July 15, 2010
Monsanto Canada to upgrade rapeseed production plant
Monsanto Canada said it will invest more than CAD14 million (US$13.5 million) to expand and upgrade its existing hybrid rapeseed manufacturing plant in Lethbridge, Alberta.
The company is investing in its rapeseed business at a time when farmers are planting more of the plant, which is used in livestock meal and as a raw material for biofuel.
The company predicts the rapeseed market will grow substantially in the next five to 10 years.
"Our rapeseed hybrid production volume has increased at a rapid pace and our current facility is not adequate to support our expected continued growth in this segment of our business," said Ryan Baldwin, president of Monsanto Canada's seeds business.
"By bringing everything under one roof, we will gain efficiencies and enhance our quality control. It's the right thing to do for the growth we are forecasting," he said.
The expanded plant is expected to handle all of Monsanto's North American hybrid rapeseed production when the expansion is completed in August 2011.
Last year, the company invested CAD15 million (US$14.5 million) to build a new plant breeding centre in Winnipeg and expand its crop technology research in Saskatoon.
Headquartered in Winnipeg, Monsanto Canada is part of St. Louis-based Monsanto Co., which develops agricultural products including genetically modified (GM) seeds and herbicides.
