CHICAGO, ILLINOIS, U.S. — Archer Daniels Midland Co. (ADM) and Marubeni Corp. have expanded Kalama Export Co. LLC, their joint venture in the U.S. Pacific Northwest. Marubeni has added its grain export elevator operations at Terminal 5 in The Port of Portland, Oregon, U.S., to Columbia Export Terminal, a subsidiary of Kalama Export. In connection with the transaction, the companies also intend to rename Kalama Export as Pacificor, LLC.
Kalama Export Co. was formed in 1998 by Marubeni’s subsidiary, Gavilon Holdings, LLC; ADM; and Agrex, Inc. The company exports grains and oilseeds via its grain elevator operation located in The Port of Kalama, Washington, U.S. The Kalama and Portland grain elevator facilities will continue to operate separately and maintain separate control of labor relations, but their common ownership is expected to improve efficiency and achieve more effective operation of the businesses, the companies said.
“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. “With the addition of these export operations to Kalama Export Co., we are further expanding our network in a capital-effective way.”
Satoshi Wakabayashi, Marubeni’s managing executive officer and chief operating officer for the company’s Food Material Division, added, “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.”