The Berthold Farmers Elevator is operated by a local farmers cooperative, together with a new partner, Riverland Ag. Corp., a subsidiary of Ceres Global Ag Corp. Jill Schramm/MDN

BERTHOLD – The farmers’ cooperative operating Berthold Farmers Elevator, LLC, will gain a new partner with the anticipated sale of Columbia Grain International’s interest to Riverland Ag Corp., a subsidiary of Ceres Global Ag Corp., at the end of April.

Berthold Farmers Elevator has had a partnership with Columbia since 2002.

“The day-to-day operation of the elevator, from the grain handling to the marketing will remain unchanged after that close date of April 29,” said Dan Mostad, general manager for BFE. Farmers should see no differences with the transition.

“We feel it’s a good opportunity, and it will be a good fit for our current grower base,” Mostad said.

Ceres is a global agricultural, energy, and industrial products merchandising and supply chain company. Its subsidiary, Riverland, entered into a letter of intent to acquire Columbia’s 50% membership interest in Berthold Farmers Elevator, LLC, which has locations in Berthold and Carpio. According to information from the company, Riverland will pay cash for the investment, coming from working capital and available debt capacity. The letter of intent contains a binding purchase option exercisable by Riverland through April 29.

The partnership with a large grain corporation brings many benefits for a local cooperative, including assistance with marketing, technology, accounting, and other functions, Mostad said.

Mostad said Columbia and Ceres are similar in the expertise they provide, but Ceres accesses somewhat different markets. Ceres also is North American based, while Columbia is a subsidiary of a Japanese corporation.

“Becoming a joint venture owner with Berthold Farmers Elevator Company advances our strategy to partner with growers and increase origination of our core products,” said Robert Day, president and chief executive officer at Ceres, in a news release. “We look forward to connecting the hundreds of growers who make up the co-op in Berthold with Ceres and Riverland’s customers and collaborating with all parties to bring solutions, starting from the farmgate and ending with consumers in the U.S. and internationally.”

“Adding Riverland as a joint venture partner in Berthold Farmers Elevator, LLC, opens new and meaningful possibilities for our growers,” said Aaron Haaland of BFE’s board in the release. “With Riverland and Ceres’s expertise in managing railroad programs and providing destination market access, Berthold Farmers Elevator Company will be well positioned to serve the needs of its growers and patrons for decades to come.”

Ceres is headquartered in Golden Valley, Minnesota, and together with its affiliated companies, operates 13 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. Its facilities have an aggregate grain and oilseed storage capacity of about 31 million bushels.

BFE provides grain merchandising and storage services to more than 300 patrons and other growers in a four-county area.