Monsanto Reveals New Multi-Million Dollar Complex

YORK -- The news came Tuesday and it was big.

York County has been chosen for a major investment by Monsanto Company as the firm expands DEKALB corn seed production facilities in Nebraska. An investment of $155 million -- an estimated $75 million of which will be spent on a brand new complex near Waco -- will double operations in Nebraska.

Monsanto's other expansion effort will be to add to the existing operation in Kearney.

In York County alone the announcement is expected to result in the creation of more than 30 full-time jobs.

"We are excited to see Monsanto making such a commitment to York County," said Jamey Pankoke, chairman of the York County Development Corporation's Value Added Ag Initiative Committee. "This project will provide additional production and marketing opportunities for our farmers and at the same time increase the tax base and create quality jobs for area residents."

In all the two-pronged expansion is expected to add more than 55 full-time jobs and nearly 2,000 part-time positions. Construction of the new facility near Waco, at a 145-acre site not yet identified, is expected to be complete by the end of 2009, said Monsanto spokesman Darren Wallis, speaking by phone Tuesday morning.

The complex will feature more than 230,000 square feet of warehouse space, bulk storage, three high-capacity seed dryers and green corn receiving lines, plus a 180-foot tall conditioning tower that can package an estimated 1,200 bags of seed per hour.

Explaining the chain of events that led to Monsanto's selection of the local site, Wallis said, "When we originally contacted the folks in York County we did so without our name attached to it. Why we chose that area is that it's a good blend of both strong agricultural farms to feed the new facility once it's completed, plus transportation and the facilities to support it. York County provided us the perfect site," he said, one that included "a good location and good corn growing folks around it."

He said this region provided access to transportation that is "really important both incoming and outbound. We're looking forward to being able to receive our quality seeds in and make sure we can get it out to farmers so they can plant it.

"We're looking forward to breaking ground as soon as we can and being operational by the end of 2009," Wallis said. "DEKALB has been doing business in Nebraska for more than 50 years now," he said, noting that Monsanto came onboard by purchasing DEKALB Genetics in the late 1990s.

"Expanding production capacity in Nebraska is essential in continuing to meet the growing demand for our DEKALB brand corn seed products throughout the Western Corn Belt," said Mark Leidy, executive vice president of manufacturing for Monsanto, in a news release. "Both facilities will have state-of-the-art production technologies and will offer quality jobs for residents in their communities. We're proud to have been serving our farmer customers in and around Nebraska for more than 50 years and we look forward to many more."

Explaining how events led up to Tuesday's announcement, Norene Fitzgerald, executive director of the YCDC, said contact was made in May of this year by a go-between consultant representing what was then an unknown company.

"He had a list of properties in York County," she explained. "Our charge was to determine whether there was an interest from the property owners in selling those properties."

Pankoke and the Value Added Ag Committee "took on that responsibility," Fitzgerald said. "They know the land and they know the farmers. They made personal contact" with the landowners, she said. "We were very pleased that approximately 50 percent were interested" in selling.

At that point, said Fitzgerald, no one locally knew which company was involved.

"We knew it was not an ethanol plant and it was not slaughter," she said. "We didn't know anything else about it."

Fitzgerald said research began on a wide range of pertinent subjects. All that information was channeled to the still-unknown company through the consultant.

"Over a period of time we just continued to keep in contact, offering additional information," she said. Then rumors began to sprout up about the company's identity a couple weeks ago. As recently as that Fitzgerald said she had no official identity for the company so many in the York area were working to recruit.

"We asked for confirmation from the consultant," she said. At that point the project, known throughout the process by the code name SDVO, came into the light for local economic development officials.

While obtaining information from York organizations, Monsanto was also working with the Nebraska Department of Economic Development, the Department of Revenue, various utility companies and others involved in county and state infrastructure.

"We're very pleased they chose us," said Fitzgerald. "I know they were looking outside York County and at other states as well. We have great growers in the York County area," she said. "In partnership they're going to assist Monsanto in boosting Nebraska production and also help Monsanto distribute seed corn to their Nebraska customers."

In a statement Gov. Dave Heineman said, "Monsanto is another great example of our Nebraska Advantage job creation package at work in rural Nebraska. "Having just returned from my Asian Trade Mission, the large demand for high-yield corn is evident here and in our international markets. Monsanto's announcement of the expansion of two locations in Nebraska shows the proven strength of our global agricultural economy."

For Monsanto's part, Wallis said, "Nebraska's a good place to do business, which is why we selected expansion" in the state. "We've been doing business there a long time," he said. "That's because Nebraska is very good a growing high quality corn. Because of the growers we're looking forward to doing more business in Nebraska."

Wallis and Fitzgerald said a groundbreaking will be scheduled yet this fall, but not until the corn harvest is complete so growers will be able to attend.

Source: York News Times