MGP Ingredients Spending $29M on Kansas Protein Plant, Kentucky Barrel Warehouse

The investments will enable expansion to meet demand for the company's ProTerra texturized proteins and American whiskey.

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ATCHISON, KS — MGP Ingredients, a  provider of specialty proteins and starches, announced Feb. 22 it will build a technologically advanced extrusion plant to produce its ProTerra line of texturized proteins. The new plant will be located adjacent to the company's existing Atchison, KS plant. Once online in late 2023, the new extrusion plant is expected to produce up to 10 million pounds of ProTerra per year.

1645541210529Design of the $16.7 million facility will be led by Sabetha, KS-based design firm 1 Solutions Group. The firm has extensive experience designing extrusion lines in the food industry (including texturized proteins) and has worked with MGP on previous extrusion projects. Construction on the new facility will begin this summer and will be completed by the end of 2023.

"Achieving in-house production of our ProTerra line of products is a meaningful investment amid growing demand and increasing outsourcing costs," said MGP CEO Dave Colo.

The new plant will help the company meet the growing demand for its ProTerra product line, while giving it more control over the manufacturing process. MGP currently utilizes co-packers to produce its ProTerra line.

"Building this new extrusion plant gives MGP the capacity and flexibility required to continue to meet the growing demand for our ProTerra line of texturized proteins," said Michael Buttshaw, MGP's Vice President of Ingredient Solutions Sales and R&D. "By transitioning the manufacturing process in-house, we reduce lead times related to co-packer scheduling issues, increase flexibility related to R&D projects and enhance our ability to effectively commercialize new products."

Barrell Warehouse

On Feb. 17, MPG announced it has begun a $12 million barrel warehouse expansion to meet growing consumer demand for its American whiskey.  

Construction of the new barrel warehouse facility has recently begun in Williamstown, Kentucky, and marks the company’s second major investment in its distilled spirits operations in recent months. The warehouse expansion is located approximately 50 miles south of the company’s historic Ross & Squibb Distillery in Lawrenceburg, Indiana. The project is slated for completion by the end of 2022.

In late 2021, Luxco, operator of MGP’s branded-spirits portfolio, announced a $4 million expansion of its Lux Row Distillers facility in Bardstown, KY. Slated for completion in late 2022, the expansion will allow Lux Row Distillers to operate 24 hours per day and increase its capacity by 75%.

“With the increased demand we have been experiencing for our new distillate, aged whiskey and ultra-premium brands, these investments are necessary,” said Dave Colo, president and CEO, MGP Ingredients, Inc. “When complete, the new barrel warehouse and Lux Row Distillery expansions position us well for continued, sustainable growth. It is an exciting time for our company and the spirits industry.”

MGP Ingredients, Inc. is a producer of premium distilled spirits, branded spirits and food ingredient solutions. Since 1941, we have combined our expertise and energy aimed at formulating excellence, bringing product ideas to life collaboratively with our customers. As one of the largest distillers in the U.S., MGP's offerings include bourbon and rye whiskeys, gins, and vodkas, which are created at the intersection of science and imagination, for customers of all sizes, from crafts to multinational brands. With U.S. distilleries in Kentucky, Indiana, Kansas, and Washington D.C., and bottling operations in Missouri, Ohio, and Northern Ireland, MGP has the infrastructure and expertise to create on any scale.

In addition, our Ingredient Solutions segment offers specialty proteins and starches that help customers harness the power of plants and provide a host of functional, nutritional and sensory benefits for a wide range of food products.

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