It was originally started as a way for a group of farmers to make sure they were able to get a reliable source of fuel. Today, our friends at GROWMARK Energy are helping producers make sure they have those quality fuels at prices that remain stable throughout the seasons. Marty Wieland, GROWMARK director of energy operations and risk management, explains that since they are also putting product into the pipeline that has to match the standards already there “that allows us to buy that product from any other vendor or shipper on the pipeline and know that it’s going to meet certain specifications so we really know what we’re getting.” Plus, he says they can put in their own additives at certain terminals specific for the needs of that area.
Wieland says their analysis, advisory and broker services give GROWMARK cooperatives a chance to lock in fuel prices as much as a year in advance. “It allows them to know what their pricing will be well out in the future,” and allows them to pass along these stable prices to the end-users.
Wieland concluded they’re looking at expanding into other pipelines where they don’t currently have a presence.
Listen to Cindy’s interview with Marty here. Marty Wieland, GROWMARK