Layn USA Signs Purchase and Sales Agreement with River Ridge Development Authority
Company is Considering the River Ridge Commerce Center for a New CBD Manufacturing Facility
One Southern Indiana announced Layn USA, the US subsidiary of the Chinese company Guilin Layn Corporation, has signed a purchase and sales agreement (PSA) with the River Ridge Development Authority and will commence due diligence to evaluate the parcel as the location for a new CBD manufacturing facility. The proposed project would have the capacity to process a minimum of 5,000 tons of hemp biomass annually.
Layn has been partnering with farmers who have been growing hemp since the Farm Bill passed in 2014. These partnerships allow Layn to begin production of CBD products from large scale farming operations using cutting edge cultivation techniques within both organic and conventional certified hemp.
On July 15, the River Ridge Development Authority Board of Directors passed a measure allowing Executive Director Jerry Acy to move forward with securing the PSA for the project. This allows negotiations to begin for approximately 24.6 acres within the River Ridge Commerce Center, a potential building site of the proposed $52 million project. The company has considered several sites in a number of states including Colorado and Kentucky. Layn will make their final decision following the completion of due diligence.
“Layn has been cultivating in the plant industry for more than 20 years,” said Elaine Yu, president of Layn USA. “It has partnered and carried out business with hundreds of food and beverage, health and nutrition, pharmaceutical, cosmetic, personal care and animal nutrition companies in more than 60 countries and regions around the world. Layn is working with many of these manufacturers to meet the demands for applications of industrial hemp and the development of new hemp-based businesses.”
“We are pleased that the board has demonstrated such expediency and cooperation in approving this agreement and helping to ensure these negotiations can smoothly move forward,” said Frank Xie, EVP, Board Director of Guilin Layn Natural Ingredients Corp. “We look forward to continuing to work with 1si and The River Ridge Development Authority Board as we complete our full due diligence in securing the ideal location for Layn’s new CBD production facility.”
“Layn USA would be a great addition to the River Ridge Commerce Center, and we’re very pleased they are considering River Ridge for their new processing facility,” said Jerry Acy, Executive Director for the River Ridge Development Authority. “With companies here such as Enjoy Life Foods and Niagara Bottling, which also make natural products, and the recent additions of PharmaCord and Medline Industries Inc., it shows River Ridge is the place to be for the industries of the future.”
“We are very excited Layn is considering Jeffersonville as the site for its new manufacturing facility. A lot of work has been put into ensuring Jeffersonville is attractive to a variety of industries, both domestic and international. It is gratifying to see that work paying off,” said Jeffersonville Mayor Mike Moore. “The City stands ready to assist Layn in any way it can through this process.”
The manufacturing of hemp is still new to Indiana. On March 26, 2014, Governor Mike Pence signed the Industrial Hemp bill into law, IC 15-15-13, authorizing the Office of Indiana State Chemist & Seed Commissioner to obtain the necessary permits and authorizations for the production and regulation of industrial hemp in Indiana. On December 20, 2018, President Donald Trump signed the 2019 Farm Bill, which authorizes states to implement an industrial hemp program under the oversight of the U.S. Department of Agriculture, including removal of hemp from the definition of marijuana – a Schedule I drug. This change will allow commercialization of hemp as a legitimate agricultural crop separate from marijuana.
President and CEO of 1si Wendy Dant Chesser, said, “Indiana is working to make a friendly business environment for emerging industries by aligning state policy with evolving federal policy. We are excited that Southern Indiana is leading the charge to locate Layn as these policies are taking shape.”
About Layn USA
Layn Corp. is a global leader in the vertically integrated production of premium-quality, plant-based sweeteners, flavors and botanicals. Founded in 1995, Layn pioneered the natural high-intensity sweetener industry, and has been advancing its innovative ingredients for over two decades. Layn’s ingredients are uniquely designed to meet the needs of global food, beverage and nutraceutical manufacturers. Its portfolio of monk fruit, stevia extracts and other functional botanicals, delivers superior taste profiles, a focus on sustainability, and proprietary formulations to satisfy a broad range of specific applications. Visit www.layncorp.com .
About One Southern Indiana:
One Southern Indiana (1si) was formed in July of 2006 as the economic development organization and chamber of commerce serving Clark and Floyd counties. 1si’s mission is to provide the connections, resources and services that help businesses innovate and thrive in the Southern Indiana / Louisville metro area.
Since its inception, the organization has evolved to include a three-prong approach to serve its members and investors. Business Resources, as the chamber side of the organization, encompasses membership, signature events and programs which support and encourage business growth; Economic Development works to grow the regional economy through the attraction of new commerce and assists with retention and expansion of existing businesses; Advocacy supports businesses at the government level by engaging in the initiatives to preserve, protect and promote a business friendly environment free of obstacles to growth and development of commerce. For more information on One Southern Indiana, visit www.1si.org