Cargill, one of the foremost international producers and distributors of agricultural food items, has recently announced that it is planning to invest close to USD 32 million in order to boost its cattle feed production capacity at its facility located in Temple, Texas. Apparently, with the latest expansion plan, the Minnesota-based firm is expected to expand its reach in U.S. lignosulfonates market by significantly enhancing the production of feed and nutrition products for livestock.
According to one of the top officials of the lignosulfonates industry giant, the latest move of expanding its production capacities in Texas comes on the heels of the exponentially rising product demand from the agricultural retail sector and beef consumers of the state. The expansion of the plant is anticipated to be concluded next year and is likely to add to the variety of the feed produced at the facility.
As per Feed Navigator, Cargill inaugurated its first cattle feed production plant in Texas in the year 1998. Apparently, the Texas-based facility has been regarded as the optimal location with regards to producing cattle feed, as it is strategically located close to urban centers with close proximity to cattle density and has a strong network of transportation.
Speaking on the development, the U.S. business chief of Cargill Feed and Nutrition, James Jarzombek was quoted stating that the firm has been actively working toward identifying growth opportunities in North and Central Texas for a while now. He further stated that the latest investment move is aimed at revamping and expanding the current production capabilities of the firm, in a bid to seamlessly cater to the rapidly growing Texas market.
Meanwhile, Cargill’s latest facility expansion plan is in addition to the firm’s previous acquisition of Southern States Cooperative’s cattle feed business last year. Industry experts cite that the massive efforts being put in by the firm would certainly help Cargill fortify its position in U.S. lignosulfonates market.