Perdue AgriBusiness, a leading U.S. agriculture products and services company, will invest $59.1 million to expand its operation in Chesapeake, Virginia.

The company will modernize facilities and increase production of its high protein soybean meal, soybean oil, and hulls, positioning the company to expand its soybean crushing capability to include other high-oil content products.

“We purchase grain from more than 700 farmers in Virginia annually, giving them a strong local market for their crops,” said Scott Fredericksen, President of Perdue AgriBusiness. “Renovating and expanding our Chesapeake operations will allow us to increase local origination and improve our processing capabilities, as well as enhance logistical efficiencies across our supply chain to continue meeting customer demand. As a proud employer in the state, we look forward to many more years of success and growth at our operations in Chesapeake.”

The Virginia Economic Development Partnership (VEDP) and the Virginia Department of Agriculture and Consumer Services worked with the City of Chesapeake to secure the project for Virginia. The Governor approved a performance-based grant of $500,000 from the Virginia Investment Performance Grant, an incentive that encourages continued capital investment by existing Virginia companies, as well as a $450,000 grant from the Governor’s Agriculture and Forestry Industries Development Fund to assist the City of Chesapeake with the project. The company is also eligible to apply for the Railroad Industrial Access Program through the Virginia Department of Rail and Public Transportation, subject to approval by the Commonwealth Transportation Board.

“Perdue AgriBusiness has a long history of contributing to the Commonwealth’s robust and diverse agriculture industry, and we congratulate the company on its expanding operation,” said Secretary of Commerce and Trade Caren Merrick. “Partnerships like this between processor and farmer are strong examples of how we can work together to help bring economic vitality and opportunity to all corners of the Commonwealth. We look forward to the company’s continued success and thank Perdue for its confidence in Virginia.”

Perdue purchases 80% of Virginia’s soybeans and exports 72 million tons of soybeans per year through The Port of Virginia. The Chesapeake facility supplies crude degummed soybean oil to Perdue’s Salisbury, Maryland oil refinery for further processing and sales to the food industry as well as supplying the biodiesel industry globally.

“Virginia is home to some of the world’s most innovative and productive farmers. It has been their tireless work, continual investment in new and more efficient farming equipment, and embrace of technology that has kept the Commonwealth’s agriculture sector growing and secure in its top position as the state’s largest private sector industry,” said Secretary of Agriculture and Forestry Matt Lohr. “I commend Perdue for sharing this same commitment to innovation and investment in new equipment and technologies, because it is the diverse and global markets that facilities like this provide our farmers that drive the whole industry forward.”

Perdue AgriBusiness sources, purchases, and processes agricultural commodities and offers a diverse portfolio of products, including grains, soybean meal, blended feed ingredients, and top-quality oils for the food industry.