Monsanto contracts out DeKalb corn distribution

Date:05-14-2010


Ag chem and seed firm Monsanto Canada has hired a logistics firm to handle distribution of its DeKalb corn seed across Canada from southwestern Ontario.

Future Transfer, based at Aylmer, Ont., has signed a multi-year deal with Monsanto to run a Canadian distribution centre for DeKalb from its own facility at Tillsonburg, Ont., about 50 km southeast of London.

Future Transfer, which already operates transloading facilities at Tillsonburg, will receive all packaged DeKalb corn coming into Canada and distribute it to Monsanto Canadas retail network.

Monsanto said the Tillsonburg plant is "sized for future growth" and is temperature controlled to maintain seed quality. The plant will also be able to meet customer demand for package and treatment preferences.

Future Transfer will employ 12 people at the Tillsonburg facility, where four Monsanto employees involved in the seed manufacturing area will also now work.

The facility is expected to start receiving DeKalb-branded product this month, Monsanto said in a release Thursday.

"We already have a successful working relationship with Future Transfer for our Roundup business, so this is a natural extension," said Scott Brackenbury, the corn and soybean operations manager for Monsantos Winnipeg-based Canadian wing.

Monsantos decision to find a new distribution facility followed its decision last fall to close its Chatham corn manufacturing facility by the end of this month.

The company told local reporters that closure was due in part to the Chatham plants age and capacity limitations preventing expansion.

Future Transfer, which started in 1973 as a seed and input marketer under the name Future Farm Supplies, sold its retail business and rebranded itself as a logistics provider in 1995.