Erik Somerfeld, District 2, Power Jeff Bangs, At-Large Director District 1 Inverness

PRESIDENT’S MESSAGE

BY WALTER SCHWEITZER PRESIDENT

I was invited to the announcement of the plans by Calumet refinery in Great Falls to convert half of their crude run with renewable feedstock. This could require about 1 million acres of oilseeds to produce the feedstock needed by this conversion. Montana grew about 300,000 acres of oilseeds in 2020. Calumet’s transition to renewable feedstock will create an opportunity to expand our oilseed acres and have it processed right here in Montana.

Fifty-plus people witnessed the event. Elected leaders from around the state were in the crowd. Calumet management shared that demand for renewable fuel by Canada and California and the incentives in place by the Federal government make this a real opportunity. It was clear that Calumet has been doing a lot of work already to make this transition happen by the spring of 2022. To begin with, Calumet plans to use soybean oil from crushed plants and animal tallow from rendering plants in the Midwest because there is nowhere in Montana to source industrial biofuel oil.

When I left Calumet’s announcement, my mind was whirling with the possibilities this transition could provide Montana farmers and the Great Falls community. Oilseed crops have proven to be an excellent rotation crop for farmers, but demand for Montana oilseed crops has been sporadic. Hopefully, Calumet is creating demand that farmers can plan for into the future. Montana has limited capacity to crush oilseeds, and this will need to be expanded rapidly to take advantage of the new demand.

I did some online research and found out that renewable transition and expansion at US refineries are expected to increase fivefold by 2024, with most projections showing demand outpacing supplies.There are refineries in California that are producing Sustainable Aviation Fuel (SAF). They are supplying jet fuel for LA and Bay area airports.

I stumbled across transcripts of a Calumet investor call discussing the transition to biofuel feedstock. A couple of things jumped out in this call. First, there was a lot of discussion about Montana and Alberta having millions of untapped acres in their backyard that could be transitioned to oilseeds to meet their demands. Secondly, Montana farm fields are some of the closest fields to the new demand for renewable fuel in Canada and California.

I am intrigued by this new opportunity for farmers and will keep you updated as I find out more.

Fall Traveling Workshop Series:

Montana Farmers Union is traveling to the Western and Southwestern part of the state with the workshop series Rebuilding Food Resiliency. This event is free, open to the public, with a meal provided at each location. Please RSVP at montanafarmersunion.com.

Program Agenda:

• Overview of the President’s Promoting Competition in the American Economy Executive Order including specifics on directives including Right to Repair, Packers and Stockyards Act, defining “Product of the USA” labels, healthcare, technology, and more. Presented by Walter Schweitzer, President of Montana Farmers Union • Building Resiliency through on Farm Food Safety Planning and Practices; presented by Jan Tusick, Center Director for Mission Mountain Food Enterprise Center • Overview of the Growth Through Agriculture Program; Presented by the Montana Department of Agriculture • Funding for small producers through the American Rescue Plan; Presented by USDA Rural Development • Presentation on the Montana Premium Processing Co-op, and how to get involved; Presented by Matt Rains, Montana Farmers Union

DATE TIME CITY VENUE

9/21 11:30 am-1:30 Corvallis Corvallis Research Station 9/21 6-8 pm Missoula Double Tree 9/22 11:30-1:30 Ronan Ronan Community Center 9/22 6-8 pm Whitefish Rocky Mountain Lodge 10/5 11:30-1:30 Livingston Best Western Pioneer Lodge 10/5 6-8 pm Bozeman Comfort Inn 10/6 11:30- 1:30 Townsend The Mint Bar & Cafe 10/6 6-8 pm Butte Copper King Hotel