Factory loss points out need for effort

While Southwest Nebraska has a relatively low unemployment rate, it was sad and alarming to learn that a local manufacturer, the Springer Magrath Co., was relocating to Minnesota, taking about 15 local jobs with it.

Springer Magrath was the kind of company that provides most of the job growth in the American economy, small local companies founded by entrepreneurs with a vision for creating products and services that meet a need.

Founded by Dr. Joe Magrath and Frank Brady as the Great Plains Co. in 1967, it became the Magrath Co. Inc. in the early 1970s, was purchased by Marlin Springer in 1990 to become the Springer Magrath Co., and was purchased by the Frandsen Corp. in 2007.

It produces veterinary products like fluid feeders, stock prods, a product to entice cows to adopt calves, obstetrical calf straps, a special needle and other devices.

Even with a 4 percent unemployment rate, it will be hard to replace those 15 jobs in McCook, especially with comparable manufacturing jobs.

The loss illustrates the need for an ongoing effort to encourage local entrepreneurs, through private-public partnerships like the McCook Economic Development Corp., as well as private efforts like the Hormel Business Plan Competition, founded by the Hormel Family Foundation and now part of the Invest Nebraska nonprofit venture capital corporation.

Fortunately, previous efforts have resulted in big employers like Valmont, and a new, smaller employer, Loop Brewing Co., is ready to open up around the corner from the Springer Magrath location. The microbrewery restaurant was last year's winnner of the Hormel competition.

Local entrepreneurs with a vision, and the ability to back it up with hard work, are the brightest hope for our local economy.