October 8, 2014
ADM and Marubeni improve access to Asian grain markets
The expansion came after Marubeni contributed its grain export elevator operations in the Port of Portland, Oregon, to Columbia Export Terminal, a subsidiary of KEC.
The port is a key part of the export gateway for US agricultural goods to Asia.
According to the transaction, the two parties intend to rename KEC asPacificor, LLC.
KEC was formed in 1998 by Marubeni's subsidiary, Gavilon Holdings, LLC; ADM; and. Agrex, Inc.
ADM is in the business of exporting grains and oilseeds via its grain elevator operation located in The Port of Kalama, Washington.
Kalama and Portland grain elevator facilities will continue to operate separately and maintain separate control of labour relations, but their common ownership is expected to improve efficiency and achieve more effective operation of the businesses.
"This action represents another important step in our ongoing efforts to build ADM's Agricultural Services value chain from origination to destination," said Joe Taets, ADM senior vice president and president, Agricultural Services."
"We believe that common ownership of the facilities will accelerate the parties' efforts to improve operational efficiency and effectiveness, which ultimately will enable us to provide better service to our customers, worldwide," added Satoshi Wakabayashi, Marubeni's Managing Executive Officer, Chief Operating Officer, Food Material Division.