Noble Group, a global supply chain manager of agricultural, industrial and energy products, has financially closed on its agreement to purchase an integrated soybean crushing and refining plant in the port of Qinzhou, Guangxi Autonomous Region, China, from Siping Hongzui Grease. The plant will supply soybean meal and oil to customers in rapidly expanding markets in southern and central China.
The acquisition of the Qinzhou Dayang facility will further integrate Noble’s global agricultural supply chain, linking its strengths in origination, elevation and sea-borne transportation to the most dynamic and developing market for Noble’s products. Noble will supply a significant part of the soybeans for Qinzhou Dayang through its newly built port in Timbues, Argentina, creating an integrated supply chain from field to feed.
This transaction makes Noble one of the largest foreign investors in Qinzhou, a city of 3.3mn people that has targeted an annual growth rate of 25% per year in foreign investment for the next five years, aided by low corporate taxes and wages.
The Qinzhou Dayang facility started operations in June 2005 and is located in the growing port of Qinzhou, capable of receiving and discharging panamex-sized vessels.