Ocean Spray moving to PA, says NJ too expensive
Ocean Spray is moving its South Jersey cranberry works to the Lehigh Valley
Ocean Spray moving to PA, says NJ too expensive
Joseph N. DiStefano
Ocean Spray plans to close its 250-worker cranberry concentrate processing plant in Bordentown, Burlington County, in September 2013, and move it to Lehigh or Northampton counties in Pennsylvania, Ocean Spray spokesman John Isaf told me.
Why now? Bordentown "is the oldest and highest-cost facility" still run by the Massachusetts-based Ocean Spray growers' group, and it's been looking for a new location "for several years," Isaf says. Why the Allentown-Bethlehem area? Because it's America's Warehouse, or, as Isaf puts it, "a leading transportation hub," on the free Interstates that link Atlantic ports with I-80 and other roads east and west, north and south. Pennsylvania also offers lower power, water and trucking costs.
Are Pennsylvania taxpayers helping grease the move? "We are still looking at what programs may be available in PA," but the move "did not rest on what tax or economic incnetives are available." Rather, "the new location will have lower utility and transportation costs," it's closer to suppliers and customers, it's as cheap to build as it would be to renovate Bordentown, and operating costs are so much cheaper in PA that the difference is "too large to ignore."
Won't it cost more to truck Chatsworth cranberries all the way to the Allentown-Bethlehem area? "We don't ship (Jersey) cranberries directly to Bordentown," says Isaf. Instead they go to the Ocean Spray juice concentrate plant in Middleboro, Mass. The concentrate comes back to Bordentown "in tankers for blending and bottling."
What happens to the 250 non-union workers in Bordentown? Ocean Spray promises "the most generous incentive, relocation and transition packages in our cooperative's history." No details yet.
Burlington County Times has comments from upset Bordentown town fathers.
welcome to business-friendly Pa.— oliver north
Governor Corbett is a godsend.— tr88- Welcome to PA, Ocean Spray. We're glad to have you.— aviator
Comment removed.- This move was planned during the Corzine misadministration. Maybe Chris Christie will talk them out of leaving NJ.— LJM
- Should anyone be surprised that they want to flee the state run by the incompetent, overweight Republican Governor? This is what you get when Republicans are in power: lost jobs, bad economy, and lost hope. Nut you sheep keep voting for the Republicans, who are destroying New Jersey.— eldiablodelsol2009
- The liberals can post their hate filled comments about Christie, but it is their love of high taxes and big government, which Christie or anyone couldn't possibly harness quickly, that is sending businesses like these out of the state. Thanks, NJ liberal Democrats - you reap what you sow.— fafafooey
- Comment removed.
- @Jimmyjamesjames - Lol, apparantly, just like your lack of fundamental economic knowledge, your idiocity knows no bounds either. OceanSpray leaving NJ is one more example of why your philosophies are severely flawed. Need proof? Ask the 250+ employees at the NJ plant who either need to relocate or lose their jobs...dumb*ss.— Citizenc92
Gov Christie has had an entire year to raise the cost of doing business in NJ, and the fruits of his labors are to chase business to PA. Thanks to Ed Rendell, who spent the last decade building up PA's economic strength.- hi there,
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thanks, David
— zdavid - Chatsowrth NJ grown can berries are shipped to Massachusetts and then back to Bordentown NJ is insanely inefficient.
Welcome to capitalism.
Of course this will all change when diesel is $20 per gallon and more.— Bill Wolfe
