ND company invests $240m into soybean production facility
Minnesota soybean processors are in the early stages of doubling in production with a new $240 million soybean facility starting up in North Dakota. The new facility will crush approximately 125,000 bushels of soybean a day, which is 10,000 more than the Minnesota facility.
With the high market demand for soybean, a second facility with higher crush capacities was necessary in order for the co-op to remain competitive with other soybean processors. As there has not been much recent growth of soybean processing in recent years, investing into such a facility, which will research alternative, innovative and effective methods to soybean processing was highly necessary.
General Manager, Scott Austin, says there is a large market for soybeans and the current facility in Minnesota has already been expanded and is reaching its limits, which lead to the rationale of purchasing additional land and researching into more effective methods to process soybeans and increase crush capacity.
As soybeans are the number one crop in North Dakota from an acreage perspective, it was seen as an appropriate location to open the new facility.
The new North Dakota site will consists of 150 acres and is located in the center of regions growing soybeans. When completed, the facility will create 55-60 full time jobs and will produce 900,000 tons of soybean meal for livestock feed, along with 490 million pounds of soy oil, both from bio-diesel and food-grade oil. Currently the feasibility and engineering stages of the projects are being completed.
If your company is incorporating innovative production methods into its business practices, it may be eligible for the R&D Tax credit, contact Swanson Reed R&D Tax Advisers to find out more.