July 31, 2007

Dreyfus to spend US$40 million on third grain port in Argentina

Paris-based grain traders Louis Dreyfus Group plans to invest about US$40 million to build a new grain port facility in Argentina's Bahia Blanca, a company spokesman told Dow Jones Newswires Monday (July 30).

The port is located at the southern tip of Buenos Aires Province, a traditional centre of wheat cultivation and shipping.

Dreyfus has reserved the space for construction of the port complex which will add to its two shipping facilities in Rosario.

The facility is expected to have storage capacity of 64 million tonnes and will be able to load 1,200 tonnes per hour.

While wheat is currently the primary product passing through the port at Bahia Blanca, the company is expecting increased corn and soybean production to come from the southern areas of Buenos Aires province, the spokesman said.

The company has not yet set a date to commence construction, the spokesman said.