NORWICH – For months, Agro Farma, the Town of Columbus-based company which produces Chobani Greek-style yogurt, has had its eye on the 335,000 square foot Woods Corners facility soon to be vacated by Procter & Gamble.
If the deal goes through, the resulting project could create as many as 350 new jobs, help local dairy farmers and bolster the tax base, according to Senator Charles Schumer.
But don’t count your chickens, the senator says. “It isn’t a done deal.”
The New York Democrat was in Norwich yesterday to learn more about the potential project and tour the 88-acre campus, which P&G put on the market more than a year ago in anticipation of their withdrawal from Chenango County.
“The building is perfect for what they want to do,” Schumer said, calling the project “one of the most exciting potential developments for Chenango County ... in a long, long time.”
According to the senator, Agro Farma’s proposed project would be a “win-win-win” for not only Norwich and Chenango County, but the Southern Tier.
“It’s a win for jobs,” he said, explaining that a total of 350 full-time positions would be created within the next three years according to the yogurt manufacturer’s fast moving timeline. Two hundred of those would be created in the first phase of the project, with another 75 to 150 being added in the second phase. The construction required to convert the facility would also stimulate the local construction industry, he added.
The project will also be a win for dairy farmers, Schumer reported.
According to Agro Farma CFO David Vaden, the company’s operation in the Town of Columbus currently spends over $20 million a year on milk, much of which is purchased from local cooperatives. If their acquisition of the Woods Corner facility is realized, that number would double, he said.
In addition, Schumer said the project would also be a win for the local tax base. As that base is strengthened, he explained, it would take part of the burden off local taxpayers.
“The company has asked me to help them,” said Schumer, who pledged his support of the project in a press conference yesterday morning at the Woods Corners facility.
While Agro Farma has already arranged for roughly two thirds of the funding they’ll need for the acquisition and conversion of the facility, they are seeking state and federal assistance with financing the rest, the senator explained.
“I will roll up my sleeves and work very hard to make this happen,” Schumer promised, saying he planned to contact the US Secretary of Agriculture personally to request that a $25 million USDA loan guarantee be extended to the yogurt manufacturer. He also stated his intention to continue pushing for improvements to Route 12 and redevelopment of the railroad, both of which he said would be crucial to the success of the project.
According to Agro Farma President Hamdi Ulukaya, the project is contingent on solidifying financing and completely “due diligence” on the facility.
If successful on both of those fronts, Vaden said, they could close on the property as early as mid-January or early February. That would allow them to begin construction by the end of March and have the plant fully operational by March of 2011.