Co-Alliance LLP and Farmers Grain & Feed Co. Inc. recently signed a letter of intent for a joint venture to build a state-of-the-art feed mill at the Farmers Grain facility in Columbia City, Ind.
The joint venture will allow Co-Alliance to expand its pork presence in the area and will give Farmers Grain the opportunity to vertically integrate its grain into feed production. The new feed mill operation will combine the swine and animal nutrition expertise of Co-Alliance and the local grain storage and marketing capabilities of Farmers Grain to create new opportunities for area producers, the announcement said.
“Regionally manufactured feed supports farmers on two levels: it gives grain farmers another market for their crop and gives livestock farmers a consistent, quality and local source for their feed,” Kevin Still, chief executive officer of Co-Alliance, said. “We’re looking forward to working with the Shively family and Farmers Grain on this exciting new venture, which we believe will help farming families in the community for generations.”
Terry Shively, president of Farmers Grain, sees the venture as a natural next step for his multigeneration business. “Our family history is rooted in agriculture. We are excited to diversify to our grain operations by producing livestock feed for our local farmers from the grain they store at our facility,” he said.
“We’re seeking to emulate the success of our mill at Reynolds (Ind.),” Co-Alliance vice president of swine and animal nutrition Dewey Bucher said. “This new addition strategically locates our modern feed facilities across northern Indiana, allowing for more partnering opportunities with growers and processors.”
Co-Alliance is a partnership of cooperatives with community roots that was established in the 1920s. Headquartered in Avon, Ind., its 50 locations across Indiana, Michigan and Ohio serve the areas of energy, agronomy, grain marketing and swine and animal nutrition.
Farmers Grain is one of the oldest grain buying corporations in northeastern Indiana and dates back to the early 1950s. Farmers Grain currently has six grain elevators in eastern Indiana.