Central Region Cooperative (CRC), Sleepy Eye, and United Farmers Cooperative, Winthrop, have formed an agronomy limited liability company (LLC), with CRC purchasing 50% of the UFC Agronomy complex in Brownton, Minn. Both cooperatives will utilize the full-service plant to provide customers with dry and liquid fertilizer, anhydrous ammonia, plant health products, crop protection products and seed. The 53,750-ton fertilizer plant was built in 2017 and includes dry and liquid storage and a high-speed receiving system for both trucks and rail cars.
“By acquiring 50 percent ownership of the Brownton plant, we immediately add additional fertilizer storage capacity to more efficiently meet the needs of our customers while significantly lowering capital investment for CRC,” said Nate Gieseke, CEO, CRC. “We’re pleased to provide our customers with additional capacity and access to an efficient, state-of-the art modern facility that expands our agronomy operations through this partnership with UFC.”
“Forming an LLC with CRC at the Brownton agronomy facility is a great opportunity for us to further optimize our investment in this asset on behalf of our owners,” said Mitch Altermatt, CEO, UFC. “By working together everyone benefits.”
The limited liability company will be called Agronomy Solution Partners LLC. Current CRC and UFC employees will operate the Brownton LLC and will be leased to the LLC. UFC customers doing business at the Brownton location will be invoiced by UFC and CRC customers doing business at Brownton will be invoiced by CRC.
Altermatt and Gieseke said they are working to have the LLC operating by early March in time for the spring season.