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                             DEPARTMENT OF COMMERCE 
                           Foreign-Trade Zones Board 
 
                               [Docket No. 25-87] 
 
                                  52 FR 42328 
 
                                November 4, 1987 
 
 
Proposed Foreign-Trade Zone and Citrus and Food Product Processing Subzones,
Weslaco, TX; Application and Hearing 
 
TEXT: An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the City of Weslaco, Texas, requesting authority to establish
a general-purpose foreign-trade zone and food processing subzones in 
Weslaco, Texas, adjacent to the Progreso Customs port of entry. It was 
submitted pursuant to the provisions of the Foreign-Trade Zones Act, as 
amended (19 U.S.C. 81a-81u), and the regulations of the Board (15 CFR Part
400). It was formally filed on October 21, 1987. The applicant is authorized
to make this proposal under Senate Bill 1427, State of Texas, 69th 
Legislature, (July 24, 1985).  
 
   The proposed general-purpose zone will involve two sites in Weslaco, some
40 miles northwest of Brownsville (FTZ 62) and 20 miles east of McAllen (FTZ
12), on the U.S./Mexican Border. Site 1 (440 acres) is the Mid Valley 
Industrial Park located at Airport Drive and U.S. Highway 83. The facility 
includes the Weslaco Mid Valley Airport and the Hagger Apparel Co. complex.
A 125,000 sq. ft. building is under construction. Site 2 (52,000 sq. ft. 
warehouse) is the Lake Delta Citrus Association site, located at 320 S. 
Utah. 
 
   The general-purpose zone part of the application contains evidence of the
need for general-purpose zone services in the Weslaco area. Several firms 
have expressed an interest in using zone procedures for the storage and 
processing of articles such as agricultural products, plastics and apparel.
No specific manufacturing approvals are being sought for the general-purpose
zone sites at this time. Such requests would be made to the Board on a case 
by case basis.  
 
   The proposal also requests authority for three subzones for food 
processing operations. Two of them have facilities for inspection, sorting
and packing fresh fruits and vegetables from the United States and Mexico 
for reexport and for the domestic market. These sites are located in Weslaco
at the McManus Produce Company facility (9.5 acres), Highway 83/Airport 
Drive, and the Gulf DeBruyn facility (5.3 acres), 504 East Railroad Street. 
The third subzone is at the Texsun Corporation facility (35 acres), located
at Border Avenue/Railroad Street. It is used to blend, dilute, and package
both concentrated and single strength grapefruit and orange juices sourced
abroad. 
 
   Zone procedures would allow the food processing subzones to avoid Customs
duty payments on foreign products that are reexported. On domestic shipments
the companies would be able to defer duty payments and avoid them on spoiled
products. At the third site Texsun wishes to use zone procedures to pay the 
duty rate on single strength citrus jucie (20~ per gallon). The duty rate on
concentrated jucie is 35~ per single-strength-gallon equivalent.  
 
   In accordance with the Board's regulations, an examiners committee has 
been appointed to investigate the application and report to the Board. The 
committee consists of: Dennis puccinelli, (Chairman), Foreign-Trade Zones 
Staff, U.S. Department of Commerce, Washington, DC 20230; Don Gough, Deputy
Assistant Regional Commissioner, Inspection & Control, U.S. Customs Service,
Southwest Region, 5850 San Felipe St., Houston, TX 77057-3012; and Colonel
John A. Tudela, District Engineer, U.S. Army Engineer District Galveston, 
P.O. Box 1229, Galveston, TX 77553-1229. 
 
   As part of its investigation, the examiners committee will hold a public
hearing on December 9, 1987, beginning at 10:00 a.m., in the auditorium of
the Weslaco Public Library, 525 South Kansas Avenue, Weslaco, TX 78596. 
 
   Interested parties are invited to present their views at the hearing. 
Persons wishing to testify should notify the Board's Executive Secretary in
writing at the address below or by phone (202/377-2862) by November 30. 
Instead of an oral presentation, written statements may be submitted in 
accordance with the Board's regulations to the examiners committee, care of
the Executive Secretary, at any time from the date of this notice through 
January 11, 1988.  
 
   A copy of the application is available for public inspection at each of
the following locations: 
 
 
Office of the Port Director, 
U.S. Customs Service, 
Rt. 2 Box 600, 
Progresso, TX 78579 
 
 
Office of the Executive Secretary, 
Foreign-Trade Zones Board, 
U.S. Department of Commerce, Room 1529, 
14th and Pennsylvania Ave, NW., 
Washington, DC 20230  
 
   Dated: October 28, 1987. 
 
 
John J. Da Ponte, Jr., 
 
   Executive Secretary.   
[FR Doc. 87-25564 Filed 11-3-87; 8:45 am] 
 
   BILLING CODE 3510-DS-M