Sector News

US grain merchants ADM and Cargill reach deal to swap grain elevators

July 12, 2019
Consumer Packaged Goods

Large-scale US grain merchants Cargill and Archer Daniels Midland Co. (ADM) have reached a deal to swap a number of their grain elevators in the US Midwest, according to a report published by Reuters.

Both companies, among the largest grain merchants in the world, said the swap would increase efficiency and fit both companies’ long-term strategies,

Expected to close later this summer, the deal includes the sale of Cargill’s Mount Vernon and Evansville, Indiana, elevators on the Ohio River to ADM. In return, ADM is set to sell its Beardstown, Naples and Keithsburg, Illinois, elevators along the Illinois River to Cargill.

Following a global glut of grain, ADM and Cargill have been cutting costs and restructuring operations in recent years. The deals would effectively reduce the number of buyers competing for farmers’ crops in some areas.

ADM and Cargill did not release financial terms of the deal.

By Bryony Andrews

Source: FoodBev

comments closed

Related News

December 3, 2023

‘Hangover Beauty’ tipped to be top trend in 2024 – WGSN

Consumer Packaged Goods

A new wave of brands is emerging that promotes indulgence and rejects the notion of sacrifice. Low-maintenance “hangover” beauty products are designed to address the effects of late nights and partying without judgment or hassle, and even include cosmetics that are formulated in a way that means you can fall asleep in your makeup without feeling guilty.

December 3, 2023

Diageo transforming Captain Morgan and Smirnoff distribution with circular packaging strategy

Consumer Packaged Goods

The pilot will allow the company to scale circular packaging in about 18 markets over the next three years, an approach that jumps on the success of similar efforts in the company’s Indonesia ecoSPIRITS program, which launched in 2022 and is active in 38 bars.

December 3, 2023

Unilever CEO: We will stop ‘force fitting’ purpose to our brands

Consumer Packaged Goods

Unilever’s focus on purpose across its brands has been a source of criticism from some of its investors. Its new CEO Hein Schumacher says the company now recognises there are some brands where the concept is simply not relevant.

How can we help you?

We're easy to reach