U.S. Sugars Corporation President Matt Wineinger provided an excellent overview of dynamics affecting the sweetener industry during his presentation at the Golden Growers annual meeting.
In terms of domestic sweetener use, total sweetener consumption remains on the rise, but ‘per capita’ consumption of caloric sweeteners is declining. Meanwhile, non-caloric sweeteners use is on the rise. Not all non-caloric sweeteners are benefiting, however. Diet sodas have seen significant consumption declines driven by concerns over Aspartame. Recent non-caloric growth has come from stevia and sucralose.
Consumers have adjusted their declining consumption of carbonated soft drinks primarily by increasing tap water use.
GMO ingredients have become a battleground within the food industry, according to Wineinger Congress has not yet approved any national labeling legislation. Meanwhile, companies like Campbell, General Mills, and Mars are moving forward with their own labeling method. Wineinger considered this an encouraging move. “I believe consumers will simply accept disclosures of genetic food labeling as part of the fabric of food labels, leading to greater acceptance.” stated Wineinger.
When it comes to HFCS pricing, there are several factors to consider. Domestic sugar prices, freight distribution, ethanol prices, Mexican sugar shipments (to the U.S.), and Mexican sugar supply all have an impact. While corn prices also figure in, corn milling plant utilization is a key factor when it comes to maintaining margins for corn refiners. Wineinger highlighted Cargill’s closure of their Memphis plant as a key decision to significantly raise capacity utilization and positively impact profit margins.
Important Member Survey Coming in July!
/in NewsPlease watch your mail for an important member survey and make a commitment to promptly complete and return it. This msurvey is an integral part of the Board’s strategic planning process designed to protect and improve your investment in Golden Growers Cooperative.
This CONFIDENTIAL SURVEY was designed to be fairly simple, yet provide the kind of information that will be useful as we think about the future. We will be asking you to:
For the past three years, your Board has been deeply involved in a strategic planning process focused on protecting and improving your investment in Golden Growers Cooperative and the ProGold corn milling plant.
As part of that planning process, Golden Growers engaged in a marketing research project funded with contributions from the ND Corn Utilization Council, the ND Agricultural Products Utilization Commission, and USDA’s Rural Development Agency. Research has focused on trends of the corn sweetener market, emerging products that could use corn starch or sweeteners as a feedstock, and market niches that could benefit our members and the region.
Your timely response to the survey is the most important thing you can do to guide your Cooperative.
This is the first time, Golden Growers members have been surveyed in twenty two years.
When survey responses are received, we will begin tabulating and evaluating them. We plan to share those results with you.
GGC Approves Distribution of $0.20/bushel
/in NewsOn June 16th, the Golden Growers Board of Directors approved a distribution of $3,098,056 to members of
record as of June 1, 2016. This distribution, to be issued in the last week of June, will consist entirely of retirement
of 2015 allocated income. Combined with the February distribution, 90% of 2015 allocated income will be retired.
The remaining equity balance is $693,847 or $0.045/bushel delivered in 2015.
With this payment, Golden Growers will have issued payments to members totaling $86,407,052. This represents
160% of members’ original equity investment in the ProGold plant.
Wineinger “Plant utilization a key factor” in corn refining margins
/in NewsU.S. Sugars Corporation President Matt Wineinger provided an excellent overview of dynamics affecting the sweetener industry during his presentation at the Golden Growers annual meeting.
In terms of domestic sweetener use, total sweetener consumption remains on the rise, but ‘per capita’ consumption of caloric sweeteners is declining. Meanwhile, non-caloric sweeteners use is on the rise. Not all non-caloric sweeteners are benefiting, however. Diet sodas have seen significant consumption declines driven by concerns over Aspartame. Recent non-caloric growth has come from stevia and sucralose.
Consumers have adjusted their declining consumption of carbonated soft drinks primarily by increasing tap water use.
GMO ingredients have become a battleground within the food industry, according to Wineinger Congress has not yet approved any national labeling legislation. Meanwhile, companies like Campbell, General Mills, and Mars are moving forward with their own labeling method. Wineinger considered this an encouraging move. “I believe consumers will simply accept disclosures of genetic food labeling as part of the fabric of food labels, leading to greater acceptance.” stated Wineinger.
When it comes to HFCS pricing, there are several factors to consider. Domestic sugar prices, freight distribution, ethanol prices, Mexican sugar shipments (to the U.S.), and Mexican sugar supply all have an impact. While corn prices also figure in, corn milling plant utilization is a key factor when it comes to maintaining margins for corn refiners. Wineinger highlighted Cargill’s closure of their Memphis plant as a key decision to significantly raise capacity utilization and positively impact profit margins.
GGC Board Members Re-Elected
/in NewsGolden Growers members re-elected the following board member re-elected at their annual meeting on March 24, 2016
Congratulations to each of these fine board members!
Governor Dalrymple to Attend Golden Growers Annual Meeting
/in NewsGovernor Dalrymple will attend the Golden Growers Cooperative Annual Meeting, Thursday, March 24th at the West Fargo, ND Cambria Conference Center starting at 9:00 am.
Golden Growers has been informed that North Dakota Governor Dalrymple has accepted the invitation to speak at Thursday’s annual meeting.
Governor Dalrymple was on the Organizational Board of Directors for the Cooperative during its formative years from 1994-1995 when the ProGold corn milling plant was conceived. Dalrymple played a significant role on the Organizational Board due to his relationships with local and state officials. This was most important during the site selection process which eventually named Wahpeton, ND the favored location for the $260 million plant.
In addition to Governor Dalrymple’s address, United Sugars Corporation President Matt Wineinger will share his thoughts on the current state of the food sweetener business. Wineinger has a unique perspective due to his prior responsibilities as the President of Bulk Ingredients for Tate and Lyle, PLC and his current role for United Sugars Corporation in the marketing of both beet and cane sugar.
The Golden Growers Cooperative annual meeting begins at 9:00 am with short courses on farm transition planning, sustainability, and corn marketing. The business meeting begins at 10:00 am. Governor Dalrymple is anticipated to speak shortly after 10:00 am. Matt Wineinger’s presentation will occur at approximately 10:45 am.
Annual Meeting Set for March 24, 2016
/in NewsThe Golden Growers Annual Meeting is set for Thursday, March 24th at the Cambria Conference Center, 825 East Beaton Drive, West Fargo, ND. Please note that this is not the same location as in prior years. The Cambria is located on the north side of Interstate 94 where it intersects with Veterans Boulevard.
The agenda includes:
8:00 a.m. Continental Breakfast
9:00 a.m. Morning Short Courses:
10:00 a.m. Annual Meeting: Election of Directors:
11:00 a.m. Guest Speaker: Matt Wineinger, United Sugars Corporation President
11:45 a.m. Lunch followed by Your Questions
Five Directors to Be Elected at Annual Meeting
/in NewsAt our Annual Meeting, Members have the opportunity to re-elect or elect Directors to serve on the Golden Growers Board. Current directors eligible for re-election are: Nick Pyle of Casselton, ND in the Northwest District; Matt Hasbargen of Breckenridge, MN in the Northeast District; Brett Johnson of Mooreton, ND in the Southwest District; Byron Koehl of Hancock, MN in the Southeast District; and David Benedict in the East Central District.
Any member in good standing is eligible to be nominated for the Board in the district where their membership is registered. If you are interested in serving on the Board and want to be listed on the ballot for your District, you must file a petition with signatures of at least 10 members from your District no later than five days in advance of the annual meeting. Candidates may be nominated from the floor, but their names will not appear on the ballot. If you want more information about district elections, visit the Golden Growers Elections Webpage or contact:
Scott Stofferahn: 701-281-0468 or scotts@goldengrowers.com
Matt Wineinger to Speak at GGC Annual Meeting
/in NewsGolden Growers is pleased to announce the speaker at our upcoming annual meeting, United Sugars Corporation President, Matt Wineinger.
Matt was named President of United Sugars in May of 2015. Prior to United Sugars, Mr. Wineinger served as President of Bulk Ingredients for Tate & Lyle PLC where he had global responsibility for commodity sweeteners, starches, ethanol and more.
Golden Growers is fortunate to have access to someone who thoroughly understands the dynamics of sweeteners in the food and beverage business.
He received his graduate degrees from Kansas State University and the Stanford University Graduate School of Business.
K-1 Tax Form Information
/in NewsThe Golden Growers Schedule K-1 tax forms have been mailed. If you do not receive your K-1 within the week, feel free to contact our office.
For members who are not wintering at their address of record and need their K-1 immediately, please call or email with the following:
Member Name; Winter Address: Email Address; Mobile Phone Number; and/or similar information for Tax Advisor.
Send this information to: scotts@goldengrowers.com
2016 Annual Delivery Agreement (Pool Election) Deadline is December 15th
/in NewsIn October, Golden Growers members received their ‘Annual Pool Election’ letter offering the opportunity to change their method of delivery necessary to meet membership obligations under the Uniform Member Agreement. Only members intending to change their delivery method need to respond.
The Board of Directors believes it is in the Cooperative’s interest to have a large portion of member obligations satisfied through direct member deliveries. Method A pool participation strengthens our relationship with Cargill, ProGold’s tenant, and it assures continued proportional allocation of income to all members of the cooperative. Therefore, we encourage each member to seriously consider the $0.07/bushel Method A advantage when making your annual election.
To change your delivery method, simply complete the Annual Delivery Agreement (ADA) printed on the back page your October 15th letter and return it to the Golden Growers office. Changes in delivery must be received by GGC no later than December 15th.
Note: If you have misplaced your Annual Election Letter and intend to change delivery methods, contact the Golden Growers Office for a replacement letter.