With Nissan’s announcement last month of its intent to build a $930 million
automotive plant in Madison County, which would employ up to 4,000 workers
when it opens in May 2003, economic developers are optimistic about its
impact in the Delta.
“Anytime we have a great success story in economic development, I think we
see more companies considering our state and recognizing the quality we
have,” says Janie Mortimer, executive director of the Tate County Economic
Foundation.
Mark Manning, director of development for the Delta Council, says even
though the incentive package to entice the international automaker was
costly, it was worth the price.
“Anything worth having is worth its price,” Manning says. “It will be both a
blessing and a challenge for existing manufacturers.  Numerous companies
will have the opportunity to bid on supply jobs or second tier supply work.
At the same time, the bar has been raised in terms of quality, on time
delivery, et cetera. Our first job as economic developers is to see that as
many dollars as possible remain in circulation here as long as possible.”
Mortimer says the new Nissan facility in Madison County will benefit the
entire state with the visibility and positive perception it generates and
that “the Delta will benefit from that as well.”
In the Delta, 535 manufacturing plants employ 42,808 people, representing
16% of the manufacturing jobs and plants in the state. The largest
manufacturers in the Delta include Baxter Healthcare Corp., with 1,100
employees, and Cooper Lighting, with 1,075 workers.
“The Mississippi Delta is known as an agricultural region, but manufacturing
has a strong presence,” says Jerry McBride, president of the Mississippi
Manufacturers Association. “While we’ve seen a 22% growth in manufacturing
employment, from 1990 to 1998, we’ve seen a 160% growth in manufacturing
wages.”
Earlier this year, a $12 million BMW warehouse and distribution center
opened in Senatobia Industrial Park and already employs nearly 50 workers.
That number will eventually increase to approximately 75 employees, who are
paid between $10 and $12 per hour.
“The Delta already has several automotive related manufacturing facilities,”
Mortimer says. “With this new manufacturing facility, automotive parts
distribution facilities in DeSoto and Tate counties, I think we are gaining
solid ground in this industry.”
Michael Ray, director of the Greenville Technical Center,  says workforce
training will hold the key to the impact of the Nissan plant in the Delta.
“It could show the world that Mississippi has a world class workforce and is
willing to do whatever it takes to showcase it,” Ray says. “What the far
reaching impact on the area will be is hopefully a flux of industry coming
into Mississippi and hopefully including the Delta region.”
Nissan’s arrival, the proposed I-69 in the region, and the close proximity
of the Mississippi River to the area should also aid in companies choosing
the Delta as a future home, Ray says.
    “The Delta could be poised for growth in manufacturing with the emphasis
given to the region in the recently passed economic development incentives
in Gov. Musgrove’s Advantage Mississippi Initiative,” McBride says.
In late August, the governor called a special session to pass the Advantage
Mississippi Initiative, which arms economic developers with additional
incentives to attract new business and industry.
Effective Jan. 1, the AMI’s Growth and Prosperity Act will offer temporary
relief from property, franchise, income and sales taxes to certain
businesses in designated counties, with tax exemptions that could last 10
years or until Dec. 31, 2015, whichever is first.
Amendments to the Jobs Tax Credit Program and Basic Skills Training Tax
Credit Program are also effective then, providing employers with a 50%
income tax credit for providing certain basic skills to employees, with
training provided or approved by the employer’s community and junior college
district..
In early November, Musgrove called a second special session to pass specific
incentives to seal the deal with Nissan.
Even though the automaker will benefit primarily from the latest incentives,
aimed at corporations with at least a $750 million investment that will
employ at least 3,000, the Delta has certainly gained an advantage, says
Cliff Brumfield,  executive director of the Greenwood-Leflore Industrial
Board and the Greenwood-Leflore-Carroll Economic Development Foundation.
“In Greenwood, we’re excited because we already have a substantial presence
in the OEM automotive supply industry with Irvin Automotive and Supreme
Electronics,” says Brumfield. “Our community has several industries that
utilize automotive-based technologies in metal fabrication, plastics, and
component manufacturing.  We’re supplying parts to Toyota, Ford, General
Motors, Chrysler, and others several states away.  Surely having an assembly
plant just 75 miles down the interstate will be an even greater advantage.”