufacturer of the most advanced radar systems in the world, has expanded again and will be outfitting the new Lockheed Martin F-35 Lightning II fighter aircraft, a single-seat, single-engine, all-weather stealth, multi-role fighter that is undergoing final development and testing by the United States military.

A Plan for Sustained Growth

Sustained growth is the expected outcome based on well-laid plans. Mississippi has created an environment that is manufacturing-friendly and is currently executing plans for long-term growth. Mississippi is a state where manufacturers are expanding operations and where new manufacturers are entering the state.

The focus on mid-level workforce development is critical in enabling manufacturers of today and tomorrow to be successful. Workforce development fuels a manufacturing economy. Strategically, it means Mississippi is right where it needs to be and is taking the steps necessary to secure its future in manufacturing.

Governor Bryant sums it up simply by saying, “It’s all about making things.”

Posted in 2015, Spring & Summer