ADM to expand in China

CHICAGO - Archer Daniels Midland Co., one of the world's largest agricultural traders and with facilities in Cedar Rapids, will widen its operations in China to produce fish feed, the company said on Monday.

The move comes amid increasing global demand for fish from health-conscious consumers.

Expansion in high-growth regions such as China is part of ADM's strategy to improve returns and reduce the volatility of earnings due to swings in crop markets.

The Chicago-based company said it will build a new plant in Xiangtan, in central China, with capacity to produce 120,000 metric tons of animal and fish feeds annually. It will be ADM's fifth animal feed plant in the country.

ADM also will add production lines for fish feed at a plant in Nanjing, in eastern China, to gain 'entry into the growing Chinese high value specialty aquafeed market,” according to a statement.

A spokeswoman declined to say how much the projects will cost. The company expects both to be complete in 2019.