USDA hands out Value-Added Awards

By | January 01, 2004
In December, Agriculture Secretary Ann Veneman announced the approval of 184 value-added agricultural product marketing development grants in 40 states, totaling over $28.7 million.

As part of the 2002 Farm Bill, the Value-Added Agricultural Product Market Development Grants program provides opportunities to refine agricultural commodities and products to increase value in the marketplace.

Interested parties submitted applications for the awards, starting in September. Approximately 16 companies will use the funds to benefit the ethanol industry. Here is a list of those recipients:

Midwest Grain Processors,
Iowa: $150,000

Midwest Grain Processors will plan and develop a proposed expansion of its existing ethanol plant.

Central Illinois Energy Cooperative,
Illinois: $250,000
Central Illinois' project consists of the construction of a 30-mmgy anhydrous denatured dry mill ethanol processing facility and a cogeneration facility.

Land of Lincoln Ag Coalition Inc.,
Illinois: $150,000

Land of Lincoln will construct a 40-mmgy coal-fired ethanol plant.

Putnam Bio-Products LLC,
Indiana: $25,250

Putnam will use its grant for background work for a biorefinery concept to produce ethanol and coproducts.

National Corn Growers Assocation
(NCGA), Kansas: $175,000

The NCGA will conduct a feasibility study relating to the development of livestock protein blocks using DDGS as the major ingredient. If the feasibility study is positive, business and marketing plans will follow.

Ethanol Grain Processors Inc.,
Kansas: $17,500

Ethanol Grain Processors will update a feasibility study and develop a business plan for a proposed 30-mmgy ethanol plant in Washington.

Agriculture Marketing Institute Inc.,
Kentucky: $79,900

The Agriculture Marketing Institute will conduct a feasibility study to determine whether it should convert an existing chemical plant into an ethanol facility.

Michigan Sugar Company,
Michigan: $74,120

Michigan Sugar will analyze the feasibility of using the sugar processing plants it owns and operates for ethanol production.

Barton County Ethanol Production
Steering Committee, Missouri: $47,500

The steering committee will move forward with a feasibility study and business plan for an ethanol facility within the region to capitalize on feedstock produced in the area.

Flick Seed Company, Missouri: $50,000
Flick Seed will utilize waste biomass material to manufacture an alternative fuel in pellet form.

East Central Ag Products Inc.,
Missouri: $500,000

East Central Ag Products will put its grant toward working capital for a 20-mmgy ethanol plant.

Garden State Ethanol Inc.,
New Jersey: $75,000

Garden State Ethanol will determine the feasibility of using the CO2 byproduct from ethanol production for flash freezing of New Jersey-grown produce.

KAAPA Ethanol LLC, Nebraska: $240,000
KAAPA will seek a working capital grant to assist in payment for ingredient and production inputs for its 40-mmgy dry grind ethanol plant.

NEDAK Ethanol, Nebraska: $38,500
NEDAK, a group of producers in north central Nebraska and south central South Dakota will explore the possibility of an ethanol plant, including a feasibility study, marketing study and business operations plan.

Husker Ag LLC, Nebraska: $226,850
Husker Ag will use funds for personnel and inventory costs associated with its existing 20-mmgy fuel ethanol plant.

United Wisconsin Grain Producers,
Wisconsin: $450,000

United Wisconsin Grain Producers will obtain a working capital grant for start-up costs related to the 40-mmgy ethanol plant to be built in Friesland.
~Staff Report