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Company Profile
MEGA DRYERS

Mega Dryers • 316-729-5374http://www.megadryers.com

A GLOBAL LEADER IN GRAIN DRYING EQUIPMENT FOR 20 YEARS

Reprinted from Grain Journal September/October 2016 Issue

The economic recession of the early 2000s affected nearly every industry worldwide, including grain. In Argentina, for example, economic collapse forced many companies to close and workers to lose their jobs, while government-imposed restrictions reduced the country’s cash flow to virtually zero.

In response to the economic hardship, forward-thinking organizations like Argentine grain dryer manufacturer MEGA Dryers, together with other companies in the region, took a risk by developing a sales strategy based on the trade of goods rather than currency value to keep operations running.

“We started selling grain dryers and received bulk grain as a form of payment,” explains U.S. Sales Representative Ricardo Reggeti. “With this approach, we were able to gain the trust of our customers, and we were able to grow in the local market and throughout Latin America.”

MEGA (which stands for Mechanical, Electrical, and Gas) was founded in 1996 and opened up shop as an installer of mechanical and electrical systems for liquefied petroleum gas (LPG) and natural gas for the YPF Gas Corp. of Argentina. Soon after, the company adopted the name MEGA ENGINEERING and within a year began supplying the grain industry with drying systems.

“During 1997-98, we entered a new chapter of business activities in our company by beginning to develop, design, and build our own grain dryers,” Reggeti recalls. “Manufacuring was outsourced during the first two years, and in 2000, we opened our factory at the Industrial Park of Lincoln, province of Buenos Aires, Argentina.

“Today, the innovative design of the MEGA Dryer, and its unique drying system are well-known and recognized both domestically and internationally and has allowed our company to position itself as a leader in this market,” he adds.

Reggeti says the company’s first grain dryer was installed at a plant in Buenos Aires, a project that required MEGA to put its reputation on the line. MEGA had to finance the manufacturing of the equipment, as well as the installation of the dryer, as the customer only agreed to pay if he was completely satisfied by the equipment’s performance (and the customer was satisfied, of course).

In September 2002, the company completed its first international sale to a neighboring country, Uruguay, and then to Chile in December. In May 2003, MEGA moved its administrative offices to its current location in Lincoln, Province of Buenos Aires, thanks to rapid expansion and international growth, including a presence in Wichita, KS.

“Our original ambition had always been to sell our products at the international level,” says Reggeti, “and the successful sales to Uruguay and Chile marked the beginning of our international presence, which now includes the projects, sales, and deliveries to over 30 countries.”

Today, MEGA has seen a continuous increase in our export sales over the past 13 years, the majority of which has been in Latin America and Eastern Europe. It also has profited from non-continuous exports in the United States, Central America, Spain, France, Romania, Hungary, Serbia, Turkey, Angola, and Indonesia. “In the United States, we are consolidating a sales network to improve our presence and after-sales service to our customers,” Reggeti notes.

The company is led by a joint leadership team, which is made up of the company’s founding engineers, Marcelo Valfiorani and Marcelo Lombardo. They participate actively in the strategic, technological, and commercial development of MEGA ENGINEERING. They also rely on a board of trustees trained to address the challenges and opportunities of the national and international markets, according to Reggeti.

20 Years in Grain Drying

The company’s business model is divided into three distinct business units, including grain dryers, gas service, and renewable energy. For the past 20 years, MEGA ENGINEERING has been dedicated to the development of grain dryers for oilseeds and other types of seeds. The company’s units are designed to condition grain and seed under optimal conditions for long-term safe storage while preserving the quality and optimal biological conditions of the kernels.

“Nowadays, seed producers around the world choose MEGA dryers as a reliable drying system for their ability to preserve the vigor and the germination power of their seeds,” says Co-owner Marcelo Lombardo. “MEGA dryers are also a preferred choice among rice processing and drying facilities for its excellent drying quality and, consequently, superior milling performance with both paddy rice and parboiled rice,” he adds.

MEGA’s niche is in the agri-industrial market, and its expertise comprises a large variety of grain operations, including:

• Seed production.

• Rice processing.

• Oilseed processing.

• Export terminals.

• Country elevators.

• Small grain operations.

What separates MEGA from others in the market is its innovative and unique designs, according to Lombardo. The company’s engineering team continually conducts analysis, research, and development to bring consistent value to its products, he says.

“Our approach is to be the drying specialists, since we consider ourselves to have the most advanced technology in grain drying,” Co-owner Marcelo Valfiorani says.

To that point, the company’s innovative use of technology also has enabled it to develop renewable energy equipment that can be used in any commodity by utilizing agricultural or industrial waste such as rice hulls, corn husks, and woodchips.

Value Added Equals Growth

MEGA is committed to customer satisfaction, and it encourages all of its employees to work with honesty and teamwork, according to Lombardo. This culture is reflected in the company’s mission not only to design and manufacture high-quality products but also to care for the environment and create added value for customers, end users, suppliers, employees, communities, and the company itself.

While it may sound like a tall order to fill, MEGA understands that serving existing customers and seeking new markets is the key to its future.

“Right now, our main goals are to consolidate and strengthen our presence in Latin America, seize the opportunity that is available to us with the Mercosur Trade Agreement, and start developing commercial alliances for the European and Asian markets,” says Valfiorani.

He explains that the company’s target market is impacted directly by international grain prices, and what has happened in recent years – and what is expected in the near future – is a drop in commodities prices.

“The context of international grain prices has affected us in both the domestic and the world market,” he explains. “The decreased profitability in the global grain market has reduced the amount of business opportunities in foreign markets.

“This recovery will be slow, which means that it is essential to make ourselves more competitive, in order to fight for the few businesses opportunities that would appear in the world market,” Lombardo says.

Back to the Beginning

Just as it had in 2001, the economic crisis of 2009 brought more challenges to manufacturing in Argentina, but once again, MEGA was able to navigate the turbulent times effectively by redesigning its commercial strategy and entering new markets, which has provided steady growth from 2010 through 2014.

“The past two years, with the lack of competitiveness of Argentina within the world market, we have been concentrating on nurturing our customers’ base by focusing on improving our productivity, adding tooling and automation to our manufacturing system, and refining our quality controls, after-sales service, and general customer service,” Reggeti says. “These are some of the things that have allowed MEGA to continue rubbing elbows with most of the leading firms in the world agriculture market.”


About Mega Dryers

Wichita, KS
316-729-5374
http://www.megadryers.com

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