World Grain - December 2017 - 16

NEWSREVIEW

Pipeline Foods breaks ground on North Dakota grain terminal
MINNEAPOLIS, MINNESOTA, U.S. - Pipeline Foods LLC has
begun building a new grain terminal in Bowbells, North Dakota, U.S.
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and is located adjacent to a BNSF main line railway to allow for
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The announcement that Pipeline Foods is building a grain terminal
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and non-GMO supplier. In recent months the company has acquired
grain elevators in North Dakota and Saskatchewan, bought Malden,
Missouri, U.S.-based Malden Specialty Soy, and announced plans
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also in late October joined Delta Institute and partners from various
sectors in a three-year project to accelerate investment in regenerative
agriculture practices.
Pipeline Foods has operations in more than 50 countries and
regional headquarters in Winnipeg, Manitoba, Canada, and Buenos
Aires, Argentina.
"At Pipeline Foods, our vision is to build a more sustainable supply
chain in agriculture," said Eric Jackson, chief executive of Pipeline
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investments in North Dakota and Saskatchewan infrastructure are
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provide primary collection and processing points for organic grain,
oilseeds and pulses, and the capability to connect this grain supply with
food companies and manufacturers across North America."
Pipeline Foods said the Bowbells grain terminal will be fully
automated, compliant with Food Safety Modernization Act
regulations, and designed to receive, clean and blend organic crops to
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"We're excited Pipeline Foods is building a facility served by
BNSF and we look forward to helping meet the growing demand for
organic foods in the United States," said Sam Sexhus, group vicepresident of agricultural products at BNSF. "BNSF and Pipeline
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service to multiple markets and provide a steady supply of organics
to food manufacturers."
Pipeline Foods said it is targeting $300 million to $500 million
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chain. The company is actively buying all classes of organic grains,
pulses and oilseeds.

Olam profit soars on sales surge
SINGAPORE - Backed by strong volumes and revenue growth,
EBITDA at Olam International Ltd. exceeded S$1 billion for the
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increasing 26.7% to S$316 million for the nine months.
Revenue in the nine months ended Sept. 30 totaled S$19.037
billion, up 31.5% from S$14.481 billion.
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19%, backed by "stellar performance" from the Edible Nuts,
Spices & Vegetable Ingredients platform. The Food Staples &
Packaged Foods business again turned in a good performance,
he said.
Muthukumar said EBITDA within the Food Staples & Packaged
Foods business unit totaled S$291 million, up 29% from S$226
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"Grains and animal feed business has done well," Muthukumar
said during a Nov. 15 conference call with analysts. "Animal feed
and hatchery plant, which we commissioned in Nigeria, has got
off to a strong start. Our wheat milling operations across West
Africa is doing very well. The grains trading platform, which
had a volume of 2 million tonnes last year, is poised to end this
year above the 10 million tonnes of trading volumes, and that

is contributing to the overall increasing volumes at the portfolio
level."
Muthukumar said the company's rice business is "steady" and
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"The only issue in this segment is Packaged Foods ... due to
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it, we believe, is behind us. The Nigerian naira currency is pretty
stable. The newly commissioned Ranona plant is off to good start.
There is considerable excitement in the Nigerian markets on the
products that we have launched. Our biscuit factory, including
the second line that we commissioned this year in Ghana, is up to
capacity. And we expect the PFB business to grow from here on."
Olam has ramped up its investment capital, Muthukumar said, to
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feed and hatchery business in Nigeria; the expansion of wheat
milling facilities, both in Nigeria and Ghana; as well as Olam's
continued investment in its upstream palm plantation in Gabon.
In the third quarter ended Sept. 30, EBITDA totaled S$243
million, up 18% from S$205.5 million in the same period a year
ago. PATMI increased 17.5% to S$24.1 million from S$20.5
million, while revenue rose nearly 42% to S$6.712 billion from
S$4.738 billion.

Nitto Fuji Flour Milling makes takeover bid for Masuda Flour Milling
TOKYO, JAPAN - Nitto Fuji Flour Milling has made a takeover
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on the Japan Exchange Group.
A meeting of the board of directors was held by Masuda to approve
the bid.
"If the takeover bid is completed with Nitto failing to acquire 90%
or above of the total voting rights of Masuda, Nitto will demand
Masuda to put forth an agenda item regarding a reverse stock split
with the ratio at which the number of shares held by the shareholders
(excluding the bidder) of Masuda will be a fraction less than one
16

share at a general shareholders meeting after the completion of the
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Masuda Flour Milling Co., Ltd. manufactures and sells wheat
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1906 and is headquartered in Kobe, Japan, and employs about 145.
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manufacturing capacity of 1,770 tonnes per day. The company
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storage silos and two pre-mix facilities. The Mitsubishi Corporation
owns 62.93% of Nitto Fuji.
December 2017 / World Grain / www.World-Grain.com

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World Grain - December 2017

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