Medical Industry Site Selection

Medical industry site selection is popular in the Carolinas. With a large concentration of scientists and engineers, a growing pharmaceutical and biotechnology cluster and universities offering math and science programs ranked among the nation’s highest, the Carolinas are optimal for companies interested in medical industry relocation.

Duke Energy offers one of the most powerful site selection tools available. For companies involved in medical industry site selection work, the tool is designed to: Evaluate the demographics, wages, labor pool, transportation system, as well as search for sites, buildings, suppliers, competitors or customers throughout North or South Carolina.

Industry Presence

Medical industry relocation projects are generally comprised of businesses engaged in manufacturing medical equipment and supplies. Products made by these businesses include laboratory apparatus and furniture, surgical and medical instruments, surgical appliances and supplies, dental equipment and supplies, orthodontic goods, dentures, and orthodontic appliances.

Companies can be assured that the Carolinas are a viable option when evaluating for medical industry site selection.

  • Nearly $3 billion in medical devices and equipment manufacturing revenues were shipped from the Carolinas in 2003, and over 16,000 people are employed in this sector.
  • Several major employers call the Carolinas home: GE Medical Systems, Becton, Dickinson and Co., Henry Schein, Teleflex, Bausch & Lomb Inc., St. Jude Medical, Zimmer Holdings, C.R. Bard, and PSS World Medical.

Scientists and Engineers

Locating in a region that is rich with higher education degrees is critical to successful medical industry site selection. The Carolinas and the surrounding states have a robust higher education network.

  • The Carolinas rank 11th out of all 50 states with 21,810 doctorial scientists and 3,320 doctorial engineers.
  • In 2005 rankings made by U.S. News and World Report, six Carolinas school programs in engineering, biological sciences, physical sciences, mathematics, and computer science appear among the top programs.
    • Duke University
    • Wake Forest University
    • University of North Carolina at Chapel Hill
    • Clemson University
    • North Carolina State University
    • University of South Carolina

Quality Workforce and Competitive Wages

The Carolinas profited from the presence of the textile industry for many years. As this industry continued to move its operations off shore, many highly-skilled manufacturing employees were left behind. Companies in the process of medical industry site selection in the Carolinas have a ready pool of talented and affordable workforce.

  • Affordable wages is a significant criteria for medical industry site selection. The average manufacturing wage in the Carolinas is $13.20 per hour vs. $18.10 per hour nationwide.
  • The Carolinas’ 75-campus Community College System has emerged as one of the largest in the nation and is recognized as the national leader for its support of economic work force development and training. Companies involved in medical industry site selection should evaluate the assistance available to them through programs such as ISO 9000, Total Quality Management, Team Building, Supervisory Development Training, Statistical Process Control and World Class Concepts.
  • North Carolina and South Carolina have the lowest union membership rates among the fifty states, 3.6 percent and 4.2 percent, respectively.

Medical Research Anchors

For many companies, access to research centers is critical for medical industry site selection. Numerous medical multi-specialty research facilities are located in North Carolina and South Carolina, including

  • North Carolina Neuropsychiatry
  • Cardiovascular Research Consortium, LLC
  • New Hanover Medical Research (NHMR)
  • Wake Forest University Baptist Medical Center
  • Radiant Research
  • Columbia Gastroenterology Associates, P.A.
  • Gynecologic-Oncology Research and Development, LLC.

Incentives/Tax Advantages

To demonstrate North Carolinas’ commitment to medical industry site selection, the North Carolina General Assembly made significant enhancements to its existing incentive tools:

  • The Jobs Development Investment Grant, a key incentive tool, was expanded to 25 grants per year, and the cap was raised from $10 to $15 million, extended to 2006.
  • An additional $20 million was secured for the One North Carolina Fund (cash incentives).
  • The wage test was eliminated for Industrial Revenue Bonds.

South Carolina has one of the most attractive tax climates in the Southeast—no state property tax, no local income tax, no inventory tax, no wholesale tax, and no unitary tax on worldwide profits.

Environmental Permitting

For companies that anticipate permitting to be a risk in their medical industry site selection efforts, the Carolinas have environmental programs to assist companies in moving through the process quickly.

  • Pro-business environment
  • Quick turnaround for most applicants (average 6 weeks)
  • In line with federal standards

Superior Transportation Infrastructure

A sufficient transportation system is critical for medical industry site selection. The Carolinas are centrally located on the eastern seaboard of the U.S. and have a robust transportation network.

  • Four Class I railroads with 37 freight lines operate over 5,500 miles of track throughout the Carolinas.
  • The Carolinas recognize the importance of suitable roadways when being considered for medical industry site selection. Crisscrossed with 6 major interstates (I-85, I-26, I-77, I-95, I-20 and I-40) and over 140,000 miles of highway, the Carolinas are linked to seaports, businesses and consumers in all directions. Approximately 96 percent of N.C. has access to four-lane highways within 10 minutes.
  • Five deep water ports, specializing in intermodal system terminals with interstate and rail access to markets throughout the U.S., are located in the Carolinas. N.C. was the first port operated inland container staging and storage facility in the nation. S.C. is the fourth largest container port in the U.S.
  • Charleston ranked 30th for tonnage transported across its transportation network (30 Million Short Tons).
  • Seven international airports (Charlotte-Douglas, Piedmont Triad, Raleigh/Durham, Wilmington, Greenville-Spartanburg, Charleston, and Myrtle Beach International), along with nine regional airports, provide a global gateway to and from the Carolinas.

Proximity to Major Southeastern Markets

The Carolinas offer a robust business climate and access to diverse markets within 300 miles/500 kilometers of its boarders.

  • Population of more than 40 million people.
  • Growing Southeastern metropolitan centers such as Charlotte (N.C.), Columbia (S.C.), Atlanta (Ga.), Richmond (Va.), and Jacksonville (Fla.).
  • In 2003, the Carolinas issued 117,417 residential building permits, which accounted for 6.2 percent of all permits issued in the U.S. North Carolina, Georgia, Florida and Virginia are among the top 10 permit issuing states.
  • The 5-year state population growth is 7 percent in N.C., 6 percent in S.C., 7 percent in Va. and 10 percent in both Ga. and Fla.

Reliable and Affordable Energy

Duke Energy has highly qualified energy experts and site consultants who can assist in any medical industry site selection project. The service is free and confidential.