November 12, 2009

Louis Dreyfus, Amaggi form joint venture in northeast Brazil

Louis Dreyfus Commodities and Brazilian soy giant Amaagi said Wednesday (November 11) that they have established a joint venture related to grain activities in the northeastern region of Brazil, the companies said in a press release.

The new company, called Amaggi & LDCommodities, will work together to secure soy and corn, finance producers and barter fertilizers and seeds in the states of Bahia, Maranhao, Piaui and Tocantins.

The press release said that US$100 million will be invested in storage and port facilities. The expectation is the new company will move one million tonnes of grains in five years.

Brazil is the world's No. 1 exporter of sugar, orange juice and beef and the second-largest exporter of soy.