Growing the CHS grain supply chain

By adding key grain facilities to its enterprise supply chain, CHS connects its farmer-owners to the global marketplace.

CHS has signed an intent to purchase agreement for eight grain assets in five states from Cargill. With this purchase, CHS aims to continue optimizing its enterprise supply chain while providing market access and end-to-end value to owners.

This purchase adds key grain facilities to the CHS enterprise supply chain, connecting CHS farmer-owners to the global marketplace. Assets included in the sale are in Pipestone and Maynard, Minn.; Morris and Seneca, Ill.; Holdrege, Neb.; Cheyenne Wells and Byers, Colo.; and Parker, SD.

“Our farmer-owners look to CHS to provide them with local assets that have the speed and space to serve their needs today and into the future,” says Rick Dusek, executive vice president of ag retail, distribution and transportation for CHS. “Purchasing these grain assets is part of a larger strategy to invest in our enterprise supply chain, efficiently connecting our owners to the global marketplace.”

In its media statement, Cargill said: “Cargill and CHS have a strong partnership today based on shared values, strategic alignment and an effective and efficient business model, making CHS the right partner for this sale.”

On August 5, we welcomed a new grain elevator in Pipestone to the CHS grain supply chain in order to provide market access and end-to-end value for our owners. The purchase included a grain facility in Parker, South Dakota. CHS will not operate this facility as we await the opening of our Worthing, South Dakota facility. The purchase also included a grain facility in Maynard, Minnesota, which will now be sold to Prinsburg Farmers Co-op.