Good Grains International, Inc.

Feed Division Operations

The Feed Division combines Triticale with dehulled Lupin meal to produce a variety of exceptionally nutritious and balanced animal feed products with great potential in the livestock and fish feed markets, as well as in pet foods. Several studies have been completed by Good Grains Corporation, a Minnesota sister company dedicated to R & D, to show that Lupins can replace soybeans in the diets of farm animals with improved feed efficiency. The relative price advantage of Lupin protein, coupled with its superior qualities as an animal feed product, make it a competitive alternative to soy-based feed products.

FEED DIVISION OPERATIONS

The Feed Divisions objectives are to:

1. Contract or produce commercial feed production of Sweet White Lupin and Triticale acreage in protein-deficient regions adjacent to feed markets so product can be "fed where grown", with minimum transportation costs;
2. Gain feed market acceptance of Sweet White Lupin and Triticale feed material and establish markets for these products in local, regional, and existing export markets;
3. Organize and execute the logistics of receiving, grading, and dehulling commercial production of seed and feed for resale.

The outlook for Sweet White Lupin and Triticale as animal feed ingredients is excellent and successful testing has already been performed on swine, cattle, poultry, and fish. As information on the benefits of Sweet White Lupin and Triticale-based feed products is spread through the Company's marketing program, particularly when compared to soy and corn, total sales are expected to climb to well over ten million dollars by 2003.

The Company will build or modify (retrofit with specialized equipment to efficiently handle Lupin and Triticale), a feed grain mill and elevator complex (with the option to either purchase or build, based on need for capacity) for dehulling and seed cleaning in Hawaii, where Sweet White Lupin and Triticale can be dried, stored, and bagged for sale and distribution. This feed mill will also be equipped to act as a full service feed mill, processing Lupin and Triticale into mixed feed. These feeds will include corn, oats, and other grains along with vitamins, minerals, etc., mixed in various proportions with Lupin and Triticale. The fiber or hull portions will be removed and sold as industrial flour to large fiber users primarily in Hawaii and the Pacific Rim. It is intended that this facility will have export handling equipment for sea-going vessels.

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Copyright © 2001 Good Grains International Inc, South Africa
Last modified: September 30, 2003