SEOUL, Sept. 26 (Korea Bizwire) — POSCO International Corp. said Tuesday it has signed a preliminary agreement with a U.S. grain company to push for a joint venture and other related investment in the grain supply.
The joint venture framework agreement, signed with Bartlett and Company, commit the two companies to establishing a joint venture for grain supply and soybean processing, and finding new export markets, among others, the general trading unit of South Korean steel giant POSCO Holdings Inc. said.
Under the agreement, POSCO International will invest in Bartlett’s soybean processing unit under construction in the U.S.
POSCO International, whose key areas of business include commodities trading, aims to establish a supply system that handles 5 million tons of grain a year by 2030, by building a food value chain in the United States and seeking to be able to export U.S. grain.
POSCO International currently handles 8 million tons of grain per year, about 10 times the volume it had traded in 2015 when the company first entered the grain business.