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Minnesota Sugar Beet Cooperatives closing plants
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GS2
Posted 8/20/2025 19:56 (#11338951 - in reply to #11338641)
Subject: RE: Minnesota Sugar Beet Cooperatives closing plants


North Central US
PLO NW MN - 8/20/2025 14:03

GS2 - 8/19/2025 19:25

Seen this on Facebook, my question is why does it appear any and all Minnesota Sugar Beet Cooperatives are buying plants and other cooperatives just to shut them down and take the acres?

You rarely hear of any plant expansion up here, and prepile and the finish of the campaign are about the same every year, so are they just sitting on acres or what is going on? From what I recall last year most in ND and MN said they were full on beets but many acres remained to be harvested.

Its not just plants in California either, they've done it to plants in Montana recently as well.


You’re talking about two different Coops as if they are one.

Southern Minnesota Sugar beet cooperative and American Crystal Sugar cooperative.

I’m a member/owner of American Crystal. We closed Sydney after trying to sell it to area growers. As any negotiations they apparently thought it should be cheaper as buyers and our BOD and management thought it had more value. After the failed negotiations we operated for another 3 maybe 4 years. Acres were harder to contract in the area with high commodity prices and American Crystal took a loss operating the factory

American Crystal has expanded processing capacity in all 5 of our plants over the decades with the latest being a multi year expansion of the Drayton factory.

2000 was the first year my dad had a field average 20 ton to the acre. 2009 was the first year my uncle had a field average 30 ton a high mark we didn’t hit again on our farm for almost a decade.

As production has increased we’ve reduced acres planted per share. In 1990s we planted 104% per share on the odd year. Now 80% per share.

We’ve invested millions into storage to keep beets frozen into spring to keep factories processing as temps warm.


Saying you tried to sell the Sidney plant is like saying you spelt Sidney correctly, or Democrats and Republicans love each other right now.

After 20 years of investing the bare minimum in Sidney, you wanted to sell it to the growers yes, WITH a clause that said if the plant became profitable or otherwise American Crystal Sugar could come back and take over the plant again.

In other words, you'd sell the plant to the growers, let them fix and upgrade the plant, dumping millions into it, then take it back. Great plan, I'm sure everyone would be happy with that.

That is after years of dropping the beet price paid below the cost to grow them and threatening to close the plant.

After shipping out the beet pulp after close to a century selling it to local cattle producers-at a premium I may add. I'm sure their old 1930s era pellet maker was real cost effective to run compared to a payloader.

When ACS bought the plant from Holly, many said ACS was going to take the acres and close the plant. Why would a Minnesota based cooperative overpay for a small plant way out of its area, in the area of other sugar companies? Then after years of duck taping the plant together many figured you'd close it, and you did- right after most of your growers had ordered everything, seed, fertilizer, labor, and in the middle of the open contracting period after 40,000 acres were contracted. Another dirty move.

Dirty move after dirty move, refusing to work with the people who grow the beets after they gave up many things every single year.

Screwing over a town, valley, and region that that plant built, literally.

Tell the full story, not your propagandized version. You can easily find newspaper articles and otherwise about how the employees of the plant were buying tar and duck tape on their own dime to fix the roof and other things in the plant that ACS wouldn't pay for.

This is why I asked. Did the same happen in California? Little plant that was profitable until a Minnesota Cooperative bought it out and refused to put a penny into it, now its wore out and needs millions?

Edited by GS2 8/20/2025 19:58
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