Farmers and commercial elevators are taking a hit from grain industry failures that have made headlines in recent months. That includes the allegations of impropriety for the manager of the Ashby, Minnesota grain elevator and the subsequent shutdown of that cooperative. There’s also the 21 year old Leeds, North Dakota man doing business as Midwest Grain Trading that was declared insolvent. North Dakota Grain Dealers Association Executive Director Stu Letcher says no one wants to see these issues and more scrutiny is needed. There are big differences between commercial grain warehouse operations and roving grain buyers. “With a warehouse license, the grain stays in state and it is still there if there is an insolvency. With a roving grain buyer, it can go out of state as soon as it is bought. The money paid for that grain can disappear in a hurry, too.”
Subscribe to RRFN
Get a weekly digest from RRFN to stay up-to-date on all the latest news in agriculture.