Ag Processing Inc. recently broke ground on a new soybean crushing facility set to open in 2025 in David City. The company announced last year that it plans to build a facility capable of processing more than 50 million bushels of soybeans per year. The cooperative processes soybeans into two primary products – soybean meal and soybean oil. AGP is also involved in biodiesel, reports the Columbus Telegram
AGP CEO Chris Schaffer said during the groundbreaking that AGP is a regional cooperative, headquartered in Omaha, owned by 15 farmer-owned cooperatives across the Midwest, which represents over 200,000 farmers.
“Soybean origination and product market destinations were considered, as well as operational factors such as labor availability, infrastructure, transportation and community support. David City checked all the boxes,” Schaffer said. AGP operates 10 other soybean processing facilities, which are located in small towns throughout the Midwest, reports the Columbus Telegram.
“After 38 years on the board of directors, I have witnessed firsthand the value that AGP brings to rural communities,” said Lowell Wilson, AGP board chairman. “Once operational, David City’s plant will provide strong markets for soybeans and better access to soybean meal to support value-added agriculture. In addition, this project will add well-paying jobs and excellent benefits, growth opportunities for local businesses, infrastructure improvements and increase for local organizations.”
Wilson said AGP’s cooperative model is designed to benefit the local community and local producers. AGP’s earnings are returned to its local member owners who do business with them, he added. “The AGP board approved this $700 million project because it fits well in our vertically integrated soybean processing platforms strategic plan,” Wilson said.
Nebraska Gov. Jim Pillen also spoke at the groundbreaking. “Agriculture drives the State of Nebraska; always has, always will, because of what's taking place here.”
AGP’s plant will be a “tremendous” opportunity to continue to grow value-added agriculture in the form of renewable fuels, he added. “To me, that's the future. That's the key to having great H3 (high wage, high skill and high demand) jobs and making sure that we have really, really successful family farms for generations and generations to come,” Pillen said.