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News 2045 views last update:6 Aug 2012

Pork producer takes over Gothenburg Land O'Lakes feed mill

The Land O'Lakes Purina Feed operation in Gothenburg, Nebraska, USA has been taken over by The Maschhoffs, LLC, a long-time Land O'Lakes partner.

The Maschhoffs is one of the largest family-owned pork production networks in North America. It is headquartered in Carlyle, Illinois, with hog production sites and feed mills across southwest Illinois, all of Iowa, southern Minnesota, southeast South Dakota and eastern Nebraska.
 
The family is leasing the facility (triple-net lease) since 1 March, with an option to purchase the Gothenburg Land O’Lakes building.
 
Julie Maschhoff, vice president of public policy and public relations, said the lease agreement gives the comapny complete control over the management and operation of the production facility.
 
Land O’ Lakes retains ownership of the building but The Maschhoffs is entirely financially responsible.
 
“It’s a good investment for us because we don’t have the capital expense of building a new facility,” Maschhoff said.
 
Local raw materials
The Maschhoffs will purchase two million bushels of corn (50,800 tonnes) from local farmers annually to produce 100,000 tonnes of swine feed products, Maschhoff said.
 
The feed is produced solely for their swine operations and the plant will no longer manufacture or distribute any Land O’ Lakes Purina Feeds products.
 
Depending on location and product needs, Land O’Lakes Purina Feed customers will be serviced from other facilities including Lincoln, Fremont, Commerce City, CO, or Sioux City, IA.
 
Close down of other mill
A The Masschoffs mill in Arapahoe (Nebraska), associated with their hog production facility there, is in the process of transitioning all feed manufacturing operations to the Gothenburg plant.
 
Maschhoff said because of the nature of the plant’s new focus, the number of Gothenburg employees may change but until the Arapahoe transition is complete, the final number is uncertain.

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