A Singapore commodity trader already buying Canadian pulses and oilseeds for export is building a delivery point in Saskatchewan for its suppliers.
Agrocorp International said last week that construction is already underway on what will eventually be a 250,000-tonne capacity high-throughput site on Canadian National Railway (CN) track at Moose Jaw.
"With a realization that grain logistics are the key to success in this business, we have worked closely with CN Rail to identify a site suited to our aggressive program scope," Colin Topham, head of Agrocorp’s Canadian operations in Vancouver, said in a release posted by Saskatchewan Pulse Growers.
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As the harvest in southern Alberta presses on, a broker said that is one of the factors pulling feed prices lower in the region. Darcy Haley, vice-president of Ag Value Brokers in Lethbridge, added that lower cattle numbers in feedlots, plentiful amounts of grass for cattle to graze and a lacklustre export market also weighed on feed prices.
"This venture intends to bridge the producer-to-consumer equation in grain handling and vastly improve the marketing of Canadian crops."
The company said last week it has already hired Colin Young, one of the owners of R. Young Seeds at nearby Mortlach, as its Moose Jaw plant manager.
Agrocorp said it will also work with McDougall Acres, a Moose Jaw pulse, flax and wheat seed dealer, "to add depth to (its) knowledge of local processes and industry."
The facility at Moose Jaw is to include a 100-car spot, processing capacity of 100 tonnes per hour and loading capacity of 400 tonnes per hour. Construction is to be completed "later this year," the company said.
Agrocorp, which also has offices in Australia, India, Indonesia and Myanmar, deals in cereals, pulses, oilseeds, cotton, sugar, edible nuts and animal feed, plus other commodities in the fertilizer, metals and energy sectors.
In Canada, the company notes it’s already a member of the Canadian Special Crops Association, Alberta Pulse Growers and Saskatchewan Pulse Growers and licensed by the Canadian Grain Commission.
