Governor Glenn Youngkin Announces Perdue AgriBusiness to Invest $59.1 Million to Expand in the City of Chesapeake

Leading agriculture products company to increase production capacity, modernize soybean extraction facility

(Chesapeake, VA, March 24, 2022)

Governor Glenn Youngkin today announced that Perdue AgriBusiness, a leading U.S. agriculture products and services company, will invest $59.1 million to expand its operation in the City of Chesapeake. The company will modernize facilities and increase production of its high protein soybean meal, soybean oil, and hulls, positioning the company to expand its soybean crushing capability to include other high-oil content products. Virginia successfully competed with Maryland, North Carolina, and Pennsylvania for the project.

Perdue purchases 80% of Virginia’s soybeans and exports 72 million tons of soybeans per year through The Port of Virginia. The Chesapeake facility supplies crude degummed soybean oil to Perdue’s Salisbury, Maryland oil refinery for further processing and sales to the food industry as well as supplying the biodiesel industry globally.

“When industry leaders reinvest in Virginia, it is a strong endorsement of the many attributes that make our Commonwealth a best-in-class business location,” said Governor Youngkin. “Perdue AgriBusiness is a valued employer in Chesapeake and a major contributor to Virginia farmers’ livelihoods, and we look forward to its continued growth trajectory with the modernization and expansion of this facility.”

“Perdue AgriBusiness has a long history of contributing to the Commonwealth’s robust and diverse agriculture industry, and we congratulate the company on its expanding operation,” said Secretary of Commerce and Trade Caren Merrick. “Partnerships like this between processor and farmer are strong examples of how we can work together to help bring economic vitality and opportunity to all corners of the Commonwealth. We look forward to the company’s continued success and thank Perdue for its confidence in Virginia.”

“Virginia is home to some of the world’s most innovative and productive farmers. It has been their tireless work, continual investment in new and more efficient farming equipment, and embrace of technology that has kept the Commonwealth’s agriculture sector growing and secure in its top position as the state’s largest private sector industry,” said Secretary of Agriculture and Forestry Matt Lohr. “I commend Perdue for sharing this same commitment to innovation and investment in new equipment and technologies, because it is the diverse and global markets that facilities like this provide our farmers that drive the whole industry forward.”

“Virginia’s transportation infrastructure is essential to getting Perdue AgriBusiness’ soybeans and other high-oil content products where they need to go. The two Class I railroads, our interstate network, inland port, and barge service to Richmond enable cargo to move efficiently through the Port of Virginia,” said Secretary of Transportation Shep Miller. “Last year, while other ports around the country were riddled with supply chain issues, the Port of Virginia had its most productive fiscal year yet, processing more than 3.2 million twenty-foot equivalent units. The Port of Virginia is a best-in-class asset for the Commonwealth.”

“We purchase grain from more than 700 farmers in Virginia annually, giving them a strong local market for their crops,” said Scott Fredericksen, President of Perdue AgriBusiness. “Renovating and expanding our Chesapeake operations will allow us to increase local origination and improve our processing capabilities, as well as enhance logistical efficiencies across our supply chain to continue meeting customer demand. As a proud employer in the state, we look forward to many more years of success and growth at our operations in Chesapeake.”

“The City of Chesapeake is very excited about the expansion of Perdue AgriBusiness,” said Chesapeake Mayor Rick West. “Perdue’s decision to choose Chesapeake for its expansion just further highlights the many advantages our city has to offer businesses, from our location to our business climate. We look forward to the continued partnership with Perdue and are proud to see their growth in the City of Chesapeake.”

“Having toured the Perdue AgriBusiness facility in my district, I am thrilled to see this major financial investment in the Chesapeake plant,” said Senator Lionell Spruill, Sr. “As one of the largest grain companies, Perdue AgriBusiness will be able to enhance their facility and keep up with the demand in the agricultural sector.”

“Agribusiness is the Commonwealth’s largest industry by far,” said Delegate Barry Knight. “Being a farmer all of my life, I know that exports play a large part, and I am proud that Perdue is expanding in Chesapeake in the state’s largest industry.”

“I am thankful to have had the opportunity to tour Perdue AgriBusiness last year and could not be happier to hear about their increased investment in the 77th House District,” said Delegate C. E. Cliff Hayes, Jr. “Perdue AgriBusiness is a valuable contributor to our state and local economy. I’m especially grateful that this investment will enhance the South Norfolk Tax Increment Financing District.”

“I offer sincere congratulations to Perdue AgriBusiness on its oilseed facility expansion and renovation in Chesapeake,” said Delegate James “Jay” Leftwich. “Perdue’s choice to invest $59.1 million in Chesapeake over competition from Maryland, North Carolina, and Pennsylvania is a testament to Virginia and Chesapeake’s commitment to transportation infrastructure, the Port of Virginia, and the quality of life, educational opportunity, and workforce the City of Chesapeake provides. I am proud of Governor Youngkin’s success in landing Perdue’s expansion for our Commonwealth and Chesapeake. This is a fantastic start to bringing more economic growth and good jobs to Chesapeake, Hampton Roads, and all of Virginia.”

Perdue AgriBusiness is an independent operating company of Perdue Farms Inc. Ranked among the largest grain companies in the U.S., Perdue AgriBusiness is a leading merchandiser, processor, and exporter of agricultural products. Through Perdue AgriBusiness’ 75 elevator locations with more than 75 million bushels of storage, deep-water port, transload facilities, oilseed crushing operations, edible oil refinery, and protein blend mills, the company serves markets across the United States and around the world. Perdue Farms employs more than 2,800 associates across Virginia.

The Virginia Economic Development Partnership and the Virginia Department of Agriculture and Consumer Services worked with the City of Chesapeake to secure the project for Virginia. The Governor approved a performance-based grant of $500,000 from the Virginia Investment Performance Grant, an incentive that encourages continued capital investment by existing Virginia companies, as well as a $450,000 grant from the Governor’s Agriculture and Forestry Industries Development Fund to assist the City of Chesapeake with the project. The company is also eligible to apply for the Railroad Industrial Access Program through the Virginia Department of Rail and Public Transportation, subject to approval by the Commonwealth Transportation Board.