Canola processing plants coming to Minn., Canada

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Two big canola processing plants now under construction — one in northwestern Minnesota, the other in Alberta — are expected to boost North America’s canola industry.

The plant in Alberta is too far away to provide much, if any, benefit to canola producers on the Northern Plains, says Barry Coleman, executive director of the Northern Canola Growers Association based in Bismarck, N.D.

But the plant in Hallock, Minn., definitely will help producers in much of northern North Dakota, he says.

The plant is close enough to Cavalier County, N.D., the United States’ leading canola-producing county, to help canola producers there, says Ron Beneda, Cavalier County extension agent.

Beneda and Coleman made their comments Feb. 8 at the 15th annual Canola Day in Langdon, N.D.

A large sign promoting the Hallock plant stands on the edge of Langdon. Here’s a look at the two plants.

Hallock, Minn., plant

Northstar Agri Industries expects to open its canola processing plant in Hallock in May.

The plant is expected to process about 1,000 tons of canola seed daily, or about 345,000 tons per year, to produce food-grade canola oil. The byproduct, canola meal, will be sold to livestock producers.

The Hallock plant will be able to store 830,000 bushels of canola and will offer two truck lanes that allow a semi to be unloaded in about seven minutes, according to the Northstar Agri Industries website.

The plant will be able to process canola grown on about 450,000 acres annually.

The company expects that canola will be planted on 50,000 to 75,000 acres in Minnesota’s Kittson, Roseau and Marshall counties. That would be double or triple the 27,000 canola acres planted in the three counties last year.

Hallock is in Kittson County.

About 1 million acres of canola are planted in the United States and Canada within 100 miles of the plant, the company says.

Alberta plant

Archer Daniels Midland Co. announced late last year that it will build a 70-million-gallon biodiesel plant at Lloydminster, Alberta, near Edmonton. The plant will crush canola, Canada’s second-biggest crop after spring wheat. It will be next to ADM’s existing canola production facility in Lloydminster, according to information from ADM.

Construction will begin this spring and is expected to be completed in late 2013.

Under Canada’s renewable diesel mandate, all diesel fuel and heating oil sold in the country must contain at least 2 percent biodiesel.

Canola for the new plant is expected to come from nearby farmers and two Canadian grain elevators, according to published reports.

ADM also has improved its ability to receive and store canola seed at the Lloydminster facility, the company says.

Tags: farm and ranch, news, canola, agriculture, business