News & Events - Archived News

[ Up ]
 
Growers commit to co-op for variety of reasons
By Sandra Hansen, Ag Editor, The Star Herald
January 29, 2001
 
For area farmers, a lot of soul searching, negotiating with bankers, and worn out pencils have gone into deciding whether or not to join the Rocky Mountain Sugar Growers Cooperative.

The co-op was formed last year to explore purchasing Western Sugar Company. A $78 million price was agreed on, at a cost of $185 per acre to each co-op member for delivery rights. Producers have until the end of January to submit their $35 down payments. An additional $150 per acre is due by the end of February. The deal should be finalized by the end of March.

Pros and cons of cooperative or corporate ownership of the Western Sugar Company have been weighed and for the following operators, as well as dozens of others, the co-op is their choice.

Phillip Henkel, a Bayard area grower, believes the co-op is the only way to make any headway in the sugar industry.

"This is the only way well have a say so," said the third generation sugarbeet farmer. "My family has always raised beets, and my sons, who work with me now, are the fourth generation.

"We dont want the factory to close and lose all those jobs or others connected with it, like the truckers and local businesses."

Currently, he said, farmers are doing all the work and the company is making the money.

"Deciding to join the co-op took a lot of thinking, and its going to take a lot of money, but its time for a change," he said.

Another third generation sugarbeet farmer, Wynne Buehler of Gering, also decided to join the co-op.

"I wish I had a definite answer in my mind why were joining the co-op, but I guess its because weve always raised sugarbeets," Buehler said during a discussion with his brother regarding their decision.

"I dont know if its right, but its what weve decided to do, and well hope its the right decision."

Don Lebruska, a Mitchell area grower, said Saturday one of the reasons hes joining the co-op is to maintain diversity in area crops.

"It was a hard decision. Four of us work together, and weve talked about it a lot. Its hard to know what to do, but were set up for raising beets, and we always have. Theyve come through for us when the corn and beans didnt make it."

On the east end of the North Platte Valley sugarbeet area, George Chikos decided to go with the co-op because he believes the sugar industry is important to the valley, and the beets fit into crop rotations.

"The valley wouldnt go away, but it would be tougher without the sugarbeets," said Chikos, who farms near Bridgeport.

According to Chickos, whether the co-op is a good investment or not remains to be seen. "But were willing to take a shot at it."

Chickos said his decision to join the co-op took a lot of thought. "Its been on our minds almost constantly for the last couple of months," he said. "Weve studied the pros and cons, and Randon Wilsons meeting shed a lot of light on our concerns.

"You have to make a decision based on your thoughts, and thats where we are," Chickos said. "You have to be optimistic, and most farmers are. We just have to believe it will be profitable and will work."

If everyone involved in the industry, from farmers to factory workers, does their best, Chickos said they will know theyve done all they can to make it successful.

"Were all tied in this together," he said. "We cant control what the rest of the world does, but we can feel great about ourselves if we do all we can, no matter what the outcome is."

Chickos said the thought of higher fertilizer and fuel costs is scary, but he is prepared to make the investment of $185 per acre for delivery rights and go forward.