UDDEVALLA, SWEDEN — Lantmännen, a Sweden-based agricultural cooperative, announced on March 1 that it plans to build a new grain storage facility in Uddevalla, Sweden, the largest project of its kind for the company in nearly 40 years.

Work on the SEK 500 million ($48.2 million) project will begin this spring and the facility, which will include new grain reception, drying and storage bin and handling equipment, is expected to be completed in time for the 2026 harvest, the company said. The grain facility will consist of 21 silos with two dryers for an estimated turnover of up to 100,000 tonnes of grain per year. 

The new facility will be larger, have higher capacity and be significantly more efficient than the current plant, Lantmännen said. 

“Lantmännen’s expertise and financial capacity enables this type of significant investments for Swedish agriculture and food production,” said Magnus Kagevik, president and chief executive officer of Lantmännen. “At the same time, the investment has the potential to become a key component in both a developed Swedish food preparedness and for increased export opportunities of Swedish grain.”   

Lantmännen has signed an agreement with grain storage and handling equipment supplier Tornum, which has local roots and a broad experience of investments in grain facilities, both in Sweden and internationally.  

“The new plant’s high reception and drying capacity ensures that farmers in the western part of Sweden can deliver grain both during and after harvest in an efficient way,” said Elisabeth Ringdahl, executive vice president, Lantmännen Agriculture Sector. “Our new facility is located in an attractive port location, where access to a deep-water port provides the conditions for loading vessels of 30,000 tonnes. This means lower freight costs and the opportunity to reach, for example, the US and North Africa, which pay higher prices than destinations that the smaller boats reach — and it means higher revenues for the farmers.”