Northwestern Consolidated Milling Company - History

History

Technological advances in flour milling were already in place by the 1880s, when 18 different millers operated in Minneapolis. From that point on and for the next 50 years, mergers and changes in business administration were the primary developments in the industry.

Northwestern and their new Ceresota flour brand name were established in July 1891 by a group of businessmen led by former lumberman John Martin at six independent existing mills—the Crown Roller (2,500 barrels/day), Columbia (2,000), Northwestern (1,600), Pettit (1,600, to be an elevator), Galaxy (1,500) and Zenith (1,100). Martin became president, Joel B. Bassett was vice president, C. T. Fox was secretary and treasurer, and Fred C. Pillsbury, E. Zeidler and Albert C. Loring were the managers. The company grew to nine mills and several elevator and storage facilities. Loring's father Charles M. Loring was one of the directors.

Northwestern's first decade was marked by financial instability because its founders paid too much for its properties and suffered from lack of capital. A reorganization followed in 1895 that somewhat alleviated the company's problems. In 1889-1990 the United States Milling Company formed at the Hecker-Jones-Jewell mills in New York City with the goal of becoming a flour monopoly by owning nearly all of the country's spring wheat mills. Northwestern, though, was the only company they acquired. Financially troubled, U.S. Milling in 1900 reorganized and became the Standard Milling Company with Northwestern as a subsidiary.

By combining six mills, Northwestern's capacity was the second largest in the world at the time of its founding, after the giant Pillsbury-Washburn, and slightly more than Washburn, Crosby. By 1900, these three companies were an oligopoly holding 97% of the Minneapolis market. In 1928 Washburn, Crosby became General Mills in a merger of U.S. millers and surpassed Pillsbury to become the world's largest flour milling company. In recent years General Mills acquired Pillsbury.

In January 1909, Northwestern opened its state of the art Elevator A, possibly the largest grain elevator ever built of brick. The elevator could hold 1,000,000 bushels of grain and its conveyors could each move 10,000 bushels per hour to the Crown Roller and Standard mills. Along with Elevator B known as the Pettit Mill of which only the foundation remains, Elevator A is a contributing property of the Saint Anthony Falls History District listed in the National Register of Historic Places in 1971.