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The Ontario Food Cluster: a full serving of opportunity for the global agri-food sector

The Ontario Food Cluster welcomes international investment to its thriving cluster of 3,200 food and beverage companies that harvest success from within Canada’s largest pool of agri-food talent, Ontario. Food and beverage processing in the province is expected to grow to a $40 billion industry by end of 2013, and the agriculture and agri-food sector is Ontario’s number one employer.

When Ontario agriculture revenues are added to those of food and beverage processing, these sectors, with $50 billion in revenues, beat automotive sector revenues: it’s food that powers Ontario’s economic engine! The Ontario Food Cluster is the largest food and beverage processing jurisdiction in Canada and among the three largest in North America.

Ontario’s expanding agri-food cluster includes internationally focused companies such as General Mills Canada, H.J. Heinz Company of Canada, Labatt Breweries of Canada, Maple Leaf Foods, Kellogg Canada, Saputo, Sleeman Breweries, Dare Foods, Ferrero Canada, Dr. Oetker Canada, McCormick Canada, Cargill Canada, George Weston Ltd. and Unilever. These companies and others in Ontario enjoy access to the growing and lucrative North American market of more than 460 million consumers.

The Ontario Food Cluster benefits from Canada's high R&D and economic profile. Canada is the first G20 member to have made itself a tariff-free zone for manufacturers by eliminating tariffs on inputs, machinery and equipment. Combined federal and provincial credits can return to foreign investors, on average, up to 30% of their R&D investment in Canada - one of the most generous R&D tax incentives in the industrialized world.

Sources for this page: AOFP Economic Impact Analysis: Ontario Food and Beverage Processing Sector, Sept. 2012; Invest in Canada Backgrounder – Canadian Advantage, Jan. 2013; OMAFRA: Global Hub for Food Processing / Agri-food Asset Map

Monday
Nov122012

Ontario Food Cluster takes team to Chicago to attract fast-growth store brand market to “Canada’s kitchen” 

The Canadian agri-food sector’s leading “store brand,” the Ontario Food Cluster, is attending America’s largest private label tradeshow in Chicago this week to encourage international food and beverage buyers and suppliers to follow the lead of Horizon Milling G.P. by investing and becoming part of Ontario’s $39 billion, 3,200-company food and beverage processing sector.

Sparked by private label dollar share hitting a record high of $59.9 billion in 2011, economic development executives from the Ontario Food Cluster, also known as “Canada’s kitchen” are attending the 2012 PLMA Private Label Trade Show to highlight the cluster’s stellar reputation for reliable, sustainable sources of agricultural raw materials, state-of-the-art automated food processing methods, and world-class food safety.

Horizon Milling G.P., a joint venture between Minneapolis, Minn.-based Cargill and Inver Grove Heights, Minn.-based CHS Inc., is planning to build a state-of-the-art flour mill in Guelph, home to the University of Guelph, an agri-food R&D powerhouse for the Ontario Food Cluster. Cargill currently employs more than 1,500 people in Guelph at its Meat Solutions and Case Ready businesses and is one of the city’s leading employers.

Horizon Milling G.P. will also benefit from Ontario’s abundant supply of cereal grains which are an integral part of the province’s cropping system, with Ontario farmers producing over 102 million bushels in 2011. The new flour mill will predominantly source grain from Canadian farmers in both eastern and western Canada, and increase Horizon Milling G.P.’s Canadian production by up to 30 percent. The company produces flour, oats and dry baking mixes for the foodservices, bakery and food processing industries.

“Our new facility will represent the future in flour mills. As a completely new complex, we will incorporate the latest technologies in the industry and design the site to allow farmers easy access for deliveries while taking advantage of Ontario’s efficient rail and truck transportation links,” said Dan Dye, President, Horizon Milling. “We look forward to our expansion in Ontario and hope to be operating in 2014.”

Horizon Milling G.P.’s new flour mill will take advantage of Guelph Junction Railway, a city-owned, 25-mile short-line rail system that is fully integrated with transportation networks throughout Canada, the U.S. and Mexico, and to other shipping transportation systems that serve international markets.

The food processing industry is considered strategic by the Province of Ontario, which has the goal of being North America’s top food processing hub. Already the continent’s second-largest food and beverage processing jurisdiction, agri-food businesses take advantage of Ontario’s excellent proximity to 450 million affluent food consumers through the North American Free Trade Agreement (NAFTA). In turn, these companies can access several targeted programs and tax incentives to expand in Ontario.

“Horizon Milling G.P.’s planned expansion is the latest example of the Ontario Food Cluster’s compelling draw to international food processing firms,” said Barbara Maly, Chair of the Ontario Food Cluster. “The Cluster is at the 2012 PLMA Private Label Trade Show to make more companies aware of Ontario’s excellent agri-food business support and investment opportunities.”  

About the Ontario Food Cluster

The Ontario Food Cluster builds international trade and investment opportunities for its expanding 3,200-company agri-food sector. These companies have manufacturing revenue of $39 billion, including $9.9 billion of exports, and employ 130,000 people directly in agri-food processing/manufacturing and wholesaling and another nearly 483,000 workers in related sectors. Ontario Food Cluster southern Ontario cities and regions include Chatham-Kent, City of Brantford, City of Hamilton, City of London, County of Middlesex, Greater Toronto Area, City of Guelph, Niagara Region, Sarnia-Lambton, Southwest Economic Alliance, Southwestern Ontario Marketing Alliance, Waterloo Region and Windsor-Essex. The Cluster also partners with Ontario’s Ministry of Agriculture, Food and Rural Affairs; Agriculture and Agri-Food Canada (AAFC) and Canada’s Department of Foreign Affairs and International Trade.

About Horizon Milling, G.P.

A leading Canadian flour miller, Horizon Milling G.P. is a joint venture between CHS Inc. (www.chsinc.com) and Cargill. Horizon Milling combines the expertise of a global food ingredients manufacturer with the supply assurance capabilities of a national, farmer-owned cooperative to provide customers with innovative, flour-related product and service solutions. For more information, visit www.horizonmilling.com

Monday
Oct222012

Ontario Food Cluster team arrives at SIAL in Paris touting Ontario’s agri-food industry as a world-class hub for international food processing companies

German frozen pizza giant Dr. Oetker selected the Ontario Food Cluster, also known as “Canada’s Kitchen,” for a greenfield new plant construction that will create 120 full-time manufacturing jobs, and contribute an estimated $26 million per year to Ontario’s economy when the plant opens in 2014. This is the first time Dr. Oetker will be making its award-winning frozen pizzas in North America.

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Monday
Oct222012

L’équipe de l’Ontario Food Cluster est présente au SIAL, à Paris, pour vanter les mérites de l’industrie agroalimentaire ontarienne, plaque tournante par excellence pour les sociétés internationales de transformation des aliments

Le géant allemand des pizzas surgelées, Dr. Oetker, a choisi l’Ontario Food Cluster, aussi connu sous le nom de « cuisine du Canada », comme lieu de construction de sa toute nouvelle usine qui permettra de créer 120 emplois manufacturiers à temps plein et d’injecter un montant estimé à 26 millions de dollars par année dans l’économie de la province, lorsqu’elle ouvrira ses portes en 2014. C’est la première fois que Dr. Oetker fabriquera ses pizzas surgelées primées en Amérique du Nord.

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Thursday
Sep132012

Canada designs tasty new visa for innovation-driven immigrant entrepreneurs 

The Canadian Federal Government plans to create a new class of visa it hopes will attract innovation-driven entrepreneurs to immigrate to the country to start new companies, and the Ontario Food Cluster looks forward to a new generation of agri-food businesses from this initiative.

Here are relevant excerpts on the new visa from a Reuters article published in the Globe and Mail on Sept. 12, 2012:

... A visa that would be issued to people identified by venture capital funds as candidates to create startup firms in Canada. The venture funds would be required to invest in the startups.

... Venture investment funds would choose entrepreneurs to invest in, and the government would try to clear them for entry into Canada within weeks. The idea is to unite Canadian money and foreign brains.

... “This program will link brilliant, job-creating, immigrant entrepreneurs with Canadian investors. We want the world’s best and brightest to come to Canada – to start businesses and to create jobs in Canada.”

... The government will set aside 2,750 visas a year for startup entrepreneurs and their families.

Monday
Jun252012

Canada’s first centre for training skilled workers in food processing draws multinational companies to join Ontario Food Cluster’s $34 billion industry

Economic development executives from the Ontario Food Cluster are attending SIAL Brazil, The Latin American Food Marketplace, and the related Fispal Food Service Trade Show, promoting the new Conestoga College Institute of Food Processing Technology (IFPT) among other strengths to international companies that want to invest in Ontario’s expanding $34 billion agri-food sector – an ­industry that includes $9.9 billion of exports.

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