The Jacksonville Port Authority announced May 30 that Convoy Beverage Alliance, a Florida-based warehousing and transportation provider for alcoholic beverage companies, has joined Northeast Florida’s Foreign Trade Zone No. 64.
JaxPort said CBA’s 220,000-square-foot Jacksonville warehouse and distribution center in Westside Industrial Park is now eligible for FTZ benefits, including the ability to reduce, defer or eliminate U.S. Customs duties on products imported into the U.S.
FTZ No. 64 is Florida’s largest FTZ by area and provides cost-saving options for importers, JaxPort said in a news release.
“We strategically chose Jacksonville to grow our alcoholic beverage 3PL warehousing business because we’re close to port terminals and there is fast access to national and regional distribution routes from Jacksonville,” said Convoy Beverage Alliance Senior Manager of Brand Development Joseph Ortega in the release.
“We want to provide something unique, solely dedicated to alcoholic brands, and joining JAXPORT’s FTZ allows us to strengthen partnerships with existing and emerging brands, as well as other FTZs to expand and provide more efficiencies to the businesses we serve,” Ortega said.
The city issued a building permit May 1 for Center, Knight & May Contractors LLC to improve space in Westside Industrial Park for Convoy Beverage Alliance. JAA Architecture is the architect.
The project includes new finishes in the office area, relocation of lighting for a new rack layout in the warehouse and installing new rooftop heating and air units at a cost of $554,057.
The project was built in 2003 on almost 11.3 acres at 8558 Westside Industrial Drive.
The building was the BMW distribution center until the company moved to a new building in Westside Industrial Park.
CBAdelivers.com says Convoy Beverage Alliance provides warehousing, storage, shipping and transportation services for liquor, beer and wine brands. Its facilities in California and Florida serve as a hub for national and regional distribution routes.
It has locations in Los Angeles, Jacksonville and Miami.
CBA says it initially began with the purchase of a handful of delivery trucks in South Florida in 2011.
Today, the company has a growing fleet of temperature-controlled vehicles and distribution centers providing full-state deliveries across California and Florida.
JaxPort said Foreign Trade Zones are federally designated areas that are inside the U.S. but legally considered outside of U.S. commerce.
By joining the zone, Convoy Beverage Alliance can defer U.S. Customs’ duties until the imported products clear the zone.
JaxPort said CBA’s customers include wineries, alcohol importers, wholesalers, producers and private collectors who import from all over the world.
CBA helps facilitate the beverages’ final delivery to their destination from the warehouse.
JaxPort Foreign Trade Zone Manager Justin Ryan said the partnership will attract more business to Northeast Florida.
JaxPort said FTZ 64 covers more than 5,000 square miles throughout 10 counties in Northeast Florida: Eastern Alachua, Baker, Bradford, Clay, Columbia, Duval, Flagler, Nassau, Putnam and St. Johns counties.
It said FTZ No. 64 operates under the Alternative Site Framework, which allows warehouses, distribution centers and manufacturers within any of the 10 covered counties to use zone benefits while operating in their existing facilities.
For example, an FTZ can be as small as a single room within a building or as large as a warehouse or entire manufacturing plant, the release said.
Any company within the 10 counties wanting to take advantage of FTZ benefits must apply through JaxPort and receive designation from the U.S. Foreign-Trade Zones Board and then with U.S. Customs and Border Protection for activation to be an FTZ operator.
The process typically takes less than 60 days, JaxPort said.