CENTRE BOOSTS FOOD PROCESSING INDUSTRY

Released on September 18, 2001

The Saskatchewan Food Industry Development Centre celebrated its grand

opening today with the unveiling of expanded state-of-the-art development

and testing facilities for the province's 300 food-processing companies.



A new commercial kitchen, laboratory and federally-inspected pilot

processing plant are at the heart of the expanded Saskatoon-based centre,

which has received $15.8 million in operating and capital funding from the

federal and provincial governments.



"The expansion at the Food Centre provides Saskatchewan's value-added food

processors the ability to develop and test new food products without a

large capital investment for equipment," Agriculture and Agri-Food Minister

Lyle Vanclief said. "These efforts are increasingly important in today's

diverse global agricultural economy. The Government of Canada recognizes

this and is working in many avenues to support this activity."



Vanclief also noted federal and provincial ministers agreed in principle

this summer in Whitehorse to a national action plan that includes a

component on using science to help the sector create economic opportunities

with innovative new products.



The centre received $13.8 million of its government support from the

Canada/Saskatchewan Agri-Food Innovation Fund (AFIF), making it the largest

single project to be supported by the fund.



"This investment recognizes food processing is the fastest growing sector

of Saskatchewan agriculture," Deputy Premier and Agriculture and Food

Minister Clay Serby said. "Our food processing companies employ more than

7,000 people and have an annual payroll of $227 million."



The Food Centre also received $2 million from Saskatchewan Economic and Co-

operative Development. This money was used, along with $1 million of the

AFIF funding, to pay for construction of, and equipment for, the laboratory

and commercial kitchen facilities.



"Our food processing industry symbolizes the success Saskatchewan has

enjoyed in diversifying its economy and developing value-added products,"

Economic and Co-operative Development Minister Eldon Lautermilch said.

"With more than 50 per cent of its companies located in smaller

communities, the industry is also laying a foundation for new economic

development and jobs in rural Saskatchewan - a foundation we're building on

in our Partnership for Prosperity strategy."



The centre will provide production and marketing advice to Saskatchewan

food processors, and be the focal point for co-ordination and delivery of

existing and new technical, business, educational and human resource

services for the industry. Its expanded facility will enable it to handle

development of export-ready meat, fruit and vegetable products.



The $91-million Agri-Food Innovation Fund, which is funded two-thirds by

the federal government and one-third by the province, was established in

1995 to promote and support emerging primary production and value-added

processing activities in Saskatchewan.



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For more information, contact:



Dan Prefontaine, President Bob Ellis

Saskatchewan Food Centre Economic and Co-operative Development

Saskatoon Regina

Phone: (306) 933-7175 Phone: (306) 787-1691



John Babcock, Provincial Leader Patrick Cherneski, Federal Leader

Canada-SK Agri-Food Innovation Fund Canada-SK Agri-Food Innovation Fund

Regina Regina

Phone: (306) 787-9768 Phone: (306) 780-8117