World Grain - February 2018 - 16

NEWSREVIEW

Amaggi in talks to acquire Brazilian grain producer
SÃO PAULO, BRAZIL - Amaggi, a privately-owned grain trading
group owned by the family of Brazilian Agriculture Minister Blairo
Maggi, on Jan. 10 announced it is in talks to acquire Companhia
Agricola do Parecis (Ciapar).
Amaggi said the acquisition of the Mato Grosso, Brazil-based
grain producer has been approved by Brazil's Administrative
Council for Economic Defense (CADE) but remains subject to
other conditions.

Two dead in grain entrapment incident in Wichita
WICHITA, KANSAS, U.S. - Two men died on Jan. 2 at the Gavilon
grain elevator in Wichita, Kansas, after being buried in 20 to 25 feet
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It took emergency crews three hours to reach the two men who
were found toward the middle of a 120-foot tall concrete silo. The
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Rasbold, 28, and Marcus Tice, 32.
The Occupational Safety and Health Administration (OSHA) said
it is investigating the incident.
"An unfortunate accident occurred this afternoon at the Gavilon
grain facility in Wichita that resulted in the fatality of two workers,"
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Financial terms of the transaction were not disclosed. Amaggi said
the deal includes the Italmarati Norte farm, which consists of nearly
260,000 acres dedicated to the production of soy, corn and cotton.
Founded in 1977, Amaggi is present in all regions in Brazil, as
well as in Argentina, China, the Netherlands, Norway, Paraguay and
Switzerland. The company is active in logistics, energy, agricultural
production, commodities and shipping, and directly employs more
than 4,800 people.

company's thoughts and prayers are with the workers' families and
loved ones. Our immediate concern is on caring for the families of
the workers, conducting our internal investigation, and cooperating
with the appropriate authorities in their investigation of the incident."
It is the same grain elevator complex where a grain dust explosion
occurred in 1998, killing 7 people and injuring 10. The facility at that
time was owned by DeBruce Grain, which merged with Gavilon in
2010. According to a study by Purdue University, in 2016 there were
29 documented grain entrapment cases in the United States, 18 of
which were fatal. That was up from 24 cases and 14 fatalities in 2015.
The Gavilon facility in Wichita has grain storage capacity of 35.1
million bushels, according to Sosland Publishing Company's 2018
Grain & Milling Annual.

Cargill earnings down despite food ingredients' strong quarter
MINNEAPOLIS, MINNESOTA, U.S. - Earnings in its Food
Ingredients & Applications segment were up broadly for Cargill in
the second quarter ended Nov. 30, 2017, but overall net earnings
slipped.
Net earnings were $924 million, down 6% from $986 million in
the previous year's second quarter. Adjusted operating earnings of
$948 million were down 8% from $1.03 billion. Revenues rose 8%
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3% to $1.9 billion.
"Even as conditions vary across our global markets, we continue
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with a unique combination of talent, assets, insights and solutions,"
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Minneapolis, Minnesota, U.S.-based Cargill, when results were
given Jan. 3.
In Food Ingredients & Applications, most geographic regions were

16

led by cocoa and chocolate products; malts for brewers, distillers and
food manufacturers; and sweeteners and starches for food and other
applications. Salt results decreased from the prior year's second
quarter partly because of lower sales volume for de-icing products
after two mild North American winters.
In Origination & Processing, results were down moderately as
another year of large U.S. corn and soybean crops added to the buildup in global stocks.
"Although global demand continues to grow, today's abundant
supplies have weighed on markets, diminishing volatility and trading
opportunities," Cargill said. "Even so, trading performance in North
America was ahead of last year as was oilseed processing in Asia."
In Animal Nutrition & Protein, adjusted operating earnings
narrowly exceeded last year's strong second quarter. Animal nutrition
earnings rose across the global business as premix and feed additives
led the improvement.

February 2018 / World Grain / www.World-Grain.com
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World Grain - February 2018

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