Nation in Grain Elevator Building Boom
New York--A number of factors are creating a grain elevator building boom in the United States, with the nation’s grain storage capacity reaching an all-time high. According to the Agriculture Department, federally licensed, off-farm storage capacity now tops 4.5 billion bushels, surpassing the 1988 peak.
Storage capacity is expected to grow further in the coming years. Several new facilities are under development, including a pair of country elevators planned by Archer Daniels Midland Co. in Nebraska, and an elevator being developed in Montana by the Gavilon Group, a commodities firm.
Factors driving the growth include a drop in interest rates funding construction projects. Rising grain crop yields and growing demand for ethanol are the major contributors to the building boom.NASDAQ article