McCoy grain adds partner to marketing alliance

Pacific Northwest Farmers Cooperative and Cooperative Agricultural Producers, Inc., are adding Mid-Columbia Producers, of Moro, Ore., to their marketing alliance, which includes the McCoy grain terminal in Rosalia, Wash. The new partnership and increased ability to market grain passes a better bottom line onto cooperative farmer members, says Dick Hatterman, CoAg general manager.
Matthew Weaver

Capital Press

Published on July 15, 2014 2:04PM

Last changed on July 17, 2014 10:57AM

An Eastern Washington grain terminal is adding a partner cooperative to increase marketing capabilities throughout the Pacific Northwest, leaders say.

The McCoy Grain Terminal in Rosalia, Wash., owned by Pacific Northwest Farmers Cooperative (PNW) and Cooperative Agricultural Producers, Inc., or CoAg, is adding Mid-Columbia Producers, from Moro, Ore., as a partner to its marketing alliance.

“It adds sheer volume,” said Bud Riedner, general manager of the terminal.

Before the partnership, the terminal moved roughly 30 million bushels of wheat, Riedner said. Bringing on Mid-Columbia Producers increases that total to 45 million bushels. Each company contributes roughly 15 million bushels, he said.

The partnership covers the lower Columbia River, from The Dalles, Ore., to Arlington, Ore. In Eastern Washington and northern Idaho, it covers from the Snake River to Canada, he said.

“We wanted to enhance our ability to market grain,” said Dick Hatterman, CoAg general manager. “With enhanced and increased ability to market, it reflects a bottom line that is better for the local, independent cooperatives.”

The structure of the cooperatives allows them to pass that better bottom line onto producers, Hatterman said.

Riedner estimated Pacific Northwest Farmers Cooperative and CoAg serve 1,400 members, and Mid-Columbia Producers adds another 500 to 600, for a total of more than 2,000 members.

Growers will eventually have increased access to domestic markets and export markets to Mexico with the shuttle loader, Riedner said.

“A lot of exporters like to rely on a large shipper that can meet their shipping needs,” Riedner said.

According to PNW, McCoy now has more than 60 country storage facilities, 10 with rail loading capabilities, six river terminals — three on the Snake River and three on the Columbia River — and the 110-car shuttle-loading facility.

“It allows us to be a much better seller to those exporters that are looking for production,” Hatterman said.

Pacific Northwest Farmers Cooperative and CoAg maintain ownership of the McCoy rail shuttle station. Mid-Columbia Producers is a partner in McCoy Grain Terminal, LLC, which is a trading company, Riedner said.

Riedner and Hatterman both said the company exceeded expectations in its first year of operations, but declined to comment further.

They’re looking for opportunities to continue growth to serve farmer owners in the cooperatives, Hatterman said.


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