The soybean industry faced challenges in 2025, especially with tariff s and trade disruptions. But that didn’t change Ag Processing Inc’s continued focus on delivering long-term value for its member-owners with the completion of its 11th soybean processing facility in David City, Nebraska.
AGP ranks as the fourth largest soybean processor in the United States and the largest cooperative soybean processor in the world. It operates across Iowa, Minnesota, Missouri, Nebraska and South Dakota, breaking down soybeans into 80% meal and 20% oil. The oil is then refined for renewable fuels and food products, while the meal is sold domestically and exported. And despite the economic headwinds from Washington’s policy uncertainty, the co-op has held steady.
“While the soybean processing industry has experienced favorable market conditions in recent years, we recognize that agriculture is inherently cyclical,” said Paul Wahlmeier, AGP’s vice president of finance. “As a federated cooperative, one of AGP’s guiding principles is to ensure the company remains strong and well positioned so we can continue creating value for our member-owners throughout every phase of the cycle.”
AGP operates under a cooperative structure, buying soybeans from its members and then selling the meal back once it’s processed. That model has been central to AGP’s success — and is rooted in the company’s origins.
“AGP was formed during the 1980s farm crisis by combining the assets of Boone Valley Cooperative, Farmland and Land O’Lakes,” said Kyle Droescher, group vice president and chief financial officer of AGP. “Those entities pooled their assets to survive, and now over four decades later, AGP is positioned to thrive. Today, we serve over 150 local co-ops that represent over 200,000 producers, and we’re continuing to expand.”
CoBank has been critical in our growth, and they are crucial in our continued success.
The new David City plant is one of AGP’s largest facilities, capable of processing 50 million bushels of soybeans every year. The addition has also propelled economic development in the local community through the addition of new jobs and the expansion of supporting businesses.
“We are excited to build and grow in the David City area and appreciate the partnerships that have joined us in this ongoing success,” said Droescher. AGP generates strong cash flow and financed the new plant independently but relies on its longtime financial partner CoBank for revolving credit and operational flexibility — recently closing a $500 million revolving line of credit for ongoing business needs.
“CoBank has been critical in our growth, and they are crucial in our continued success. We wholeheartedly believe in the strength and value of the cooperative system. As a fellow cooperative, CoBank understands that model while also understanding agribusiness,” said Wahlmeier. “We look forward to many years of continued success, serving alongside our members, rural communities and industry partners like CoBank.”