March 14, 2012

Maple Leaf receives state aid in pork plant upgrade 

The Canadian government has allotted more than CAD4.5 million (US$4.51 million) to fund Maple Leaf Inc's upgrading of its Manitoba processing facilities.

"Today's investment underlines our commitment to the pork industry and our focus on creating jobs and growth in Manitoba," said Vic Toews, Canadian Minister of Public Safety and Regional Minister for Manitoba. "Upgrades to its Manitoba facilities will help Maple Leaf boost productivity and production capacity to fill new market opportunities, which in turn will increase the demand for producers' high-quality swine."

The investments will help the processor purchase and install new line processing, heat recovery and packaging equipment, as well as new value-added production lines. This will improve operational efficiency, reduce costs, and increase revenues through the adoption of value-added activities.

"Our Brandon and Winnipeg plants are vital to a healthy hog and production sector in the province," Doug Dodds, Maple Leaf's chief strategy officer, said in a news release.

Manitoba's pork industry contributes more than CAD750 million (US$751 million) annually to the provincial economy. Under Canada's Economic Action Plan, the CAD60-million Slaughter Improvement Program made federal repayable contributions available to support sound business plans aimed at reducing costs, increasing revenues and improving the operations of meat packing and processing operations in Canada.