Plans have been approved for the expansion of Ag Processing Inc. in Hastings, according to an announcement from the company Tuesday.
AGP plans to spend roughly $100 million on a major expansion for its soybean processing plant.
AGP CEO Keith Spackler says this project will also help the firm remain competitive.
He said, "AGP continues to invest in areas that enhance our long-term competitiveness and our overall processing platform." He also made note of the company's strong connection with the community and the positive market conditions at the Hastings location.
Brad Davis, chairman on AGP's Board of Directors, said, "The board believes this investment in Hastings will be positive for our member cooperatives."
Cal Meyer, group vice president for Processing, Refined Oils, and Renewables, said Hastings is an excellent location to increase the company's soybean processing capacity because of the availability and quality of soybeans in the area. The increase capacity will help AGP meet export demands from Asian markets.
AGP is still negotiating the details of the project with local and state officials, but AGP says it expects the expansion to be done by the fall of 2016.
AGP is owned by co-ops representing more than 250,000 farmers in 15 states.