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                           DEPARTMENT OF COMMERCE

                               (Docket 22-93)

    Foreign-Trade Zone 121--Albany, NY; Application for Subzone; Sanofi  
Winthrop Pharmaceutical Plant, Rensselaer, NY (Albany Area)

                          Wednesday, June 16, 1993

An application has been submitted to the Foreign-Trade Zones Board (the 
Board) by the Capital District Regional Planning Commission, grantee of 
FTZ 121, requesting special-purpose subzone status for the pharmaceutical 
manufacturing facility of Sanofi Winthrop L.P. (joint venture between Elf 
Sanofi (France) and Sterling Winthrop Inc./Eastman Kodak Company, 
hereinafter referred to as Sanofi Winthrop) in Rensselaer, New York, within
the Albany Customs port of entry. The application 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 June 1, 1993.

Sterling Winthrop is a global pharmaceutical firm whose primary product
lines include: Diagnostic imaging agents, hormonal products,
cardiovasculars, analgesics, antihistamines and muscle relaxants. In 1991,
Sterling Winthrop and Elf Sanofi, a French pharmaceutical and health care
products company, formed the Sanofi Winthrop alliance to jointly develop,
manufacture and market products worldwide. This proposal is part of an
overall company cost reduction effort. (An application is pending for its 
Barceloneta, Puerto Rico plant (FTZ Doc. 18-93, 58 FR 29192, 5-19-93) and
applications for subzone status are being submitted for facilities in
McPherson, Kansas and Des Plaines, Illinois).

Sanofi Winthrop's plant (23 acres, 21 bldgs., 261,000 sq. ft.) is located
at 33 Riverside Avenue, Rensselaer (Rensselaer County), New York, east of
Albany, on the Hudson River. The facilities (200 employees) are primarily
engaged in the production of bulk pharmaceutical chemicals including
Iohexal used in the production of "Omnipaque" diagnostic imaging agent, and
Hydroxychloroquine Sulfate used in the production of "Plaquenil", a
medication for rheumatoid arthritis. Company officials are also considering
using the plant to produce oncology, cardiovascular and certain other
diagnostic products. Most of the bulk chemicals are shipped to company
plants in Barceloneta, Puerto Rico and McPherson, Kansas for further
processing. Foreign-sourced materials account for 60 percent of the
finished products' value, on average, and include primarily
aminopropanedial and acetybutyrolactone at this time. The company may also
purchase from abroad products in the following general categories: Empty
pharmaceutical capsules, yttrium or scadium metal compounds, hydrocarbons,
alcohols, phenols, ethers, epoxides, acetals, aldehydes, ketone function
compounds, mono- and polycarboxylic acids, phosphoric esters, amine-,
carboxymide, nitrile- and oxygen-function compounds, hydrazine or
hydroxylamine, heterocyclic compounds, sulfonamides, vitamins, hormones, 
vegetable alkaloids, blood/vaccines/toxins/cultures, sugars, antibiotics,
gelatins, enzymes, packaging, medical instruments/appliances and parts
thereof, medicaments, and other pharmaceutical products.

Zone procedures would exempt Sanofi Winthrop from Customs duty payments on
foreign materials used in production for export. On domestic sales, the
company would be able to choose the duty rates that apply to the finished
products (duty-free to 16.2%, with most falling in the 6.3%-6.9% range).
The duty rates on foreign-sourced items range from duty-free to 23.5
percent, with most falling with the 3.7%-7.9% range. The application
indicates that zone savings will help improve the plant's international

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 the address below. The closing period for their receipt is 
August 16, 1993. Rebuttal comments in response to material submitted during 
the foregoing period may be submitted during the subsequent 15-day period 
(to August 31, 1993).

A copy of the application and accompanying exhibits will be available for
public inspection at each of the following locations:
Office of the Port Director, 
U.S. Customs Service, 
Port of Albany, New York, 
James T. Foley Courthouse Building, 
445 Broadway, 
Albany, New York 12207.

Office of the Executive Secretary, 
Foreign-Trade Zones Board, 
U.S. Department of Commerce, room 3716,
14th & Pennsylvania Avenue, NW., 
Washington, DC 20230.
Dated: June 4, 1993.

John J. Da Ponte, Jr.,

Executive Secretary.

(FR Doc. 93-14233 Filed 6-15-93; 8:45 am)