Hermiston, OR – Datatech client Pacific Ag has moved to consolidate the biomass industry with the acquisition of competitor Calagri. Pacific Ag is the nation’s largest biomass and crop residue company spanning from their headquarters in Oregon to North Carolina.
After 20 years of working in the same market and even sharing equipment, Pacific Ag acquired Calagri. Details were not disclosed on the deal. Bill Levy, Pacific Ag CEO in an interview with the Eastern Oregonian says this deal is about better service and more reliable products across emerging markets and the markets they currently serve.
The following video is Levy being interviewed for the Oregon State University College of Agricultural Sciences and the uniqueness of this emerging industry.
“There’s a lot of great opportunities out there, and we felt we could meet those opportunities better together than we could separately,” says Levy to the Eastern Oregonian.
In the same article, Calagri co-owner, Kerry Calaway, who will join Pacific Ag on their leadership team said, “New markets for forage and crop residue are growing across the region and the country, and farmers are increasingly looking for ways to sustainably generate additional income per acre, together, we will create more opportunities for farmers while providing better service to our customers.”
Products such as corn stover and wheat straw paper products are remnants of ag operations. Pacific Ag pics up the residue that farmers discard for a price and turn it around for other uses such as growing commercial mushrooms.
According to Pacific Ag, the future is now and the move to consolidate is a win-win.
Levy told the Eastern Oregonian that Calagri’s employees will be retained and the transaction will now consolidate a harvest of more than 300,000 tons of forage every year across Oregon, Washington and Idaho.
With new markets opening up in the biofuels arena, Levy says this acquisition is significant and one company will be able to grow more efficiently.
Crop residue can be another income source for growers…contact Pacific Ag at 1-844-RESIDUE for more information.
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