BRAZIL — Chinese state-owned food processing holding company COFCO has expanded its grain handling capabilities in Brazil through the acquisition of rights to a new agriculture solid bulk terminal in the Port of Santos.
The grain terminal will be operated by COFCO International Brasil SA, the Brazilian subsidiary of the Hong Kong-listed, state-owned food processing holding company.
According to COFCO, the 25-year lease on the STS11 terminal will expand its own port capacity in Brazil to 14 million tonnes once it’s fully operational in 2026.
Also, as part of its lease agreement, COFCO said it will invest in the modernization and expansion of the terminal facilities.
“The investment will provide farmers more choices and create new opportunities for COFCO International Brasil SA to cooperate with local industry partners and logistics companies,” COFCO said.
COFCO said it sources agricultural commodities, including grains, oilseeds and sugar from more than 7,000 farmers and supports the development of a fully traceable and conversion-free soy supply chain.
“COFCO International Brasil SA is committed to the sustainable development of Brazilian agriculture, farmers and communities for the long term,” the company said.
Landus, AMVC to collaborate on new feed mill
Meanwhile in Iowa, United States, farmer-owned cooperative Landus and pork producer AMVC have announced plans to collaborate in the building of a new feed mill.
The facility to be located at Landus’ existing grain facility in Hamlin, Iowa will produce up to 400,000 tonnes of swine feed annually.
Through this partnership, AMVC, the ninth-largest pork producer in the United States, will own and operate the feed mill.
Landus will be responsible for originating grain for the project through its network of local farmer-owners.
“By working together from the start, Landus and AMVC have developed an optimized approach that allows each party to focus on its strengths while better meeting the unique needs of our differing stakeholders,” said Matt Carstens, president and chief executive officer of Landus.
“This improved model gives AMVC better control of their long-term biosecurity and traceability requirements, while Landus can focus on sourcing and delivering quality grain from our farmer-owners.”
The proposed feed mill which is anticipated to be ready by 2024 will generate demand for roughly 8.5 million bushels of corn, and 48,000 tonnes of soybean meal annually.
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