CJ Bio America expansion wins state support
Tax incentives granted
Tax breaks to support an expansion of the CJ Bio America plant in Webster County were approved by the Iowa Economic Development Authority Friday morning.
The authority’s board voted to award the company incentives through the state’s High Quality Jobs Program.
Specifically, it gave the company $408,900 in investment tax credits.
It also approved a refund of all sales and use taxes the company will pay during construction. That amount is estimated at $266,700.
”We are extremely lucky to have such an amazing team to work with at the state level,” said Luke Palmer, director of ESG (environmental, social, governance) for CJ Bio America.
”Various locations throughout the world compete for business every day and IEDA works hard, in conjunction with our local government, community college and the Greater Fort Dodge Growth Alliance to incentivize businesses that bring value to the region,” he added.
CJ Bio America, located in the ag industrial park called Iowa’s Crossroads of Global Innovation, makes amino acids to be added to feed for poultry and swine. It also makes a liquid soil amendment.
The company is planning a $20,445,000 expansion that will enable it to expand its production of the amino acid threonine.
A new production area will be built directly south of the current plant. Construction is expected to be completed in the first quarter of 2022. The increased production is expected to start in June 2022.
”CJ Bio is excited to continue our journey of expanding North American operations in Fort Dodge and bringing value to our community,” Palmer said.
The tax credits awarded Friday were specifically to support the creation of four new jobs paying $19.47 per hour, according to the Iowa Economic Development Authority.
However, the Greater Fort Dodge Growth Alliance has stated that about 25 new jobs will be created as a result of this expansion.