Alternative crops make cleaning plant profitable

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Published: September 8, 1994

STONY PLAIN, Alta. – From the moment people drive into the yard of the Stony Plain Seed Cleaning Association they can see it’s different.

The lawns are mowed and the place is clean.

The difference doesn’t stop with the appearance. Unlike older facilities that may not clean enough grain to make a profit, the seed cleaning plant outside Edmonton returns a healthy dividend to its members.

The plant’s success is almost an “accident,” said manager Blair Peregrym.

The former wornout facility was replaced in 1987 when farmers were searching for alternative crops and markets. At the same time, the plant was searching for more seed cleaning business to help pay for expansion.

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Three times the business

Members scouted around for new contracts and today the farmer-owned co-operative cleans more than one million bushels of seed each year. That’s more than three times the 300,000 bushels cleaned in the old plant.

Almost half the volume is peas grown for human consumption, through a contract with the specialty-crop company, Finora Canada. The peas come from all over Alberta.

Grain cleaned for seed is also a major part of business volume. Half that is sold to British Columbia producers.

Oats have made a big difference to local farmers as well. The plant cleans about 100,000 bushels for sale as pony oats in the United States.

Until a few years ago farmers in the area never grew oats or peas. With only the local Alberta Wheat Pool elevator, they had no market for their crops.

“We are another market for the farmer. We’re changing their habits – giving them more choice. The pool just doesn’t own the area any more.”

It’s not just an extra market, it’s service that keeps the farmers coming back, said Peregrym.

Staff will work until 3 a.m. to finish a contract, give price incentives to haul seed throughout the year and keep the building and yard clean.

“If you want to secure business, you have to have a clean business.”

Last year operations went so well that members got a 12 cent-a-bushel dividend. That still left money in the bank, so they built a $170,000 grain car-loading facility for farmers to use.

It has six grain bins, a scale and an elevator leg. For $50 farmers can load their own producer cars, or companies can rent the facilities at $4 a tonne.

In the first year it was mainly used by the local wheat pool and the grain company Parrish and Heimbecker. This year more farmers used the facility.

“It gives farmers another service and us more business.”

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