West Central joins CHS in $39 billion agribusiness network

CHS Inc., the largest farmer-owned cooperative in the U.S., is set to finalize its acquisition of West Central Ag Services in the coming weeks after securing approval from over 70% of West Central’s members. The sale of the Ulen, Minnesota-based cooperative marks a pivotal step in CHS’s strategy to expand its agronomy and grain supply networks.

The deal will see West Central, which serves more than 3,000 members across 14 locations in west-central Minnesota, rebranded as CHS West Central. Duane Brendemuhl, chairman of West Central’s board, said the decision followed 18 months of internal discussions. The board concluded that CHS’s scale and shared cooperative values offered the best path for long-term growth and immediate financial returns for members through equity redemptions.

Brendemuhl highlighted the benefits of joining CHS’s global supply chain, citing access to international markets and value-added processing capabilities as critical advantages for regional producers.

CHS, based in Inver Grove Heights, Minnesota, operates in 65 countries and posted $39 billion in revenue for fiscal 2024. Rick Dusek, executive vice president at CHS, said the merger would strengthen connections between local producers and global markets, enhancing market access and competitiveness for farmer-owners.

The acquisition follows a series of strategic moves by CHS, including plans announced earlier this year to acquire eight Cargill grain facilities across five states. The West Central transaction underscores CHS’s commitment to expanding its footprint while delivering value to its cooperative members through broader market reach and operational efficiencies.