New Jersey Considers Economic Development Incentives For Blue Anchor Eggo Plant

At its meeting, the Board of the New Jersey Economic Development Authority will consider approving Grow NJ tax incentives for nine projects.

Eggo

Eggo (photo – Don Nunn/flickr)

One of these projects is a proposed expansion by The Eggo Company at its manufacturing plant in Blue Anchor, NJ.

The Eggo Company is a part of the frozen foods division of the Kellogg Company, and one of their few plants that provide Eggo products for customers nationwide. The history of the plant dates back to 1959, when Eggo frozen waffles were first introduced in supermarkets by the Dorsa brothers. Other Eggo plants are located in San Jose, CA; Atlanta, GA; and Rossville, TN.

The Kellogg Co. acquired The Eggo Company in 1968, and turned it into an iconic product with the L’eggo my Eggo advertisements. Eggo controls around three-quarters of the frozen waffle market in the United States. An upgrade-related shutdown at the Blue Anchor Eggo plant would raise prospects of another Eggo shortage like the one in 2009 when the Tennessee plant was undergoing maintenance, and flooding shut down the Atlanta plant.

Kellogg’s has applied to the NJEDA for tax incentives under the Grow NJ program to support their expansion plan at the Blue Anchor plant. The project is eligible for bonus increases to the tax credit award due to the location of the plant as a targeted manufacturing industry in a distressed locality, , and the presence of on-site solar generation and other green practices.

The NJEDA will consider approving an estimated Grow NJ annual award of $944,000 for a 10-year term for The Eggo Company expansion, resulting in tax incentives of up to $9.44 million over this period.

The other projects that the NJEDA Board will be considering for approval of Grow NJ awards include:

GBT III US LLC – This is the Global Business Travel unit of American Express. GBT III US LLC is considering locating a project in Jersey City, NJ. To encourage the applicant to make an investment and locate in Jersey City, NJEDA will consider approving an estimated Grow NJ annual award of $1,827,500 for a 10-year term.

HelloFresh – The Berlin, Germany-based food service company, which delivers meals at home to customers all over the world, is considering an investment at two projects in Newark, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $1,197,338 for a 10-year term for the project located at 2 Gateway, and an estimated Grow NJ annual award of $2,512,904 for a 10-year term for the project located at 60 Lister Avenue.

FC USA Inc. – The company is considering making a capital investment for a project located in Montvale Borough, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $759,375 for a 10-year term.

Innocor, Inc. – The company is considering making a capital investment for a project located in Red Bank Borough, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $332,500 for an 8-year term.

NICE Systems, Inc. – The company is considering making a capital investment for a project located in Hoboken City, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $2,280,380 for a 10-year term.

SunGard Data Systems, Inc. – The company is considering making a capital investment for a project located in Jersey City, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $804,350 for a 10-year term.

Wayside Technology Group, Inc. – The company is considering making a capital investment for a project located in Oceanport Borough, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $261,000 for a 10-year term.

Single Source Plus Laundry – The company is considering making a capital investment for a project located in Camden City, NJ. NJEDA will consider approving an estimated Grow NJ annual award of $500,025 for a 10-year term.

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