The trend to "onshore' business operations in the Pacific Northwest

'Onshoring' - as opposed to 'offshoring' – is on the minds of many business owners who have watched helplessly as their supply chains are disrupted and deliveries delayed owing to COVID-19.

For four decades, the prevailing trend has pushed to base manufacturing overseas to save costs. Recent uncertainties have caused them to wonder, “At what cost?” If the cost is an inability to supply customers and fulfill contracts, it may not be worth it. With 60% of U.S. manufacturing companies reporting COVID-19 disruptions, this is a widespread issue impacting virtually all industries.

"60% of U.S. manufacturing companies are reporting COVID-19 business disruptions."

Manufacturing within your own country, or 'onshoring,' can reduce risk of future disruptions and delays. It's a major shift in thinking that will take years to implement, but even opening U.S. manufacturing facilities as part of their global operations is increasingly seen as a prudent move.

In addition to companies manufacturing in the U.S., 28% of suppliers surveyed reported that they are seeking suppliers that produce domestically. This will create expansion opportunities for current U.S. manufacturers. In the northwest, Mason County is uniquely positioned to support that growth and to be a home to growing companies, or those onshoring for the first time.

Mason County can be competitive with other areas by having the advantages of a lower cost of living, available properties and a close proximity to urban areas."

Mason County is located within the booming Seattle region, yet far enough from the big city to enjoy small town charm and the surrounding natural beauty of the Hood Canal, Olympic National Park and Forest. Ultimately, the cost of living in the area is less than nearby counties, making it easier to operate a business.

Mark Velasco and his family have resided in Shelton since 1978. The family started Jalisco Totillas in 1997. The factory daily produces Non-GMO corn tortilla products and “clean label” flour tortilla products as well as fresh salsa for restaurants, retail stores, and private label customers throughout the Pacific Northwest.

Mason County surrounds the "bend" of Hood Canal offering access to outdoor recreation and the Olympic National Park & Forest. (EDC Image)

"We have greatly benefited from high tourist traffic who seek out the many scenic adventures Mason County has to offer," remarked Velasco in a recent interview, "over the past 23 years we have been able to attract a diverse consumer base from Seattle all the way to Portland as Mason County is the gateway to the Olympic Peninsula which attracts thousands of outdoor adventurers from all over the state."

Apart from recreation areas, this rural area offers easy access to Northwest primary urban areas. Businesses utilize the I-5 corridor and waterways through the county’s many ports as well as have access to dedicated rail systems to receive supplies or transport goods without paying the high cost of operating in larger ports like Seattle or San Diego.

The communities of Shelton, Belfair and Allyn have office, industrial and retail buildings available. Zoned for all three is a 23400 sf manufacturing facility in Allyn-Grapeview (1/2 hour drive to Tacoma.) Also available is a 1915 sf office space in Belfair, just 3.7 miles from the Bremerton Airport.

Our decision to start our unique business in Mason County revolved around the lower commercial real estate rates and the overall lower cost of doing business versus surrounding counties."

Mark Velasco, Jalisco Tortillas - Shelton

For those looking to start from scratch, the areas has many sites available, such as a .9 acre lot just off Highway 101, the main artery to downtown Shelton. Zoned for mix use,such as professional offices, medical, assisted living, retail, or auto services, this site is ready for development.

With is strong ties to the timber and shellfish industry, Mason County has a dedicated generational workforce. These hardworking individuals are accustomed to adapting to any business and are able to gain the training necessary for in-demand jobs thanks to local colleges offering vocational, technical and degree programs.

COVID-19 has demonstrated the scale of the impact of a global pandemic, but it’s not the only disaster that can disrupt supply chains. Hurricanes, earthquakes, and fires are all unpredictable disasters that can take down the supply chain. Studies show that many of the countries where U.S. companies have manufacturing operations have been hardest hit by these disasters, threatening the security of their infrastructure.

The 2001 earthquake and tsunami in Japan and floods in Thailand had crippling effects on the electronics and automotive manufacturing sectors. Put simply – the global supply chain is fragile. Businesses who want to protect themselves should onshore at least part of their operations to protect their interests.

Mason County is the perfect setting that has offered strong community support on top of the support from our local city and county government. We are looking forward to another 20+ more years of success here in Mason County. "

Mark Velasco Jalisco Tortillas - Shelton

The process of finding a site, obtaining permits, constructing a facility, hiring and training a workforce is daunting but the Economic Development Council of Mason County deals with these concerns daily. When onshoring is part of a business' protection strategy, the EDC team in Shelton provides assistance throughout the entire process. Interested in learning more about business opportunities in Mason County? Contact Jennifer or Karin, local EDC facilitators, (360) 426-2276 or visit choosemason.com.

We look forward to welcoming your business, family and your employees' families to our wonderful communities.