New facility sweetens the future for Michigan sugar beet farmers

Before a ribbon-cutting ceremony at Michigan Sugar Company’s new $109 million Molasses Desugarization Facility (MDS), company officials talked about numbers.

The 22,000-square-foot facility built from 4,866 cubic years of concrete and 766 tons of structural steel can process as much as 650 tons of molasses a day, producing up to 80 million more pounds of sugar a year. That sugar equals about $18 million in additional annual revenue, all without planting more beets.

Numbers never tell the full story, though.

Ashley BrownMichigan Sugar Company celebrated its new $109 million Molasses Desugarization Facility with a ribbon-cutting ceremony on Wed., July 31.Jim Roggenbuck, a sugar beet grower from Harbor Beach, talks about what the numbers mean for families. Roggenbuck farms with his brother, sons, and nephew. Earlier this week, his 3-year-old nephew visited the farm on a rainy day.

“He was in the office with his toy trucks. We had to get off the toy road before him. He’s on the carpet, harvesting sugar beets and hauling them to the factory. We got them wrangled in at 3 years old. That’s what we’re talking about when we talk about the future,” says Roggenbuck, who serves as Chairman of the Michigan Sugar Co-Op Board. 

Ashley BrownJoe Roggenbuck, a Harbor Beach farmer and Michigan Sugar Co-Op Board Chairman, explains how the new Molasses Desugarization Facility meets sustainability goals.Roggenbuck and the other speakers at the Wed., July 31 ribbon-cutting ceremony stressed the magnitude of the project and what it means for the future.

Molasses is created when sugar is extracted from beets. After the beets are processed, some sugar lingers in the molasses. 

Ashley BrownThe farmers, business leaders, politicians, and others who joined the ribbon-cutting ceremony were treated to food from Prost! and Michigan Cream and Sugar Ice Cream Company.An existing facility at the Monitor Township factory could extract additional sugar from about 60% of the molasses produced. The new MDS is connected to the old one, ramping capacity up to 100% of the molasses produced from processing sugar beets at the Bay City, Caro, Croswell, and Sebewaing plants.

Read about the 2021 announcement of the project in this Thurs., Aug. 26, 2021 Route Bay City article.

Ashley BrownNick Klein, Michigan Sugar's Vice President of Operations, called the project a game-changer for the company.With the new MDS facility up and running, Michigan Sugar Vice President of Operations Nick Klein estimates the factory now can capture between 90% and 95% of the sugar inside beets.

The MDS is the largest single investment since the company formed in 1906. Michigan Sugar President & CEO Neil Juhnke praises the board that decided to build the MDS.

“Making the decision to approve the expenditure of $109 million is no small task. The region sees the impact of that here today, so thank you,” Juhnke says.

“They understood from the beginning not only the historic nature of the project but its importance in moving our cooperative forward and preserving this industry for our children and grandchildren.”

Ashley BrownThe Molasses Desugarization Facility is expected to boost Michigan Sugar's production by 80 million more pounds of sugar each year.Juhnke says the new facility furthers Michigan Sugar’s reputation as an industry leader.

“This project puts us in a leadership position. We have the highest capacity to process molasses of any of our competition and we have the fourth generation technology of this process, so it really is a stake in the ground and a big step forward for our company,” Juhnke says.

“This company is a legacy company, 120 years in existence. It’ll be here another 120 years from now if we take care of it, if we’re good stewards of the industry.”

Ashley BrownWork started four years ago on the Molasses Desugarization Facility. The facility represents the largest single capital investment in Michigan Sugar's history. Klein echoes Juhnke’s words.

“Our mission at Michigan Sugar is creating growth and opportunity. This new Molasses Desugarization Facility certainly checks both boxes.”

It also draws praise from area leaders.

Ashley BrownJim Reaume, President & CEO of Bay Future, called the project 'exciting, substantial, and transformational.'Jim Reaume, President & CEO of Bay Future Inc., says the economic benefit of the project will help businesses and people throughout the Great Lakes Bay Region.

“Michigan Sugar has continued to demonstrate commitment, leadership, and major economic impact to our community with the start-up of this exciting, substantial, and transformational capital investment,” Reaume says. 

“This investment will provide both direct and indirect benefits across businesses and community members who call Bay County and our region home.”

Ashley BrownLeaders from business and agribusiness joined Michigan Sugar employees and construction crews to celebrate the opening of the Molasses Desugarization Facility.Monitor Township Supervisor Terry Spencer also praises the project. 

“As one of the township’s largest taxpayers and employers, we depend greatly on Michigan Sugar Company as a pillar of our community,” Spencer says. 

“It never ceases to amaze me the investment this company makes to benefit the community. The factory may be one of the oldest in our world, but inside it’s got state-of-the-art equipment and technology. We are fortunate the company’s grower-owners continue to invest here year after year after year.”

Ashley BrownBay Area Chamber of Commerce President & CEO Magen Samyn mingles with other guests before the ribbon-cutting ceremony.
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Read more articles by Kathy Roberts.

Kathy Roberts, a graduate of Central Michigan University, moved to Bay City in 1987 to start a career in the newspaper industry. She was a reporter and editor at the Bay City Times for 15 years before leaving to work at the Bay Area Chamber of Commerce, Covenant HealthCare, and Ohno Design. In 2019, she returned to her storytelling roots as the Managing Editor of Route Bay City. When she’s not editing or writing stories, you can find her reading books, knitting, or visiting the bars of Bay County. You can reach Kathy at editor@RouteBayCity.com