North Central Farmers Elevator (NCFE) in Ipswich, S.D., and Wheat Growers in Aberdeen, S.D., announced on March 3 that they have entered into a Letter of Intent to unify the two companies into a newly named cooperative.
The boards of directors of both cooperatives have unanimously approved the Letter of Intent after ten months of studying the unification. “This is not a move that we have entered into lightly,” said Wheat Growers Board President Hal Clemensen. “We have been focused on ensuring a long-term pathway of success for our members and customers. This is the right decision at the right time for our stakeholders.”
NCFE and Wheat Growers said they will work over the next several weeks to finalize the plan and communicate with members and other stakeholders. Several local member meetings are being planned in addition to other communications. A vote by members of both cooperatives is currently planned for June.
“This is all about smart growth, about moving forward, and about building a relevant locally-owned cooperative for the emerging needs of our membership,” said Wheat Growers CEO Dale Locken. “We look forward to visiting with our member-owners. We have a strong vision for the future, and we are committed to discussing how this plan helps us get there.”
Wheat Growers is a grain and agronomy cooperative with more than 5,400 active member-owners in eastern North and South Dakota. The company’s origins date back to 1923, and it currently markets approximately 160 million bushels annually of corn, soybeans, and wheat. Wheat Growers’ operates from some 25 locations in the Dakotas, and its agronomy offerings include anhydrous ammonia, liquid and dry fertilizer, micronutrients, a full range of crop protection products, seed, and precision agriculture and custom application services.
NCFE is a full-service, farmer-owned cooperative offering grain, agronomy, feed, and energy products and services from approximately 22 locations in north-central South Dakota and south-central North Dakota. The company’s agronomy locations handle liquid and dry fertilizer, starters, and micronutrients, as well as seed and crop protection products and precision agriculture and custom application services. NCFE got its start in 1915 operating under the name Farmers Equity Elevator Company, and today has more than 2,500 producer-members.
“Our employees and members have built such a strong foundation,” said NCFE General Manager Mike Nicholas. “Both cooperatives are healthy, profitable, and progressive. We now have an opportunity to leverage their hard work to create an even stronger, more sustainable business and marketplace footprint.”