The government of Ontario will invest CAD 24 million ($18.7 million) to support a subsidiary of Feihe International build a baby formula facility in the Canadian province.
Canada Royal Milk will benefit from the funds, allowing it to create the first baby formula plant in the city of Kingston, creating 277 jobs.
Ontario Premier Kathleen Wynne met last week with Feihe International in Beijing to discuss the company’s plans to build its first baby formula production facility outside of China. The company produces, packages and distributes milk powder and related products in China.
With support from Ontario’s Jobs and Prosperity Fund, Feihe will be able to purchase and install processing and packaging equipment for the new facility. Once operational in 2020, the plant will require significant volumes of milk, which will support the growth of Ontario’s dairy cow and goat sectors.
Ontario agriculture minister Jeff Leal said: “We’re excited to welcome Feihe International to Ontario. In addition to bringing good jobs to the Kingston community, this project will also open up new opportunities for our dairy and goat producers to continue to grow and thrive.
“By partnering with food processing companies like Feihe International, we are not only supporting growth in Ontario’s agri-food sector, but we are helping boost our province’s economy.”
Feihe International chairman Youbin Leng added: “I want to thank Ontario for their support. Ontario and Qigihar, Heilongjiang, where Feihe’s milk resources are located, are both situated in the world’s golden milk belt at 47 degrees north latitude, where its natural environment is the most ideal place for producing premium quality dairy products.
“With over 55 years of history, Feihe International is China’s largest domestic infant formula company and one of the world’s leading experts in infant formula technology, innovation, nutrition and research and development. We look forward to this historic project and bringing our experience in infant formula to Canada.”
© FoodBev Media Ltd 2018