Farms Technology LLC, a privately held Overland Park, Kan., company that offers procurement applications over the Internet, said it boosts farmers' profit potential by enabling them to market their grain directly to numerous buyers to get the best price.
Buyers, including ethanol plants and feedlot owners, can log onto the Internet site to bid on grain offered for sale.
Financial details of Pioneer's investment in Farms Technology were not released.
The pair recently partnered to develop a new online service, called MarketPoint, and a pilot launched in February for corn growers and ethanol plants in Nebraska.
Growers with more than 60 million bushels of grain for sale registered on the site. The list of buyers that have registered include food processors, ethanol companies and grain cooperatives in North Dakota, Nebraska, Minnesota, Iowa, Kansas and Wisconsin, the companies said.
"The purchase of this equity stake in Farms Technology shows that we are making a long-term commitment to this unique and expanding business," said Paul Schickler, Pioneer's president. "As grain markets expand, we see this involvement as a way to help customers increase their income and drive seed sales."
Farms Technology was formed in 2001. CEO Jason Tatge said participating growers have shown they can make more money through MarketPoint than using traditional marketing.
Pioneer Hi-Bred underwrites the national broadcasts of Market to Market. ___
On the Net: MarketPoint: http://www.marketpoint.pioneer.com
Farms Technology: http://www.farmstech.com
DuPont Co.: http://www.dupont.com
Pioneer Hi-Bred International: http://www.pioneer.com