CHS Inc.

01/22/2025 | Press release | Distributed by Public on 01/22/2025 10:04

CHS plans to expand northern Minnesota grain facility with additional storage, receiving and drying capacity

CHS Inc., a leading farmer-owned cooperative and global agribusiness, is announcing plans for a significant expansion and upgrade to its grain facility in Warren, Minn. The company is investing in this facility to enhance market access in the Red River Valley by providing a reliable destination for farmers' grain production. The facility sits on two major rail lines and connects local growers to the Pacific Northwest and Mexico export markets, as well as domestic markets.

"CHS is focused on strategically investing in key facilities and areas within our cooperative to meet our owners' future needs while strengthening the grain supply chain," said Rick Dusek, CHS executive vice president, ag retail, distribution and transportation. "We see the agricultural area in central and northern Minnesota as a vital growing region in the United States. Investing here ties into other infrastructure investments we've made recently to build out a strategic network of grain shuttle loaders that connects those growers and their grain to the global market. With more direct access to grain in the region, CHS can deliver more of our owners' grain to export markets and end users, creating more value for American farmers."

Upon completion, the facility will have doubled its capacity to nearly 4 million bushels. This increase in speed and space will be accomplished by adding two 737,000-bushel steel bins and three smaller bins totaling 460,000 bushels. An additional high-speed receiving pit and increased drying capacity of up to 200,000 bushels per day positions Warren to take grain when farmers want to move it. The facility handles corn, soybeans and spring wheat. It is managed through the CHS Northern Grain area operations.

"Farmers in this region are strong supporters of the cooperative system and upgrading this facility positions CHS to enhance customer experience," said Ryan Anderson, senior director of operations at CHS. "As we more than double the facility's grain storage and significantly increase receiving and drying capacity, this should lead to reduced load times and faster, more efficient service during harvest."

Construction is planned to begin in summer 2025, and the project is tentatively projected for completion in early 2026.

"As CHS looks at its key assets along strategic grain corridors, we are focused on creating a globally connected grain supply chain with more opportunities to help owners grow their operations," Dusek said. "This project takes full advantage of the size and scale of CHS and helps the cooperative better serve farmers across central and northern Minnesota and into North Dakota with an integrated network of grain shuttle locations."

Investments by CHS in this region continue to add value to local farmers. Some of these projects include recently acquiring West Central Ag Services, as well as expansions to facilities at Erskine, Minn., and Drayton and Kindred, N.D.

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