INVESTING CHECKOFF DOLLARS
INVESTMENT PAYS S OY ’ S I N V E ST M E N T I N G RAYS H A R B O R PAYS AS U. S . - C H I N A T RA D E WA R D E E P E N S BY AARON PUTZE, APR
T
he distance from Des Moines, Iowa, to Washington State’s Port of Grays Harbor is roughly 1,800 miles, or 26 hours by car, give-or-take. But significant investments made in the strategic export hub over the past 20 years by the soybean industry have bridged the space between the two, benefiting Iowa farmers. “We hit the nail on the head with our investments in the harbor, and those aren’t easy to come by,” says Iowa Soybean Association President-elect Jeff Jorgenson while touring the facility in September. “The challenge is to score on more of these opportunities and more often.” The farmer from Sidney joined fellow ISA board members on the fact-finding mission to the Pacific Northwest (PNW). It included conversations with Grays Harbor authorities and guided tours of Ag Processing, Inc.’s (AGP) export facility and Renewable Energy Group’s largest biodiesel production facility. “There’s no question about our
12 | NOVEMBER 2019 | IASOYBEANS.COM
capacity to produce and export products, including protein and energy,” Jorgenson adds. “All we need is access to destinations and markets that need what we produce.”
Oldest maritime port Port of Grays Harbor was chartered in 1911 and is the second-oldest port district in Washington State. Located just 12 nautical miles from the Pacific Ocean, it’s the nation’s closest maritime port to the Pacific Rim. Vessels leaving the harbor filled with soybean meal, soybeans and dried distillers grain can dock in the Philippines, Thailand or Vietnam in just 23 days. The location is ideal for Omahabased, farmer-owned AGP. Created in 1983 and representing more than 250,000 farmers, the company specializes in soybean processing, vegetable oil refining, renewable fuels, international trade and grain procurement. Of tremendous interest is serving growing
populations and appetites for soy and protein in the Philippines, Thailand, Vietnam, Malaysia, Indonesia and China. Nearly 20 years ago, AGP began conversing with Grays Harbor officials. The port was struggling as timber exports from the Pacific Northwest, a longtime linchpin of its economic vitality, continued to decline. To survive, port officials looked to the east at companies like AGP. A long-term relationship quickly flourished. The soybean industry recognized the Pacific Rim’s growing appetite for soy and strategic benefits of exporting products via the Pacific Northwest. The port and surrounding area calculated the economic benefits to the region by diversifying its tenants. If ever there was a win-win partnership, this was it. “We are so aligned with AGP and REG and our friends in the Midwest and always will be,” says Leonard Barnes, the port’s deputy executive director, during
