AGI closing in G.I.; 100 production jobs eliminated

GRAND ISLAND — Ag Grown International (AGI) is closing its Grand Island facility and eliminating 100 production jobs, employees learned on June 4.
AGI manufactures galvanized steel bins at its plant at 2928 E. Highway 30.

The plant will continue production and will close around Sept. 30, Scott McKernan, U.S. Farm Senior Vice President, said June 5.

AGI is standardizing its North American Galvanized steel bins to 4-inch wide corrugation “to align with category growth and customer demand,” according to an AGI news release dated June 4. The news release was issued after employees were told June 4 about the business closing.

“The Grand Island facility predominantly manufactured 2.66-inch narrow corrugated bin walls,” the news release said.

“We are strengthening our offering of 4-inch wide corrugation productions across the U.S. market and enabling our dealers to be even more successful,” McKernan said in the news release.

“It is a difficult decision to close a plant like Grand Island, which has a proud legacy of serving agriculture,” McKernan said in the news release. “We are grateful for the dedication and contributions of our Grand Island employee team. Our priority, right now, is to assist our employees during this transition process.”

McKernan was asked if the Grand Island plant could be converted to producing the 4-inch wide corrugation product. He responded that AGI already has another facility that produces the 4-inch wide product.

“That facility already serves part of the United States,” he said.

People working in the 100 production jobs that are being eliminated can apply for other jobs available through AGI, McKernan said.
There is a warehouse across the street from the main office that will remain open, McKernan said. Products that are stored there include portable augers, and six people work there.

AGI’s corporate headquarters in the United States are located in Naperville, Ill. The company is based in Winnipeg.

AGI has plan and warehouse locations across the U.S. including Albion; Omaha; Falls City; Horace, ND; Sioux Falls, SD; Wynne, AR; Decatur, IL; Marshall, IL; Boone, IA; Clay Center, KS; Lenexa, KS; and Joplin, MO. It has manufacturing facilities in Canada, the United States, Brazil, Indian, France, and Italy, and distributes its products globally.

AGI acquired Global Industries in Grand Island in April 2017, according to a news release on realagriculture.com. AGI paid $100 million for the company. Global Industries operated four main divisions, according to AGI: MFS, York, Stormor, and Brownie, based in Grand Island; Hutchinson and Mayrath in Clay Center, KS; NECO based in Omaha; and Sentinel Building Systems in Albion.