New sugar refinery coming to Reserve

Published 12:00 am Tuesday, June 13, 2006

RESERVE – A new sign has been erected next to the Cargill grain elevator in Reserve, marking the future site of a new sugar refinery – the parish’s first since Godchaux-Henderson closed its doors some 10 years ago.

The site has been marked for the construction of million-ton-per-year sugar refinery as part of an expansion to the Cargill plant.

Members of the proposed site unveiled the sign culminating a weeklong series of information meetings held by Louisiana Sugar Cane Products, Inc. (LSCPI) to inform cane growers about the new Sugar Growers and refiners (SUGAR) cooperative, which will own one-half interest in Louisiana Sugar Refining, LLC. Cargill will own the other half-interest in LSR, the entity that will build and operate the sugar refinery.

Several hundred cane growers have signed membership agreements with SUGAR, whose membership will also include owners of nine sugar cane mills associated with LSCPI. This is the first time Louisiana growers will have the opportunity to join a fully integrated, farm-to-market sugar production business. Growers have until July 1, 2006 to execute membership agreements.

&#8220This is a new era for growers, who will now be able to share in the profits from refining and marketing,” said LSCPI General manager Lonnie Champagne. &#8220It’s clear that the growers are enthusiastic about that prospect. We’ve had a very successful series of meetings, and the response from the growers and our concept has been broadly accepted. Unveiling the sign at our plant site is another step in what we believe will be along and mutually beneficial journey with Cargill that will benefit growers, customers and the sugar industry generally.”

The new state-of-the-art refinery will be built on the campus of Cargill’s Marine Facility in Reserve. Groundbreaking is planned for September, with production to commence by early 2008. The nine mills will provide their entire raw sugar production – about 800,000 tons per year – to the new refinery. Cargill will market and distribute the refined sugar products to food and beverage customers.