FRANCAIS

April 26, 2002

An $11 million renovation and expansion project at the Food Development Centre in Portage la Prairie was announced today by Manitoba Agriculture and Food Minister Rosann Wowchuk and Reg Alcock, MP for Winnipeg South, on behalf of Lyle Vanclief, Minister of Agriculture and Agri-Food.

The Food Development Centre (FDC) provides a timely and cost-effective way for the agri-food industry and entrepreneurs to produce safe, high-quality food products. Working with Manitoba Agriculture and Food, the centre provides services in process and product development, training and seminars, library and information access, and rental of its commercial pilot plant facilities.

"As global competition increases and trade policies change, it is essential for us to support greater value-added processing of our high quality, diverse commodities," Wowchuk said. "Because of this investment, Manitoba will have a unique centre of excellence for applied research and development in processing and packaging all types of food produced in Manitoba."

Reg Alcock, MP for Winnipeg South, announced $2.9 million in federal funds to support the FDC. This money represents the federal interest portion of Manitoba's Gross Revenue Insurance Plan (GRIP) surplus.

"Today we are answering a call by the Province of Manitoba to leave the federal interest portion of GRIP funding where it can do the most good: within the province's agriculture and agri-food sector," said Alcock. "This money will benefit Manitoba's food processing sector by allowing the FDC in Portage la Prairie to enhance its facilities and replace outdated equipment."

Wowchuk said Manitoba’s share of the funding is $7.9 million. The venture is expected to create 335 jobs in the private sector and through spinoff business over the next five years. The redeveloped facility will provide space for Great Plains Aseptic Processors, a new Manitoba company that will use Tetra Pak technology to operate a commercial liquid food processing and packaging facility for the province’s food industry.

The existing Food Development Centre facility will be renovated to qualify for Canadian Food Inspection Agency registration, which will allow clients to develop, process and package products on-site for sale to interprovincial and international markets.

The City of Portage la Prairie and the Rural Municipality of Portage la Prairie will provide a grant in lieu of taxes, equivalent to an investment of $800,000 over eight years.

Wowchuk said approximately $1.3 million from the Agri-food Research and Development Initiative will also fund research and development projects using Great Plains Aseptic Processors equipment.

Manitoba’s Food Development Centre was the first facility of its kind in Canada, and became part of Manitoba Agriculture and Food in December 1999. The centre is committed to the diversification and development of Manitoba’s agri-food industry, working with new, small and large food processors to move products from the idea stage to the consumer market.

"This announcement is history-making, as the expansion and upgrade will make the Food Development Centre the only one in North America with the projected capabilities. This is the start of something really big, bringing our food lab to a new level," said Portage la Prairie Mayor Ian MacKenzie. "The announcement today is a result of work and co-operation between four governments, including the City and Rural Municipality of Portage la Prairie and the governments of Manitoba and Canada. It is a giant step forward for the agricultural processing industry in Portage la Prairie and for research, micro processing and food packaging."

"The municipality welcomes the expansion of the Food Development Centre. Your capabilities for assisting the development of marketable products will be greatly enhanced," said Portage la Prairie Reeve James Knight. "Partnering by all levels of government together with private enterprises is the way of the future. We are proud to be a part of this partnership."

Wowchuk noted that this initiative has the potential to become a focal point for economic development over the long term, with as many as 1,400 jobs being created over the next 15 years. These jobs will contribute an estimated $123 million to Manitoba’s gross domestic product and $17 million to provincial taxes.

Assisting organizations such as the FDC in its efforts to help agriculture and agri-food businesses remain competitive and access markets is consistent with the Agricultural Policy Framework (APF), a federal-provincial-territorial action plan in partnership with industry to brand Canada as the world leader in food safety, innovation and environmentally responsible production. The APF, agreed to in principle in June 2001 by Canada’s agriculture ministers, will take a comprehensive, industry-wide approach to securing the long-term prosperity and success of the agriculture and agri-food sector.

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