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Rail News: Logistics

TCI Plastics to build rail-served logistics facility at New Orleans port

Louisiana Gov. Bobby Jindal and Jensen Cos. Chief Executive Officer Jack Jensen on Monday announced the development of a new 500,000-square-foot logistics facility for Jensen Cos.' TCI Plastics division at the Port of New Orleans.

TCI Plastics plans to begin construction in mid-2014 and complete the facility in third-quarter 2016. The facility will increase the company’s ability to package and ship PVC resin and polyethylene, and add manufacturing capability to produce plastic film on site to package the products, according to Jensen Cos.

As part of the project, TCI Plastics will acquire 32 acres from the port for $3.1 million to provide space for the new building and future expansions. The next expansion will enable the company to build a state-of-the-art facility with access to the New Orleans Public Belt Railroad Co., which serves the port, Jindal and Jensen said in a press release.

To secure the project, the state of Louisiana offered a competitive incentive package that includes an $800,000 performance-based Economic Development Award Program grant that will be used to offset the costs of building a rail spur connecting the TCI facility to the New Orleans Public Belt Railroad. That rail line provides access to six Class Is at the port.

"Here at one of the world’s greatest port cities, we are encouraging the expansion of major logistics facilities that will capture the tremendous growth we’re seeing in our state’s chemical industry," said Jindal.

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More News from 4/30/2014