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‘Choosing Pennsylvania’: Officials offer details on plan for agri-business in Muncy

New Jersey-based agri-business manufacturer has purchased a Muncy facility and anticipates 69 new full-time jobs with possible expansion of its staff to eventually create hundreds of jobs once the plant begins operation in a year.

Officials with Farmplast LLC of Parsippany, Wednesday joined state Agriculture Secretary Russell Redding, Brent Vernon, senior Project, and Account Management Business PA – state Department of Community and Economic Development, state Sen. Gene Yaw, R-Loyalsock Township, and state Rep. Joe Hamm, R-Hepburn Township, inside the approximate 200,000 square foot building at 100 Sherman St.

The firm manufactures milk crates, bread trays, and totes for the pharmaceutical and magazine industries, using injection molding machines that will be at the plant, trucking the products to users across the state and nation, said Eric Lomak, plant general manager.

Farmplast lists itself as the number one supplier of authentic milk crates in the United States.

Most of the company’s products provide for the protection and transportation of milk, breads, glass bottles and eggs, the company website said.

“We manufacture all of our milk crates in-house in accordance with the latest industry standards, using the finest quality resins. Available in a wide range of colors, shapes and sizes, our milk crates are not only versatile but affordable too.

“We started off making milk crates, bread trays, pallets and totes,” Lomak said.

Three quarters of the company’s raw materials are recycled plastic, making it good for the environment. This facility is about four times the size of the existing Parsippany plant.

“We plan to make four times the production,” he said.

That means hundreds of jobs, a lot of revenue for the state and for families in Pennsylvania, he noted. Already, at least 14 area companies were attributed to having helped get the facility to this point where it can begin to bring in the equipment and prepare for operations.

“We are proud to supply individuals and businesses all over the country with first class storage solutions, designed to stand the test of time,” a corporate statement said.

“I like this project particularly because it brings together a couple of things inside of our state economic development strategy,” Redding said.

“The beauty is in the connections between manufacturing, the life sciences, energy, and robotics,” Redding said, who observed the massive interior of the empty plant.

“I look around and see this cave of space and you guys have a vision for making product and adding value, and it’s a really cool thing,” Redding said.

He thanked the family owners and operators.

“Thank you for choosing Pennsylvania, you could be anywhere in this country and you’re here in Pennsylvania.”

That selection of plant location was not missed on Redding and the Business PA team.

“This is about a food system,” Redding said. “This is about milk and dairy,” or “raw products,” he said, adding, “We don’t often talk about all of that other infrastructure that goes with product distribution.”

Certainly, crates are a big piece of that infrastructure.

“I love it when the things that I buy are really in great form when I get them,” Redding said.

In a sense, crates not only support the product, but these high-quality jobs will further support the economy of the region.

“Since taking office, the administration of Gov. Josh Shapiro has competed for and won over $32.5 billion in private sector investments that are creating more than 18,000 new jobs and driving economic growth across the state,” Redding said.

“With historic investments in site development, a commitment to cutting red tape, and an aggressive approach to recruiting companies to locate here, our strategy is delivering real results,” Shapiro said in a statement.

“Governor Shapiro is committed to making it easier to do business in Pennsylvania for our farm, forest, and food businesses,” Redding said.

“Investments like this have real impact — they strengthen the supply chain that our farm and food businesses rely on every day, and they bring new opportunity to rural communities,” he said.

Farmplast’s expansion in Lycoming County means more good jobs, more reliable access to the products that keep food moving safely, and a stronger agriculture economy that benefits producers and consumers across the Commonwealth,” Redding said.

The company will put $8 million of its own capital investment. The Commonwealth is putting in another $4 million into creating agriculture and manufacturing jobs, Vernon announced.

The company received a funding proposal from DCED for $3.5 million through the Pennsylvania Industrial Development Authority loan program and a $500,000 Pennsylvania First grant.

About 75 % of their customers are based in Pennsylvania.

The state offers location, the workforce and business climate tailor made for success for businesses such as Farmplast, Vernon said.

“Under the leadership of Gov. Josh Shapiro, we’re doubling down on our strengths,” he said.

In a 10-year economic development strategy five key industries were seen as real drivers of growth to the state’s economy, including manufacturing and agriculture,” Vernon said.

“We’re proud to support this project through Business PA and a dedicated group of economic development professionals who are laser focused on growing existing businesses and attracting new companies to the Commonwealth like Farmplast,” Vernon said. From Business PA Vernon recognized Bruce Reddick of the team for working with Farmplast to bring this much-needed investment to Lycoming County.

The $4 million in state funds is to ensure the facility has all the resources it needs to be successful in Muncy.

“With the announcement of Farmplast we are planting another flag and showing the world how Pennsylvania gets it done,” Vernon said.

Folks will have jobs in Muncy and Lycoming County and nearby residential options.

The former Muncy Mills building fronting Water Street will be demolished and apartments will be built, able to house 25 to 30 employees at the start, said Lomak’s brother, Tony.

“This project pushes a whole lot of buttons for me that I have been involved in,” Yaw said.

Yaw, who chairs the state Senate Environmental Resources and Energy Committee,

and supports companies that use recycled materials.

Yaw also is a member of the state Senate’s Agriculture Committee and gets the chance to work on ag-projects with the secretary, frequently.

The other reason Yaw said a project like this hits home is he chairs the organization – The Center for Rural Pennsylvania. The center’s population projection for the state indicates between now and 2050 the state will grow a very, very small percentage.

The most interesting part of the study for Yaw is reflective of the five counties he represents: Lycoming, Union, Sullivan, Bradford, and Tioga.

Every one of those counties between now and 2050 is projected to lose population. That, however, assumes the status quo is maintained, he added.

Farmplast not only brings new jobs but also an expansion in what is happening in the region and across the state, he said.

It is really appreciated that companies will come to this area of the state and establish new businesses, Yaw stressed.

“I think we have a lot of things going for us, especially a dedicated and experienced workforce,” he said.

Part of the information Yaw shared, that the Center for Rural Pennsylvania has, is that 73 % of the state’s population lives in 19 counties.

That means the other 27% lives in the other 48 counties.

“Having a company come here, do business using recycled materials benefiting the farming industry, benefiting agriculture – that is nothing but a plus for all of Pennsylvania, and especially, for rural Pennsylvania,” Yaw said.

Lester Marshall, a plant manager for Valley Farms has been a valued customer of the company. He said he considered the new facility as a sign of growth and opportunity to the entire community. He noted how as a customer, Farmplast, can be asked in short order for products and it will deliver them on time.

“Having Farmplast will strengthen the cooperation, improve efficiency, and create new jobs that will benefit local families here, which is always good,” Marshall said.

“It’s an important part of becoming self-reliant , self dependent and not relying on foreign adversaries” for this technology and product, Lomak said.

The firm will be operating seven-days-a-week, 24-7, he said, with exception of holidays.

“We’re going to bring back jobs and bring back manufacturing to the great state of Pennsylvania.”

Moreover, the manufacturing and agriculture industries are crucial to Pennsylvania’s economy, contributing more than $116 billion and $132.5 billion each year, respectively.

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