Viterra breaks ground on new grain facility in Dalhart, Texas
USA – Viterra has commenced construction on a state-of-the-art grain facility in Dalhart, Texas, set to feature advanced grain handling systems and a loop track connected to Union Pacific Railroad’s extensive 32,000-mile network.
The facility, announced in June 2024, is projected to be operational by mid-2026.
“Today’s groundbreaking signifies a significant step in enhancing Viterra’s ability to serve the West Texas region and builds momentum toward a stronger network. We look forward to this facility’s completion and expanding our customer reach, “stated Rayner Freyberg, CEO of Viterra US & Mexico.
Jason Hess, Senior Vice President of Marketing and Sales at Union Pacific Railroad, added that Union Pacific appreciates and values the relationship it has with Viterra to provide safe and reliable service to this growing agricultural market for years to come.
“We innovate for growth just like this, investing more than US$10 million per day in infrastructure, technology, and network expansion to provide solutions for our customers to win in the marketplace,” Hess said.
The Dalhart facility aims to enhance market access for producers and end-users within Viterra’s supply chain, reflecting the company’s commitment to efficient product movement in the West Texas area.
In parallel, Viterra is undergoing significant corporate changes. In January 2025, the Canadian government approved a US$34 billion merger between Bunge Global SA and Viterra Limited.
This merger, subject to conditions to maintain market competition, will create one of the world’s largest agribusiness entities. Conditions include divesting six grain elevators in Western Canada, a US$520 million investment commitment over five years, and retaining Viterra’s head office in Regina for at least five years.
Additionally, measures are in place to prevent Bunge from influencing G3’s pricing or investment decisions, where it holds a minority stake.
While some organizations have expressed cautious optimism regarding the merger, others, such as the National Farmers Union (NFU), have voiced concerns. The NFU suggests that the merger could effectively end competition in Canada’s agricultural commodity sector, granting the merged entity control of 40% of the grain market.
They advocate for stronger regulation to protect farmers’ interests in light of this increased market concentration.
The agricultural supply chain company also recently achieved a significant milestone by completing its largest wheat shipment since the 2021-22 season.
The company loaded 71,500 tonnes of wheat at its Outer Harbor terminal in Adelaide, marking a historic export from this terminal despite facing a below-average harvest in South Australia. This shipment, destined for end users in the Middle East, indicates a robust demand for local grain.
Derek Robjohns, Viterra’s General Manager of Supply Chain, expressed optimism regarding the shipment, stating that it reflects both the resilience of local growers and the efficiency of Viterra’s supply chain.
“The South Australian harvest was overall better than expected with growers producing a high-quality crop despite low rainfall. This achievement underscores the reputation of South Australian grain for its reliability and quality on the global market,” Robjohns noted.
Sign up to HERE receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.
