ADM to close Illinois soy protein plant for streamlining purposes

On August 29, ADM announced it would close its Bushnell, Illinois, plant to consolidate its soy protein operations into a “more efficient global network.”

ADM said the decision was part of the optimization and reactivation of its Decatur, Illinois, soy protein plant and other facilities in its global network.

“We are committed to a smooth and orderly transition to optimal system operation as we wind down operations at our Bushnell facility and look forward to servicing other capital assets,” said Ian Pinner, president of ADM’s nutrition business.

On a conference call to discuss second-quarter results in August, President and CEO Juan Luciano noted that the reactivation of the Decatur East plant is a critical step toward ramping up planned production, which will positively impact the division’s revenue.

“Optimizing our soy protein network is an example of how we are strengthening our asset platform by combining capital discipline with thoughtful organic innovation and operational improvements to drive cash flow and profit growth,” Pinner said. “These decisive actions will help us continue to deliver innovative, leading-edge products to our customers while strengthening our competitive advantage. With our Decatur plant now back online, we expect operating profit to improve over time as we improve manufacturing efficiencies and rebuild our specialty ingredients business.” ADM’s second-quarter profit fell to a five-year low amid slowing sales and shrinking trading and processing margins. ADM is phasing out its domestic trading operations in China amid what the company says is “an ongoing effort to remain agile in a challenging global environment.”

Tags: protein, soybean, USA