Omaha, NE-based grain trader Gavilon Group LLC is seeking to expand its crop purchasing, storage, and hauling capacity in the southern and western regions of the US, according to a Bloomberg report on Wednesday.
The company, a subsidiary of the Marubeni Corp. since 2013, will purchase assets like elevators and facilities that load shuttle trains over the next few years in states like Montana and the Dakotas to bolster its sales to California and exports on the west coast, Gavilon’s new chief executive officer, Lewis Batchelder, said at the company’s headquarters on Tuesday according to Bloomberg. The company is also looking to expand its ability to ship crops via the Gulf of Mexico with investments in terminals along the Mississippi River.
The assets will purchased "over the next few years," the article said.
The company is attempting to grow despite a three-year slump for futures on agricultural commodities like corn, soybeans and wheat. Batchelder became CEO of Gavilon on March 1 after a 40-year career in the grain industry.
As part of the growth plans, Gavilon purchased land in Louisiana to build a terminal, but the company told Bloomberg that a timeline for the opening of the facility has not been set.