| Revenues at Minn-Dak Farmers Cooperative increased by $17.4
million this year, despite record-low sugar prices.
With record yields, the cooperative's sugar beet farmers produced their
way into a "strong financial position," said Steven Caspers, the
cooperative's president and chief executive officer.
Caspers addressed the media Tuesday at the Holiday Inn in Fargo during
the cooperative's annual meeting.
Minn-Dak's growers produced a record 2.2 million tons of beets, with an
average 21.57 tons per acre, Caspers said.
The cooperative's revenues totaled $170.1 million, with the growers'
share totaling $86.3 million, he said.
"The results last year were amazing and were a real morale
booster," Caspers said. "We will need that morale booster again
this year as we continue to grapple with a long list of issues that led to
so much press coverage of our industry last year."
Caspers indicated that Minn-Dak and other sugar processors may not be
able to continue growing their way out of the problems facing the sugar
industry.
If sugar prices remain low, the cooperative's growers are likely to
earn less next year, he said.
A sugar glut fed by imports and growing domestic production has reduced
U.S. sugar prices to an 18-year low.
Better trade agreements are needed and reductions in domestic
production may be in order, Caspers said.
Refined sugar is selling for about 22 cents per pound in the United
States compared to the sweetener's historic domestic price of about 27
cents per pound.
To reduce the surplus, the U.S. Department of Agriculture paid some
sugar beet farmers to destroy some of their last crop.
Minn-Dak growers participated heavily in the Payment-In-Kind Program by
plowing up 8,669 acres of beets, Caspers said.
If sugar prices remain low, the cooperative will again support the
program's use, he said.
American Crystal Sugar will hold its annual meeting Thursday at the
Fargo Holiday Inn. |