US-based global producers of ingredient systems for industrial and food applications Penford Corporation has held the groundbreaking ceremony for its new ethanol production facility at its Cedar Rapids, Iowa, USA, plant. The new facility involves $42 million investment that will produce approximately 40 million gallons of ethanol. The plant is expected to be on stream by the end of 2007.

Penford develops and manufactures specialty natural-based ingredient systems for various applications, including textiles and papermaking. It has nine locations worldwide in the United States, Australia and New Zealand.