A major soybean distributor will spend more than $30 million dollars to expand its operations on the Ohio River. The company is aiming to capitalize on growing export markets in countries like China.
Consolidated Grain & Barge is expanding its Mt. Vernon plant in increase its soybean processing capacity by more than double. The new daily output will be enough to fill 130 semi-trucks, or around three river barges that will make their way down the Mississippi River to the Gulf of Mexico.
From there, the whole soybeans, soy meal to feed animals and soybean oil can be exported — especially to China, which buys half of all U.S. soybeans. Purdue University agricultural economist Chris Hurt says demand is on the rise.
The CGB plant in Southwest Indiana pulls in grain from farmers around the region. It's one of four grain barging companies in the state. Indiana is listed fourth nationally in soybean production.
"In order to meet that increasing demand, we have to have capacity to handle and process these products — and that's really what CGB is doing," Hurt says. "They're putting that capacity in place for the growth they see coming."