Ralco Nutrition, Inc. on Tuesday announced its plans for a multi-million dollar expansion of its manufacturing facilities in Marshall. The expansion will build a new mixing facility and warehouse, and construction is tentatively scheduled to begin next year.
It's the first phase of a long term campus expansion plan for the company on approximately 35 acres of industrial property to be acquired by Ralco Nutrition, Inc. from the City of Marshall Housing and Redevelopment Authority, a Ralco news release said. The city of Marshall has also committed to construct utility and street infrastructure to serve the development area in 2011.
Doug Wing, Ralco vice president of operations, said the company was considering the option of expanding in South Dakota and other communities, but decided on local expansion instead.
"Ralco is committed to building rural communities and sustaining the agricultural way of life,"?Wing said. "While we weighed options for expansion in South Dakota as well as other communities, we ultimately determined that expanding here would be in our best interest. It allows us to invest in the growth and future of southwest Minnesota. We still have several details to finalize before this can be a reality but we are committing to grow with Marshall and the surrounding communities."
Ralco Nutrition, Inc. is a global provider of livestock nutrition and health solutions producer with headquarters in Marshall. It has three campuses in Marshall. Ralco's products are available in 19 countries with numerous pending registrations in global markets. Ralco, which had 25 full-time employees when it started in Marshall in 2004, now employs 110.
"We are faced with fierce competition and challenges in our industry. As a result we have committed to bringing innovative technologies to the market that make our customers more profitable." said Jon Knochenmus, president of Ralco Nutrition. "Marshall and the surrounding communities are our home. Our employees that live and work here have been instrumental to our success and will continue to be in the future."
Marshall Mayor Bob Byrnes calls Ralco a "quiet success story."
"It started here in Marshall and has realized substantial growth in the last several years," he said. "Based on the technologies they're using, as well as their sales and management expertise we expect them to continue to grow. Having that location that will accommodate a number of different aspects of their business all on one campus will be good for them and good for the community. This is very good for the community and the region," he added. "Ralco is a company that has been able to grow in southwest Minnesota, it's locally-owned, locally-managed and has chosen to grow in southwest Minnesota."
Byrnes said the city has already done preliminary planning on a comprehensive improvement plan in the area in Industrial Park where Ralco's expansion will take place, which is between Titan Machine and Minnesota Highway 68, adjacent to the Schwan Corporate 3 office.
"A lot of planning has been done," Byrnes said. "The city has been having very good communication with Ralco for quite some time now. There's been some very good groundwork that has been done to accommodate the expansion and the growth of their business."
Byrnes anticipates infrastructure work such as access to roadways, and sanitary sewer and stormwater management to be installed early next year. The city of Marshall, the Marshall Housing and Redevelopment Authority, and Ralco are finalizing detailed terms of the proposed terms and conditions that are anticipated to be brought forward to the city council in the coming months.