Swiss agtech startup Cormo USA announced it is investing $29.5 million to establish its first U.S. production plant in Rushville, Indiana.
Launched in 2018 as a joint venture between Switzerland-based Cormo AG and Florida-based Sustainable Projects Group, Cormo specializes in converting corn field post-harvest waste into sustainable, value-added products such as peat moss substitutes and filter materials.
The plant to be built at the Commerce Park in Rushville will consist of a state-of-the-art facility on 10 acres, and will have the capacity to process corn straw from up to 150,000 acres of corn fields each year. Using a patented process that the company has utilized at their pilot plant in France since 2016, Cormo will convert corn field waste it into 100 percent sustainable peat moss substitute (TEFA) for agricultural applications, and into foam products for material science applications.
“Indiana, and particularly Rush County, offers the perfect combination of entrepreneurial spirit, hardworking talent and agriculture which is mission critical for our company,” said Stefan Muehlbauer, president of the Board at Cormo USA. “After an extensive site search across corn-producing states, Cormo USA is looking forward to the next phase of the company’s evolution.”
After Cormo’s patented process has proven successful on a commercial scale in France, the company is investing into a U.S. expansion to capitalize upon the country’s significantly larger volume of corn production.
“This is an extraordinary addition to the Rush County community,” said Rushville Mayor Mike Pavey. “We have world-class manufacturing in Rushville, yet Rush County is an agricultural county. Cormo USA will add an agricultural piece to those world-class operations. They not only benefit the employment base of the county, but will also offer income opportunities to Rush County farmers as well as farmers in surrounding counties.”
The move into Indiana is expected to generate 250 new high-wage jobs by the end of 2023, according to the company, and subject to approval by the Indiana Economic Development Corporation (IEDC) Board of Directors, Cormo USA will be granted $3.5 million in conditional tax credits based on the company’s job creation plans. Within the coming three to four months, Cormo will begin hiring for plant operations and management positions, with additional positions in logistics, marketing, and scientific testing to be filled in 2020.
“We are especially grateful for the knowledgeable team at the IEDC and the support of Mayor Mike Pavey in Rushville as well as his team,” said Muehlbauer. “They have shown exceptional professionalism and shared our commitment to not just an environmentally – but also an economically-sustainable future. “
-Lynda Kiernan