Ag Retail Consolidation Ready To Ramp Back Up?

In case you missed the recent news, the 10 outlets that comprised Ritter Crop Services, No. 46 on the most recent CropLife 100 list of the nation’s top retailers, have been acquired by Crop Production Services (CPS), the No. 1 company on the list. The deal price wasn’t disclosed, but the transaction marks the exit of Ritter Agribusiness Holdings, Inc. from the ag retail marketplace.

According to the company, this divestiture will allow Ritter to focus on other growth initiatives such as grain, farmland, farm management and gin services. “E. Ritter & Co. has been in business for 126 years, and we’re constantly evaluating the direction of the company and the way we do business,” said Ritter Arnold, president of Ritter Agribusiness. “After much consideration, we have decided to exit the retail agribusinesses and expand our presence in other agribusiness sectors in the Mississippi River Delta.”

For me personally, this news is somewhat sad. In the past dozen years, I’ve had the chance to visit two of Ritter’s locations and I found the company’s blend of profitability and stewardship to be profoundly genuine. Furthermore, the individuals making this happen at both outlets were just as genuine in their desire to help out, not only grower-customers but ag editors such as myself.

Of course, this deal begs a larger question – Is industry consolidation getting ready to ramp back up in 2012? Since the crash of 2008, there have been relatively few ag retailer mergers compared with the large number that took place in 2006 and 2007, when times were booming for ag fortunes. Based upon the latest CropLife 100 numbers, 2011 marked a recovery for the market from these down times, and most everyone expects 2012 to bring more good news (and numbers).

So with ag retailer values at their highs right now, will more companies who’ve thought about refocusing their ag efforts be on the block? We’ll have to wait and see, but given the market conditions today, I would think the answer to this question is “yes.”

Topics:

Leave a Reply

Eric Sfiligoj Stories

TMX-2050 In-Cab Display Launch Run Screen
Eric SfiligojPrecision Ag Could Shine In Increased Spotlight On Agriculture
August 24, 2015
By any measure, 2015 is turning into one of the most challenging years agriculture has ever experienced. All throughout good Read More
Eric SfiligojAn Interesting Water Issue On The West Coast
August 17, 2015
A few weeks ago at the 2015 Environmental Respect Awards event in Wilmington, DE, one of the speakers talked about Read More
Green Roof
Eric SfiligojEnvironmental Respect: Going Green In The Middle Of Philadelphia
August 10, 2015
During the recent 2015 Environmental Respect Awards event, sponsored by DuPont Crop Protection, winners were treated to a day-long tour Read More
Eric SfiligojThe Cocktail Age Of Herbicides
July 20, 2015
An old saying claims that in many difficult situations, “two heads are better than one.” In the crop protection products Read More
Top 100 Articles
Crop InputsLand ‘O Lakes, United Suppliers Finalize Merger
August 24, 2015
According to a press release on August 24, owners of United Suppliers, Inc. and members of Land O’Lakes, Inc. “have Read More
West Central Cooperative, Jefferson, IA
CropLife 100Iowa Cooperatives To Explore Unification
August 19, 2015
The boards of directors at two of Iowa’s leading farmer-owned cooperatives yesterday signed a letter of intent to study the Read More
CropLife 100Southern States Coop Hosting Drone Flight This Friday
August 3, 2015
Southern States Cooperative — No. 9 on the CropLife 100 — is hosting an FAA-approved drone demonstration at Grandview Farms Read More
CropLife 100Aligned Ag Distributors Adds Four New Owners
July 30, 2015
Aligned Ag Distributors LLC has announced the addition of four new customer/owners to Franklin Holding Co. LLC. They are: The Read More
CropLife 100Pinnacle Purchases California-Based Specialty Crops Retailer
July 20, 2015
Pinnacle Agriculture Holdings has successfully acquired California-based NH3 Service Co.  Operating as part of Pinnacle’s Performance Agriculture brand, the new locations Read More
Asmus Farm Supply liquid fertilizer facility features 20,000 square feet
CropLife 100Slideshow: Asmus Farm Supply Shows Off Its New Liquid Fertilizer Facility
July 15, 2015
Asmus Farm Supply, Rake, IA, recently added a new liquid fertilizer facility to its company operations. The new liquid fertilizer Read More
Latest News
Crop InputsNFU: Monsanto Decision To Withdraw Syngenta Bid ‘…
August 26, 2015
National Farmers Union (NFU) President Roger Johnson said the organization was very pleased by the news that Monsanto has withdrawn Read More
Crop InputsMonsanto Withdraws Bid For Syngenta
August 26, 2015
Monsanto Co. abandoned its latest effort to acquire Syngenta AG, the world’s top maker of pesticides, after a sweetened bid Read More
Syngenta Sign
Crop InputsSyngenta Comments On Monsanto Announcement
August 26, 2015
The Board of Syngenta confirms that it received a verbal proposal from Monsanto to acquire the company at a price Read More
Case IH Patriot 2250 Sprayer
EquipmentHigh-powered Case IH Patriot 2250 Sprayer Pushes Throug…
August 26, 2015
Engineered with more muscle, the new 660-gallon-capacity Patriot 2250 sprayer features best-in-class horsepower, along with the fuel efficiency that comes Read More
Crop InputsLand ‘O Lakes, United Suppliers Finalize Merger
August 24, 2015
According to a press release on August 24, owners of United Suppliers, Inc. and members of Land O’Lakes, Inc. “have Read More
TMX-2050 In-Cab Display Launch Run Screen
Eric SfiligojPrecision Ag Could Shine In Increased Spotlight On Agri…
August 24, 2015
By any measure, 2015 is turning into one of the most challenging years agriculture has ever experienced. All throughout good Read More
ManagementCrop Conditions In Minnesota and Traveling Time
August 21, 2015
Editors Paul Schrimpf and Eric Sfiilgoj discuss the crop outlook from a field trip to Minnesota and upcoming travel plans. Read More
HerbicidesREUTERS: Anti-GMO ‘Scientist’ Calls For New…
August 20, 2015
EDITORS NOTE: We feel that it is important to note that there are those that believe one of the lead Read More
Rendering of Syngenta Seedcare Institute expansion
Seed/BiotechSyngenta Announces Seedcare Application And Resource Ce…
August 19, 2015
Syngenta recently announced the Seedcare Application and Resource Center, a collaborative new website designed exclusively for Syngenta Seedcare customers to Read More
Winter Wheat
Industry NewsArysta LifeScience Announces Two New Regional Sales Man…
August 19, 2015
Arysta LifeScience North America recently announced Steve Vining and Phil Reding have each accepted new positions as Regional Sales Managers. Read More
West Central Cooperative, Jefferson, IA
CropLife 100Iowa Cooperatives To Explore Unification
August 19, 2015
The boards of directors at two of Iowa’s leading farmer-owned cooperatives yesterday signed a letter of intent to study the Read More
Golden Harvest Corn healthy leaves
Industry NewsAligned Ag Distributors Names Vice President, Crop Prot…
August 18, 2015
Aligned Ag Distributors LLC have appointed Warren Hragyil to VP Crop Protection. Hragyil comes to Aligned Ag Distributors LLC with Read More
Industry NewsH.J. Baker Hires Manager For Crop Performance Division
August 18, 2015
H.J. Baker has announced Donald Sutton has joined the company’s Crop Performance Division as a part of the U.S. sales Read More
Radish cover crop taproot
Crop InputsSoil Health Field Days Promote Agricultural Evolution
August 18, 2015
Brent Bible practiced no-till farming and the use of cover crops on his farm in Lafayette, Indiana, but until recently, Read More
Cover Crop on corn
Industry NewsMore Farmers Find Healthy Soil Works For Crops, Bottom …
August 17, 2015
Doug Toussaint’s field was in critical condition — and he was the one killing it, reports Dan Gunderson on MPRNews. Read More
Deere tillage
Crop InputsTillage Practices Have A Direct Correlation To Soil Hea…
August 17, 2015
Many areas, including Michigan, have experienced a heightened sense of awareness of the importance of soil quality, according to Michigan Read More
Eric SfiligojAn Interesting Water Issue On The West Coast
August 17, 2015
A few weeks ago at the 2015 Environmental Respect Awards event in Wilmington, DE, one of the speakers talked about Read More
CF Industries' Donaldsonville, LA, nitrogen complex expansion site.
Industry NewsBleak Outlook Sparks Frenzied Dealmaking In Nitrogen Fe…
August 17, 2015
Sinking crop prices and frenzied output growth by producers have sparked a flurry of dealmaking worth nearly $10 billion in Read More