“We see great opportunities to increase our origination and transportation capabilities along the Danube River in Romania, which has become a net exporter of grain and oilseeds over the past several years,” said Gary L. Towne, chairman of the management board of ACTI. “The Danube River export project creates an end-to-end network, giving us the ability to originate crops directly from farmers, transport and store them, and ultimately export them to markets around the world.”
The network, which is similar to ADM’s origination-through-export networks along the Paraguay River and Mississippi River, includes three river elevators at Giurgiu, and one river elevator each at Braila, Constanta, Corabia, Oltenita, Orsova and Zimnicea. ACTI is also constructing new elevators at Calarasi, Giurgiu and Moldova Noua and has acquired a barge fleet to connect the network of river elevators to the joint-venture export elevator recently finished in Constanta. In addition, ACTI has plans to construct elevators at Bordu?ani, Corabia and Galati.
“This project is strategically important as we expand our origination network in Eastern Europe,” said Towne. “The storage facilities and export elevator are well positioned to give us additional capacity to move crops along the Danube River and to the Black Sea, while the addition of Toepfer-owned barges provides us with greater control of our supply chain and helps us achieve favorable transportation margins in what can be a volatile market.”