Friday, November 18, 2016

Gay Lea to update Teeswater plant

Gay Lea Foods Ltd. says it will spend $60 million to upgrade and expand the creamery at Teeswater next year.

It’s one of the key projects in a four-year $140-million budget the cooperative unveiled this week.

Another project is $3 million for a research and development centre at Hamilton.

The Dairy Farmers of Ontario marketing board has been urging processors to invest in modern facilities to compete in the ingredients markets where imports have been threatening the long-term viability of Canada’s supply management system.

Many ingredients have been able to escape high tariffs that are a key to enabling the supply-management system to price milk to reflect the cost of production and return profits to farmers.