Iowa Grain Warehouse Looses License Over Insurance
Another grain dealer in Iowa is dealing with the loss of their license.
Just a week ago, we saw Global Processing, a distributor out of Hancock County file for bankruptcy following the suspension of its Kanawha warehouse and grain dealer licenses.
Global Processing’s license suspension is “based upon the company’s failure to have sufficient funds to cover producer grain checks and failure to file monthly financial statements by Iowa Code 203 and 203C.”
Then, on Monday, October 31st, another grain warehouse license was revoked.
Doug’s Feed Service, Inc., of Baxter, Iowa has agreed to a voluntary revocation of its grain warehouse license. This revocation went into effect on October 31st. Because their license has been revoked by the Iowa Department of Agriculture and Land Stewardship, Doug’s Feed Service will be prohibited from storing grain after November 30th, 2022.
The license was revoked due to Doug’s Feed Store being unable to provide proof of insurance as required by Iowa Code, Section 203C.15 (2020).
Doug's Feed Store is able to maintain their grain dealer license.
According to a release from the Iowa Department of Agriculture, grain distributors have three options when it comes to their grain storage obligations with Doug’s Feed Store;
- Remove their grain from the facility by November 30, 2022
- Price their grain obligation for payment by November 30, 2022
- Arrange with the store to transfer the storage obligation to another licensed warehouse by November 30, 2022.
Grain obligations must be finalized by November 30, 2022.
This isn't the only dealer in Iowa to have its license revoked this year. B&B Farm Store's in Jesup license was suspended and revoked in August. Global Processing's license was suspended but then filed for bankruptcy and two other companies had their licenses reinstated after suspension.