G3 Global Grain Group has C$1 Billion Canadian Expansion in the Pipeline
G3 Global Grain Group, the new joint venture between Bunge Ltd and Saudi Agricultural & Livestock Investment Co., formed in April upon the acquisition of a majority stake in CWB for C$250 million, has expansion plans in Canada that will a cost in excess of C$1 billion (US$800 million).
Upon its formation and integration of Bunge’s Canadian assets, the venture controlled 11 existing grain elevators across Quebec and Western Canada, and two port terminals in Thunder Bay and Trois-Rivières. As the group foresees Canadian West Coast grain exports increasing by 25% over the next five year, driven particularly by demand from Asia, it is aiming to add an additional six to ten more grain elevators to the four already being constructed.
Recently Oilseed and Grain News brought you the news of G3’s plans to build the first new terminal in Vancouver’s Port Metro in fifty years, but the group is also conducting studies on the construction of a grain terminal in Hamilton, Ontario on Lake Ontario, to handle grain transport from southern Ontario farmers to the group’s export terminal in Quebec. The group is also seeking to source and handle grain from northern U.S. states through its new terminals.