Sugar beet growers want to expand into industrial market

From www.theobserver.ca  The Observer

By Peter Epp, March 06, 2014

Sugar beet growers in Chatham-Kent and Sarnia-Lambton want to grow more beets, but not for use as sugar. The beets would be processed as a feedstock to be used in Sarnia-Lambton’s growing bio-chemical sector.

Mark Lumley, a Sarnia-area sugar beet grower who was acclaimed as chair of the Ontario Sugarbeet Growers’ Association on Thursday, says there are various potential uses for the “thin juice” or “running sugar water” produced at a sugar beet factory before that juice is crystallized.

“It could be used as a feedstock for bio-chemical use,” Lumley explained to QMI Agency. “It could be used to enhance the production of corn ethanol. It could, in fact, be used as one of the ingredients in the production of polyethylene. It would be an alternative to petroleum.”

Lumley said the association’s members are serious about finding an alternative use for their sugar beets, and are working toward the development of a processing facility in Sarnia-Lambton that would prepare the thin juice for bio-chemical customers.

“We’re just not talking about this,” Lumley said. “We want to do this. The end game for all of this discussion is that we want to grow more sugar beets in Ontario.”

The association’s members have been growing sugar beets for the Michigan Sugar Company since the mid-1990s, but their agreement is to produce 10,000 acres of sugar beets annually. The beets are processed at Croswell, Michigan and used for refined sugar.

But Lumley said there’s an opportunity for the Ontario growers to expand their acreage, although any new production would likely be used for industrial production.

“We could refine our own sugar right here, but it’s just not economical,” Lumley said. “But every sugar refinery must first make thin juice to make sugar, and there’s an opportunity to make the thin juice only.”

Lumley said part of the reason for an expansion in Ontario’s beet industry comes from the area’s superior production. Sugar beet growers in Lambton County and Chatham-Kent consistently out-produce their Michigan colleagues, he said.

“We’re smoking the rest of Michigan and all of the United States. This is one of the most productive areas in all of North America for sugar beet production. If there was a demand for 50,000 acres of sugar beets grown in this area, we could grow it. We have the people, we have the technology, and we have the soil.”

Lumley said an opportunity exists to sell the thin juice to BioAmber in Sarnia, and added there has been “a lot of discussion” with BioInnovation Canada about the role of the sugar beet in the bio-chemical sector.

Speaking to the association’s 80 growers on Thursday, Lumley said there’s no reason why the industry can’t expand.

“We have a 10,000-acre cap with Michigan Sugar, but there’s no reason why we can’t grow 40,000 acres for that excess sugar and have it processed in Sarnia-Lambton,” he said.

Earlier in the meeting, members heard from Dresden-area grower Mark Richards about the association joining the Canadian Sugar Beet Association, which currently represents sugar beet growers in Southern Alberta.

Richards said membership in the national association would hopefully raise the industry’s domestic profile, both politically and industrially. He said the Alberta and Ontario growers could benefit from sharing research and working toward an expansion in their market.

The Alberta growers sell their sugar beets to two companies, Atlantic Sugar and Redparh. Atlantic has a refinery in Vancouver, while Redpath has refineries in Toronto and Montreal.

Rob Boras, president of the Canadian Sugar Beet Association, welcomed the Ontario growers’ membership. He said the national body is particularly concerned with the proposed trade agreement with the European Union, fearing that European sugar will be “dumped” into Canada. The trade agreement, Boras said, doesn’t adequately protect Canadian sugar beet growers.
 

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