Blue Mountain buys Barenbrug’s plant, land in Imbler
IMBLER, Ore. — The spark from a cutting machine that ignited a blaze at Barenbrug USA’s seed-cleaning facility near Imbler earlier this year did more than damage the facility. It also served as the catalyst behind the purchase of the facility by Blue Mountain Seeds.
After the March 31 fire, Barenbrug decided to stop cleaning seed at the facility, creating an opportunity for Blue Mountain to expand.
“We needed room to expand,” said Bill Merrigan, manager of Blue Mountain Seeds. “We were right at capacity, both cleaning capacity and storage, and we were out of land to build on. We viewed this as a good opportunity.
“If growers choose to increase grass seed acres in Union County, we’ll have the facilities to handle it,” he said.
The purchase includes the plant’s 4-acre lot and 5 acres connecting an existing Blue Mountain seed-cleaning facility and the former Barenbrug plant.
The purchase also includes a slightly damaged seed-cleaning line, which Blue Mountain plans to refurbish and use for cleaning fine-leaf fescue and bluegrass seed. A second line was destroyed in the fire.
Blue Mountain has already begun storing seed in the west end of the Imbler facility, which was not damaged in the fire, Merrigan said. That section alone adds about 2.5 million pounds of seed storage capacity to Blue Mountain’s current capacity of 12 million pounds, he said.
Depending on how much of the facility Blue Mountain rebuilds, it could increase its storage capacity by another 2.5 million pounds, he said.
“We may not rebuild that facility the way it was,” Merrigan said. “We may put up a new building, or we may try and change the design of that building. That is something we are discussing right now.”
After the fire, Barenbrug USA decided to reinvest in a seed cleaning facility it operates in Boardman, Ore., rather than rebuild the Imbler plant, said company CEO and President James Schneider.
The Tangent, Ore.-based company has since added square footage to its Boardman plant and installed a third seed cleaning line, which is dedicated to cleaning bluegrass seed.
“Overall, it increases our capacity because it makes it more centralized,” Schneider said. “We will actually be able to clean more product.”
Adding to the incentive to sell the facility was its age, Schneider said. “It was an old facility, and because of our strategic plans, we felt it better to reinvest in our Boardman facility.”
He added: “We are thankful that good came out of such an unfortunate event. Blue Mountain Seeds has always been a great neighbor, and we can’t think of a better outcome than for the sale to allow both our companies to continue to invest in future growth.”
Barenbrug plans to continue contracting with growers to produce seed in the Grande Ronde Valley, Schneider said.
“We’re not abandoning the Grande Ronde Valley,” he said. “We still have a field man based there and we are contracting directly with growers there. But we are now cleaning that seed in Boardman.”
Among its plans for the facility, Blue Mountain is considering redesigning the plant’s seed storage facility with modern specs, improving the company’s capacity to handle modern seed production.
“Most of our warehouses were designed in the ’60s and ’70s,” Merrigan said. “They were set up for small trucks, smaller combines and smaller fields. And back then, harvest used to last a month.
“Today it is big combines and big trucks and harvest lasts about two weeks, and these warehouses aren’t designed for that,” he said. “We have small bins and a lot of labor involved in filling those bins.”
The sale leaves Blue Mountain Seeds as the only commercial grass seed cleaner operating in the Grande Ronde Valley.