Phase II Expansion Completed at DeLong Agricultural Export Facility in Milwaukee
The facility, owned and operated by The DeLong Co., began operating in 2023. The second phase of the project, designed to increase the port’s capacity to export U.S. soybeans and soybean meal, was completed April 2.
Officials from the Soy Transportation Coalition and The DeLong Co. attended the ceremony, along with representatives from Port Milwaukee, the Great Lakes-St. Lawrence Seaway Development Corporation (GLS), the Wisconsin Department of Agriculture, Trade and Consumer Protection, the U.S. Maritime Administration (MARAD) and the Wisconsin Department of Transportation.
The investment is intended to help expand export capacity for soybean meal as domestic soybean processing increases. Growth in renewable fuels production has led to additional soybean oil processing, which also results in increased soybean meal supply.
While much of that soybean meal will be consumed by the U.S. livestock sector, industry groups say additional export capacity is needed to reach international markets. The expansion at Port Milwaukee is intended to help move soybeans and soybean meal to customers overseas.
Industry leaders also cited the importance of diversifying supply chain routes. Although the Great Lakes-St. Lawrence Seaway handles a smaller share of U.S. soybean exports than other corridors, it provides an alternative pathway to international markets.
Markets served through the Milwaukee facility via the Seaway include Europe, North Africa, the Mediterranean and the Middle East. The facility can also load barges year-round that connect through the Illinois and Mississippi rivers to Gulf Coast export terminals.
Phase I of the Agriculture Maritime Export Facility opened July 18, 2023, and has primarily been used to export distillers dried grains with solubles, or DDGs. Soybeans and soybean meal have also been shipped from the site. The terminal can load vessels ranging from 8,000 to 22,000 metric tons.
The Phase II expansion included construction of two grain storage silos, electrical upgrades and additional material handling equipment to increase export capacity.
The project also received a $9.3 million grant from MARAD through its Port Infrastructure Development Program (PIDP). The grant program supports projects that improve the safety, efficiency or reliability of cargo movement through U.S. ports.
Raylen Phelon, a Kansas farmer, chairman of the Soy Transportation Coalition and commissioner on the Kansas Soybean Commission, said transportation infrastructure plays a key role in connecting U.S. soybean production with international markets.
“In order for U.S. soybean farmers to be successful in the international marketplace, we not only require abundant supply and robust demand,” Phelon said. “We also require a transportation infrastructure that can connect what soybean farmers grow with our customers throughout the world.”
The investment from the Soy Transportation Coalition and the Wisconsin Soybean Marketing Board helped support pre-engineering, design and research costs for the project.
Andy Bensend, a Wisconsin soybean farmer and director with the Wisconsin Soybean Marketing Board, the Soy Transportation Coalition and the United Soybean Board, said the project provides additional opportunities for regional farmers to use waterborne transportation.
Brandon Bickham, vice president of exports for The DeLong Co., said the company plans to continue working with soybean organizations to expand export opportunities and strengthen supply chain connections with international customers.
Feature photo by Bethany Baratta
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