Cairo Cooperative Equity Exchange Joins Skyland Grain Joint Venture

The Cairo Cooperative Equity Exchange and Skyland Grain have announced an agreement between the two companies allowing for the Cairo Co-op to become a part of the Skyland Grain joint venture.

Under the agreement, Cairo will continue to own its facilities, and will maintain its name. Skyland Grain will operate the Cairo facilities, but will share management responsibilities with the co-op.

Chairman of the board for Cairo Cooperative, John Steffen, tells Kansas Agland, “By becoming an owner of Skyland Grain, we are able to position the company to meet the long-term needs of our members, while improving facilities and maintaining profitability.”

The Cairo Cooperative, which has 3.9 million bushels of grain storage capacity, has been in Kansas for 100 years, supplying grain, fertilizer, seed, and fuel to agricultural producers.

Established August 1, 2004, Skyland Grain was formed as a joint venture between Johnson Cooperative Grain and Archer Daniels Midland (ADM). Later, on February 1, 2010, Syracuse Cooperative Exchange joined the partnership. The company is governed by a seven-member board of directors which includes members from all three principal partner-companies.

Slyland operates multiple grain elevators across the state of Kansas, and three in Colorado, with a total grain storage capacity of 31.1 million bushels. Skyland provides bulk liquid and dry anhydrous ammonia fertilizers, seeds and chemicals, and custom application services to producers, as well as fuel through Southwest Kansas Cooperative Service Company.

The partnership will help Skyland expand its footprint, and give the group the ability to dilute risk, and increase its diversification and growth potential for its member-owners.