Cargill to build $19m feed facility in Michigan

By Aerin Einstein-Curtis

- Last updated on GMT

© iStock/digitalZombie
© iStock/digitalZombie

Related tags Dairy farming Milk

Cargill is starting work on a $19m dairy feed manufacturing facility in Owosso, Michigan.

“We are now preparing the grounds, and weather permitting, will soon begin structure work,” ​Julie Abrahamzon, dairy sales leader with Cargill, told us.

If construction work remains on schedule, the facility will open in January of 2018, she said.

When completed and fully operational the factory will produce about 125,000 tons of feed annually, said Abrahamzon. “This facility is unique because it is 100% dairy dedicated. Technology will be deployed to ensure feed safety, including a state of the art shortmix and hand add system,” ​she added.

The location was chosen due to the level of dairy production in Michigan, "one of the top 10 dairy producing markets in the US​," said Abrahamzon. 

The state includes about 1,800 dairies and 420,000 cows, said the United Dairy Industry of Michigan, making it the sixth largest milk producing state in the US.

Abrahamzon said feed ingredients will be sourced locally. 

The site also offers rail access for receiving ingredients, she said.

In September, the Michigan Strategic Fund approved about $2.78m in local and school tax capture for Owosso Brownfield Redevelopment Authority to make needed infrastructure upgrades to the intended site, according to information from Michigan Economic Development. The improvements include a new public roadway and water main service line.

Cargill building and expansions

The planned facility for Michigan is the second feed-related facility construction announcement from Cargill in recent weeks.

At the end of November, the company revealed plans​ to take part in turning a corn oil production site in Memphis, Tennessee into a commercial scale facility to make a gas to feed protein product. The project is being done with Calysta and several third-party groups.

That production plant also is set to start work in 2018, with an initial output of 20,000 metric tons.

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