Keystone Processors to get US$9.4 million of government loan

The Canadian government has conditionally approved a loan of up to C$10 million (US$9.4 million) to Manitoba-based beef company Keystone Processors Ltd.

The Manitoba Minister of Agriculture, Food and Rural Initiatives Rosann Wowchuk also announced that the Manitoba Cattle Enhancement Council would increase its investment in the Keystone plant by up to an additional C$7.5 million (US$7 million).

The money will be used to upgrade the former pork plant on Marion Street into a federally-licensed beef slaughter and processing plant.

The funds will help upgrade the plant significantly, which will eventually allow Keystone Processors to export Manitoba beef across the country and worldwide, said Kelly Penner, President and CEO of Keystone Processors Ltd.

The company's plans include retrofitting parts of the existing plant as well as demolishing and rebuilding older sections so the facility meets or exceeds the highest food safety protocols for domestic sales and for export markets including Asia and the EU.

The federal funding is part of the Slaughter Improvement Programme announced earlier this year.