April 24, 2008

ABB Grain buys New Zealand corn operator

ABB Grain announced the recent acquisition of New Zealand corn dryer and grain trader NZ Grain and Seed (TAG).

ABB said TAG was one of New Zealand's larger corn dryers and also supplied seeds and agricultural chemicals.

Michael Iwaniw, managing director, said ABB was also building a new feed mill in Auckland and storage facilities in Tauranga and Taranaki ports.

The recent acquisition would add value to ABB's business in New Zealand as rising demand for complex feed, would benefit ABB's shareholders, NZ customers and suppliers, Iwaniw said.

TAG acquisition is seen to secure long-term corn supply contracts with major growers and would complement ABB's entry into animal-feed production.

TAG will continue to run as a separate entity to ABB Grain NZ.