An Argentinian Coop Navigates Tough Times
By responding to the needs of its customer, Cargill helps a South American agri-business grow, making a major impact in the local community.
January 01, 2015
When the Argentinian market experienced a downturn in the late 1990s, one of Cargill’s agricultural partners in the city of La Paz, Argentina, Coop Agropecuaria de La Paz, was near bankruptcy. During the difficult downturn, the coop contacted Cargill for financial help. Cargill granted Coop Agropecuaria de La Paz a loan and used its agricultural knowledge in the region to help the coop overcome the situation.
Because of its strategic location along the river, Coop La Paz was seen as an ideal partner to help Cargill access an important agricultural region in the north of the province. As Cargill began to invest in feed plants and other agribusiness in the area, Coop La Paz grew, too. Eventually, the coop was able to purchase a part of transport terminal Puerto Buey, where Cargill had originally rented a cell for the coop to deliver grain.
[image caption] Thanks to Cargill’s partnership, Coop Agropecuaria de La Paz is now the largest grain selling company in La Paz.
The coop’s continued success has allowed it to make a positive impact on the community. Through a joint program with Cargill, farmers in the coop work with rural schools to manually harvest corn, which is donated to a local non-profit organization. In addition, the coop frequently participates in the community, giving talks at local technical schools. Since 1997, Coop La Paz has overcome several difficult financial situations. Cargill continues to share its expertise and help the coop meet its goals, and, thanks to the partnership, the coop is now the largest grain selling company in La Paz.